Date:11/04/2005 URL: http://www.thehindu.com/2005/04/11/stories/2005041107220400.htm

Tamil Nadu

Sivagangai bank inspection next week: Chidambaram

By Our Staff Reporter

CHENNAI, APRIL 10. A team of officials from the National Bank for Agriculture and Rural Development (NABARD) is expected to inspect the Sivagangai District Central Cooperative Bank next week, according to the Union Finance Minister, P. Chidambaram.

In a press release, he said that this followed a request by him to the Reserve Bank of India Governor, when they met on April 8, to find out some way to restore the banking operations.

"At my request, he has advised NABARD to send a team to inspect the Sivagangai DCCB. I expect the team to inspect the bank in the week beginning Monday, April 11," Mr. Chidambaram said.

`Remark unfortunate'

Mr. Chidambaram said: "I have also read a statement issued by the Chief Minister of Tamil Nadu. It is unfortunate that the Chief Minister of Tamil Nadu does not acknowledge or appreciate the complete autonomy enjoyed by the Reserve Bank of India in matters falling within its jurisdiction. When the RBI made its order, I was as much surprised and disappointed as anyone else in Sivagangai district. In the circumstances, the Chief Minister's accusations do not, I am afraid, deserve a reply. I may add that I do not think that RBI will take kindly to the harsh words used by the Chief Minister against the bank."