Himachal: CM Sukhu directs Coop Bank to formulate 'one-time settlement policy' for customers

Shimla (Himachal Pradesh) [India], January 11 : Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu on Thursday directed the State Cooperative Bank to formulate a one-time settlement policy to facilitate its customers.
In a meeting held at Oakover on Thursday with the bank's Chairman, Devender Shyam and Managing Director, Shravan Manta, the Chief Minister instructed the bank to work together with the National Bank for Agriculture and Rural Development (NABARD) and the Reserve Bank of India to develop a comprehensive OTS policy, according to a press release issued by the CM office.
Sukhu further said that this initiative was aimed at providing substantial succour to thousands of farmers, horticulturists and other borrowers associated with the bank.
The Chief Minister said that the OTS policy would offer an opportunity to the borrowers of the bank to settle their outstanding dues at a discounted rate, thereby avoiding legal action and improving their credit score after a successful settlement.
"The bank would also benefit as it would improve the overall financial health of the bank by facilitating the recovery of non-performing assets and reducing long-pending debts," the release said, quoting Sukhu.
The CM also said that similar instructions would be issued to Kangra Central Cooperative Bank and Jogindra Central Cooperative Bank to develop and implement OTS policies in the interest of their consumers.