Sr.

Issue

Status

1

Execution of MoUs

Twenty-five State Governments have signed the Memorandum of Understanding  (MoU) with GoI and NABARD, viz. Andhra Pradesh (AP), Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Gujarat, Haryana, J & Kr (J&K), Jharkhand, Karnataka, Madhya Pradesh (MP), Maharashtra, Manipur, Meghalaya, Mizoram, Nagaland, Rajasthan, Orissa, Punjab, Sikkim, Tamil Nadu (TN), Tripura, Uttarakhand, Uttar Pradesh (UP), and West Bengal (WB). This covers more than 96% of the STCCS units in the country.

2

Special Audit of PACS

Guidelines and formats for conduct of Special Audit were circulated to all participating States. Further, training for Master Trainers and Departmental Auditors for conduct of special audit of Primary Agriculture Cooperative Societies (PACS) has been completed in all 25 implementing States. So far, Spl Audit has been taken up in 80,947 PACS and completed in 80,837 PACS:

    Status of Special Audit of PACS :                                                                                                                                   

^^ PACS/LAMPS affiliated to CCBs/ branches of SCB and ceded to CBs/RRBs

@ The 2,441 PACS in 2004 were reorganised into 586 in 2006  # excluding Mumbai CCB                                                       
 $ No CCB, only SCB    ** Regular Audit completed only in 5310 PACS out of which special audit completed in 5256 PACS

Due to non availability of complete records as on 31 March 2004 as also non completion of regular audit by departmental auditors as on 31 March 2004, Special Audit could not be taken up in some PACS in some States. However, the State Level Implementing Committees (SLICs) in Andhra Pradesh, Assam, Bihar, Gujarat, Haryana, J&K, Jharkhand, Karnataka, MP, Maharashtra, Meghalaya, Mizoram, Orissa, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttar Pradesh & West Bengal have treated the process as Spl. audit in PACS as fully completed. Spl audit of PACS is completed but SLIC approval is yet to be taken in Nagaland.

3
A

B

Special Audit of Central Cooperative Banks (CCBs)/State Cooperative Banks (SCBs)
Special Audit of CCBs completed in all fifteen States as given below :

*  3 CCBs under liquidation.  ^^ One CCB under liquidation
Eight States in N.Eastern region do not have CCBs, as they have a two tier structure. Special audit of CCBs not taken up in Punjab and Uttarakhand.

Special Audit of SCB

Spl. Audit of SCBs completed in 19 States viz., Andhra Pradesh, Arunachal Pradesh, Assam, Bihar,Chhattisgarh, Haryana,  J & K, Madhya Pradesh, Maharashtra, Manipur, Mizoram, Nagaland, Orissa, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttar Pradesh and West Bengal. Special Audit of SCB is completed but pending SLIC approval in Gujarat and Karnataka  .  It is in progress in Meghalaya SCB. No SCB in Jharkhand. Special audit not taken up in Punjab and Uttarakhand.

4

Release of Recapitalisation Assistance

An amount of   9002.11 crore has been released by NABARD as GoI share for recapitalisation of  53,202 eligible PACS in seventeen States,  1510 ineligible PACS affiliated to 30  CCBs in three States and 13 CCBs in Orissa, while the State Govts. concerned have released   855.53 crore as their respective share. The details are as under:

Release of Recap Assistance to PACS that meet the eligibility criteria
An amount of 8521.40 crore has been released by NABARD as GoI share for recapitalisation of 53,202 eligible PACS in seventeen States, while the State Governments concerned have released 824.90 crore as their respective share. The details are given in the table overleaf.

A

             Release of Recap Assistance to PACS that meet the eligibility criteria
                                                                                                                                ( crore)  

  # PACS Reorganised after conduct of spl. Audit     *PACS given two years time to bring in their share;also,PACs share includes share of ineligible PACS which may not be brought in. 

B

Release of Recap Assistance to PACS that do not meet the eligibility criteria
Recapitalisation assistance has been released to  30 CCBs in two States for  1510 ineligible PACS affiliated to them, the details of which are given as under:                   
                                          ( crore)

C

Release of Recapitalisation Assistance to CCBs
An amount of 67.87 crore has been released by NABARD as GoI share for recapitalisation of 13 CCBs in Odisha. The State Government has released 12.30 crore as its share. Details are as under:                                                                                                               
 ( crore)  

5

Amendments to Cooperative Societies Act

Twenty one States have amended their respective State Cooperative Societies Act through Legislative Process viz. Andhra Pradesh, Arunachal Pradesh, Bihar, Gujarat, Haryana, Karnataka, Jammu & Kashmir, Jharkhand, Madhya Pradesh, Maharashtra, Manipur, Mizoram, Meghalaya, Nagaland, Orissa, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttar Pradesh and West Bengal.
The State Govt of Chhattisgarh has taken a Cabinet decision approving the amendments in respect to the reform measures, as their earlier State Cooperative Societies Act has been submitted to Hon'ble President for assent.
The State Govt. of Assam has also approved the proposed amendments to CSA 2007, pending the actual amendment which is likely to take some more time in view of the statutory requirement for obtaining Presidential Assent for the earlier amendments suggested.
Draft amendments to Punjab and Uttarakhand CSAs have been vetted by NABARD and are under consideration of the respective State Govts.  Punjab and Uttarakhand have not amended their respective CS Acts despite repeated follow up.

5A

Amendments of Rules and Adoption of Bye-laws

Consequent upon the amendment to the State Coop Societies Act, 11 States viz., Andhra Pradesh, Bihar, Gujarat, Karnataka, Madhya Pradesh, Maharashtra, , Orissa, Rajasthan, Sikkim, Uttar Pradesh and W.Bengal have amended the respective State Coop Societies Rules in tune with the amended Acts. Amendment of Rules is under progress in    8 States, viz., Haryana,  J & K, Jharkhand,Manipur , Meghalaya, Mizoram, Nagaland, Tamil Nadu and Tripura.
Of the 24 States which have SCB, bye laws of SCB have been amended in fifteen States viz.,Ahmedabad, Andhra Pradesh, Bihar, Gujarat, Haryana, Karnataka, Maharashtra, Madhya Pradesh, Manipur, Meghalaya, Mizoram, Sikkim, Tamil Nadu Tripura and UP. It is in progress in  seven States, viz., Arunachal Pradesh, J & K, Nagaland, Orissa, Rajasthan and West Bengal.
Of the 17 States that have CCBs, bye laws of CCBs have been amended in  eight States, viz., Andhra Pradesh, Bihar, Gujarat, Haryana, Karnataka, Maharashtra, Madhya Pradesh, and Tamil Nadu and is in progress in   six States viz., , J & K, Jharkhand, Orissa, Rajasthan, Uttar Pradesh and West Bengal.
The bye laws of PACS/LAMPS have been amended in thirteen States, viz., Andhra Pradesh, Arunachal Pradesh, Bihar, Gujarat, Haryana, Jharkhand, Karnataka, Madhya Pradesh, Maharashtra, Mizoram, Tamil Nadu Tripura and UP. Amendment of bye laws of PACS is in progress in  eight States, viz., J & K, Manipur, Meghalaya,  Nagaland, Orissa, Rajasthan, and West Bengal.
The process of amendment of Rules and bye-laws has been initiated in other implementing States.

5B

Status of conduct of Statutory Audit by CAs in CCBs/SCB

NABARD has given a panel of Chartered Accountants (CAs)  to eighteen States viz., Andhra Pradesh, Bihar, Chhattisgarh, Gujarat, Haryana, Jharkhand, Karnataka, Madhya Pradesh, Maharashtra, Meghalaya, Orissa, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttar Pradesh and West Bengal for conduct of Statutory Audit of SCBs and CCBs as on 31 March 2010. Audit as on 31 March 2010 was completed in all 18 States. Audit as on 31 March 2011 was completed in all 24 States where panel was given. Audit as on 31 March 2012 is completed in SCBs of Andhra Pradesh, Chhattisgarh, Gujarat, Manipur and Rajasthan and is in under progress in CCBs in all 24 States viz., Andhra Pradesh, Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Gujarat, Haryana, J&K, Jharkhand, Karnataka, Madhya Pradesh, Maharashtra, Manipur, Meghalaya, Mizoram, Nagaland, Orissa, Punjab, Rajasthan Sikkim, Tamil Nadu, Tripura, Uttar Pradesh and West Bengal.

5C

Status of Elected Board in CCS Structure :

         $ No CCB, Only SCB    ^^ Election process is on in 1032 PACS     @ including others such as trading societies
                   **Data on elections to PACS is in respect of re-organised PACS. Elections stayed in  SCB.
Elections are yet to be held in Andhra Pradesh, Odisha and Tamil Nadu.

Status of Professional Directors as per Fit & Proper Criteria:
Professional Directors are put in place as per Fit and Proper Criteria in SCBs of 12 States viz., Andhra Pradesh, Assam, Gujarat, Haryana, Karnataka, Madhya Pradesh, Manipur,  Mizoram, Rajasthan, Sikkim, Tripura and West Bengal. Further in Haryana, Professional directors as per criteria placed in all CCBs. In seven States Professional Directors are placed in some of the CCBs viz.,11 of the 22 CCBs in Andhra, 17 of 18 CCBs in Gujarat, 16 of 21 CCBs in Karnataka,25 of the 30 CCBs in Maharashtra, 15 of 17 CCBs in Orissa, 28 of 29 CCBs in Rajasthan and 49 of 50 CCBs in Uttar Pradesh.

5E

Status of Chief Executive Officers (CEOs) as per Fit & Proper Criteria:
The CEOs of SCBs of 11 States viz., Andhra Pradesh, Arunachal Pradesh, Gujarat, Haryana, Meghalaya, Nagaland, Orissa, Sikkim, Tripura and Uttar Pradesh are as per Fit and Proper Criteria.
In CCBs, CEOs are as per Fit and Proper criteria in all 22 CCBs in Andhra Pradesh, 17 out of 18 CCBs in Gujarat, in all 19 CCBs in Haryana, 5 out of 21 CCBs in Karnataka, 30 out of 38 CCBs in Madhya Pradesh, 26 of the 30 CCBs in Maharashtra, 8 out of 17 CCBs in Orissa and in 45 out of 50 CCBs in Uttar Pradesh.  The remaining CCBs in Haryana have advertised for recruitment of CEOs as per Fit & Proper criteria and the selection process is under way.

6

HRD- Training

 Nine modules have been developed so far for capacity building of the staff and the Board of the STCCS.
For conduct of training under Modules I & II training has been imparted to 259 Master Trainers from 23 States. These master trainers have trained 2081 District Level Trainers to conduct field level training programme for PACS.  So far,  86,276 PACS secretaries have been trained in module I in 21 States and  1,29,775 elected members of PACS have been trained in 18 States in module II.
A training module has been designed for PACS Secretaries focusing on Common Accounting System (CAS) and Management (MIS). So far, 76,457 PACS functionaries in 19 States have been provided training on CAS/MIS.
Training for auditors of the Audit Department and supervisors and inspectors of CCBs on CAS in PACS is under progress and so far  6,019 auditors/supervisors in 19 States have been trained.  These officials are to provide handholding support to the PACS in grounding of CAS.
A training module for Board of Directors of SCBs and CCBs has been designed. A total of 4,158 board members of CCBs have been trained from 16 States.
Training programmes for CEOs of CCBs of 5 days duration have been conducted for identified 368 CEOs of CCBs from 16 States and CEOs of 6 SCBs in NER States, at BIRD, Lucknow to enable them to recognize the increased business opportunities in the changed scenario.
A five-day in campus orientation programme for Branch Managers and Senior Officers of CCBs/SCB for business development/ diversification has been developed and 8,188 Branch Managers/Senior Officers of CCBs/SCB in 23 States have been trained.
Two new programmes on (i) Business Development and Profitability for PACS Secretaries (Module VIII) (ii) Orientation programme for Supervisors/Inspectors of PACS (Module IX) have been developed during 2010-11. 151 Master Trainers from 22 implementing States were trained at BIRD, Lucknow on Module VIII & IX.  The Master Trainers trained under BDP have trained 556 DLTs from 6 implementing States. As on date, 39,387 PACS staff in 12 States have been trained in module VII.

7

Common Accounting System (CAS) and MIS for PACS

Common Accounting System (CAS) for PACS has been designed and Manual on CAS has been circulated to the RCS of all implementing States. While the process of adoption of CAS is underway in 20 States, in the other States where MoUs have been signed the RCS concerned have been advised to adopt CAS on the lines suggested by NABARD.
CAS/MIS has been introduced in almost all PACS in 15 states viz., Andhra Pradesh, Arunachal Pradesh, Assam, Chhattisgarh, Gujarat, Haryana, Karnataka, Madhya Pradesh, Maharashtra, Orissa, Rajasthan, Tamil Nadu, Tripura, Uttar Pradesh and W Bengal. Of these, fourteen States (except Madhya Pradesh) have printed the necessary registers for implementing CAS/MIS. In Madhya Pradesh and Meghalaya  the existing stationery with necessary modification as required for CAS/MIS are being used. 
Registers have been printed & distribution is in progress in Bihar, Jammu & Kashmir, Jharkhand, Mizoram and Sikkim
A standardised set of MIS for PACS has been designed and circulated among RCS of implementing States to aid decision making at PACS and at all other levels including higher financing agencies, regulators and other agencies.  A Handbook on MIS has also been issued.
As mentioned above, apart from training the PACS functionaries under new CAS/MIS, Cooperative Auditors, Inspectors and Supervisors are also being trained to support the PACS functionaries to adopt the new system.

8

Computerisation

Guidelines on computerization of CAS and MIS for PACS were issued in two separate modules: (i) development, procurement & deployment of software including training on software, and (ii) procurement and installation of hardware.
In Haryana, state specific software was developed by M/s Nelito Systems Ltd. Based on open tendering process, SLIC has awarded the hardware and software deployment contract for roll out of the software in 325 PACS to M/s HCL Infosystems. Training of Software Deployment Agency (SDA) by Nelito is completed. Installation of hardware in all 325 PACS is completed. Training of PACS staff by SDA is in progress. SLIC has approved the tendering for SDA & procurement & installation of hardware in respect of remaining 277 eligible PACS in the State. Tenders for hardware procurement and identification of SDA floated for 277 PACS under Phase II. Finalization of vendor for hardware is in progress. Retendering has been done for identifying vendor for roll out of software in the second phase.
In Tamil Nadu, the software developed by Onward eServices is being rolled out. M/s Onward eServices and M/s Wipro Infotech have been identified through tendering process for rolling out the software and providing training to the PACS staff. Of the 1663 PACS that have been identified in the first phase for computerisation, roll out is in progress in 1586 PACS of which  631 PACS have been brought online.
In Andhra Pradesh, the State Govt has engaged Co-Option Technologies for IT enabled services in PACS, wherein CAS/MIS would be incorporated. So far 1234 PACS have been computerised and MIS has been generated in all the PACS.
As per the decision taken in the VII National Implementing and Monitoring Committee (NIMC) meeting held in September 2009, NABARD has finalised the Core Software and sent a CD containing the software to all 20 States that have opted for the Core software viz., Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Gujarat, Jammu & Kashmir, Jharkhand, Karnataka, MP, Maharashtra, Manipur, Meghalaya, Mizoram, Nagaland, Orissa, Rajasthan, Sikkim, Tripura, UP and W Bengal. Preceding this, the revised guidelines for rollout of the software and training of PACS staff & hardware procurement were sent to all implementing States.
Dry run of the software is completed in 12 States viz., Arunachal Pradesh, Assam, Chhattisgarh, Gujarat, Jharkhand, Karnataka, Maharashtra, Madhya Pradesh, Odisha, Tripura, Uttar Pradesh and West Bengal and is in progress in   Rajasthan. Steps for dry run are being initiated in the remaining States.

9

Monitoring

1. For guiding and monitoring the implementation of the package at national level, National Implementation and Monitoring Committee (NIMC) has been constituted. So far nine meetings of the NIMC have been held. The last meeting was held on 27 January 2011.
2. At State level, the progress is being monitored by State Level Implementing and Monitoring Committee (SLIC) and at district levels by DCCB level Implementing and Monitoring Committees (DLICs). 
3. At NABARD level, review meetings of Regional Offices of Implementing States are held periodically. 

10

Expenditure incurred under Package

Other expenditure (other than recapitalisation assistance) of   242.08 crore has been incurred as on 30 September 2012 towards Special Audit, Human Resources Development, Technical Assistance and Implementation Costs.

11

Support from Multi-lateral Agencies

World Bank: An agreement has been entered into between GoI and World Bank on 2 November 2007 for financial assistance of US $ 600 million to GoI for implementation of Revival Package in five States viz., Haryana, Gujarat, Orissa, Uttar Pradesh and West Bengal. World Bank has so far released US $  437.14 million to GoI.
ADB: GoI had, on 11 December 2006 entered into an agreement with Asian Development Bank for availing financial assistance of US $ 1 billion for implementing the Revival Package. Asian Development Bank (ADB) has so far released US $  800 million to GoI for implementation of the programme in five States, viz. Andhra Pradesh, Bihar, Rajasthan, Madhya Pradesh and Maharashtra.
KfW: KfW and GoI have entered into an agreement on 20 December 2007 for financial assistance of € 130 million to GoI for implementation of the Revival Package in 5 States along with ADB viz., Andhra Pradesh, Bihar, Rajasthan, Madhya Pradesh and Maharashtra. KfW has so far released € 91 million to GoI.

12

Status regarding Task Force Report on LTCCS

A Revival Package for Long Term Cooperative Credit Structure (LTCCS) has been worked out by GoI and discussed with State Governments. The Task Force constituted by GoI to review the need for the Revival Package for LTCCS has since submitted its report to GoI on 25 February 2010.

13

Special Package for NER States

GoI has, on 25 November 2008, approved special dispensation and relaxations under the Revival Package for STCCS in North Eastern Region (NER) States. The relaxations include permission to the State Govts. to contribute equity in excess of the limit of 25% if the equity infusion is required by the SCB to comply with Section 11(1) of the BR Act, 1949 (AACS); grant assistance for HRD initiatives will be for four years and will culminate with the completion of implementation period; the financial package covers all societies doing agri credit business, irrespective of their recovery levels; and the financial package will be shared by the GoI and State Govt. in the ratio of 90:10, irrespective of the origin of losses and existing commitments.