By Bizodisha Bureau, Bhubaneswar, August 27, 2017: In a bid to contain rampant corruption and misuse of power by senior level officials, the state government has introduced new guidelines for the department.

Some of the corrupt practices in the department include recently disclosed the Rs 4.35 crore loan fraud of Large Area Multipurpose Cooperative Societies (LAMPCS) in Kalimela of Malkangiri district, Rs 29 crore loan fraud in the Rourkela branch of Odisha State Cooperative Bank (OSCB) and Rs 24 crore fraud for purchase of equipment to facilitate paddy procurement.

The financial bungling by the concerned officials is now being probed either by the Economic Offences Wing (EOW) of the Crime Branch or by Vigilance.

Interestingly, the department has admitted the lapses in supervision, monitoring and inspection of cooperative societies and non detection of financial irregularities besides involvement of a section of senior officials behind the alleged corrupt practices.

The Registrar of Cooperative Societies has written a letter to secretaries of all Central Cooperative Banks, Deputy Registrar of Cooperative Societies and Circle Assistant Registrar of Cooperative Societies in this regard.

The letter categorically mentioned that the irregularities have been going undetected for years together due to lack of monitoring and supervision of cooperative institutions. Even when fraud is detected, there had been no prompt action.

“The irregularities are increasing day by day as they don’t look after these things. Who else other than them will be held responsible for their actions, it has happened due to their negligence. Therefore this letter has been written,” Cooperation Minister Surya Narayan Patro told media persons.

As per the new guidelines the annual cash and stock verification or annual inspection and audit of the cooperative societies will be held per schedule in presence of the officials. If any financial irregularity is detected prompt disciplinary action will be taken and the erring person will have to bear the financial loss.

It has been instructed that appropriate action should be taken against errant official or management committee to convey a strong message against corruption and for convenience of farmers.