The Congress and the BJP seemed to have found a new whip in the controversy surrounding the Karuvannur Cooperative Bank to flay the Left Democratic Front (LDF) government.
The Thrissur-based institution is at the centre of at least two scandals, which the Opposition parties say are denotative of the corruption and nepotism that has gripped the CPI(M)-dominated cooperative banking sector in the State.
In July 2021, the CPI(M) functionaries controlling the bank were accused of siphoning of crores of rupees at the expense of depositors.
Emotive issue
A more emotive issue cropped up recently. The Congress and the BJP alleged that the bank management had cruelly stalled the desperate attempt by an ailing woman depositor to withdraw her life savings for specialised treatment. She later died allegedly due to a lack of medical care.
The retired nurse was among the bank’s 12,000-odd depositors. Her husband told television reporters that his pleas to release money for treatment had fallen on deaf ears.
The nurse’s family raised a hue and cry, causing widespread public outrage. Opposition parties protested in front of the bank, putting the CPI(M) on defence.
Minister flayed
The Congress and the BJP slammed Higher Education Minister R. Bindu, who represents the Irinjalakuda constituency, for allegedly attempting to defend the bank. Ms. Bindu later clarified that the media had misinterpreted her words.
After K-Rail, alleged corruption in CPI(M)-controlled cooperative banks is shaping to be the next political battlefront in Kerala.
BJP State president K. Surendran said CPI(M) apparatchiks had siphoned off deposits worth ₹312 crores from Kuravnoor.
He said the cooperative banking sector lacked transparency. Despite overwhelming evidence, the police have turned a blind eye to the Karuvannur banking scam. Several institutions are under RBI scrutiny for violating best-banking practices. Financial shenanigans were the hallmark of CPI(M)-controlled cooperative banks in Kerala.
KPCC president K. Sudhakaran said CPI(M)-controlled cooperative banks appropriated depositor’s money. “A retired nurse died because the Karuvannur Cooperative Bank denied the senior citizen her life savings for treatment purposes.,” he said.
The government gave cover to the “bank thieves”. Chief Minister Pinarayi Vijayan’s statement that the government would guarantee cooperative bank deposits rang hollow, he said.
