Concerned about the rise of fraudulent practices in the cooperative sector and in a bid to ensure that all urban cooperative credit and multi-purpose societies and VKSS conduct their transactions professionally, thestate governmenthas directed that all these entities must adopt corebanking softwarewithin six months, and appoint amanagement boardto oversee their day-to-day functioning.
Theregistrar of cooperative societieshas also said that these societies have to comply with disclosure norms and release quarterly financial statements, along with information about the board of directors and management.
The government has also directed that within 60 days of a financial quarter ending, the societies will have to disclose their audited financial results, along with other statutory compliances.