Representative image of a Canara Bank branch.
Credit: iStock Photo
Kundgol: Villagers of Gudenakatti in Kundgol taluk alleged that Gruhalaxmi, PM Kisan and crop loss compensation amount received in their bank accounts was adjusted for their crop loans.
Canara Bank officials said two such cases happened due to the back-end work of the core banking system (CBS) as the loans had become NPA, while the amount is being returned after getting request letter from the farmers.
"We had received Rs 11,900 from Gruhalaxmi, PM Kissan and crop loss compensation, but that was adjusted as we had taken Rs 5 lakh loan earlier. We have now given application to the bank manager to return that," said Channabasappa Kusugal of Gudenakatti, husband of bank account holder Channavva Kusugal.
Meanwhile, Canara Bank Kundgol branch manager Basavaraj stated that Rs 5 lakh loan taken nearly nine years back was not repaid and it had become an NPA, due to which CBS back-end automatically considered the money came as an old fund against that loan. "We have written to the regional office, and that amount will be returned within a week," he said.
He also said another incident related to Rs 14,000 also took place, and that will also be returned. "One more case of Rs 13 lakh is related to LIC maturity amount and not regarding any government social security scheme," he said, adding that his bank has Rs 25 crore agricultural advances pending.
Lead Bank Manager Prabhudev N G said he has asked the bank manager to take steps to return the LIC amount also to the defaulter concerned, though amount received in such accounts get freezed due to lack of repayment.