The Nationalist Congress Party’s state executive was scheduled to meet on May 12 to discuss the strategy for the coming days. However, following the decision of the Reserve Bank of India to dissolve the board of directors of the Maharashtra State Cooperative Bank, the agenda has changed. For the NCP — the party of cooperative barons who control rural politics in many parts of Maharashtra — the tough action against the bank and its implications will now be a priority issue.
Why the MSC bank is so important to state politics - Hindustan Times
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Why is the MSC Bank — the principal funding agency for all cooperative banks in the state — so important? The answer lies in the importance of the cooperative sector in state politics. In most parts of Maharashtra, the network of cooperative bodies – sugar factories, dairies, credit societies and banks – form the backbone of the rural economy and hence the politics of that area. Those who control this network dominate local politics. Control over financial institutions in the cooperative sector also gives leverage to ruling members when it comes to contesting elections.Why the MSC bank is so important to state politics - Hindustan Times
