Srinagar, August 31 (KNS) : Apni Party President Syed Mohammad Altaf Bukhari on Monday sounded the alarm over what he described as a worrying trend at J&K Bank, alleging that the institution is gradually moving away from the interests of Jammu and Kashmir, which is a major stakeholder in the institution.
Acooording to a press release issued here, Addressing a crowded press conference at Apni Party headquarters in Srinagar, Altaf Bukhari, flanked by senior party colleagues, raised serious concerns over what he described as the J&K Bank’s growing shift away from the interests of Jammu and Kashmir.
He said, “As we all know, J&K Bank is a jewel in the crown of Jammu and Kashmir. Over the decades, this bank has played an important role in shaping the economy of Jammu and Kashmir and it holds a special place in the hearts of its people. However, it appears to be drifting away from the interests of J&K, despite the fact that Jammu and Kashmir are major stakeholders in the bank.”
Bukhari, who has served as Jammu and Kashmir’s Finance Minister, said the bank’s credit growth in the Union Territory stood at only 9 per cent, compared with 30 per cent outside J&K.
“It is a matter of grave concern that the bank’s credit growth is only 9% in Jammu and Kashmir, compared to 30% outside the Union Territory. This clearly indicates that J&K Bank has significantly reduced its lending within J&K while expanding its lending base outside the Union Territory.”
Questioning the rationale behind the trend, he said the bank’s non-performing asset (NPA) rate is considerably higher outside J&K. He said, “We know as a matter of fact that the NPA rate is several times higher outside J&K. Therefore, it is difficult to understand how reducing lending in J&K while expanding it outside the Union Territory can be considered a sound decision.”
He also said that a proposal is under consideration to recruit candidates from outside J&K as well.
“J&K Bank has traditionally recruited local youth who share an emotional bond with the institution.Click Here To Follow Our WhatsApp ChannelThis sense of belonging makes them more committed to protecting and advancing the interests of this indigenous institution. However, reports suggest that a proposal is under consideration to recruit from outside J&K, which is a matter of grave concern for us,” Bukhari said.
He cautioned that such a move could further shrink employment opportunities for local youth. “This would mean that local youth could be deprived of employment opportunities in J&K Bank as well. Where will our youth go if this happens?” he asked.
He said that Jammu and Kashmir has extremely low representation on the Board of Directors of J&K Bank.
He said, “How is it that there is only one representative from J&K on the Bank’s Board of Directors, which comprises around 16 members?”
In another startling revelation, Altaf Bukhari said that he had received reports of attempts being made to shift J&K Bank’s headquarters from Srinagar.
He said, “I have reports that attempts are being made to shift the headquarters of J&K bank from Srinagar.”
He went on to say, “I fail to understand where those trying to do all this with J&K Bank live. Are they unaware of the ground realities? Do they not realise the serious repercussions of such attempts?”
“There is always a limit to how far the emotions of the people can be pushed. Going beyond that limit can have serious repercussions,” he added.
Urging the elected government to play its role in ensuring that J&K Bank does not drift away from the interests of Jammu and Kashmir, Altaf Bukhari said, “It is the responsibility of the Chief Minister, who also holds the Finance portfolio, to ensure that the interests of Jammu and Kashmir are fully protected when it comes to J&K Bank. After all, J&K holds a 52.6 per cent stake in the institution. Protecting J&K’s interests in J&K Bank is, therefore, entirely the responsibility of the elected government.”(KNS)