Inspection and Vigilance
Periodical PCARDB Inspection
By virtue of section 66(7) of Kerala Co-operative Societies Act allowing financing Bank to inspect affiliated Societies this apex bank undertake Inspection of affiliated PCARDBs through Regional Offices. Inspection Wing(SZ) based in HO and North Zone at Kannur are also empowered to conduct supercheck in PCARDB according to necessity. Based on inspection budget prepared at the beginning of the calendar year, the inspection programmes by Regional Offices are structured, adopting financial year as the basic so as to have reports for the half year ended September and March. The major findings during the inspection are discussed with President/Secretary/other functionaries of PCARDBs in a meeting at PCARDB for finalizing Inspection. The report is thereafter sent to PCARDB and compliance report thereon is to be furnished within 30 days along with the approval of Board of Directors. The inspection report and rectification report obtained from PCARDBs along with the remarks of the Regional Office are sent to Head Office by Regional Office for perusal by top management and necessary action on major deficiencies or shortcomings. The contents and coverage of inspection deals with financial aspects, loaning procedures, recovery, adherence to norms, compliance of directives, working performance, quality of appraisal of loans, management of funds, cost of funds, NPA management etc.
Periodical NABARD Inspection
Normally the periodicity of NABARD inspection is two years. As it is not a statutory inspection, it is treated as voluntary inspection.Latest NABARD inspection was conducted during January/February 2004 with reference to financial position as on 31/03/2003 by Thiruvananthapuram Regional Office of NABARD.The contents and coverage of the inspection relates to appraisal of Banks financial performance and also detailed appraisal of systems, procedures and other internal control existing in the Bank.