“Banks individuality taken away, even lending and buying powers snatched”
Srinagar: Top constitutional experts of Jammu and Kashmir on Saturday said that Jammu and Kashmir Bank after its declaration as a public sector bank is now fully under the administrative and financial control of the Jammu and Kashmir government and the authority of the bank chairman has been reduced to the extent of the managing director of a public sector corporation. However they said that a popular government if put in place has the powers to roll back such orders by a simple cabinet decision.
Leading constitutional expert and senior advocate at Jammu and Kashmir High Court, Zaffar Ahmad Shah said, “The Jammu and Kashmir Bank after its declaration as a public sector bank by Governor Satya Pal Malik has now come under the complete administrative and financial control of the government. The chairman of the bank is now like a managing director of any public sector corporation of the state government and the government has now the power and authority to nominate members for the board of directors, the highest decision making body of the bank.”
Echoing the words of Shah, another leading constitutional expert and a leading lawyer at Jammu and Kashmir High Court Zaffar Qureshi said, “Individuality of the Jammu and Kashmir Bank has been taken away after the Governor declared it as a Public Sector Bank. Now the government has the power and authority to nominate members for the board of directors for Jammu and Kashmir Bank and can intervene even in the lending and buying matters. The position of the chairman of the bank has been almost reduced to the extent of a managing director of a public sector corporation.”
Earlier, PDP President Mehbooba Mufti in a statement demanded the immediate rollback of the decision. She said that such decisions which “smack of attempts to fiddle with the basic characters of the state’s special status.”
(With inputs from KNS)