CHAPTER 18

Other Useful Information

(Section 4(1)(b)(xvii)
A.P. State Cooperative Union :
The A. P. State Cooperative Union is an Apex organisation formed on 10-01-1966 by merging the
erstwhile Andhra Desa Co-operative Union , Rajahmundry (1919) and Hyderabad Central Coop.
Union, Hyderabad (1925) by extending its area of operation to the entire State of Andhra Pradesh.
The main objective of the A. P. State Cooperative Union is to develop, strengthen and safeguard the
cooperative movement , to organise and promote cooperation at its various phases; propagate
cooperative principles propounded by International Cooperative Alliance and act as a recognised
exponent of cooperative education & Training for the cooperative movement in the State
A.P.C.O.B. :
Andhra Pradesh State Cooperative Bank Ltd Hyderabad was formed on 4th August 1953 with the
merger of both Hyderabad Cooperative APEX Bank and Andhra Cooperative Bank. It is the State
level APEX Bank in Cooperative movement. APCOB, Hyderabad is functioning as liaison between
NABARD and DCCBs. It provides credit facilities to farmers through DCCBs thereby helping in
food production.

A.P. MARKFED :
The A.P. Markfed was Established in 1957 with an objective of Marketing the Agricultural produce
and procurement to enable the growers to get remunerative prices and provide storage, Transport and
other services near production and Marketing centers.
A.P.S.V.S. :
The Andhra Pradesh Sahakara Vignana Samithi Ltd was registered on April 1985 as the computer
organisation under the cooperative sector. Government recognized it as a nodal Agency for
computerisation of Govt. Departments/ Undertakings and Cooperatives for undertaking their
computerisation needs like software development and Hardware procurement. The membership of the
Institution is 109 and the share capital is Rs.67.02 lakhs. The business turnover of APSVS as on Dec
2004 is Rs 5.25 crores.
A.P.R.I.C. :
The A.P.R.I.C. Ltd., was registered in 1981 with an objective of undertaking and drilling in well bores
in the existing open dug wells of small and marginal farmers belonging to S.C., S.T. and other weaker
section communities and to provide additional irrigation facilities in their lands to increase
agricultural production and get livelihood.

H.A.C.A. :

It was registered on 01.07.1949 in the erstwhile Hyderabad State and comes under Multi State Coop.
Societies Act, with a motive to serve the farmer community of erstwhile State of Hyderabad. HACA
is dealing in supply of fertilizers, Pesticides, sale of text books, levy sugar, levy rice and Diwali
crackers. The area of operation is extended to A.P., Karnataka and Maharastra. The membership of
HACA is 794 Cooperative Societies and the authorised share capital is Rs.25.00 lakhs and paid up
share capital is Rs.18.33 lakhs. It has 13 branches they are in Adilabad, Karimnagar, Nizamabad,
Kamareddy,

Khammam,

Mamabubnagar,

Sangareddy,

Warangal,

Miryalaguda,

Suryapet,

Rangareddy, Tandur and Vijayawada. The HACA is doing business through its retail outlets at
HACA Bhavan, Kukatpally, Mehdipatnam and Vanasthalipuram.

LABOUR CONTRACT COOPERATIVE SOCEITIES (LCCS) :

These societies are originally meant for the purpose of providing livelihood to landless labourers
depending upon Agricultural Activities and to improve their economic status. The Labour Contract
Cooperative Societies have 3 tier structure. The A.P.State Labour Contract Cooperative Societies
Federation is the Apex body at State level, District Labour Contract Cooperative Societies at District
Level and LCCS at primary level. There are 23 District level Labour Contract Cooperative Societies
and 6042 Primary Labour Contract Cooperative Societies with 3,99,216 members. The amount of
loan provided to them so far is Rs.687.49 lakhs.
A.P. State Cooperative Housing Societies Federation :
The A.P. Housfed Limited is an Apex Institution for Housing Finance in Cooperative Sector. It was
registered in 1968 with an objective to fulfill basic needs of shelter to the people. The Cooperative
Housing Sector is a 2 tier system. There are 1419 Primary Cooperative Housing Societies in the State
with A.P. State Housing Coop. Societies Federation at the Apex level having its Head Office at
Hyderabad and regional offices at Vijayawada and Kadapa. The institution finances its member
societies under various schemes by obtaining loans from L.I.C., HUDCO. So far a sum of Rs.276.32
Crores has been provided as loan by the Federation to the various Coop. House Building Societies.
A.P. State Cooperative Joint Farming Societies Federation :
The A.P.S.C. Joint Farming Societies Federation was organised during the year 1987. Its
main objectives are to obtain funds by way of deposits or loans from the State Government or from
any other financing agencies and to advance loans and render such other financial assistance as is
needed for the development of lands of member farmers. The Government have been assigning lands
and ceiling surplus lands to the landless agricultural labors belonging to S.Cs., S.Ts., and B.Cs., to
provide employment through agriculture. As these lands are undeveloped and some of the poor
assignees have to be given assistance by providing minor irrigation sources in their holdings. As
many as 2295 Cooperative Joint Farming Societies have been organized for the assignees of the
Government and ceiling surplus lands. There are 1,92,716 members in the CJFS belonging to S.C.,
& S.Ts. It encourages owner cultivators, landholders, landless labourers and artisans to pool man
power, skill, land and other resources for the purpose of undertaking joint farming of land and allied
programmes, such as dairying, poultry, animal husbandry et., on planned integrated approach.

The State federation evolved a scheme to meet the project cost for development of land and
providing minor irrigation to the CJFS as follows
1. APCJFS Federation

: 30 % of the project cost as loan.

2. Dist. Rural Development Agency: 50 % of the project cost as subsidy.

3. Dist. SC/ST Corporations

: 20% of the project cost as margin

money.

So far 2295 Cooperative Joint Farming Societies have been organized for the assignees of the ceiling
and surplus lands and a sum of Rs.608.17 lakhs has been spent so far for the land development
covering acreage of 262.776 acres and for horticultural and other schemes for those beneficiaries.

Note on Restructuring of PACS in the State

The Government of Andhra Pradesh have felt that there is a need to restructuring of
Cooperative Credit Institutions for their strengthening and effective functioning for making
them viable and a Cabinet Sub-Committee under the Chairmanship of the Minister for
Cooperation had been constituted on 21.9.2001 to look into the reforms in the Cooperative
Credit Structure. In order to assist the Cabinet Sub-Committee, an expert Committee was
constituted on 23-7-2003 to look into the functioning of APCOB, DCCBs and PACS and
suggest a package of reforms for the restructuring of the Three Tier Cooperative Credit
Institutions. The expert Committee has submitted its report on 28.1.2004 and suggested
certain norms for identifying viable societies. The Government on 27-3-2004 has accepted the
recommendations of the expert committee in principle, but no final decision was taken on
reforms in Cooperative Credit System.
A Task Force Committee was constituted by the Government of India on 5-8-2004
under the Chairmanship of Prof. A.Vaidyanathan on the revival of Cooperative Credit
Institutions to formulate practical implementable plan of action to rejuvenate the Rural
Cooperative Credit Structure. The Task Force Committee submitted report to the Government
of India on 4-2-2005.
The Government Vide G.O.Rt.No.5366, GA(Cabinet) Department., dt.22.9.2004 have
constituted a Group of Ministers consisting of the Minister for Cooperation, the Minister for
Panchayat Raj, the Minister for Technical Education and the Minister for Major Irrigation with the
Secretary to Government (Cooperation and Marketing), Agriculture and Cooperation Department, as
the Convener to examine minimum restructuring process to be initiated before ordering for elections
to the PACS.

The Group of Ministers in their meeting held on 16.10.2004 decided to constitute a

Working Committee consisting of 5 members headed by Sri R.Ramakrishnaiah,IAS,
Additional Registrar, O/o the CC&RCS and the Registrar of Cooperative Societies was
requested to issue proceedings with suitable terms of reference for submitting restructuring
proposals in a time frame.
The following 6 norms prescribed by the Expert Committee have been adopted with certain
modifications for identifying the Viable Societies.

Sl.No Norm
1
Positive Net Worth
2
Performance in
Managing Resources
3

Quality of loan portfolio

Viable
Level of accumulated losses within owned funds
i). Deposits not below the level of previous year
and
ii) Ability to repay borrowed funds on time:
A repayment rate of 75% or more.
i)Recovery rate at 60% or above

5
6

Cost of Management

Profitability
Audit classification

and
ii) Over dues over three years to be less than 50% of total
over dues.
i)
2% or less to Working Capital
or
ii) 30% or less to Gross profit, whichever is less.
Net profit at least for one of the last 3 years
With C class for at least 2 of the last 3 years.

The Government have issued the following guidelines for the purpose of restructuring of PACS.
a). Of the 6 parameters prescribed by the Expert Committee headed by Sri P.V.A.Rama Rao, the
societies which fulfill any of the three parameters are to be identified as VIABLE societies, or in the
alternative the societies should satisfy the two norms prescribed by the Task Force as below

i). Gross interest margin equal to or more than 50% of operating expenses, and
ii). Recovery equal to or more than 50% of demand.
b). At least one society should be retained at each mandal. The societies of agency mandals
which are being served by GCC shall be excluded from restructuring.
c). The restructuring process is applicable to the PACS/FSCS/LSCS/CRBs financed by the
DCCBs only.
d). The viable societies are to be retained as it is without any addition or deletion
e). All the non-viable societies in a mandal are to be amalgamated/ merged with one focal
non-viable society in the same mandal. There shall not be merger of any non-viable society
with a viable society.
The District Collector shall identify the Viable and Non-Viable societies Mandal-wise
and also identify the suitable focal , non-viable society with which other non-viable societies
shall be merged in a mandal. The Dist. Collector shall call for objections regarding the
proposed amalgamation of non-viable societies.
Basing on the guidelines of the Government of Andhra Pradesh all the District
Collectors (Coop.) in the State have completed restructuring process by 25.7.2005. There
were 4297 PACS, 14 FSCS, 108 LSCS and 45 CRBs totalling to 4464 existed prior to
Restructuring of the Societies in the State.
After completion of Restructuring of Societies 2940 societies are retained.
Elections have been ordered by the District Election Authorities/ District Collectors
(Coop.) for 2937 societies leaving 3 PACS for which the term is yet to be expired.
The Government of A.P have also approved and communicated the election schedule
for PACS/FSCS/LSCS/CRBs in the State. Accordingly all the District Collectors have issued
Election Notification to the 2937 societies on 5.10.2005 for two phases of elections. The first
phase of the elections will be held on 22.10.2005 and the second phase of the elections will be
held on 2--.10.2005.

Statement showing the phone numbers of APEX Institutions

Sl.
No
1
2

Name of the Officer

Sarva Sri
.A P State Coop Bank Ltd Hyd.
M D Sri M Veerabhadraiah IAS
A P Markfed
Sri M T Krishna Babu

Office
23443822
23235207
23231456
23237606

Residence
23416711
23354545

Mobile
Number

@ E.Mail ID

3
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7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27

A P Coop Union
A P Housefed
T. Srinivasulu
A P S C Coop Fin Corpn LTD
J C Sharma I A S
A P B C Fin Corpn
Sri RajatKumar I AS
A P S T Coop Fin Corpn
Dr Manmohan Singh IAS
A P Girijan Coop Corpn
Sri A Vidya Sagar IAS
A P Diary
Sri P M Kuriakose IAS
APRI C
B Nanji Reddy
A P Women Fin Corpn.
M D Anupama Singh
A P Washerman Fedn
Sri RajatKumar
A P Nayee Brahmin Fedn Ltd
Sri Rajat Kumar
A P Oilseeds Fedn
T Radha I A S
APSVS
D S N V Prasad
A P L C C S Fedn
G VijayaLakshmi
A P JT Farming Fedn
M D G VijayaLakshmi
A P Fisherman Fedn.
M D Krishnaiah I A S
A P Geeta Prashramika Sahakara
Hyd Agril Coop Association LTD
M D KrishnaMurthy
APCO
M D K Sunitha
Girijan Coop Corporation Ltd
Visakapatnam
A P S C & S T Coop Housing
Society Federation Ltd Hyd
A P Coop Sugar Factories
Federation Ltd Hyd
A P Taddy Tappers Cooperative
Societies Federation
A P Minorities Coop Finance
Corporation Hyd.
A P Vikalangula Cooperative
Finance Corporation

23234148
55635391
23299849
27662619
9391025358
23316017
55579678
23315970 23414346
23399094
27818895
23391486
23395799
23393779
27019851
23299508
23241161
23732597
23732587
23391274
23399094
23391274
23232107
23236583
23235219
23296004
23299957
23299957
23376251
23376655
23221258
23240552
23261861
23220981
08912796461
27660181
23244185
23221258
23221996
24744194
23222703
23223045

23417013
23356177
23356499
9394500047

23567365
27818895
27818895

23322971
23344667
23344667
27606568

55523676
23352405