LAHORE, Sept 6: Punjab Chief Secretary Hafeez Akhtar Randhawa on Saturday ordered action against those defaulting on Punjab Provincial Cooperative Bank loans.

He issued the direction at a meeting of the special task force for reorganization of the bank. Task force chairman Haroon Kiyani, P&D chairman and other officials attended the meeting.

The chief secretary also directed the officials concerned to ensure recovery of five per cent of the loans given to cooperative societies before lending them more money.

He directed the bank management to ensure the delivery of loans to genuine societies in the province.

Earlier, the meeting was informed that the provincial government was actively considering steps for improving performance of the bank and introducing coverage of micro-functions through the same.

It was stated that 38,000 registered cooperative societies existed in the province. Around Rs7.7 billion would be given to farmers through these societies during the current year.

The chief minister presided over another meeting at which it was stated that as many as 12,000 drawing and disbursing officers would be trained to introduce the New Accounting Model (NAM) in consonance with international standards.

The PIFRA and the finance department would jointly arrange the training which would cater to the future needs of budgeting, accounting and auditing.

The new accounting model would ensure that no DDO would be able to spend more than the allocation. The new system would also ensure effective financial discipline, and the officers would be made responsible and accountable for financial management, the meeting was informed.