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Major Events    Vol. 2 Issue No. 6      June 22 - July 6,  2003

Financial institutions in Garo Hills closing down

State Bank of India (SBI) is closing its branches in the interior areas of Garo Hills owing to militant threats. SBI has by the largest network of 44 branches. 24 of these branches are loss making because of their locational disadvantage.

The first SBI branch to be closed down due to militant threats is the Chokpot SBI Branch. That was in the year 2001. ANVC militants repeatedly demanded money from this South Garo Hills branch leading to its complete closure. This was followed by the closure of the Borkona Branch near Betasing in West Garo Hills in the same year. Borkona SBI Branch, which is on the main road to Mancachar in Assam, was made to temporarily shut down following demand note being served on it by the Area Commander of ULFA Subash Sharma. It is yet to open.

The latest SBI branch to be shut down is the Garobadha Branch on May 6. ANVC militants called up the Branch Manager asking him five lakh rupees. The militants told the manager to visit a certain isolated spot to negotiate ‘the deal’. When the banker refused to pay, a written threat was issued to the branch. Garobadha branch is only a couple of metres away from the local Police Station and following the threat perception the West Garo Hills police had placed seven armed security guards at the bank.

The end result of these closures is that government staff posted in the interior areas is unable to get their salary on time. They have to proceed to the nearest town having a banking facility to get their due. Government schemes are also unable to get implemented as the money cannot be withdrawn from the bank until a field study is completed for any project. No field officer is willing to leave the secure surroundings, in the heart of the district headquarters Tura, for fear of being abducted.

The hardest hit is the pensioners who have no alternative other than to dole out money from their small savings to their next of kin to head to Tura for withdrawing their monthly pensions.

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