Class 1 Super Grade Service Co-operative Bank
The Nileshwar Service Co-operative Bank was originally registered by the name as the Nileshwar Co-operative Town Bank on the 16th June of 1946 and it started functioning on the 14th December 1946 with area of operation comprising the earstwhile Nileshwar, Pudukai, Kinanoor and Karindalam villages and headquarters at Nileshwar. It was registered under the Madras Co-operative Societies Act VI of 1932. Sri. P. Chandu Nair the Chief Promoter and the promoting committee included eminent personalities like Sri. N. K. Balakrishnan, M. Chindan Nair, Sivaraya Kammath, C. K. Raghavan Nambiar, K. Rama Rao, K. V. Kunhambu, K. Kunhikelu Nair Vaidyer, E. Krishnan Nair, K.Chandu, K.Kunhambu Nair etc. Sri. M.Chandu Nair was the first elected president of the Bank and Sri.P.Chandu Nair the Chief Promoter being elected as the honorary secretary. The fund for working of the bank was only Rs. 10,000/0 at the initial stage with a working capital of Rs. 1 Lakh. In the 4th year of its inception, the Bank came under the purview of Banking Regulation Act. Till 1965, the Bank was functioning in rented building. In the year 1965, it was shifted to a two-storeyed concrete own building constructed at Perol, near to the Nileshwar Railway Station.
In 1952, the Kinanur, Karindalam villages were excluded from the area of operation of the Bank. The Administrative control of the Bank, which was vested with the Deputy Registrar South canara Mangalore was shifted to the Deputy Registrar Malabar District. The affiliation with the South Canara Central Co-operative Bank was shifted to the Malabar District Co-operative Bank Kozhikode. Subsequently on reorganisation of the Districts, the bank got itself affiliated, first to the earst while Canannore Dist. Co-op. Bank and lastly to the Kasaragod District Co-op Bank in the year 1984. In 1963, the Bank was converted as Service Cooperative Bank, with provision for agricultural credits and multipurpose activities.
Consequent on introduction of statutory rationing, the Banks was entrUsted with the task of opening of retail outlets. Accordingly 21 retail outlets were opened by the Bank at varioUs places in its area of operations. Later on, dealership for wholesale of food grains was also undertaken by the Bank. As a part of holding of price hike, Govt. introduced a new scheme for distribution of consumer articles in rural areas under centrally sponsored scheme. Govt. appointed the Bank as the lead society for procurement and distribution of commodities to the linked primary co-op. societies in the Taluk. The scheme was successfully implemented for a long period. In 1973 the Bank celebrated its silver Jubilee in a befitting manner, which lasted for 10 days. Sri.N.K.Balakrishnan under whose able and efficient leadership and advice that the Bank had grown to such a great height, was then the Minister for Health and Co-operation. In 1976 the State Govt. formulated a novel scheme for mobilzation of deposits by the co-operatives in Kerala. This Bank had made earnest efforts to mobilise the maximum amount by way of deposits through out the campaign period, which resulted in the unprecedented growth of deposits in the Bank. The Bank has been awarded with trophies continuously for 10 years for its best performance in this field of work.
Expansion of non credit business.
In the year 1977 the Bank started retail outlets in Grocery, Stationary, and Textiles in the Ground floor of the Head Office building. Medical section was also started in a rented building. In addition to those, the Bank was dealing in Fertilizers, organic manure, pesticides etc of reputed companies, for which the Bank had won best seller trophies and shields on several occasions. Except medical section, all other non credit activities are still continuing.
The year 1996 witnessed the sad demise of our beloved President Sri. N. K. Balakrishnan, respected former Minister for co-operation & Health, well known co-operator, renowned socialist, and leading politician, who was the heart and soul of our Bank for more than continuoUs 49 years. Thereafter, Sri.K.R.Kannan, a freedom fighter and a close disciple of Sri.N.K.B., one of the senior most members of the Board of directors, took charge as president of the Bank and is continuing as such till date.
The bank celebrated its Golden Jubilee in the year 1998 in a grand manner. The progress of the Bank has been steady and it grew itself into golden heights in 1985, the Bank was reclassified as Class I Super Grade bank. The present area of operation of the Bank is confined to the Perol and Nileshwar Villages of Nileshwar panchayat and the Pudukai village of Kanhangad Municipality. From a trouble beginning the Bank has made great progress. The bank always stood first in the District in respect of its working capital, total deposits, loan outstandings and its multifarioUs activities. A lot of thrUst is given by the bank in providing to its members and cUstomers with maximum facilities. Already the bank provides a good number of attractive interesting deposit schemes and loan plans. Core banking facility is also being introuduced as a part of providing better facilities for our cUstomers. The head office as well as all the branches are fully computerised. The bank has been running on profit throughout the years. As per the latest report i.e. for the year 2007-08, the net profit is Rs. 9940652 working capital is Rs. 835331488 deposit outstanding is Rs. 732162563 and loan outstanding is Rs. 643287928. Tthe maximum amount payable as dividend i.e. 20%, is being paid to its shareholders annually.
The Bank has 5 brances including one evening branch. The bank has 47 permanent staff and 15 commission agents. The head office, the main branch, the evening branch, and the non credit section, such as cloth, grocery, stationery etc are all housed in a beautiful multi-storeyed own building which is situated at the heart of the Nileshwar Town.