Dharamshala: Enforcement Directorate issues notice to KCC Bank, records summoned

September 25, 2025

The Enforcement Directorate (ED) has initiated an investigation into the Kangra Central Cooperative (KCC) Bank Limited loan waiver under the One Time Settlement (OTS) scheme and the controversy surrounding a prominent Congress leader’s hotel purchase.

The ED has issued a notice to the bank management, demanding the submission of all relevant records by September 26, 2025. The ED’s notice has disturbed those who availed themselves of significant loan waivers under the OTS scheme. The Congress leader may also face difficulties.

However, bank officials claim that the Directorate has requested the OTS loan of ₹45 crore and the Congress leader’s hotel records. The leader’s hotel purchase was in accordance with regulatory regulations. However, the waiver of approximately ₹24 crore of the total ₹45 crore loan related to the hotel has dealt a significant blow to the bank’s financial position.

Previously, the bank’s board of directors was suspended for violating NABARD and Reserve Bank of India regulations. BJP MLA from Dharamshala, Sudhir Sharma, also demanded an impartial investigation. Managing Director Sandeep Kumar stated that the documents would be made available to the ED within the stipulated time.