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Serious corruption allegations against Chairman and former Chairman of Sabarkantha Bank

Nepotism in recruitment process and allegations of taking lakhs of rupees in commission cause stir in cooperative sector

By Capital Kranti desk, Gandhinagar · Editor: Parth Thakkar

9 November 2026, 6:27 am · 3 min read

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Serious allegations of corruption are being leveled against the current and former Chairman of Sabarkantha Bank in Himatnagar. According to a report by Sandesh, leaders in power in this cooperative institution, which has been operating in Sabarkantha and Arvalli districts for years, are accused of weakening the institution's financial position through nepotism and corruption. Treating cooperative institutions as their personal fiefdoms, these leaders have secured jobs for their close ones by creating a facade of administrative processes and exploiting legal loopholes.

According to these allegations, the cooperative leaders conducted employee recruitment by issuing advertisements after passing resolutions in the Board and obtaining approval from the District Registrar and the State Cooperation Department. In this process, lakhs of rupees were paid to private agencies to create an impression of honest recruitment. However, there is evidence among the public that, as per the instructions of the directors, job orders were issued overnight after conducting only oral interviews following a written examination. In this manner, people were given jobs despite lacking qualifications and exceeding the age limit.

Regarding this corruption matter, it has further been stated that there are allegations that ₹30 to ₹40 lakh per candidate was taken from the candidates selected a year ago in Sabarkantha Bank and its former entity, Sabar Dairy. It has emerged that qualified candidates from the general category have faced great injustice in this process. In some cases, rules regarding qualification and age were also violated. The Chairman of a cooperative institution in Arvalli district has filed a writ in the High Court with necessary evidence and documents regarding this recruitment, but no final verdict has been delivered yet.

To escape legal difficulties, these leaders are fighting cases in the High Court and Nominee Court by paying large fees to prominent lawyers. Even so, they find legal loopholes to seat their acquaintances in jobs and after a few months, they make them permanent privately and increase their salaries. It has also emerged that despite having in-law relationships socially, these activities were carried out while in power by creating false documentary evidence.

At present, due to factionalism, the elections for the Chairman and Vice Chairman of Sabar Dairy and Sabarkantha Bank have been postponed by the government. Due to this situation, there is discussion that the Diwali of these cooperative leaders has been ruined. Due to the corruption allegations, some leaders have switched off their mobile phones and ceased public contacts. Some have gone out of the state during the Diwali festivals to avoid discussions regarding corruption against political or cooperative leaders, but they are monitoring all movements through informants.

When Sabar Dairy and Sabarkantha Bank were established, the founders laid the foundation of these institutions by collecting share capital from the rural population, which have today become well-known institutions in Gujarat. Concerns are being expressed regarding what will happen to these institutions if the helm of management is not handed over to skilled and honest directors and officers in the future.

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