Kumar Rajiv Nayan
Buxar : Bank of India ( BoI), Buxar Branch, has locked all the entry points of only Engineering College in Buxar District, after the college failed to return Rs 5.5 crore loan of the bank. Dr S K Singh, former scientist, DRDO, had established the college with the help of the villagers.
This engineering college had done well in past and performance of student of first and second batches was also very good and student were getting placement in different organisations. But, the college was facing financial crunch for the last several years and teaching was stopped.
Officials of SOVA and main branch of BoI said that the bank was taking possession of the college as it failed to return loans of Rs 5.5 crore of the bank despite several reminders and notices.
Ravi Kumar, Chief Manger, BoI, Patna said that the promoter of the college had taken loan of Rs 4.45 crore from the bank from the main branch and in 2010 and Rs 20 lakh from the Sova branch of the bank pledging 17 acre and 8.5 decimal of land of the college but the college did not even deposit interest and so the bank had to put the account into NPA in 2012. The bank had to realise Rs 5.55 crore but the college administration did not deposit even a single penny of the loan in the bank. So the bank locked the engineering college and seized all the documents.
Villagers were very enthusiastic when the engineering college was opened at village Ariaw in Buxar district and were hopeful that the future of local youth would be bright.
College promoter K K Singh held the bank responsible for financial crisis of the college and said that a loan of Rs 10 crore more was sanctioned for the college project but the bank refused to give the loan at the eleventh hour putting the institution under financial crisis. He said that properties of the college worth Rs. 17 crore is mortgaged with the bank yet it locked the college.