In a significant ruling, the Karnataka Information Commission’s Kalaburagi Bench has declared the Kalaburagi-Yadgir District Central Cooperative (DCC) Bank a “public authority” under the Right to Information (RTI) Act, 2005, holding that the bank functions under substantial government control despite not receiving significant direct financial assistance from the State.

Information Commissioner B. Venkat Singh delivered the order on July 30, 2026, while disposing of a second appeal filed by Rajkumar Aland.

The appellant had sought information under Section 6(1) of the RTI Act regarding action taken on a representation submitted to the Aland branch of the Kalaburagi-Yadgir DCC Bank on January 25, 2022.

The bank had rejected the request, contending that it was not a public authority under the RTI Act as it did not receive substantial financial aid from the government. Dissatisfied with the response, the appellant approached the Karnataka Information Commission.

After hearing the matter, the Commission held that although the bank may not receive substantial direct financial assistance, its functioning is governed by government rules, directions and regulatory control, bringing it within the ambit of a public authority under the RTI Act.

The Commission observed that the government has invested share capital in the bank and appoints its Chief Executive Officer and Managing Director. It also noted that the government has the power to supersede the bank’s management in cases of proven irregularities following an inquiry by the Cooperation Department.

Noting that the government nominates both an official and a non-official member to the bank’s Board of Directors, the Commission considered the fact that interest on loans extended to farmers through NABARD is borne by the government and that loan waiver amounts are reimbursed by the government to the bank. Recruitment of bank staff is carried out with prior government approval, with a government representative participating in the selection process, the Commission observed.

The Commission further held that NABARD and the Apex Bank, both operating under the indirect control of the Central and State governments, conduct annual inspections of the bank and submit reports to the Registrar of Cooperative Societies.

Relying on these factors, as well as an earlier order passed by the Bengaluru Bench of the Karnataka Information Commission on February 9, 2026, the Commission declared the Kalaburagi-Yadgir DCC Bank a public authority under the RTI Act.

The Commission directed the bank to comply with the provisions of Sections 4(1)(a) and 4(1)(b) of the RTI Act relating to proactive disclosure of information and instructed the bank to designate Public Information Officers and First Appellate Authorities.

Copies of the order have been forwarded to the Principal Secretary, Cooperation Department, the Registrar of Cooperative Societies, Bengaluru, and the Joint Registrar of Cooperative Societies, Kalaburagi, for necessary action.

Information Commission disposes of 526 cases in July

The Karnataka Information Commission’s Kalaburagi Bench disposed of 526 cases during July after taking up 767 matters for hearing.

The Commission also imposed penalties totalling ₹60,000 on officials for failing to provide information under the RTI Act and directed payment of ₹27,000 as compensation to six appellants.

Assistant Executive Engineer Rajkumar of the Panchayat Raj Engineering Sub-Division was fined ₹20,000 in two separate cases. Penalties of ₹10,000 each were also imposed on Gram Panchayat Secretaries Eshappa (Harehanagi, Sirwar taluk), Vijayakumar (Basapur, Sindhanur taluk), Devendrappa (Khanapur, Shahapur taluk) and Ravindra (Chikka Jantakal, Gangavathi taluk).

Between November 24, 2025, and July 31, 2026, the Kalaburagi Bench heard 5,123 cases, of which 2,448 were disposed of. During the period, penalties amounting to ₹5.93 lakh were imposed, ₹4.72 lakh was recovered, and compensation of ₹86,000 was ordered to be paid to appellants.

Published - August 05, 2026 06:19 pm IST