Govt homes in on heads for 3 institutions

Govt homes in on heads for 3 institutionsUCO Bank Chairman and Managing Director SK Goel is set to take over as the new chairman of India Infrastructure Finance Company (IIFCL).Sources close to the development said the appointment of Goel, whose term at the Kolkata-headquartered bank was due to end in a couple of months, had been approved by the government and a notification was expected shortly.He will replace SS Kohli, whose extended term at the infrastructure finance company came to an end last month. The financial institution’s Executive Director Pradeep Kumar is currently officiating as the chairman and managing director.The sources also said at least two other appointments were being finalised...

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UCO Bank Q4 earnings soar 3.70 times

UCO Bank Q4 earnings soar 3.70 timesPublic Sector lender, UCO Bank (Q,N,C,F)* has announced a rise of 3.70 times in the net profit for the quarter ended March 31, 2010. The net profit of the company was at Rs 3,798 million for the quarter as compared to Rs 1,025.60 million as compared to prior year period. Total income of the company was at Rs 26,900, a rise of 6.72% over the prior year period.Shares of the company declined Rs 0.8, or 1.14%, to settle at Rs 69.20. The total volume of shares traded was 2,399,012 at the BSE (Frida...

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Govt go-ahead for mobile banking

Govt go-ahead for mobile bankingNew Delhi: Mobile banking is set to be a reality now. A committee of secretaries, under the chairmanship of cabinet secretary K M Chandrasekhar, has given a go-ahead to the proposal by accepting the report of the inter-ministerial group (IMG).With wireless subscriber numbers in India crossing the 575 million mark and growing by 18-19 million every month, the government wants to empower the masses as far as financial service delivery is concerned.The IMG was constituted in November 2009, with top representatives from the Department of Information Technology (DIT), Ministry of Finance, Department of Posts, Department of Telecom, Ministry of Rural Development, Planning...

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Govt to review bank CMD selection process

Govt to review bank CMD selection processThe finance ministry will review the selection process for the posts of chairman and managing director (CMD) of eight public sector banks (PSBs) following complaints from some Members of Parliament (MPs). The appointments may be delayed now.The finance ministry conducted interviews earlier this year and prepared a list of candidates. Eleven top posts in public sector banks will fall vacant in 2010. Two posts have already been filled with candidates selected last year.MPs have now raised questions over the transparency of the process and alleged that certain norms were flouted during the selection this year.Law makers argued that relaxations in eligibility...

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Banks post big gains, but run may not last long

Banks post big gains, but run may not last longMumbai: Large private banks have posted healthy profits for the three months to 31 March, but their public sector peers reported mixed results, indicating, say analysts, that times could turn tough as interest rates rise amid limited upside to credit growth.The country’s largest private sector lender, ICICI Bank Ltd, posted a 35% year-on-year increase in net profit to Rs1,006 crore for the quarter. HDFC Bank Ltd and Axis Bank Ltd saw net profit rise by 32.6% and 31.5% for the quarter, respectively.Profit jumped on the back of growth in loans and income from the sale of retail and treasury products as well as measures to cut costs.Among public sector...

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Know Your Customer (KYC) Norms/ Anti- Money Laundering (AML) Standards/Combating of Financing of Terrorism (CFT)

Know Your Customer (KYC) Norms/ Anti- Money Laundering (AML) Standards/Combating of Financing of Terrorism (CFT)RBI/2009-10/439DNBS(PD).CC. No. 172/03.10.42 /2009-10April 30, 2010All Non Banking Financial Companies /Residuary Non Banking CompaniesDear Sir,Know Your Customer (KYC) Norms/ Anti- Money Laundering (AML) Standards/Combating of Financing of Terrorism (CFT)Please refer to Company Circular No 166 dated December 2, 2009 on the captioned subject. Financial Action Task Force (FATF) has issued a Statement dated February 18, 2010 on the subject (Copy enclosed) which divides the strategic AML/CFT deficient jurisdictions into three groups as under:(i) Jurisdictions subject to FATF call on its...

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Prudential Norms on Income Recognition, Asset Classification and Provisioning Pertaining to Advances - Projects under Implementation

Prudential Norms on Income Recognition, Asset Classification and Provisioning Pertaining to Advances - Projects under ImplementationRBI/2009-10/424UBD.BPD.PCB.Cir.No. 59 /09.14.000 / 2009-10April 23, 2010The Chief Executive OfficerAll Primary (Urban) Cooperative BanksDear Sir,Prudential Norms on Income Recognition, Asset Classification andProvisioning Pertaining to Advances - Projects under Implementation'Project Loan' would mean any term loan which has been extended for the purpose of setting up of an economic venture. Banks must fix a Date of Commencement of Commercial Operations (DCCO) for all project loans at the time of sanction of the loan / financial closure* (in the case of multiple...

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