SBI Mangalore main branch tops Rs 1,000-cr in business

The Mangalore main branch of State Bank of India (SBI) has crossed a business of Rs 1,000 crore, according to Mr B.G. Sadashiva, Assistant General Manager, SBI Main Branch, Mangalore.

He said that the Mangalore main branch of SBI is the only SBI branch outside Bangalore city limits in Karnataka to reach the business level of Rs 1,000 crore.

The main branch in Mangalore was opened on October 1, 1869, and is the oldest bank branch in Mangalore city. At that time, it was known as Bank of Madras.

Speaking to Business Line, Mr Sadashiva said that it is a significant achievement to reach Rs 1,000crore business. The branch does not have major corporate accounts. Mainly retail and SME (small and medium enterprises) accounts contribute to a significant share of the advances. The NRI (non-resident Indian) segment contributes a major portion to the total deposits of the branch, he said.

The share of deposits to the total business stood at around Rs 800 crore. This included NRI and retail deposits.

He said retail loans, such as housing and car loans, and SME advances have around 50:50 share in the total advances portfolio of the branch.

The branch celebrated its landmark achievement on December 10, in the presence of Mr Ashwini Mehra, Chief General Manager, Local Head Office, SBI, Bangalore, he said.

Stating that the bank has set up a customer service centre in Mangalore city, Mr Sadashiva said customers can make cash deposits up to Rs 10,000 to any of the branches of any bank from this customer service centre. This is the first customer service centre of the bank in Dakshina Kannada district. Plans are afoot to open three more customer service centres in the city, he added.

vinayakaj@thehindu.co.in

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PNB's total business in Kerala crosses Rs 7000 crore

The total business of Punjab National Bank in Kerala has crossed Rs 7000 crore, registering a y-o-y growth of around 30 per cent as on December 2, 2011, a top official of the bank said today.

Talking to reporters here, K R Kamath, Chairman and Managing Director, Punjab National Bank, said the deposits crossed Rs 3600 crore, registering a y-oy growth of around 36 per cent while advances touched Rs 3400 crore, registering a y-o-y growth of over 24 per cent. CD ratio in the state stood at 91.25 per cent as on December 2, 2011.

Fourteen more new branches will be opened before next December in the state, he said, adding three branches will be in Kozhikode circle and the rest in Ernakulam circle.

Kozhikode circle of the bank comprises six districts including Kozhikode, Wayanadu, Palakkad, malappuram, Kasargod and Kannur. The cirlce has 81 branches out of which six branches are rural, 59 semi-urban and 16 urban branches, he said.

Source: EconomicTimes

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RBI, SEBI looking into Satyam auditors' lapses

NEW DELHI: The Government today said that accounting regulator ICAI has examined the alleged role of auditors in the Satyam scam and RBI and SEBI are looking into the issue.

Minister for Corporate Affairs Veerappa Moily, referring to the multi-crore scam in Satyam Computer Services, said the Institute of Chartered Accountants of India (ICAI) and the Ministry have examined the matter. The issue is before regulators - RBI and SEBI.

"RBI has been advised to take action against violators," Moily said, replying to a brief debate on three bills seeking to amend laws governing the professions of chartered accounts, cost and works accountants and company secretaries.

In both Satyam and Global Trust Bank cases, action against auditors, including PricewaterhouseCooper were delayed due to many court proceedings.

"There are a number of court cases. We will seriously see. In Satyam case maximum punishment was given to the CA," he said.

A massive accounting fraud in IT company Satyam Computer came to light in January 2009 after its founder B Ramalinga Raju admitted to fudging accounts for many years.

On members' concern that global audit firms come to India masquerading as consulting firms and set up surrogate companies violating law, Moily said the issue is being examined seriously.

"It is right. MNCs come as management consultants and start doing as surrogate firms...we will address the issue seriously," he said.

Source: EconomicTimes

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Goldman Sachs downgrades Union Bank to sell

New Delhi: Goldman Sachs has downgraded Union Bank of India to 'sell' from 'hold', maintaining target price at 190 rupees, citing weaker fundamentals such as higher slippage ratio, lower Tier 1 ratio and lower coverage ratio than peers.

“We believe that asset quality issues and its lower Tier 1 ratio will hinder loan growth and we expect the bank to lose market share in advances”, said Goldman Sachs.

At 10:39 am, shares of Union Bank were down 2.29 per cent at 209 rupees.

Source: Financial Express

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IBA Chairman visits Corp Bank

Mr M.D. Mallya, Chairman and Managing Director of Bank of Baroda, and Chairman of Indian Banks' Association (IBA), visited the corporate office of the Corporation Bank on Friday.

A bank release said here on Saturday that Mr Mallya interacted with top executives of the bank, and told them that Information Technology, coupled with human resources management, was the key to the performance of the bank.

He said there are opportunities galore for banks, even in the present condition, to cherry pick business to ensure qualitative growth.

Mr Ajai Kumar, Chairman and Managing Director of Corporation Bank, complimented Mr Mallya for adopting a consistent and sustainable growth model for the Bank of Baroda. Mr Narendra Singh and Mr Ashwani Kumar, Executive Directors of Corporation Bank, were present on the occasion.

vinayakaj@thehindu.co.in

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