2011 Rbs Foundation India Report

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near you. with you.

committed.

Annual Report 2010 RBS Foundation India | The Royal Bank of Scotland N.V. For private circulation only.

contactusRBS Foundation India

The Royal Bank of Scotland N.V.

7th floor, Sakhar Bhavan,

Nariman Point, Mumbai,

Maharashtra, India.

Postal Code 400021.

Tel.: +91 (22) 6656 3786

Fax: +91 (22) 6637 2568

Email: [email protected]

RBS Foundation IndiaSupporting Enterprise


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Our mission is to support the most

vulnerable and poor in our

communities by developing

innovative models in Microfinance,

Livelihoods and Financial Literacy,

thereby promoting financial

inclusion and micro-enterprises.

We believe in deliveringreal and sustainable benefitsto our communities.

missionour


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contentsp4-11messages

p12, 13overviewp14need

p15milestonesp16, 17coverage

p18-43areas

p44managementp45control

p46-54report

p55partnersp56acknowledgements

an

the

project

focus

structure&

risk&

auditors

project


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04 05

We must strive continuouslyto understand the role of businessin tackling the critical issuesof human development andenvironmental sustainability

in developing countries.

It is my privilege to present to you 2010-11. In India, the areas of As important as What we do is How

the annual report of the RBS poverty, equity and environment we do it.

Fo un da ti on Ind ia (R BS -F I) . a re ke y s oc io- eco no mi c in di ca to rsWe strongly believe that by

and as a result, these areas haveOur mission is to attempt to harnessing the collective talent

been the focus of our efforts.address the core issues of poverty pool of our employees we can

and environmental degradation in The empowerment of women is bring both knowledge as well as

India through the tools of Financial widely recognised as a key passion to solving the challenges

Inclusion and Financial Literacy. determinant in improving the of community work. To encourage

social and economic conditions of employee volunteeringIn this we are guided by the vision

a community. Empowerment in involvement in community work,stated in the Millennium

turn is determined by economic RBS Business Leaders in IndiaDevelopment Goals: A world with

opportunity, social equality, and encourage their staff to participateless poverty, hunger and disease,

personal rights. In many parts of in MAGIC HANDS at WORK ourgreater survival prospects for

rural India, women are denied Employee volunteeringmothers and their infants, better

these opportunities. They are programme. The Foundation offerseducated children, equalperceived as not having the ability a range of hands on opportunities

opportunities for women, and ato generate an income, and hence, at our projects and equips our staff

healthier environment. Sadly, werelegated to household duties with training and tools to conduct

are still a long way from realisingand/or cheap labour. Without the impact assessments on Poverty &

these shared goals in India.power to work and earn deserving Biodiversity.

The role that the Corporate incomes, their voices are silencedI take this opportunity to thank you

Community voluntarily adopts in and traditional perceptions remainfor your continued support. I hope

addressing these issues will unchallenged.that the insights outlined in this

determine our own sustainability.The RBS Foundation thus focuses report strongly evoke our passion

Key stakeholders whose viewson women as the primary for proactive social change and our

shape our on-going success,beneficiaries of our Livelihood commitment to making it happen.

namely Clients, Employees &assistance projects. As education is

Regulators are increasingly Meera H. Sanyalcritical in helping to empower

demanding that Banks & Financialwomen, the RBS-FI focuses on

Institutions invest meaningfully in entrepreneurial training forthe communities on which theywomen, with the objective of

rely for their profits.creating economic opportunities,

The objective of this report is to improving financial literacy andshare with you the outcomes of connecting these women towork of the RBS Foundation India relevant financial services.in Community Investment during

ChairpersonBoard of DirectorsRBS Foundation India


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06 07

Financial Institutions and corporationshave a major impact on social issues.Including responsibility for theseissues in a business model providesthe means for a positive social

influence.

Is it prudent for a corporation to be Organising the infrastructure of a

involved with philanthropy and company to include these

social initiatives? We think so. By principles, there does not need to

aligning our business goals with be a separation between business

social initiatives we believe RBS and social participation.

can foster communityThe motivation for companies to

sustainability with corporatebe socially responsible revolves

growth.around sustainability which is at

We strengthen our communities by the heart of RBS Foundation India.

providing good jobs, donating ourMadan Menon

time and talents, supporting under

served populations and promoting

education programs that create

economic opportunity. We also

focus on environmentalsustainability through partnering

with other agencies to unlock the

full potential of positive change at

the community level.

Head, Global Banking& Markets, South-EastAsia and Indiaand CEO, Singapore


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08 09

At RBS, we focus our external supporton areas where we have greatestexpertise and so can make a realdifference. In India, our focus hasbeen on encouraging enterprise as

a route to financial inclusion forindividuals, families andcommunities.

The Royal Bank of Scotland Group entrepreneurial skills. And the(RBS) is an international business power of enterprise is also put to

that is committed to supporting good use through the Livelihoods

the local communities in which it Assistance Programme - which

operates, wherever they may be. helps fragile communities find

prosperity whilst becomingThe Group's commitment to

environmentally sustainable.Sustainability is reflected in the

excellent work done by the Combined, we believe our efforts

RBS Foundation India. Throughout play a small, but important, part in

this report, you can read testimony building communities that can

from people whose lives have participate in India's growing

been improved through the prosperity.

Foundation's work, and specificallySir Sandy Crombie

its focus on the power of

enterprise to change lives.At RBS, we focus our external

support on areas where we have

greatest expertise and so can make

a real difference. For example, in

the UK, our MoneySense financial

education programme has been

running in schools for 17 years to

help young people learn about

money. In India, our focus has been

on encouraging enterprise as a

route to financial inclusion for

individuals, families and

communities. Previously, that

included technical assistance for

microfinance institutions in areasthat lacked this kind of support.

Our current programmes are

designed specifically to empower

women - building on their special

role and responsibility in the

family - by helping them develop

their financial awareness and

Senior IndependentDirector, RBSand Chairman, Group SustainabilityCommittee


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10 11

Since 2006, RBS Foundation Indiahas been engaged actively in andaround the forest fringe areas,empowering communitiesdependenton critical ecosystem resources in

the tiger landscapes by providingthem with alternative livelihoodopportunities.

We began this journey in 2003, We work in geographic regions in Realising our commitment towith the launch of our micro- the country at the intersection of Financial Inclusion for all

finance business where we learnt poverty and critical ecosystems. communities, the Foundation is set

that the poorest regions were often Our Supporting Enterprises to roll out financial literacy

deprived of financial inclusion. To Programme exists to support programmes to 1 million women

address this we: projects that create and enhance by March 2012 using a

sustainable livelihoods for poor combination of various ICT tools.l Developed a specialised

communities that are dependentTechnical Assistance Programme We invite you to be a part of this

on natural resources. Increasingthat has built capacities of more journey and to read more about

incomes from sources other thanthan 37 robust micro-finance our work that is captured in this

forest resources assists efforts toservice providers in the report. We will be calling upon you

reduce/eliminate theunderserved parts of the country. for input, advice, suggestions and

unsustainable dependence onsupport. Working together, we can

l Strengthened our commitment to ecosystem resources. Thus, manystrive to realise sustainable social

local communities with a second of our Supporting Enterprises

change in India- a change that welevel of engagement - our projects are located in tiger all believe is both possible andSupporting Enterprises landscapes and other such

essential.Programme - targeting vulnerable ecologically important areas.communities located in or N. Sunil Kumar

Our programmes are implementedaround ecosystems at risk, with

through Non Governmentthe objective of alleviating

Organisations (NGOs) and Micro-poverty through the conservation

finance Institutions (MFIs) with aof natural resources.

strong community presence. In anl A glance at our countrys map will effort to increase the value we add

reveal that regions of extreme to local communities, we also workpoverty and areas of continued with local government agencies.loss of bio-diversity overlap.

Where livelihoods depend

disproportionately on natural

resources, poverty persists.

Director & HeadRBS Foundation India


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12 13

RBS Foundation India works withIndias most vulnerable - those livingin both, the buffer regions of protectedareas (National Parks, Sanctuaries,and Reserves) and corridors betweenprotected areas.

The poor face two major disadvantagesin the market economy - poor qualityand lack of scale.

To help achieve critical mass, our micro-enterprise initiatives have been focused

on skill development.

In 2007, we strengthened our commitment

to local communities through promotion

of micro-enterprises. Our partnerships

with NGOs allowed us to reduce

anthropogenic pressures on critical

ecosystem resources by developing

alternative livelihood opportunities and

accessing health and education services,

thereby fostering conservation.

Economic growthcan be attained ifthe Governments

efforts are supportedby business andcivil society.

anoverview


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14 15

1210 million more than 17% of Half of Indias 90 million tribalthe global population and 25% of people - the most disadvantaged

the global livestock population is in society, live in forest fringe

spread over 2.4% of the global areas and have close cultural and

land mass. Land, people and economic links with the forest.

forests are inextricably linked.Yet forests are rapidly deteriorating

due to encroachment of

agricultural production, mining,Agriculture accounts for the largest

construction of dams, industrialland use, followed by forestry

and railway demand. The countrywhich covers 69 million ha or 21%

has been losing 1.5 millionof the total land base.

hectares of forest cover annually

(GOI, 1988).

275 millionor 27% of the Its estimated that 41% of Indias

population - mostly rural poor - forest cover has been degraded todepend on forests for at least part some degree over the last fewof their subsistence and cash decades.livelihoods, which they earn from

fuel wood, fodder, poles and a

range of non-timber forest produce Indias population has grown, from

(NTFP) such as fruit, flowers, lac, 390 million in 1950 to 1210

medicinal plants, honey and wax. million in 2011

70%of Indias rural population 4.5 million ha of forest has been

depend on fuel wood to meet lost since 1950 through

domes tic energy needs . agricultura l conversion and other

uses

Approximately 78% of forest is

subject to heavy grazing By 2002, 1.36 million ha of forest

had been encroached , with

evictions covering only 10% of50% of forests are exposed to fires affected land by 2004.

Shifting cultivation affects almost

10 million ha of forest

theneed milestones

Source: WB Report on Unlocking opportunities forforest dependent people in India, February 2006)

technical

livelihoods

employee

programmeassistance37 projects

13 States

Beneficiaries: 2,04,589 households

Assam, Bihar, Delhi, Jharkhand, Karnataka,

Madhya Pradesh, Maharashtra, Manipur,

Orissa, Rajasthan, Uttar Pradesh,

Uttarakhand and West Bengal

support19 Projects

13 States

Beneficiaries: 64,127 households

Andhra Pradesh, Gujarat, Jharkhand,

Kerala, Madhya Pradesh, Maharashtra,

NCR, Orissa, Rajasthan, Tamil Nadu,

Uttar Pradesh, Uttarakhand and

West Bengal

engagement287 Employee Volunteers15,599 working hours

Half of Indias

90 million tribal

people, the most

disadvantaged in

society, live in

forest fringe areas

and have close

cultural and

economic links

with the forest.


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16 17

projectcoveragelTechnical AssistanceLivelihoods Supportn

1

19 & 21

2022

26

32, 34 & 35

36

33

5

2 & 3

294

10

1415

1823

28

31

38

3712

7

6

58

43

52

62

6048

49

64

39

44

8

9

24 & 25

30

11

17

16

13

46

59

45

53

54

55

61

40

56

57

50

51

41

42

47

63

Orissa KeralaTechnical Assistance28 Sanginee, Kalahandi 48 Evangelical Social Action Forum

AssamRajasthan Madhya Pradesh1 Ajagar Social Circle, Goalpara29 MITR, Alwar 49 Foundation For Ecological2 Grameen Sahara, Kamrup,30 BGFL, Jodhpur Security3 Nightingale Charitable Society,

50 Indian Grameen ServicesGuwahati Uttarakhand51 Watershed Organisation Trust4 Panchratna, Nalbari 31 PAHAL, Kathgodam,

5 SDCCC, Darrang MaharashtraUttar Pradesh

52 Population FirstBihar 32 Jaago, Lucknow53 Indian Grameen Services6 CDOT, Nalanda 33 RISE, Ghaziabad54 Asha Handicrafts Association7 Trust Microfin Services, 34 Samridhi, Lucknow55 Satpuda FoundationMuzaffarpur 35 BMC, Lucknow

8 Gramyasheel, Supaul 36 Disha, Saharanpur Orissa9 Nidan, Patna 56 Council of Professional Social

West BengalWorkersJharkhand 37 SSVWS, Kolkata

57 Indian Grameen Services10 Ajiwika, Deogarh, 38 KRS, Coochbehar11 SUPPORT, Hazaribagh Rajasthan12 Samarthan, Jamtara 58 Access Development Services

59 Asha Handicrafts AssociationLivelihoods SupportKarnataka13 Nirantara Community Services, Tamil NaduAndhra Pradesh

Bidar 60 Srinivasan Services Trust39 Conservation of Nature through

61 Asha Handicrafts AssociationMadhya Pradesh Rural Awakening14 Lok Biradari Trust, Indore, 40 Asha Handicrafts Association Uttar Pradesh15 MCM, Bhopal 62 Asha Handicrafts AssociationBihar16 AES, Satna

41 PRADAN Uttarakhand17 VAMA, Gwalior

63 Appropriate Technology IndiaChhattisgarhMaharashtra

42 PRADAN West Bengal18 Dmatrix (GSST), Wardha,

64 Nature Environment & WildlifeDelhi19 Hindusthan, Mumbai,Society

43 Asha Handicrafts Association20 Sampada Trust, Ahmednagar,21 Svasti Foundation, Mumbai,

Gujarat22 DST, Pune 44 Asha Handicrafts Association23 KVGPS (Krushi), Buldana,

45 Development Support Centre

ManipurJammu and Kashmir

24 Chanura, Imphal46 Ladakh Rural Women

25 WSDS, ImphalEnterprising Society

New DelhiJharkhand

26 SDF, Delhi47 PRADAN


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18 19

focusareastechnicalassistancelivelihoodssupport

employeeengagement


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20 21

Project Partner: MicrosaveTechnical Assistance for Micro Finance

Institutes (MFIs) enabled 37 small

MFIs located in the under-banked

regions of the country to improve their

Business Management systems and

Governance.The 18 month structured programme made it possible for MFI's to scale up

their operations, access bank funds and increase their outreach i.e. providesmall value loans to the unbanked communities.

technicalassistanceThe programme came to a closure The RBS-FI programme is a largein 2011. Funded jointly by the scale, long term intervention in

Foundation and Stitching CORDAID institutional development. It has

(a Dutch development succeeded in engaging with and

organisation) it consisted of three improving the performance of

components: small and fledgling MFIs operating

in difficult geographies. Thel Capacity building

improvements have not beenSetting up robust systems and

limited to operational systems,processes via onsite support and

processes and staff skill sets -training, thereby enabling the

financial and businessMFI to scale up its operations

performance has also significantlyl Consultant development improved, exceeding that of

Nurturing local consultants to comparable MFIs in the sect or. Theensure partners have access to MFIs experienced learning even as

quality technical expertise and they were developing with visiblementoring support in a progress and improvement.sustainable manner

Given the large foot print of thel Toolkit development programme, it would have been a

Developing structured ready to challenge to ensure quality acrossuse training material in key institutions and regions. With theareas such as Governance, majority of institutions expressinginternal controls, financial their satisfaction, the programmemanagement and accounting was considered to be effective insystems, available to the larger both design, and implementationmicrofinance sector, as well as a and highly impactful. Thecomprehensive Do It Yourself willingness of partner MFIs to paytoolkit, (MFI Out Of A Box). for such services is a reflection of

the utility and relevance of the

programme. While ongoing

improvements must be made to

ensure its ongoing effectiveness in

the context of developments in the

sector, the implementers and

funders must be acknowledged for

bringing to fruition a sound idea.

- End of program review by

N. Srinivasan


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22 23

The Supporting Enterprises Programmeof the Foundation supports projects that

create and enhance sustainable livelihoods

for poor communities dependent on the

countrys critical natural resources.

livelihoodssupportinsemination, fodder established with Micro FinanceCommunity Governancemanagement, dairy management Institutes and Banks to enable the

Livelihood enhancement and integration with milk routes. enterprise members to accessLivelihood interventions are Adoption of stall-fed practices is loans for business needs.provided according to local need sought for better incomes and for

Impact Assessmentsanalysis and market studies. These removal of grazing pressure onEmployees play an important roleinterventions are aimed at forest ecosystems.in collecting crucial data for impactimproving and developing

l Apiculture - guidance and advice assessments. Third party impactsustainable sources of incomes.is provided on alternative assessments are conducted onEach of the Foundations projectstechniques, semi processing of projects to measure the progressincludes one or more of theproduce and marketing. against the plan.following activities:

l Non Timber Forest Produce - anl Agriculture - technical support is

important source of cash income,provided to improve thethe community is equipped toproductivity of the land,

form collectives and add value toavailability of water, scientificthe produce by cleaning, gradingagriculture practices, higherand extraction and seek newerquality seeds, organic manuremarkets.etc. The aim is to improve

productivity, crop diversification Market linkages

and risk mitigation and Efforts are made to create and

production. establish market linkages through

the aggregation of produce, withl Eco Tourism - the community is

the objective of removing and/ortrained in various aspects ofreducing the middle men from thehospitality, communications,value chain. This enables thebook-keeping, marketing, eco-community to realise better prices.friendly tourism and assistance

with infrastructure in ecologically Financial Linkages

sensitive locations. Scaling up of the livelihood

initiatives is dependent on thel Handicrafts - the focus is onavailability of finances. Over time,improving the skills, new productcommunity owned and manageddevelopment, exposure andrevolving funds are developed tolinkages to markets as well asprovide small value loans to theimproving capabilities to managecommunity and build creditsmall businesseshistories to allow access to

l Dairy - expertise is provided for institutional finance. Linkages arebreed improvements, artificial


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Eco Tourism as a sustainable livelihood

Beneficiaries: 500 householdsProject Partner: Indian Grameen Services (IGS)

Sustainable livelihoods for tribal communities


The Simlipal Biosphere Reserve settlers continue to exert pressure

(SBR) is spread across more than on the ecosystem.

5,000 sq.km. and encompassesAs such, the Foundation through

2,750 sq.km. of Simlipal tigerIGS provides an integrated

reserve. The region is home tolivelihood promotion service to

eight rivers, 1,076 plant species,tribal and non-tribal households in

42 mammal species, 242 bird21 of these villages, with the

species, 30 reptile species andobjective of enhancing their

wide variety of micro flora and

incomes whilst reducing bioticfauna. The region is also one of thepressure on the Simlipal biosphere

major tiger reserves and connectedreserve. In another village, the

to the Saranda forests in Jharkhandproject is also providing vocational

and the Satkosia Reserve forest intraining to youths and working age

Orissa. The core region is made upgroups on trades such as plumbing,

of four villages while the bufferdriving, carpentry, and electronics

region is made up of 60 villages.which demand skilled hands in the

The relationship betweenneighbouring industrial districts.

communities and the ecosystem

has been fractious and hostile and

as a result, is not sustainable.

The Governments of India and

Orissa have been working to

enhance livelihoods and steer

communities away from the criticalecosystem resources. The four core

villages have agreed to relocate

with the enhanced government

package. The 60 buffer villages

comprised of the Mankadia and

Khadia tribes and non-tribal

Chilka, the largest coastal lagoon in This eco-resort is a unique

India is recognised globally for its convergence of efforts by:

rich biodiversity and as home to anl The Foundation and IGS -

abundance of migratory birdmaintaining community relations;

species. Mangalajodi is one of thel Wild Orissa - providing expertiselargest of the 132 villages located

in conservation and wildlifeon the banks of Chilka. A decadeprotection;long community conservation

effort initiated by Wild Orissa hasl Four RBS employee volunteers,

resulted in the creation of a Bird who developed the marketingProtection committee that patrols and business plans for the resortthe waters during the winter were among the first guests.migrant season and throughout the

The local community has beennative species breeding season. As

trained to manage the Eco Tourisma result of this protection, Bombay

Trust that has been formed withinNatural History Society and others

the project as overseen by Gramhave reported an increase in

Sabha. Local youth are trained inmigrant arrivals and breeding

aspects of hospitality, includingsuccess among local species.

catering, guiding tourists, bookThe increased interest in bird life keeping and marketing to ensure afrom researchers, bird watchers steady flow of tourists. This modeland day visitors led to a demonstrates that conservationcommunity based eco tourism efforts have assisted in building

project being initiated by the and strengthening livelihoodFoundation in the villages of Dhani options. Potential for revenueand Mangalajodi. The purpose of generation is a positive motivatorthis project is to proactively for conservation, giving value toprotect the forests of local and supporting the model ofcommunity members and in turn, community based eco-tourismsustain their livelihoods. replicated in eco-sensitive zones.

lakemangalojodichilka reserve, orissasimlipaltiger


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Beneficiaries: 1500 householdsProject Partner: Foundation for Ecological Security (FES)



The Bandhavgarh National Park of multi-tier structures, linkages l Introduction of 'Wadi'(small

(BNP) is located in central India for finance and markets leading to orchard) program

between the Vindhyan hill range sustainable livelihoods:These efforts have increased the

and the eastern flank of thel Self Help Groups based micro incomes of the project villagers

Satpura hill range. It is among thee nt er pri se s an d te chn ic al w hil st red uc ing t he ir de pe nd enc e

most viable ecosystems in theinterventions in multiple on forest resources.

region with a total a rea of 1165livelihood activities;

sq.km. Fourteen villages located inl Improved crop production andthe core are eligible for relocation

protection, surface and groundwith an attractive package of Rs 1water management and irrigationmillion per adult. In the delineatedpractices;buffer zone (yet to be notified)

there are 61 villages with al Holistic approach to livestock

population of 28,519 and more development, by reducing and /than 50,000 cattle. These villages or replacing unproductive cattlehost largely tribal communities herds with improved local varietycomprising Gonds, Baigas, Ahirs and adopting stall feeding;and Kachhis, most of who live

l Mass vegetable cultivation forbelow the poverty line (less than

aggregation of produce for$1USD per day / marginal

access markets;landholdings). The cattle are

unproductive and the livelihoods l Backyard poultry;

are dependent upon illegal andl Apiculture to improve agriculture

unsustainable harvest of forest

productivity and as an alternativeresources. Present livelihoods dolivelihood option;

not support either theirl Medicinal herb plantation at highcommunities or the ecosystem.

lands;RBS-FI in partnership with IGS has

l Artisan clusters such as; potteryestablished communityand basket making, andgovernance through the creation

The Bichhia Tehsil of Mandla and mid and low lands suitable for interaction in the eco-sensitive

District falls under the rich paddy. This subsistence agriculture zones in the park and its

biodiversity zone of Kanha supports food requirements for adjoining areas.

National Park. The park is located about 6 - 7 months of the year and

in the vast and extensive forest therefore there is great

belt of the Satpuras and the dependence on wage labour and

Vindhyas which stretch almost the sale of forest produce. As such,

500km east to west. This part of a large proportion of the

Madhya Pradesh and Chhattisgarh population is prone to seasonal

is home to crucial forest and migration in search of livelihoods.

grassland ecosystems along withThis project in partnership with FES

dense tribal populations.has:

The Foundations project is a partl Strengthened institutional

of the Mahakaushal region whichprocesses for pro-poor and

is predominantly inhabited by thegender sensitive arrangements of

Gond and Baiga communities, thenatural resource governance at

latter being a primitive tribeboth habitation & regional level;

dependent on hunting andl Improved farm and non-farmgathering food. The livelihood

livelihood options of the poor,portfolio of the populationreducing vulnerability of localcomprises three basic components:communities and biotic pressure- agriculture, forest produce andfrom bio-diversity rich areas;wage labour. Agriculture is still in

the primitive stage, with 91% l Promoted enhanced interfacebeing rain-fed. The average land between scientific knowledgeholding is as low as one hectare, and traditional wisdom towith varying compositions of achieve development anduplands where minor millets such conservation goals;as kodo and kutki, and oil seeds

l Reduced biotic pressure andsuch as niger and maize are grown

optimised anthropological

parkbandhavgarhnationalpark, madhya pradeshkanhanational


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28 29

Support to women producers of MASUTA

Beneficiaries: 2600 womenProject Partner: PRADAN

Carbon Markets for the poor

Beneficiaries: 1200 householdsProject Partner: Satpuda Foundation

Satpuda landscape in central India Eco-restoration entails treatment

is important in its rich bio-diversity. of soil, watershed and plantation

The landscape is spread over of plant and tree species in the

20,000 sq.km comprising five same mix and densities as per

important tiger reserves with a those already existing in the good

network of protected areas . habitats of the adjoining Melghat

Melghat Tiger Reserve (MTR) is just Tiger Reserve. Each of the

one of them, with 58 tigers across households has been provided

an area of 1600 sq.km. Years of entitlement letters with

unsustainable land use has responsibilities for watch and care

resulted in significant land over their allocated parcels of land.

degradation. Together with aCommunities have undertaken

rapidly growing population, this inwatershed development, fodder

turn has resulted in addeddevelopment and plantation

pressure on Melghats resources.cultivation on 2,500 hectares of

RBS-FI together with the Satpuda land with usufruct rights over plant

Foundation created a project to: produce and carbon credits. The

cash flow has increased two and al Restore and conserve the

half times over a period of t hreeenvironmental resources (eco-

years. The community is lookingrestoration) in a participatory

forward to the additional benefitsmanner;

from carbon credits which will flowl Improve the socio-economic once the CERs / VERs are sold.

conditions of the community by

sharing benefits of conservation

and enhancing livelihood

support;

l Facilitate and enable the

community to obtain benefits

from carbon credits.

MASUTA is a one-of-its-kind tussar quasi-equity structure, was

silk producers collective in India. thought to help the company grow

Stemming from the development with reduced dependence on

of PRADAN, the company has 2,600 expensive debts, and therefore

women producer members spread better incomes for the producers.

over Jharkhand, Bihar andThe Foundation is providing

Chhattisgarh but mostly aroundworking capital support to the

Deoghar.female yarn producers of MASUTA

The working capital requirement of via a revolving equity fund.Tussar is unique as the commercial

cocoon is available only once a

year between October and

December. There is no formal

marketing channel for its

procurement and it is purchased

from the individual. State

Governments have tried to

organise rearers around co-

operatives but this has not been

successful. MASUTA therefore

needs to procure the entire years

cocoon supply and store it in a

warehouse. This requires funds, of

which the producers need to bearthe stock holding cost.

Since its formation, the producer

company is financially sustainable

but the income of its member

producers is low comparative to

effort. As a result, an alternate

deogharjharkhand akolamaharashtra


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30 31

Enhancing livelihoods of resettled tribal population


Three villages from the core of

Melghat Tiger Reserve were

voluntarily resettled to the

adjoining non-forest block of

Akola-Bori, Koha and Kund. The

success of this initiative saw an

additional three villages resettled.

Our involvement ensured a smooth

transition and rehabilitation ofthese villages, improving the

livelihoods of households

economically and socially through

strong community-based

institutions, thereby reducing

biotic pressures on the nearby

tiger reserve. We have successfully

established community based in

dairying, irrigation, agricultural

produce and marketing. Conflict

resolution is conducted at

community level.

The project and its objectives were

communicated to the local

community. Activities are plannedwith the Gram Sabha and its

implementation monitored by

them. Local youth have also been

trained to provide continued

support following completion of

the project.

project, maharashtramelghattiger

Livelihood Enhancement through participatorynatural resource managementBeneficiaries: 45,000 householdsProject Partner: Development Support Centre (DSC)

Conscious of the harmful effects of our own experiences working in Crop productivity increased from

excessive and indiscriminate use rain fed and irrigated areas guided 23% to 167%, Input cost reduced

of chemicals on the environment us in adopting a multi-pronged by 25% to 50%. Farmers who

and agro-ecology, as well as the approach to increase agriculture adopted the PoPs experienced a

longer term sustainability of productivity, reducing input costs net increase in incomes from INR

agriculture. RBS-FI is directing and reducing the risks faced by the 10,000 - 20,000 per ha.

agricultural livelihoods towards rural communities.Interventions on vermin compost,

sustainability in the four districtsThe need for this project was mulching and Micro Irrigation

of Mehsana, Sabarkantha,

identified during pre-project PRAs Systems have indicated thatAhmedabad and Amreli of Gujarat. conducted with farmers to sustained use can have positiveThese districts cover an area of

understand factors affecting impact on the environment.approximately 45,000 ha and

agriculture as a viable livelihood.account for 45,000 households.

The main issues related to

This activity aims to improve rural information gaps, lack of a reliable

economy through participatory extension system, high cost of

natural resource management in inputs, risks related to farming and

selected drought-prone areas. The marketing of produce and poor

success of this activity has resulted price realization. These were

in the dissemination of effective validated through a professional

productivity enhancement study conducted in 2008. The

practices and techniques in Gujarat results of the study indicated

to the rest of India. It relies on the significant yield gaps in almost all

existing technical and social crops cultivated by the farmers in

infrastructure at a grassroots level all project areas. The study alsoand multiplies the benefits to this identified causes and suggested

region. It leverages the collective remedial measures, which formed

strength of a community to the basis of the interventions.

improve land productivity, yieldsOver a three year period, 11,000

and realisation.farmers adopted the new practises

The 2004 Gujarat Human that were demonstrated, resulting

Development Report together with into several gains and learnings.

gujarat


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32 33

A lifeline for the Sunderban Biosphere Reserve

Beneficiaries: 450 householdsProject Partner: Nature Environment and Wildlife Society (NEWS)

Sunderbans is among the largest discarded. IUCN reports that this livestock incomes were set up in

mangrove habitat in the world, activity alone accounts for 25% of each village, enabling the

spanning 26,000 sq.km. across the mangrove destruction. households to replenish stocks

India and Bangladesh - ecologically soon after the cyclone.The region is home to a diverse

very sensitive, productive andarray of flora and fauna including The project undertook plantation

economically critical to the region.34 unique mangrove species of of mangrove tree species on the

The mangrove ecosystem plays aplants and trees. The Indian tiger, P village embankments in an effort

vital role in protecting the coasttigris is an iconic species in the to protect against tidal scouring.

against cyclonic activity, which isregion along with the saltwater Two-thirds of the plantation

common to the Bay of Bengal. crocodile, C porosus and the survived and are standing forests

Fifty two of the 104 Sunderban Gangetic and Irrawady dolphins, P on the village embankments today.

villages inhabit this hostile gangetica and O brevirostris.Corporates seeking to create

environment. Life is a constant Community invasion of forests andcarbon sinks for obtaining carbon

battle against the elements, with estuarine waters for livelihoodoffsets have shown great interest

the ongoing erosion of means that mortalities from tiger,in the RBS-FI-NEWS project region.

embankments that protect the shark and crocodile attacks are aNEWS has reported plantations on

villages from tidal inundation. common occurrence.6000 ha.

Livelihoods are unsustainable,The Foundation and NEWS

consisting of subsistencecollaborated to extend livelihood

agriculture and the harvest of fish,support to 450 households in four

honey and wax from prohibitedcritical villages - Tridebnagar,

waters and forests. The collectionSonagaon, Mathurakhand and

of Tiger Prawn, P monotone seedDulki. Livestock raising is one of

for example, entails netting this the few options available to thelarva along with hundreds of otherlocals given the geographic and

micro flora and fauna species,supply chain limitations. Cyclone

whilst standing in estuarine waters,Aila in 2009 resulted in

and risking attack from saltwatercatastrophic losses. Insurance

crocodiles, sharks and tigers. Theservices are not available in the

prawn seed is retained and the restregion Thrift funds based on

Integrated livelihood skills in hills of Uttarakhand

Beneficiaries: 1000 householdsProject Partner: Appropriate Technology India (ATI)

States that have the highest level The projects involvement has

of poverty often have the highest seen:

reserves of natural resources. Thel Improved methods of managing

acute poverty can be attributed todairy, better agricultural

the populations dependence onpractices and bee keeping;

the natural resource base for theirl Group-based livelihoodlivelihoods, often unsustainably.

enterprises promoted;Uttarakhand is one such state.

l Linkages to finance and markets93% of the area is hilly with 63%established, sustaining theof the area under forest cover.activities following the project37% of the population lives belowperiod. Parallel activity ofthe poverty line and 28% of thefinancial linkages has alsopopulation migrate to other statesresulted in financial inclusion ofin search of employment. With itsthe beneficiaries throughbeautiful mountains and forests,microfinance and bank linkages.Uttarakhand is a tourist hub;

however these revenues fail to The community is at t he centre ofbenefit the locals who largely the project, with people from thedepend on the forest-based target villages proactively involved.produce, dairy and agriculture. They decide which livelihood

activities to take on at alAlternate income sources have

commercial level. At the apex levelbeen generated through(producers, shareholders, membersintervention in dairy, agriculture

of the producer company and theand honey. Though these areMFI), the community governs thetraditional activities, they are atmanagement of the project andsubsistence level due to lowthus ensures operations in aproduction levels andmanner best suited for thedependency on local markets.community.

uttarakhandbengalsunderbanswest


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34 35

Natural Resource Management

Beneficiaries: 300 householdsProject Partner: Watershed Organisation Trust (WOTR)

Promotion of Eco-tourism & local handicraft toprotect tigersBeneficiaries: 200 women, 500 farmersProject Partner: ACCESS Development Services (ADS)

This project operates in Kalpi plans for village development. The

cluster of Bijadandi block in increase in income enables them

Mandala district where the average to explore alternative livelihood

annual rainfall is about 1,250 mm. through both individual and group

The entire catchment area feeds enterprises like nursery, poultry,

water to Narmada River through piggery, petty shops etc. Moreover,

two main drainage systems. This the additional income has enabled

cluster is mostly laid out over purchase of pressure cookers and

hilltops covered with deciduous solar units thereby reducing the

teak forests where the slope is consumption of firewood by ~40%.gentle with verdant vegetation and

good tree cover. Communities in

these village clusters live mostly

below the poverty line. Agricultural

activities depend on the monsoon

and are already degraded to a large

extent.

The Foundation with WOTRs

expertise, has invested in

watershed development which

regenerates the local environment

thus enhancing the productive

basis of the local economy; the

impacts have been dramaticenough to attract reverse and in-

migration from nearby areas.

With three years of intervention,

the community is now able to take

two crops in a year, have access to

drinking water and develop micro

The population around the strengthened the existing mainstay

Ranthambhore National Park are for livelihoods (agriculture). These

mainly agriculturists, pastoralists income avenues have reduced the

and wage labourers largely local pressures on the fragile

dependent on natural resources. ecosystem of the national park

The transition of the surrounding especially for those communities

forests from a princely estate to a that have been traditionally

designated National Park has dependent on forests for their

alienated this population from the livelihoods.

mainstream society with curtailed The women have been providedaccess to forest resources. This has

with skills on handicrafts - design,pushed them further into poverty.

production and packaging - andWith limited opportunities, this

the farmers provided withpopulation is trapped in poverty

techniques to enhance andand caught in man-animal

improve agriculture productivityconflicts. The National Park, a

and market linkages, thereby,major tourist destination on

increasing the average householdaccount of its famed tiger

income.population has spawned a

township of resorts and tourist

activities. The community, denied

access into the park for resource

extraction, suffers an exaggerated

sense of alienation coupled with

hostility towards the ecosystem.

RBS-FI and ACCESS have worked

together to create alternative

livelihood opportunities for this

local population through

handicraft manufacturing and

parkranthambhorenational reserves, madhya pradeshkanha&penchtiger


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36 37

employeeengagementEmployee DirectorRBS Foundation India

Employee volunteering has playedan important role in the various

projects of the foundation, with

employees actively participating in

the baseline or impact assessment

surveys. This has helped both the

foundation and the employees in

understanding and appreciating the

issues around sustainability. The

Foundation actively works towards

creating volunteering opportunities

across the projects so that

employees from various

geographies and business units of

the group are able to come forward

and be a part of the projects. Many

of the volunteers subsequently

continue active work in their sphere

of influence.

In the last year, significant changes

also were brought in. The group

came up with a uniform

volunteering policy, which

encouraged a larger number of

employees to volunteer. The

number of volunteering

opportunities too went up. "Magic

Hands", the training programme on

sustainability became an essential

component of this programme.

"Magic Hands" opportunitiesaugments the community work that

many of our enthusiastic employees

were already undertaking. Employee

volunteering has become a very

important aspect of the

foundation's projects.

Tushar Lowalekar

In the last year, significant changeswere brought in. The group came upwith a uniform volunteering policy,which encouraged a larger numberof employees to volunteer.The number of volunteeringopportunities too went up.


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38 39

employeespeak keyinitiativesThe Group employee volunteeringpolicy allows employees to take up

to three days a year to undertake

community work. Recognising the

remoteness of locations and the

need for continuity of work in

India, the policy allows employees

to take up to four days for

volunteering through the

Foundations projects. This policy

enables a supply of resources to

the Foundations projects. It

enables transfer of employee

knowledge, engenders compassion

around our community work and

helps build and support teams. In2010, 196 employees volunteered

at nine locations. In 2010 - 11,

88 employees have volunteered at

six locations and several

volunteering events are in the

pipeline. Employees have shown a

keen interest in volunteering for

projects that are located at the

intersection of community and

biodiversity.

Magic Hands at Work was a very comprehensive program. It gave me the rareopportunity of experiencing rural life, which was in itself an extremely

humbling experience. I realized the importance of things we take for granted

such as water, electricity etc. The afternoon session by the Foundation was

well conducted and gave me insights into the watershed program

implemented in the village. I am also glad to be working for a company that

believes in and supports sustainability through its various community

programs. This trip has motivated me to get involved in community work and

be more responsible towards my environment by conserving electricity a nd

recycling.

Rupa Basu

Human Resources, Mumbai

It was a great opportunity to be a part of such a wonderful trip to Kanha,

which provided a variety of experiences on animal conservation, tribes andjungle life. This short trip helped me to understand the real challenges of

tribes situated in close proximity of KNP and the issues they face for survival,

especially the Baiga & Gonda communities.

Ravinder Ray

Property services, Gurgaon

The RBS Foundation India is providing sustainable income generating

activities and techniques for productivity enhancement. As the popular adage

goes teach a man to fish and you feed him (and his family) for a lifetime... To

know that my organisation commits s ignificant resources to this honourable

programme is extremely gratifying

Raghu Bhat

Retail Banking, Mumbai

RBS organises the tenth Annual in this campaign on 25thRBS Sanctuary Asia Wildlife September, 2010 where they were

Awards given gloves, masks and garbage

On 4 December 2010, RBS bags to carry out clean up on the

organised the tenth Annual RBS beach. Team leaders were assigned

Sanctuary Asia Wildlife Awards to the responsibility to ensure that

honour Earth Heroes - people each item of waste material found

who have done remarkable work to on the beach was recorded and

help conserve wildlife in their recovered correctly.

respective geographical and

occupational areas. The Wildlife

Award ceremony was organised in come out of their homes in time;partnership with wildlife bridges were torn away from theirpublication Sanctuary Asia. embankments; and some villages

were entirely wiped out.The 2008 Lifetime Service Award

was bestowed upon Fateh Singh RBS Foundation India with an NGO,Rathore for his remarkable work in 'Goonj', initiated a campaign tothe Ranthambore Tiger Reserve. collect funds for the affectedAwards were also given to five families of Leh, Ladakh. Eightyindividuals - inspired wildlifers, employees of RBS Indiaforest employees, researchers and contributed INR 400,500 towards These RBS India volunteers filledvillagers involved in nature the rehabilitation efforts in Leh. garbage bags with plastic packets,conservation. They all help protect Others donated warm clothes, tobacco packages, drinking straws,the natural resources of India for blankets and utensils. The cash spoons and glasses, pieces ofgenerations to come. donation was given to provide glass, beverage bottles, cigarette

skills training to the refugee stubs, building material, food

women of Choglamsar and wrappers, tiles, clay items likeContribution by RBS employees

collected items were given to Ganesha idol pieces, shoes andfor Leh-Ladakh Flash floods

'Goonj' which in turn gave them to items of clothing, all of which were

On the 5th of August, 2010 Leh those living in the camps and in found in plenty.

was hit by flash floods. The houses the affected areas of around Leh.This initiative made our employees

at Choglamsar, one of the mostmore conscious of their

affected villages, sank 20 feet inenvironment as they did their bit

Ocean clean up Mumbaislick mud; the colourful gates andto ease the tremendous pressure

Juhu Beach is part of the globalprayer wheels of Leh city wereput on it. As the saying goes each

Ocean Cleanup campaign thatsmashed by cars and boulders;drop makes an ocean, an ocean

takes place every year. Twenty sixseveral families could not evenwith clean beaches to visit with

RBS India employees participated


22/30

40 41

family and friends. Employees of

RBS India are doing their bit for

this good cause.

Newspapers for Leprosy

Globally , India tops the list for the

highest number of Leprosy

patients. There are close to 1.5

million leprosy patients in India,

who are still regarded as social

outcasts and face numerous

hardships for survival and cure.

Bombay Leprosy Project (BLP), a

not for profit organization was

established in 1976 to cure and

rehabilitate leprosy patients. In

support of their mission, RBS

donates news papers and

magazines collected from itsvarious offices in Mumbai. Up until

Sep 2011, approximately 7,814 kg

of news papers amounting to INR

67,000 have been donated. These

funds were utilized to provide

ulcer care kits , medicines and

special footwear for the patients.

Brief details about volunteering Bandhavgarh Ranthambore Impact assessment

activities held in 2009-10 and Twelve employees of RBS

2010-11 volunteered with local NGOs to

conduct a baseline survey. TheMagic Hands training in

objective was to study, analyzeRanthmabore

livelihood context of householdsA three day training programme

of the fringe villages to developwas scheduled in Ranthambore

project intervention framework.to sensitize employees with

The survey covered 8 villages ofissues of biodiversity, climate

Bandhavgarh Tiger reservechange and poverty alleviation.

covering 417 households.45 employees from Gurgaon and

Mumbai attended this training.

STRIPES, a project of theKanhaRBS Foundation in Ranthambore

Magic Hands training, Chennai looks at livelihood intervention.

RBS Foundation with HR Learning At the onset of the project aand Development team baseline survey was conductedscheduled a Magic Hands and a year later an impacttraining programme in Chennai. assessment was done to75 participants from RBS understand the changes postBusiness Services - Chennai intervention. 21 employees fromnominated themselves for Magic Mumbai and GurgaonHands and were taken through participated in this impactthe challenges of Supporting assessment. This three dayEnterprises, the complexities of volunteering activity provided anBiodiversity Conservation, the Fifteen employees volunteered opportunity to the employees tothreats of Climate Change and to conduct a socio-economic meet villagers in their homes,the opportunities offered by RBS survey of villages in and around farms and to understand theirCommunity Investment schemes. Kanha National park. This problems first hand.Meera H Sanyal, Country Head - baseline survey was carried out

India, an active member of the to understand the economic andtraining, launched the event Ron social condition of the Ranthambore (RTR)Teerlink, Chief Administrative households and design an In 2010 Foundation initiated aOfficer - RBS Group with his implementation plan accordingly. Teach conservation programMANCO and William Higgins, among the schools in the fringesDirector - Group Operations. of Ranthambore Tiger Reserve

(RTR) in response to a need

expressed at the park for a better

employeeengagement


23/30

42 43


24/30

44 45

structure&management risk&controlAs a natural association with the Bank, the culture of strong risk management is inculcated within the Foundation

as well. We use structured and tested tools for objective project appraisal, gated funding for control and the activeinvolvement of senior management. The table below details the risk management process of the Foundation.Board of DirectorsRBS Foundation India

The Executive Body:

Management Team ofRBS Foundation India

PROCESS GRANT PROCESS / MECHANISM

Proposal approval

Documentation andregulatory clearances(if applicable)

Disbursal

Monitoring

Reviews ofindividual cases

Periodic Reviewof portfolio

The Project Manager prepares a final evaluation report with risk, challenges and impact.This is first discussed internally within the team, subsequent to which it is presented to

the Foundation Board for final sign off.

An agreement is signed between the Foundation and the NGO. The agreement clearly lays outthe scope of work, milestones, the fund tranches as well a s reporting requirements.

Funds are typically released in quarterly tranches and amount for each tranche is determinedin agreement with the NGO so that it is synchronised with project activities. Prior to release ofeach tranche, the NGO is required to submit a utilisation certificate. If required the ProjectManager or a volunteer from the Bank may visit to verify the report.

This is an ongoing activity and multiple means are adopted to maintain control of the project.This includes:- Quarterly / monthly project progress reports- CA certified fund utilisation reports prior to disbursement of each new tranche.- Random employee volunteering visits to verify progress- Regular Project Manager visits- Setting up Project Implementation & Management Committees as a grassroots monitor.

In cases where there is a deviation or delay in performance and / or use of funds, the ProjectManager prepares a variance report and the proposed action plan. In such circumstances it is atthe discretion of the Foundation to terminate the project if there has been a misuse of funds.

The team has both monthly and quarterly reviews of the overall grant p ortfolio.- Internally, a monthly MIS and financial statement allows the team to review project progress.- Quarterly, the RBS Foundation India management team is required to present financial and

narrative updates on all projects to the Board

Origination andpre-appraisal

Proposals for the livelihood programmes are typically sent in by NGOs. For the TA programmethird party recommendations originate the partner. The responsible Project Manager preparesa pre-appraisal based on secondary documentation and submits to the Foundation Board forsign off.

Due diligence The Project Manager visits the NGO to understand the project and employs a MicroenterpriseEvaluation tool or a Rapid Institutional Assessment tool to determine if the NGO and / or theproject is sustainable, benefiting the poor and committed.

Meera H SanyalChairperson

N Sunil KumarChief Executive

Neeraj SharmaProgram Director

Karishma KalroProject Assistant Yashu ChaudhuryProject Manager,Financial Literacy

& Financial Inclusion

Dhruvi ShahSenior Project Manager,Livelihoods

Sweta AsawaProject Manager,Employee Programs

& Compliance

Tushar LowalekarEmployee Director

N Sunil KumarChief Executive


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46 47

auditorsreport1 We have audited the attached information and the excess of the incomeBalan ce Sheet o f RBS Foundat ion explanation s which to the over expen di ture of theIndia ("the Company") as at 3 1st best o f our knowledge and Company for the yearM arc h, 20 11 a nd t he In co me a nd b el ief we re ne ces sa ry for e nd ed on t ha t d at e.Expenditure Account of the the purpose of our audit; 5 On the basis of writtenCompany for the year ended on (b) in our opinion, proper representations received from thethat date, annexed thereto. These books of accounts as Directors, as on 31st Marc h, 2011financial statements are the required by law have been taken on record by the Board ofresponsibility of the Companys kept by the Company so far Directors, none of the Directors isManagement. Our responsibility is a s i t a pp ea rs fro m ou r d is qu al ifi ed a s o n 3 1s t M arc h,to express an opinion on these examination of those books; 2011 from being appointed as afinancial statements based on our director in terms of Section(c) the Balance Sheet, theaudit. 274(1)(g) of the Companies Act,Income & Expenditure2 We conducted our audit in 1956.Account dealt with by thisaccordance with the auditing report are in agreement For Deloitte Haskins & Sellsstandards generally accepted in with the books of account; Chartered AccountantsIndia. These standards require that (Registration No. 117365W)(d) in our opinion, the Balancewe plan and perform the audit to Sheet, the Income andobtain reasonable assurance about

Expenditure Account dealtwhether the financial statements Sd/-with by this report are inare free of material misstatements.

Z. F. Billimoriacompliance with AccountingAn audit includes examining, onPartnerStandards referred to intest basis, evidences supporting

Section 211 (3c) of the (Membership No. 42791)the amounts and disclosures in theCompanies Act, 1956; Mumbai, 10th August, 2011financial statements. An audit also

includes assessing the accounting (e) in our opinion and to theprinciples used and significant best of our information andestimates made by the according to explanationsManagement as well as evaluating given to us, said accountsthe overall financial statement give information requiredpresentation. We believe our audit by the Companies Act, 1956provides a reasonable basis for our in the manner so requiredopinion. and give a true and fair view

in conformity with the3 The companies (Auditors Report)

accounting principlesOrder, 2003 (CARO) issued by thegenerally accepted in India;Central Government in terms of

Section 227 (4A) of the Companies (i) in the case of the BalanceAct, 1956 is not applicable to the Sheet, of the state of affairscompany in terms of clause 1 (2) of the Company as at 31st(iii) of the order. March, 2011;

4 We report as follows: (ii) in the case of the Incomeand Expenditure Account, of(a) we have obtained all

audited statementsfinancialBalance sheet as at 31 March 2011

Sources of funds

Schedulenumber

`

31 March 2011As at `

31 March 2010As at

Shareholders' Funds

Share capital

Reserves and surplus

1

2

45,000

30,794,747

30,839,747

45,000

19,207,852

19,252,852Total

Application of funds

Current Assets, Loans &

Advances (A)

Cash and Bank Balances 3 205,608,858

Interest accrued on Bank Fixed Deposits

Loans & Advances 4 20,927,309

2,004,993

178,460,694

5,069,424

919,624

228,541,160 184,449,742

5 197,701,413

30,839,747

165,196,890

19,252,852

Notes to and forming part ofthe Accounts

6

Current Liabilities (B)

Net Current Assets (A-B)

Total 30,839,747 19,252,852

In terms of our report attachedFor Deloitte Haskins & SellsChartered Accountants

Sd/-Z. F. BillimoriaPartnerPlace: Mumbai

thDate: 10 August 2011

For and on behalf of the Board of Directors ofRBS Foundation India

Sd/-N. Sunil Kumar

Director

Sd/-Tushar Lowalekar

Director

Sd/-Meera H. Sanyal

Director

01 April 2010 to 31 March 2011


26/30

48 49

Schedulenumber

Year ended31 March 2011

(`)

Year ended31 Mar 2010

(`)

Income

Interest on Fixed Deposit[Tax Deducted at Source `10,67,016/-(Previous year `11,75,692/- )]

9,590,519 8,350,074

Income & Expenditure account for the year ended 31 March 2011

Admininstrative Expenses written back 2,693,841 -

12,284,360 8,350,074Total

Expenditure

Administrative Expenses

Notes to and forming part of the Accounts 6

Total 697,465 2,776,235

Professional Fees

Bank Charges

Auditors' Remuneration

Sub total

Less: Grants Received

Refer note 5

Refer note 7

Refer note 6

7,099,776

613,432

7,797,241

83,277 50,000

756

7,099,776

9,733,841

32,394

-

9,816,235

7,040,000

5,573,839Excess of income over expenditure 11,586,895

Basic/diluted earnings per share [NominalValue / share `10/- (Previous Year 10/-)]`

Refer note 3 2,575 2,572

Schedules forming part of the Balance Sheet as at 31 March 2011

`


31 March 2010As at

Schedule 1: Share Capital

Authorised

10,000 Equity shares of Rs.10 each

Issued, Subscribed and Paid Up

4,500 Equity shares of Rs.10 each fully paid up

Schedule 2: Reserves and Surplus

Income & Expenditure Account

Opening Balance

Excess of Income over Expenditure during the year

Schedule 3: Cash & Bank Balances

Balances with a Scheduled Bank

- In Deposit Account

- In Current Account

Schedule 4: Loans & Advances(Unsecured, Considered good)

Advance Recoverable in Cash or in kind or valueto be received

Tax Deducted at Source

100,000 100,000

100,000 100,000

45,000

45,000

45,000

45,000

13,634,013

5,573,839

19,207,852

19,207,852

11,586,895

30,794,747

170,859,879

7,600,815

178,460,694

204,852,000

756,858

205,608,858

816,031

4,253,393

-

5,320,409

Income Tax (AY 2008 - 09)(Refer Note 8)

5,069,424

15,606,900 -

20,927,309

In terms of our report attachedFor Deloitte Haskins & SellsChartered Accountants

Sd/-Z. F. BillimoriaPartnerPlace: Mumbai

thDate: 10 August 2011


Sd/-N. Sunil Kumar

Director


Director

Sd/-Meera H. Sanyal

Director


27/30

50 51

Schedule 5: Current Liabilities

Grants

AAF Grant 2006 - 08

Less: Utilised

`


31 March 2010As at

82,132,050

21,682,152 60,449,898

112,018,463

29,886,413 82,132,050

Schedules forming part of the Balance Sheet as at 31 March 2011

RBS Fund 2009

Less: Utilised

Less: Utilised for Administrative Expense

31,983,828

72,774,008

- 40,790,180

8,185,992

88,000,000

7,040,000 72,774,008

RBS Fund 2010

Add: Receipt

Less: Utilised for Administrative Expense

106,183,350

-

7,099,776 94,659,121

-

-

- -

Less: Utilised 4,424,453 -

GAYE Fund

Add: Receipt

Less: Utilised

1,433,031

352,824

1,785,855 -

-

2,930,352

2,577,528 352,824

Support Gurukul

Add: Receipt

Less: Utilised

6,900

6,900 -

-

- -

Supergrounds

Less: Utilised -

146,233

146,233

- --- -

146,233913,407

1,059,640

Employee VolunteeringLess: Utilised 657,121

657,121-

Employee Donation

Less: Utilised 400,523

196,045,432 155,405,115

- - -

400,523 - - -

continued from previous page -

Sundry Creditors

`


31 March 2010As at

Payable to RBS N.V.

KPMG

1,099,776

279,000 1,600,988

9,733,841

- 9,785,982

Deloitte Haskins & Sells 75,577 45,000

RBS Business Service Pvt. Ltd. 7,135 7,135

EV Bandhavgarh - 6

Pramod S Shah & Associates 139,500 -

[(Other than Micro Small & Medium Entreprises)(Refer Note 5 & 10)]

Other Liabilities

TDS payable 54,993 5,793

197,701,413 165,196,890


28/30

52 53

4 Related Party Disclosure amounted to Rs.8,494,668 can be

utilised for overhead costs.Name of Related Party: RBS PLC

Accordingly during the CurrentNature of transactions: Grant recieved

Year the Company has utilisedRelation: Parent7,099,776 for its Administrative

2010 - 11: 107,615,556and Other Expenses.

2009 - 10: 91,989,992

7 Auditor's Remuneration5 Administrative Expenses

The Company has accrued

Rs.7,099,776 during the current

year to RBS N.V., India ("The bank")

for services rendered by the bank

in nature of infrastructure support

services, including cost of

premises, cost of human resources

and other transaction processing

related costs incurred on managing

the dealings of the Company.

6 As per the AAF 2007-11

Agreement, dated 1st November,

2007, 8% of the grants received

under this agreement, which

1 Background Information b ee n p re pa red to com pl y i n a ll on a ti me prop ort io n b as is

mater ial respects in accordance takin g into account amountRBS Foundation India (Formerly

with the Accounting Standards outstanding and rateABN AMRO Foundation India) ("the

notified under the Companies applica ble.Company") was incorporated on

(Accounting Standards) Rules,17th February 2007.The Company d. Foreign currency transaction

2006 and the relevanthas been registered under section

(i) Initial Recognitionprovisions of the Companies25 of the Companies Act, 1956

Foreign currency transactionsAct, 1956. The financialwith effect from 19 January, 2007.

are recorded in the reportingstatements have been preparedThe Company has also procured

currency, by applying to theunder the historical costthe approval of the Ministry of

foreign currency amount theconvention on an accrual basis.Home Affairs, required under the

exchange rate between theThe accounting policies haveForeign Currency Regulation Act,

reporting currency and thebeen consistently applied by1976 for receiving foreign grants

foreign currency at the datethe Company.from RBS Group Communication,

of the transaction.UK of GBP 2.7 million. The b. Use of Estimates

(ii) ConversionCompany has received 2.68 million The preparation of financial Foreign currency monetaryGBP till date out of GBP 2.7 million statements in conformity withitems are reported using thegranted. The Company provides generally accepted accountingclosing rate.grants for development of principles requires the

infrastructure, promoting Management to make estimates (iii) Exchange differencessustainable livelihood activities, and assumptions that effect the Exchange differences arisingvocational, entrepreneurial and reported amounts of asset and on the settlement ofskill enhancement training, social liabilities and disclosure of monetary items or onintermediation, providing health contingent liabilities at the reporting Companyscare, functional literacy and date of financial statement and monetary items at ratestechnical assistance and any other the result of the operations different from those at whichactivity that contributes to the during the reporting period they were initially recordedpoverty alleviation of poor living in end. Although the estimates are during the year, areundeserved / backward areas and based upon the Management's recognized as income or asnot for profit. best knowledge of current expense in the year in which

events and actions, actual they arise.results could differ from these

e. Income taxes2 Statement of Significant estimates.The Company has been grantedAccounting Policies

c. Revenue recognition exemption from Income taxa. Basis of preparation Interest under Section 12AA(1)(b)(i) of

The financial statements have Interest income is recognized the Income Tax Act, 1961.

Schedule 6: Notes to and forming part of the Accounts

Current year `Particulars Previous year `

Excess of Income over Expenditure during the Year

Weighted average number of Equity shares outstanding

Earnings per Share (Basic and Diluted) [A/B] 2,575

4,500

11,586,895

2,572

2,167

5,573,839

3 Earnings per Share

In accordance with the Accounting Standard on "Earnings Per Share" (AS-20) notified under the Companies

(Accounting Standards) Rules, 2006.

2010 - 11Particulars 2009 - 10

Statutory audit fees

Out of pocket expenses

Service tax 7,777

500

75,000

5,201

500

50,000

Total 83,277 55,701


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54 55

8 The Company has received 10 The Company has initiated the

during the year an order from the process of identification of

Income Tax Department 'suppliers' registered under " The

contending that it has spent the Micro, Small and Medium

money received as grants in the Enterprises Development Act,

name of alleviation of poverty, etc. 2006" (MSMED Act) by obtaining

for building a market share for RBS confirmation from suppliers. Based

N.V. - Indian Branches Micro on the intimation received by the

Finance Business and accordingly Company, none of the suppliers

denied it the exemption claimed have confirmed to be registered

under section 11 of the Income Tax under the MSMED Act, 2006.

Act, 1961 and raised a demand of Accordingly, no disclosures relating

`78,030,489. Consequently, the to amounts unpaid as at end year

company has filed an appeal with together with the interest paid /

the Commissioner of Income Tax payable are required to furnished.

and paid an amount of

11 The Company is Small and`15,606,900 under protest,Medium sized company (SMC) as

pending resolution of appeal.defined in the General Instructions

Subsequently to the year end, thein respect of Accounting Standards

Commissioner of Income Tax hasnotified under the Companies Act,

ruled appeal in favour of the1956. Accordingly the Company

Company and hence the companyhas compiled with the Accounting

currently doesnt have any liability.Standards as applicable to SMCs.

9 The Company has no employees12 Previous Year Comparatives

and thus no disclosure is requiredPrevious year's figures have been

under the Accounting Standard onregrouped & rearranged , wherever

"Employee Benefits" (AS-15)necessary.

notified under the Companies

(Accounting Standards) Rules,

2006.

Schedule 6: Notes to and forming part of the Accounts projectpartners


Sd/-N. Sunil Kumar

Director


Director

Sd/-Meera H. Sanyal

Director

CPSW


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56 57

A special thanks to all our project partners

and employees of the RBS Group, for their

inputs, inspiration and co-operation.

concept&designAhead Communications

RBS Foundation India

editingRBS Foundation India

Fiona Gibson

Head, Marketing and Communications, SE Asia, RBS

printingTag: Worldwide India

photographsProject Partners

RBS Foundation India

acknowledgements

Documents

2011 Rbs Foundation India Report