416 Vol 35 - 8 February, 2017 · Mahim and Khar (W) Branch. b. Probationers being forced to work in advances Dept. c. Problems in ATM operations at Fort, Mahim, Shivaji Park, Bandra

Officers’ Voice, February 2017 1

EditorEkanath Baliga

Asso. EditorG. Raghuraman

Satish Shetty

MembersH.S. Vishwanath

Advisor T.R. Bhat

Printed by:M. Rajesh Dange

Codeword Process & PrintersFalnir, Mangalore - 575 001

Licensed to Post Under License MNG/128/2015-17

& SK/MNG/WPP/7

Edited and Published byEkanath Baliga

on behalf of the Owners : Corporation Bank Officers’

Organisation (Regd.)106, Lobo Prabhu Court

Light House Hill Road, Mangalore - 575 001

EditorEkanath Baliga

Asso. EditorSatish Shetty

MembersH.S. Vishwanath

K.B. PrasadY. Sudhindra

Printed by:M. Rajesh Dange

Codeword Process & PrintersFalnir, Mangalore - 575 001

Edited and Published byEkanath Baliga

on behalf of the Owners : Corporation Bank Officers’

Organisation (Regd.)106, Lobo Prabhu Court

Light House Hill Road, Mangalore - 575 001 e-mail: [email protected] Visit us @ our website:www.cboo.org

Founder Editor : Sri T.R. Bhat

Registered with RNI, Delhi Regn. No. KARENG/2005/14831

Licensed to Post Under License MNG/128/2015-17 & SK/MNG/WPP/7

CBOO entered 45th year of its purposeful existence on 26th January – its Foundation Day. The Foundation Day was celebrated with a difference by its Zonal units by conducting a “Cleansing Campaign” – participating in cleaning roads, parks, public places and grounds etc. to create an awareness among the public to keep our surroundings clean. Under the banner of SWASTI, several young members enthusiastically participated in the programme at all centres under the guidance of seniors.

Foundation Day is being celebrated always with a difference by CBOO. Two years ago, all 35 Zonal units conducted a social activity to commemorate 43rd Foundation Day – helping Government Schools, orphanages, institutions supporting children with physical disabilities and the like. A decade ago in 2006, the children from various children shelter homes were invited to CBOO CENTRE in Mangalore to keep them engaged, daylong, in entertainment and competitions etc. This apart, CBOO and SWASTI have been undertaking similar such activities from lecture programmes to

seminars on socially relevant issues, cultural programmes to literary encouragement. It was and is to demonstrate the professed policy of CBOO for social concern as an integral part of its routine activity – in an attempt to redeem our debt to the society. That apart, the social activities impart immense satisfaction to the members for having ‘walked a few steps for the benefit of needy fellow beings.’

It is also relevant on the Foundation Day to look back at the path traversed by us to redraw our future journey. From the day on 29th October, 1972 when 15 brave souls signed the Memorandum to form the Organisation, to 26th January, 1973 when the Foundation Conference of CBOO was held at Bangalore, to today, CBOO has 7800 plus members among the officers’ fraternity in Corporation Bank representing a little above 87%. But to secure the 13% who are away from the mainstream must be the next priority for every CBOO member and functionary. History has time and again proved – multiplicity of unions is a bane for the collective force, only satisfying leadership urge of a few. Minority unions are tacitly nurtured

416 Vol 35 - 8 February, 2017


OV


Page No.

CBOO News ................................................... 3

Obituary .......................................................... 9

Banking Round Up .......................................... 9

Retirements .................................................... 13

AIBOC News ................................................. 16

Class Room ................................................... 17

Circular Round Up ........................................ 18

Miscellany ..................................................... 22

Legal Corner ................................................. 23

Grievances Redressal .................................... 27

In Lighter Vein ............................................... 28

C O N T E N T S

by managements everywhere, by throwing some favours – it may be a few transfers out of the way or retentions or the like - to derive the benefits of ‘divide and rule’ policy in managing the workforce. The sensible and all the more important 13% needs to ponder over this. Together (100%) we can; divided (since 1983), we can’t.

In the right spirit and letters of recognition, the management too needs to deal with only the recognized majority union on all officers’ matters. Entertaining any representative nature for the minority, permitting the workmen leaders and functionaries to interfere in officers’ matters and official participation by management functionaries in the programmes of the minority unions under any pretext, tantamount to unfair labour practice from which there is an undisputable need to desist. Transparency establishes the legitimacy of recognition and upholds true spirit of relationship.

Another important need of the hour is the participation of ‘Youngistan’ in the activities of CBOO. A few junior officers have recently been taking active part in meetings, deliberations and even leadership at the lowest level. But a bigger chunk does not yet appreciate the relevance and the need of an organized movement. They are yet to realize that the benefits enjoyed by them – most of them from the day one, only in our Bank - are the fruits of the collective struggles and sacrifices of the members in the past. Our predecessors sweat and bled to facilitate us work under better conditions. The present generation must collectively persevere to retain the benefits, improve them and ensure it for the future generation – again through a unionized way only.

CBOO has always strived for betterment of the functioning of the Bank as it believes, "The welfare of the Officers is directly proportional to the progress of the Bank." Participation of CBOO (on invitation) in business development meetings, notes submitted on the better functioning of the Bank, training programmes to develop efficiency of officers, including the latest on 'Credit and Recovery', its efforts to reduce the hassles during technology transformation and scores of others stand a testimony to this.

Let’s resolve and rededicate to strengthen CBOO; make it a single officers’ union in Corp Bank; strive for healthy growth of the Bank and achieve welfare of all officers.

When you focus on possibilities, you will have more opportunities


CBOO News

BRANCH VISITS

MUMBAI

Alok Paul, Deputy General Secretary, Uday Khade, Assistant General Secretary, Sanjay Hile, Circle Secretary, V B Shanbhogue, Zonal Chairman, N N Ambedkar, Zonal Secretary and Deputy Zonal Secretaries, Preyas and Adithi B visited Mumbai - A R Street, Dadar (W), Mahim, Service Branch, Fort, L J Road, ARMB, Mandvi, Shivaji Park, IFB on 16th December. Alok Paul, Deputy General Secretary, Uday Khade, Assistant General Secretary and N N Ambedkar, Zonal Secretary visited Bandra Main, PBB, Kalina - Santacruz, Khar (W), SME Marol, Mahakali Caves Road, Vile Parle and RLC and 17th.

The following issues were highlighted by the members:

a. Operational problems in Kiosks at A R Street, Mahim and Khar (W) Branch.

b. Probationers being forced to work in advances Dept.

c. Problems in ATM operations at Fort, Mahim, Shivaji Park, Bandra PBB,

d. Need to shift L J Road (very congested) and Kalina - Santacruz, to new premises.

e. Scope for E Lobby at L J Road

f. Shortageof2officersandoneclerkatARMBduetofrequentdeputation;Shortageofofficersat Bandra, Kalina - Santacruz and RLC.

- N N Ambedkar, Zonal Secretary

BANGALORE – NORTH

N S Krishnaraj, Circle Secretary, Rudra Shetty, Zonal Chairman, GKVS Rao, Zonal Secretary and Surendra G, Deputy Zonal Secretary visited Kunigal, Turuvekere, Tiptur, Halkurke, Gubbi and Tumkur Branches on 17/01/2017. Following issues were discussed:

1. RequirementofanadditionalofficeratKunigalBranch due to SKDRDP accounts and related work, manual clearing, LIC cash collection, disposal / remittance of cash collected from customers and LIC etc.

2. Connectivity problem especially from 4 to 6 pm every day.

3. Acute space constraint at Halkurke branch. Cabin is not provided to Branch Head.

4. Delay in loading of cash in ATMs by service providers.

5. Need of Credit Officers for identified MSMEspecialized branch i.e., Tumkur.

- GKVS Rao, Zonal Secretary

ZONAL COMMITTEE MEETINGS

BANGALORE

A combined Zonal Committee meeting of Bangalore twin Zones was held on 6th January at Bangalore. Apart from the principal functionaries and Area Secretaries of both Zones, Deputy General Secretary, S Ramachandrappa, Assistant General Secretary, N Vijayan, Circle Secretary, N S Krishnaraj and EC member, C V Seshachala were present. President, Ekanath Baliga along with General Secretary, Satish Shetty who were in Bangalore on account of visit to FTS/Web Centre, also joined the proceedings. B. Swarnageetha, Zonal Secretary (Bangalore - South) welcomed all present. General Secretary updated about the latest issues on wage revision and advised those present not to be swayed by the rumors being spread. President briefed about the problems faced by Finacle branches and actions pursued by CBOO. The ZC members also raised some issues related to Finacle software, wage revision and reduction in the rate of interest on staff loans etc.

Assistant General Secretary, N Vijayan coordinated the discussions. Following issues were discussed:

1. Preparations for celebration of 45th Foundation Day – ‘Cleanliness Drive Programme’.

2. Work allocation of 2 days’ Training Programme on ‘Credit & Recovery’ scheduled on 11th & 12th February. Holding a meeting of the members on that day.

3. Details of preliminary work related with proposed EC meeting in Bangalore in April.

All powers are within you. Believe in that. Do not believe that you are weak. Stand up and express. - Swami Vivekananda


Zonal Committee members were requested to ensure the success of all the programmes through involving other members.

- B. Swarnageetha, Zonal Secretary (Bangalore South) & GKVS Rao, Zonal Secretary (Bangalore

North)

DELHI

Combined Zonal Committee Meeting of Delhi North and Delhi South Zones was held on 24th December at Karol Bagh, New Delhi which was attended by 35 members/activists from both the units. Anil Pahwa,Vice-President and Awadhesh Kumar Choudhary, Circle Secretary were also present.

Meeting was presided over by Satish Kumar, Zonal Chairman, Delhi-North. Manjit Singh, Zonal Secretary, Delhi - South welcomed all and wished fruitful deliberations to make the meeting more meaningful. While presenting the Zonal unit’s activities, he expressed concerns on the absence of some of the ZC members and impressed upon all to have a strong communication system within the organisation. WhatsApp groups were made for this purpose and requested to use it judiciously and for sharing useful information only.

Addressing, Awadhesh Chaudhary, Circle Secretary, explained the significance of ZonalCommittee meetings and vital role of Area Secretaries. He expressed his displeasure over delay in calling the ZC meeting after a long gap and advised to hold it on regular intervals. While emphasizing on organisational discipline and role of Area Secretaries, he requested all to be in touch with the members in branches under their area and speak to their respective Zonal Secretaries at least once in a week.

Arvind Arora, Zonal Secretary-Delhi North applauded all members for their splendid work during demonetization process. While analysing the activities of the unit, he informed the members of ZC about efforts made by CBOO to get respectable compensation forofficers forworkingonholidaysduring demonetization process, taking up the issue of LOP of members, denial of leave, sanctioning of leave at the last moment, problems with Mediassist,

approach of ZO while dealing with Customer Complaints and demand for compensation for late sitting during demonetization period.

Following members were co-opted to the Zonal Committee (Delhi – North)

Surbhi Agarwal, Manager-ZCC- Zonal Lady Secretary

Anurag Sharma, Asst. Manager-Area Secretary, Ghaziabad

Praveen Ummat, Asst. Manager-Area Secreary, Kaushambi

Nagendra Thakur, Asst. Manager-Area Secretary, Noida Main

Ved Prakash Shubhankar, Asst. Manager-Area Secretary, Chandani Chowk.

Speaking on the occasion, Anil Pahwa, Vice President briefed the members about issues discussed in 142nd EC meeting at Coimbatore, appreciative role of AIBOC during testing times and activities under the banner of SWASTI. He called upon the members to be united, remain in touch with members and expose rumor mongers.

Proposing a vote of thanks, Arvind Arora, Zonal Secretary expressed his gratitude to the functionaries for being present and whole-hearted participation.

- Aravind Arora, Zonal Secretary, Delhi - North & Manjith Singh, Zonal Secretary, Delhi – South.

ZONAL CONSULTATIVE COMMITTEE MEETINGS

BANGALORE – NORTH

The Zonal Consultative Committee Meeting was heldon29thDecemberatZonalOffice,BengaluruNorth. The Organisation was represented by S Ramachandrappa, Deputy General Secretary, N S Krishnaraj, Circle Secretary, G K V S Rao, Zonal Secretary and Gopalaiah C, Deputy Zonal Secretary. The Management was represented by Mr Sudarsan Sethi, Deputy General Manager and Zonal Head, Mr Jadhav Sharad Dattaram, Assistant General Manager, Mr. A R Atul Sharma, Chief Manager and Mr J Sridhar, Senior Manager (Personnel).

The thought of oneself as low and humble is a sin and ignorance. - Swami Vivekananda


Mr Jadhav, Assistant General Manager, welcomed the members and acknowledged the supportextendedbytheofficersintheZoneduringdemonetization and also during remittance of SBNs to Currency Chest.

Mr Sudarsan Sethi, Zonal Head while addressing, acknowledged the trouble, pressure and strain experiencedbytheofficersduringhisvisittosomeof the critical branches during the initial days of demonetization. He stated that the Zone intended to open two new branches in the last quarter of the current year in addition to making the present Currency Chest fully functional. He stated that out of 9 branches with single officers, 5 officers hadalready been posted to these branches and the balance 4 branches would be provided with 2nd officersshortly.HeexpressedthattheincreaseinNPAs from Rs.126 crore to Rs.232 crore during Sept-Dec 2016 quarter is a cause of concern which needed to be addressed immediately. He requested CBOOtomakeanappealtotheofficerstoactivelyparticipate in the ‘100 days’ Recovery Scheme’ announced recently.

Responding, G K V S Rao, Zonal Secretary thanked the Zonal Head for visiting the critical branches andsupportingtheofficersworkingunderpressurefor unlimited hours during the initial period of demonetization. He emphasized on the need for immediately opening of full-fledged CurrencyChest for the Zone. Thereafter, he highlighted the following issues:

1. Need for proper manpower assessment taking into account the actual transactions in the branch business potential and the increase in workload due to demonetization as number of accounts, transactions and related work has increased substantially.

2. PAD, ZO should make adequate arrangements for deputation to branches when the existing employees go on long leave due to medical emergencies etc.

3. Business impact on account of Finacle Migration, inordinate delay in realization of cheques sent for clearing.

4. Reported shortage of cash by Currency Chest in respect of cash remittance by branches and

irrational debits to the branches through IBR.

S Ramachandrappa, Deputy General Secretary, raised the following issues:

1. Holding ZCC in the middle of the quarter so thattheissuesraisedwouldreachtheofficersin time.

2. Despite loading mobile numbers in the system and activation of SMS banking as per the request of customers, the messages regarding transactions are either not sent or sent to customers with inordinate delay thereby defeating the purpose of providing such facilities to customers.

3. Non availability of cash at branches and delay in cash replenishment at ATMs has resulted in the customers of our Bank opening accounts with other banks without our knowledge. These customers have started routing transactions through other banks.

DGM assured to look into the issues raised by CBOO.

Mr J Sridhar, Senior Manager (Personnel) proposed vote of thanks.

- GKVS Rao, Zonal Secretary

Delhi - South

Zonal Consultative Committee Meeting of Delhi South Zone for third quarter of the financialyear was held on 19th December. Organisation was represented by Awadhesh Kumar Choudhary, Circle Secretary, Amit Kumar, Zonal Chairman, Mr. Manjeet Singh, Zonal Secretary, Mr. Kumar Gaurav, Deputy Zonal Secretary. Mr. Rathnakara, DGM and Zonal Head, Mr. Subhash Kumar Keshav, AGM and Ms. Jalaj Gautam, Manager (Personnel) represented the local Management.

Ms. Jalaj Gautam, Manager (Personnel) welcomed all present and requested Zonal Head to address.

Zonal Head, Sri Rathnakara started the meeting commending the staff members for their splendid work during the demonitisation process and appreciated and congratulated the representatives ofCBOOfortheirfieldlevelsupportandguidanceto

Only those are fit to live who do not fear to die;None are fit to die who have shrunk from the joy of life. – S Chander


members. He also appreciated the good work done by Currency Chest, Delhi. He added that the current quarter was affected due to the demonitisation work and Zone as a whole could not think of other business; despite that, there was improvement in CASA and Zone was able to achieve the Savings Bank target for December, 2016. Recovery of Rs. 84 lakh in NPA accounts was through SBNs and Zone opened 750 accounts per day. Zone’s advances are going down drastically, he added. He showed his concerns about increasing NPAs. He further said that every staff member should use and educate the customers for various digital payment channels. He informed that the Zone was number 1 under Bancassurance. He requested every branch to complete the updation work of mobile numbers.

Deputy Zonal Head, Mr. Subhash Kumar Keshav informed about the pendency of review/renewals at various branches. He further added that housekeeping was also a serious concern; a large number of time barred debts, seepage of income, inordinate delay in lodgment of audit reports by branches and outstanding suspense debtors/creditors entries in the books were also areas of concern.

Reciprocating, Manjeet Singh, Zonal Secretary shared Organisation’s concerns on Zone’s performance and NPA level. He assured for all round support to achieve business targets and improvement in all parameters and sought support to the branches from Zonal Office in this regard. He informedthe hardships being faced by the branches due to demonitisation work. Every branch and staff is working under tremendous pressure and sitting late has become order of the day.

He expressed displeasure on treating absence of some staff members as LOP and denial of leave even for a day. While requesting to relook into the issue, he suggested management representatives not to deny leave for genuine reasons.

Awdhesh Kumar Chaudhary, Circle Secretary placed the following issues:a. Non-improvement in POS service and worsening

situation as vendors are not responding to customers’ complaints.

b. He demanded that 1 more officer should beprovided to those branches which have crossed businessfigureof25crores.

c. Bank’s digital channels are not properly working and customers are facing lot of problems while transferring the money through PAYTM, IMPS or some other payment gateways and vice versa.

d. Our Bank’s cash deposit machines are still not working. He suggested for cash reconciliation of cash loading agencies, replenishing cash in ATMs in the backdrop of reported mismatches.

Meeting ended with an assurance from Zonal Head that issues raised will be taken care and resolved.

Ms. Jalaj Gautam proposed Vote of Thanks.

- Manjeet Singh, Zonal Secretary

DELHI – NORTH

Zonal Consultative Committee Meeting was held on 19thDecemberatZonalOffice,NewDelhi.CBOOwas represented by Circle Secretary, Awadhesh Kumar Choudhary, Zonal Chairman, Satish Kumar, Zonal Secretary, Arvind Arora and Deputy Zonal Secretaries – Mukesh Gupta and Bikash Chander Singh. Management team was represented by Zonal Head and Deputy General Manager, Sri Ashok Chandra, Assistant General Manager and Deputy Zonal Head, Sri Ramachandra G Bhat andPersonnelOfficerMrs.AsthaUttam.

Welcoming all, Mrs. Astha Uttam requested the Zonal Head to address.

Zonal Head, Sri Ashok Chandra acknowledged the work done by officers and staff devotedly duringthe crucial period during demonetization process and expressed satisfaction that no malpractice had been reported from any of the Branches regarding exchange of scrapped bank notes. Barring a few customer complaints which were subsequently found to be incorrect, everyone had done a good job, he told. He further shared that Zone had surpassed CASA target even for the March 2017 Quarter. Area of concern was lending - the entire lending segment has become negative in this Quarter. In view of the same, Zone has to focus on bringing fresh loan proposals for M S M E, Retail Loan sectors and also on recovery which is equally important to reduce the level of NPAs and avoid further additions to it, he said.

True happiness lies in the extinction of all emotions - Garuda Purana


Responding, Zonal Secretary, Arvind Arora raised the following:

a. Denial of leave even for genuine requirements especially the Branch Heads, inordinate delay in sanction of lease agreements of officers'quarters resulting in demotivation among staff.

b. Unpalatable language used by ZO staff with Branches.

c. Need to assess the facts of the case before initiating any action against staff upon any customer complaint.

d. IR problems faced in West Delhi Branch and improper response from ZO, PAD.

Circle Secretary, Awadhesh Choudhary pointed out:

a. Need for giving more emphasis on using digital products, POS machines; need for improvement in infrastructure for these products.

b. Need to follow up with MRL for improvement in service which is not up to the mark.

Responding, Zonal Head assured representatives that he would personally look into all the issues and instructed the PAD, any decision adversely affecting officersshouldbebrought tohisknowledgefirst.Meeting ended with vote of thanks by AGM Sri Ramachandra G Bhat.

- Aravind Arora, Zonal Secretary

MEETINGS

A meeting of the members was held at Hotel Adarsha Palace, Belgaum on 8th January. Ekanath Baliga, President, Satish Shetty, General Secretary and N S Krishnaraj, Circle Secretary were present. Sri Madan Mohan Kumar, Deputy General Manager and Zonal Head too was present. More than 100 members from the Zone attended the meeting.

The meeting commenced with invocation by Sri Rajendra Kumar, Smt. Hema D and others. Zonal Secretary, Vinod Gaikwad welcomed the gathering. He briefed the members about the activities of the Zonal unit and sought members’ participation in the union activities. Zonal Chairman, Mahadev R. Mangsulkar introduced the dignitaries.

Sri Madan Mohan Kumar, DGM

Felicitation to General SecretaryAddress by:

Welcome by V.N. Gaikwad, ZS

Introduction by Mahadev M., ZC

Prayer

Things do not happen; they are made to happen


Zonal Head, Sri Madan Mohan Kumar, addressing the gathering, complimented the officers for thesplendid work during the demonetization period including service at the counter, sorting and remittance of cash etc. “All customers were treated as equal citizens during the note exchange period. Several customers tried their luck by approaching employees – ‘Whether any possibility is there?’ The Zonedidnotfindanyproblemorirregularity.Butother business virtually stopped except the CASA target. The Zone is comfortable as the volume of NPAs is small. We need to contain and reduce it.” He promisedfullsupporttotheofficersandemployees.He warned about the irregularities. “If someone goes out of the way, please warn them; bring them on right path. There is also a need to be watchful against the wrongs perpetrated by customers. Branches shall strictly comply with KYC and Due Diligence,” he said.

General Secretary, Satish Shetty explained to the members the problems faced at various places during the demonetization, exchange and remittance of cash. He advised the members to exercise caution in remittance in the light of unexplained debits by Currency Chests to the Branches without proper logic. The likely such debit by RBI, at a later date, is anightmareforofficialsinthebranchuponwhomthe ultimate burden falls.

He also narrated the operational problems faced by staff in Finacle Branches and the efforts of CBOO to mitigate the same through bringing these issues to the notice of the appropriate authorities. On the business front, he requested all to encourage and endeavour for retail loans to contribute steady, healthy and remunerative growth in credit portfolio – with equal care and caution.

Circle Secretary, N S Krishnaraj explained to the members the issues related with Finacle and requested them to be prepared for the inevitable change of platform.

President, Ekanath Baliga requested all officersto orient the customers towards digital banking – with a twin objective of reducing the customer pressure at branches and to shift the transaction responsibilities from their shoulders to that of the customers. He also explained about the threats presently being faced by the bankers in respect of wage revision especially in the backdrop of inertia A view of the audience

Ekanath Baliga, President

N.S. Krishnaraj, Circle Secretary

Satish Shetty, General Secretary

Deal not unjustly with others; And you shall not be dealt unjustly with - Koran

at the UFBU level. The issue of replacing NPS with OPS shall be the main agenda in the next bipartite; hencetheyoungerofficersmustinvolvemoreintheaction programmes whenever called for,” he said.

In the open session that followed, the members raised several key issues:

a. Need to centralize TDS work and ITD claims.b. Need to recruit sub-staff on priority as there

are no sub-staff in a few branches.

c. Inconvenience faced by the Branches due to discontinuation of generators

d. Transferring officers mid year causinghardships and domestic problems.

e. Unwanted pressure exerted and threats meted out by District and Taluk administrations regarding PMFBY.

f. Inadequate broadband width affecting emails and access to requisite sites like Bhumi, CERSAI and ITD etc.

Vote of Thanks was proposed by Nagaraj Deshnur, Deputy Zonal Secretary. The meeting concluded with National Anthem.

RBI rejects details of its board meet ahead of demonetisation

The Reserve Bank of India has refused to allow access to minutes of meetings held to decide on the issue of demonetisation of Rs 1000 and Rs. 500 notes announced by Prime Minister Narendra Modi on November 8. Responding to an RTI applicationfiledbyactivistVenkateshNayak, theBankers’ Bank refused to disclose the minutes of the crucial meetings of Central Board of Directors on the issue of demonetisation citing section 8(1)(a) of the transparency law. The Section exempts disclosure of information which would prejudicially affect the sovereignty and integrity of India, the security,strategic,scientificoreconomicinterestsof the State, relation with foreign State or lead to incitement of an offence. Nayak said he will appeal againstthedecision,adding,“Whileconfidentialityprior to the making of the demonetisation decision is understandable, continued secrecy after the decisionisimplementedisdifficulttounderstandwhen crores of Indians including this author have faceddifficultiesduetotheshortageofcashintheeconomy”.

- The Times of India, 26/12/2016

10 director-level posts vacant in RBI

RBI’s all powerful central board is short of ten non-official directors and one Deputy Governorat a time when the apex bank is engaged in massive demonetisation and remonetisation exercises. The last board-level appointment done by the government was when it elevated N S Vishwanathan to the post of Deputy Governor in June. Prior to that, in March, the Government had nominatedthreenon-officialdirectors-NatarajanChandrasekaran, Bharat Narotam Doshi and Sudhir Mankad - on the central board of the bank. Still,thereare10positionsofnon-officialdirectorslying vacant on the RBI’s central board. For the post of Deputy Governor, the Government received about 90 applications till October 21, the last date for sending applications. The post fell vacant after elevation of Urjit Patel as the Governor of RBI in early September.


BaNkiNg rOuNd up

Sri T R Sundar, former Organising Secretary of CBOO breathed his last on 20th December at Bangalore. He was 60. He is survived by wife and two sons.

Sri Sundar had opted out on VRS in September, 2015 (pl.

refer OV, November, 2015) due to his failing health resulting into immobility. He was unwell forlong.Joinedin1980asanofficer,heservedthe Bank for 35 years with a spotless career of disciplined work.

Sri Sundar was a very committed functionary of CBOO. His active participation in guiding the activities pertaining to the 19th Conference and assistance rendered to the Reception Committee - despite difficulties in movement – was atestimony to this.

Sri Sundar mantled several organizational posts in pursuit of the common cause – starting from 1981 till 2003 (with a gap from 1998 to 2001).

CBOO dips its banner in honour of the valiant leader of CBOO and prays Almighty to rest his soul in eternal peace.


OBituary


Bank employees’ pay to be far more attractive from April 1: Vinod Rai

Call this a New Year gift from the Banks Board Bureau (BBB) to public sector bank (PSB) employees. As part of the efforts to attract more professionals into the PSB space, the BBB will revamp the compensation package of employees and introduce bonuses, employee stock options (ESOPs) and performance-linked incentives from April 1 this year, its Chairman Vinod Rai said. The BBB is also toying with the idea of ensuring a longer tenure for those appointed as executive directors and chief executive officers.“Ifweprovide,say,asix-yeartenure,thereis greater degree of compulsion of accountability that these officials will be subject to,” Rai saidwhile delivering the 97th Assocham Foundation Day lecture in the capital on “Good governance is essential for sustained economic development.” Rai said that the compensation package of the PSBs needed to be improved in order to attract more professionals. “We may not be able to do much aboutthefixedcomponent,butwecanchangethevariablecomponent.“Fromthenextfinancialyear,we should be able to introduce bonuses, ESOPs and performance-linked packages. There would be both monetary and non-monetary incentives,” he added. Later, asked whether the improved package would be applicable only for senior management, Rai told Business Line that it would be available across all segments, including senior management and middle-rung executives. On whether BBB was ontracktofillupallvacanciesatthehelmofPSBs,Rai said the Bureau was doing the needful. “We are in theprocess of fillingup vacancies.Wearelooking for the right people. We are trying to ensure that we choose the best and not the second best. Maybethereareoneortwovacanciestobefilled.But most of them have been done,” he said.

In his lecture, Rai said the need for greater probity, transparency and accountability in governance had gained added significance, going by India’sexperience in the past two decades since the opening of the economy in the 1990s. “While we have performed well in almost all sectors in the economy since liberalisation and we could withstand the global economic slowdown, we did fail to achieve the true potential of liberalisation

reforms. There can be no denying the fact that there have been instances of lack of probity, transparency and accountability at various levels of government and corporations,” Rai added. As a result, growth tapered off before fully exploiting thesizeabledomesticmarket;profitsofindividualcompanies dipped; and investors’ interest declined. Thefinancialpositionofthegovernmentremainedunder pressure with not enough funds to spend on various welfare schemes. “The gains reaped earlier may also get wiped out, if the government has to intervene financially to bail out individualcompanies or a sector,” he said.

- The Hindu Business Line, 05/01/2017

RBI halts destruction of withdrawn notes

The Reserve Bank of India has halted the destruction of withdrawn Rs. 500 and 1000 currency notes. “All RBI regional offices have been directedto stop destruction of the demonetised notes. Consequently, the process was stopped at the end of last week,” said a source in the RBI. No reasons have been cited for the decision. The apex bank has also commenced a comprehensive audit of the 4,075 currency chests to verify the number/nature of the currency notes that have been returned. The move comes as a surprise because RBI staff was expecting commencement of a second shift to handle the disposal of the huge volume of notes returned to the RBI following the demonetisation announcement on November 8.

As per data, of the 9,026 core currency notes that were in circulation prior to demonetisation, the withdrawn Rs 500 and Rs 1000 notes accounted for around 2200 crore. The return of more notes than expected could be one of the reasons for halting the routine destruction, said sources. If the number of notes returned is higher than expected, it is a serious issue warranting examination for fake notes and duplication in note numbers/series. So far, there has been no authentic data on the old notes returned to banks from November 9 till December 31. According to reports, around Rs 14.5 lakh core of the total recalled value of Rs 15.4 lakh crore have come back.


Aim for the moon; if you miss, you may hit a star.


Oil retailers or banks will have to bear charges on card payments

The government has clarified that the consumerwill not bear any extra burden on their auto fuel bills. While assuring the petrol pump dealers that their concerns on charges being levied by the banks for digital transactions will be addressed, Minister of State (Independent Charge) for Petroleum and Natural Gas Dharmendra Pradhan said the oil marketing companies and the banks are looking at alternatives to mitigate any additional costs without burdening the consumers.

The whole controversy emerged when All India Petroleum Dealers Association protested against the levy of merchant discount rate by the banks on credit/debit card transactions post demonetisation from November 8. The government also decided to incentivies plastic transactions through a 0.75 percent discount on fuel purchase. As the sales from cash started shifting to plastic money, the dealers started feeling the pressure on their margins because of the additional levy.


Banks Approach Company Law Tribunal to File Winding-up Plea Against UBHL

Lenders of beleaguered liquor baron Vijay Mallya have approached the National Company Law Tribunal (NCLT) to file a winding up petitionagainst United Breweries Holding (UBHL) which ownsastakeinKingfisherBeermakerandexpecta ruling in their favour by the end of the month. “We have been left with no other option than to fileawindinguppetitionagainstUBHoldingsandthat will happen very soon,” a top banker, who didnotwishtobeidentified,said.“WehavesolidguaranteefromUBHLcoveringKingfisherAirlinesdues and that makes our case very strong.”

UB Holdings had extended guarantees of Rs 8,707 crore to lenders of Kingfisher Airlines, butthe validity of these corporate guarantees were later challenged by Mallya in the Bombay High Court. Mallya individually owns 7.91% stake in UB Holdings while another 19.02% is held by his associate companies in India. Watson, a foreign companyaffiliatedwithMallya,owns21.19%while

another 4.22% is owned by Firstart, a company owned by Mallya’s mother her Lalitha.

- The Economic Times, 11/01/2017

Liquidity push: China’s central bank injects $ 124.9 billion in December

China’s central bank injected a total of 868.75 billion yuan ($124.90 billion) via short and medium-term liquidity tools in December, its data showed on Tuesday, as it continues to support credit expansion and the economy. December liquidity injections were up 13.2 percent from November, according to Reuters’ calculations based on central bank data.

The People’s Bank of China said in a statement on itswebsitethatitlent733billionyuantofinancialinstitutions via its medium-term lending facility (MLF) in December. The bank lent 358 billion yuan for six months and 375 billion yuan for one year. Outstanding MLF was 3.457 trillion yuan at the end of December compared with 2.736 trillion yuan at the end of November, implying a net injection of 721.5 billion yuan. The PBOC said it also extended 135.75 billion yuan of loans to local financialinstitutions in December via its standing lending facility (SLF). The total outstanding amount of SLF loans was 129.01 billion yuan at the end of December. The people’s Bank of China uses the SLF and the medium-term leading facility as tools for managing short-and medium-term liquidity in the country’s banking system.


Six PSBs lead deposit growth in Jan Dhan a/cs, post-demonetisation

The demonetisation of Rs.500 and Rs. 1,000 currency notes on November 8 led to an inflowof deposits into the country’s banking system. However, public sector banks (PSBs) led the race in deposit receipts under the Pradhan Mantri Jan Dhan Yojna (PMJDY). The total balance in PMJDY accounts increased to Rs 71,036.59 crore as on December 28 from Rs 45,636.62 crore as on November 9, recording a growth of Rs 25,399.98 crore. Public sector banks contributed a major share of Rs 18,842.68 crore in this deposit growth.

Be civil to all; social to many; familiar with a few, friend to one and enemy to none.- Francis Bacon


Nearly half of the total increase in PMJDY accounts across all banks (including regional rural banks and private banks) has been contributed by six PSBs. They were successful in garnering more than Rs 1,000 crore each post-demonetisation. State Bank of India witnessed an increase of around Rs 3,988.33 crore in balance in its PMJDY accounts during the period. Bank of Baroda saw a growth of Rs 2,270.39 crore, United Bank of India Rs 1,859.65 crore, Oriental Bank of Commerce Rs 1,565.56 crore, Bank of India Rs 1,460.47 crore, and Punjab National Bank saw an increase of Rs 1,307.50 crore. However, UCO Bank’s balance amount in PMJDY accounts came down from Rs 1,827.93 crore as on November 9 to Rs 1,479.37 crore as on December 28.

Regional Rural Banks

The balance in PMJDY accounts of regional rural banks (RRBs) (sponsored by various banks) saw an inflowofRs5,537.51croreduringtheperiod.Pre-demonetisation, only the RRBs sponsored by State Bank of India and United Bank of India had more than Rs 1,000 crore of balance in PMJDY accounts. RRBs sponsored by Bank of Baroda, Central Bank of India, Punjab National Bank, Syndicate Bank and United Bank of India crossed the Rs 1,000-crore mark in balance amount in PMJDY accounts during the period. Though the balance in RRBs sponsored by State Bank of Mysore, UCO Bank, Union Bank of India, and Bank of Maharashtra remained below the Rs 500-crore mark as on December 28, these banks saw manifold jump in their balance amounts during the period.

Private banks

Data available on the 13 private sector banks indicate that all put together they managed to get additional Rs 1,019.79 crore into PMJDY accounts during the 49-day period. Of this, HDFC Bank managed to get Rs 386.78 crore. The amount in PMJDY accounts increased to Rs 1,095.47 crore (December 28) from Rs 708.69 crore (November 9). Jammu and Kashmir Bank saw the amount increase by Rs 237.43 crore, and ICICI Bank by Rs 107.34 crore during the period.


Post-demonetisation: PSBs account for over 75% of Jan Dhan A/cs

Public sector banks (PSBs) enrolled more Pradhan Mantri Jan Dhan Yojna (PMJDY) accounts compared to regional rural banks (RRBs) and private sector banks after demonetisation of Rs 500 and Rs 1,000 currency notes on November 8. The available data shows that more than three-fourths of the 69 lakh new accounts opened under the PMJDY between November 9 and December 28 came from PSBs, which added 54.52 lakh new accounts. Nearly 37 lakh of them were from urban areas alone. RRBs followed PSBs with 12.98 lakh new PMJDY accounts during the period. However, a majority of the accounts (11.92 lakh) were from rural areas. Though major private sector banks added 2.28 lakh new accounts during the 49-day period from November 9, the number of accounts came down by 76,885 in rural areas. This led to a total increase of 1.51 lakh new accounts during the period.

Zero balance

As on December 28, one-fifth (20.50 percent) ofPMJDY accounts in RRBs, one-third (35.01 percent) of accounts in private banks and one-fourth (24.45 percent) in PSBs had zero balance.

RuPay

Private sector banks improved their performance in issuing RuPay debit cards to PMJDY account-holders. The percentage of PMJDY accounts with RuPay debit cards in private banks increased to 96.17 percent by December 28 as against 92.70 percent as on November 9. Even PSBs and RRBs improved their performance to 79.32 percent (77.19 percent) and 74.16 percent (68.22 percent), respectively, during the period.

Aadhaar

The seeding of Aadhaar number has been completed in more than half of the PMJDY accounts (58.66 percent as on December 28) in PSBs. It is yet to reach the halfway mark in private sector banks (45.32 percent as on December 28). The seeding of Aadhaar number touched 50.27 percent in RRBs by the end of December 28.


By failing to prepare, you are preparing to fail.

Rights’ awareness programmes to be held in all States: banking standards board

To create greater awareness at the grass root level, the Banking Codes and Standards Board of India (BCSBI) will organise a “know your rights” programme in all the States. For this, the organisation will focus on tier-II cities, metros and other backward areas, Anand Aras, CEO, BCSBI, said. With the opening of a large number of Jan Dhan accounts, increased use of formal and transparentmodes of financial transactions, it isnow imperative for the lesser-privileged sections of society to understand their rights, he added.


Govt eyes regulator for digital payment

With digital transaction gaining traction, the government is mulling setting up of a separate regulator for enabling electronic payment system in the country as well as regulating transaction charges. While the Ratan Watal committee on digital payments suggested that the government makes regulation of payments independent from the function of central banking, sources said RBI is not very keen on giving up the regulation on payment systems.


HDFC Bank lets go of 4,500 employees in Q3, may go slow on hiring

HDFC Bank, India’s most valuable lender, let go of nearly 4,500 employees in the October-December quarter as earnings growth fell to an 18-year low and costs became a big focus area. The employee reduction is probably the largest by the bank in a single quarter and is likely to continue if the economic recovery does not quicken, say analysts. The bank indicated that future hiring pace could slow as it focuses on productivity through various measures including accelerated automation.

“The drop in headcount has primarily been a result of combination of natural attrition and a hiring at a clip lower than normal made possible by achieving higher productivity and efficiencies over the lastfew months,” HDFC Bank said in an email response to ET’s queries. Total employees of the bank fell to 90,421 in December 2016, down 5% from 95,002 in September 2016, data from the bank showed. Some of the drop could also be attributed to natural attrition.

- The Economic Times, 26/01/2017


A. SUPERANNUATION RETIREMENTS

The following members will be retiring from

the service of the Bank on attaining the age of

superannuation on 28th February, 2017:

1. Ms. Irene Philomena D’Souza, Assistant Manager, Mumbai-Santacruz (Greater Mumbai Zone)

Ms. Irene joined the Bank in March,

1977 as a Typist cum Clerk. She

was promoted as Special Assistant

inDecember,1995andasOfficerin

JMG Scale I in February, 2003.

During 40 years of service, she worked at Head

Office, Mangalore Pandeshwar, Mumbai-C.F.E.D,

Nariman Point, Khar, Santacruz, (East), Vile Parle

and Mumbai-Mahim.

2. Mr. P V Badri, Senior Manager, Sriperumbudur (Chennai Zone)

Sri Badri joined the Bank as a Clerk in July, 1978.

HewaspromotedtoOfficercadreinJMGScaleI in

July, 1984. He became Manager in MMG Scale II in

May, 1991 and Senior Manager in Scale III in October,

2001.

During39yearsofservice,heworkedatHeadOffice,

Namakkal, Chennai-CBB, Mumbai-Shivajipark,

Coimbatore-Velandipalayam, Mullukurichi,

Chennai-Tambram Sanatorium, Regional Office,

Nungambakkam, Mint Street, Agra, Salem-Town,

Guduvanchery and Chennai-Anna Nagar.

3. Ms. Geeta Ramesh Kamath, Assistant Manager, Mumbai-Large Corporate Lending (Greater Mumbai Zone)

Ms. Geetha joined the Bank as a

Clerk in December, 1978. She was

promotedasOfficerinJMGScaleI

in February, 1984.

During 39 years of service, she worked at Mumbai-C.

F. E. D., Nariman Point, Fort, Overseas, IIBD and

Mumbai-Amboli Andheri (West).

retiremeNts


4. Mr. V Narayana Holla, Senior Manager (Computer), Information Technology Division, Head Office

Sri Holla joined the Bank as a Clerk in December, 1978. He was promoted to Officer cadre in JMG Scale I inDecember, 1983. He became Manager in MMG Scale II in July, 1996 and Senior Manager in Scale III in October, 2001.

During 39 years of service, he worked at Head Office,Sravanabelagola,Mumbai-Kalbadevi(CBB),HO - Computer Policy & Planning Division, Zonal Office- Chennai, Zonal Office –Coimbatore, ZonalOffice-BelgaumandZonalOffice-Mysore.

5. Mr. Samir Kumar Mal, Assistant General Manager, Zonal Office-Kolkata

Sri Mal joined the Bank in May, 1979 as a Typist cum Clerk. He was promoted to Officer cadre inJMG Scale I in August, 1984. He was promoted as Manager in MMG Scale II in July, 1996 and as Senior Manager Scale III in February, 2003. He became Chief Manager in SMG Scale IV in March, 2010 and Assistant General Manager in Scale V in August, 2012.

During 38 years of service, he worked at Kolkata-Dharamtolla, New Delhi-IAD Cell, Kolkata-Canning Street, Sikanderpur, Zonal Office-Eastern Zone,Howrah, Kolkata-Maniktala, Burtolla, Narela, Kolkata-Salt Lake City, Rash Bihari Avenue, Bhopal-M. P. Nagar and Marketing Division, HO.

6. Mr. B Krishna Mohan, Manager, Bheemavaram (Vijayawada Zone)

Sri Mohan joined the Bank as a Clerk in October, 1980 and became a Special Assistant in August, 1998. He was promoted toOfficercadre inJMGScale Iin March, 2003. He became Manager in MMG Scale II in July, 2014.

During 37 years of service, he worked at Pune, Chittoor, Kakinada, Dulla, Bheemavaram, Hindupur, Vijayawada-Main, Challapalli and Jaggaiahpet.

7. Ms. Doris Samaritana T Collaco, Assistant Manager, Goa-Arlem (Goa Zone)

Ms. Doris joined the Bank as a Clerk in September, 1981 and became Special Assistant in July, 1999. She was promoted as Officer in JMGScale I in September, 2013.

During 36 years of service, she worked at Margao, St. Jose De Areal, Marmugoa (Vasco-Da-Gama), Dandevado, Maina Curtorim and Shirwai Amona.

8. Mr. Chandrashekara Kalkur, Chief Manager, Zonal Office-Chennai

Sri Kalkur joined the Bank as a Clerk in September, 1984. He was promoted toOfficer cadre inMMGScale I in February, 1994. He was promoted as Manager in MMG Scale, II in December, 2001. He became Senior Manager in Scale III in December, 2007 and Chief Manager in SMG Scale IV in August, 2012.

During 33 years of service, he worked at Doopadakatte, Karkala, Accounts & Administration Division, Corporate Finance Management Division, Regional Office-North Region, Delhi-Pitampura,ZonalOffice-DelhiNorth,NewDelhi-Janakpuri,HeadOffice -CreditDivision (Sanctions),C.A.P.S.Division,Hubli-CCPC,Mangalore-ZonalOffice,CCPC and Chennai ARMB.

9. Mr. S Koteeswaran, Manager, Chennai Service (Chennai Zone)

Sri Koteeswaran joined the Bank as a Clerk in July, 1983. He was promotedasOfficerinJMGScaleIin September, 2004 and he became Manager in MMG Scale II in July, 2014.

During 34 years of service, he worked at Erode, Kunnathur, Nallur, Vengikkal, Nagercoil, Adukambarai (Munjurpet), Lalapet and Chennai-Kilpauk.

It’s best to act when feasible; If not see what’s possible - Thirukkural


10. Mr. K S Venkatesha, Manager, Zonal Office-Mysore.

Sri Venkatesha joined the Bank as a Clerk in August, 1983. He was promoted as Officer in JMG ScaleI in March, 2002 and he became Manager in MMG Scale II in May, 2016.

During 38 years of service, he worked at Head Office-AdvancesDepartment,Mysore-SiddharthaLayout, Mysore-Main, Mysore-Kuvempu Nagar, Vellore, Mangala, Mysore-Service, Hullahalli and Mysore-Vantikoppal.

11. Mr. Varahamurthy Sudhindra Madhwa, Assistant Manager, Hanumarahalli (Hubli Zone)

Sri Madhwa joined the Bank in August, 1984 as a Typist cum Clerk.HewaspromotedasOfficerin JMG Scale I in April, 2010.

During 33 years of service, he worked at Britona, Ponda, Hubli-New Cotton Market, Aravindanagar, Coen Road, Vidyanagar, Hirewaddatti and Hubli-Mini CAPS.

12. Mr. Chaturbhuj Sahoo, Chief Manager, Kolkata-Dharmtolla (Kolkata Zone)

Sri Sahoo joined the Bank as OfficerinScaleIinJanuary,1985.He was promoted as Manager in MMG Scale II in October, 1998. He became Senior Manager in Scale III in October, 2006 and Chief Manager in SMG Scale IV in February, 2012.

During 32 years of service, he worked at Bangalore-Shivajinagar, Regional Office, Cuttack,Jamshedpur-Godown Area, Bhubaneshwar, Uttorda, Berhampur, Phagwara, Bhubaneshwar-Nayapally, Jayadev Vihar and Hyderabad-Siddiamber Bazar.

B. VOLUNTARY RETIREMENTS

The following members retired from the Bank voluntarily, under Regulation 29 of Pension Regulation during December, 2016:

1. Mr. Venkatesh Archak, Assistant Manager, Sarathi (Hubli Zone)

Sri Archak joined the Bank in May, 1981 as a Typist Cum Clerk. He became a Special Assistant inFebruary,1997.HewaspromotedasOfficerinJMG Scale I in September, 2013.

During 36 years of service, he worked at Bangalore-Yelahanka, Haveri, Ranibennur, Chitrdurga and Davangere-Mandipet.

2. Mr. Prasanta Kanti Datta, Chief Manager, Mumbai-Nariman Point (Greater Mumbai Zone)

Sri Datta joined the Bank as Agricultural Field Officer in ScaleI in June, 1984. He was promoted as Manager in MMG Scale II in October, 1998. He became Senior Manager in Scale III in December, 2007 and Chief Manager in SMG Scale IV in October, 2014.

During 33 years of service, he worked at New Delhi-ZonalOffice,Bhatinda,HeadOffice-Agriculture&Rural Dev. Department, Rural Banking Division, Calcutta-RegionalOffice,CanningStreet,Durgapur,Kolkata-Bhowanipur, New Delhi-Preeth Vihar, Vasant Kunj, Howrah and Mumbai-Borivili.

3. Mr. S S Ramani, Senior Manager, Bangalore - Airport Road ( Bangalore – South)

Sri Ramani joined the Bank in December, 1985 as a Typist cum Clerk.HewaspromotedtoOfficercadre in JMG Scale I in February, 1996. He became Manager in MMG Scale II in December, 2004 and Senior Manager in Scale III in March, 2010.

During 32 years of service, he worked at Head Office - Board Secretariat, K.G.F.-Robertsonpet,Dodballapur, Bangalore-Cantonment, Hosur, Bangalore - Mysore Main Road, CAPS, Mumbai-CAPS, Goa-Anjuna, Ribandar, Mumbai-Staff Training College and Bangalore-Staff Training College.

Discipline is a place for everything and everything in its place – Samuel Smiles


4. Mr. Pradeep Ingle, Chief Manager, Varanasi (Varanasi Zone)

Sri Ingle joined the Bank as a Clerk in January, 1983. He was promotedtoOfficercadreinJMGScale I in October, 1994. He was promoted as Manager in MMG Scale II in July, 2004. He became Senior Manager in Scale III in March, 2010 and Chief Manager in SMG Scale IV in September, 2014.

During 34 years of service, he worked at Raipur, NewDelhi-RegionalOffice,FriendsColony,Raipur- Main, Bilaspur, Pilerne, Korba, Raipur-Pandri and New Delhi-Punjabi Bagh.

CBOO thanks all these members for their support and co-operation all these years and wishes them a happy, healthy and contended retired life.

Members are requested to send their photos to ‘[email protected]’ during the month prior to the month of their retirement. Similarly, those members who have been relieved from the services on VRS shall do so in the month of relief.

- Editor

PARINAY

The new link enabled by CBOO in its website – ‘PARINAY’ has got good response from Corp bankers. We feel encouraged. To recapitulate:

a. The initiative can be utilized by all Corp bankers irrespective of grade and scale for self or their dear and near ones.

b. Registration is through the link only. Navigate –

1. ‘www.cboo.org’>ACTIVITIES>NON-BARGAINING ACTIVITIES>PARINAY

2. ‘www.cboo.org’ > HOME PAGE> LINKS> PARINAY

c. Registrations will be scrutinized and ported to the list of the brides or bridegrooms as applicablebeCentralOffice.

d. No letter in hard copy or photographs shall be sent to CO.

You may also help your colleagues by conveying this to the needy/desirous among them.

- GS

aiBOC News

Text of AIBOC Circular No. 68/2016 dated 28/11/2016

GOOD GOVERNANCE MERE WORDS! REPRESENTATION TO PMO-PROVES FUTILE

Our members are aware that there has been an inordinatedelayinappointmentofOfficerNomineeDirectors on the boards of various public sector banks. The matter has continuously been pursued by us through various fora. The matter being of utmost importance for the effective governance of the Bank Boards, had been included in our Strike calls dated 11.12.2015 and in subsequent strike calls. Despite various assurances given in the conciliation meetings, there seemed no change in the status. We, therefore, represented to the highest authority, the Hon’ble Prime Minister vide our letter No. 2016/123 dated 03.10.2016. The representation was sent through mail as well as was delivered by hand to the PMO and was duly acknowledged. We were given the grievance registration number DEABD/E/2016/13576. On enquiring the status on Centralised Public Grievance Redress Monitoring System (CPGRAMS) portal maintained by Department of Administrative Reforms and Public Grievances on 8th November, 2016, we were totally dismayed to find that thecase has been CLOSED, quoting the detail as “The proposals for Officer Employee Directors received from respective Public Sector Banks have already been sent to DoPT for obtaining the approval of Appointments Committee of the Cabinet. However, the same are still awaited.”

Surprised by such a lukewarm response, we immediately sent our feedback as follows:

“We are really shocked to know the status of our Representation No.PMOPG/E/2016/036627 has been closed. Our grievances were addressed to the Hon’ble Prime Minister vide our letter No. 2016/123 dated 03.10.2016 regarding DEFICIENCY IN GOVERNANCE OF PUBLIC SECTOR BANKS – A SERIOUS THREAT, UNDUE DELAY IN APPOINTMENT OF OFFICER EMPLOYEE DIRECTOR ON THE BOARDS OF NATIONALISED BANKS.

If more than one month is taken in getting the status of the issue, it is highly unsatisfactory on the part of

There is no discredit greater than the refusal to acknowledge errors -M K Gandhi

such a high office. However, for your information, we have always been informed by officials of DFS and DOPT (unofficially) that the files are pending at PM office only. We, therefore, request you to re-open our grievance for an early resolution.”

We were once again advised that the case has been closed on 25.11.16. The status advised was a mere repetition of the earlier advice as “The proposals for appointment of Officer Employee Directors received from respective Public Sector Banks have already been sent to DoPT for obtaining the approval of Appointments Committee of the Cabinet. However, the same are still awaited.”

It is really astonishing, disappointing and unexpected on the part of the Government which boastsof itsefficiencyandmaximumgovernance.We immediately sent the feedback as follows: “It is really surprising that instead of resolving the issue of substance and relating to governance of the Banks, only status is being told. Is DOPT supposed to take more than one year for obtaining the approval of Appointments Committee of Cabinet! Sorry to say that it reflects very badly on the functioning of the Government.”

We really wish that some lessons may be learnt fromus-theBankofficials,whoinPrimeMinister’sown words have accomplished a task equivalent of one year in a short time of 10 -15 days at the call of Government for the demonetization drive. And we feel proud that this is not the first instance thatwe have proved our mettle in achieving big targets in implementing various Government polices like Prime Minister Jan Dhan Yojana or Mudra Loan etc. in record time. In sharp contrast, the system followed in PMO raises many questions about its effectiveness. Is this the efficiency of the highestpoliticalofficeforwhichmanytallclaimsarebeingmade! The question is not only of appointment of a few individuals but is also the issue of good governance for which the ‘Banks Board Bureau’ was specially formed. It’s a matter of maintaining sanctity of Banking Regulation Act, a subordinate law of our constitution. It is also a matter of importance of representation of the most trusted and admired workforce of the Banking industry, which is known for its positive approach and contribution in decision making of the Banks.

We really hope that the ‘Good Governance’ does not remain to be jugglery of words only but would translate into real actions!


Class rOOm

BHIM MONEY TRANSFER MADE EASY: ALL YOU NEED TO KNOW

The post-demonitisation days have seen dependency on card-based and mobile wallet payments increase exponentially. A lot of people have used apps such as Paytm and Freecharge to pay other user and to transfer money. Prime Minister Narendra Modi recently launched the BHIM app that is said to make payments easier and much faster. Here is a comprehensive guide on how to use it.

What is BHIM?

BHIM is short for Bharat Interface for Money. It is a money transfer app based on UPI for Android phones.

What is UPI?

UPI stands for United Payments Interface. Money can be transferred to individuals to their bank accounts within seconds. The money transfer takes place via IMPS. The advantage here is that there is no need for either the person transferring the amount or the recipient to know the bank details or mobile number. The receipt and transfer takes place on the basis of a Virtual Payment Address (VPA). The VPA looks something like xxxx@icici. Almost all the banks under UPI have their UPI apps as or have integrated UPI into their existing apps.

So why BHIM?

BHIM is a single app that can be used with any bank. The VPA –across all banks ends with @UPI. For example xxxx@UPI. From Google Play Store. https://goo.gl/wSsd5h

The Play Store is for Android. I have an iphone.

The app is and available on Android as of now. Support for iOS, window Phone and Black Berry may arrive soon.

Okay Download. Now what?

Open the app and enter your mobile number. It will store your mobile number and verify it. Next, you have to select the bank in which you have an account. The app will once gain search the bank’s account linked to your mobile number and display it. If the account number is correct, select it. The account will now be linked to the app. You will be given a default VPA <yourmobilenumber> @UPI. You can also set your unique ID (your name), subject to availability. You will be shown a QR code,


which you can store or print. You will also be asked to set a pin code for security.

How do I transfer money?

There aremultiple ways to do so. The first is totransfer via mobile number or UPI ID

1. Enter the mobile number or UPI ID of the recipient.

2. Enter the amount.3. You will be asked to enter your PIN 4. The amount will be transferred immediately.The second is to transfer using QR code. 1. Scan the QR code in the mobile of the recipient

or a print out of the code.2. Enter the amount 3. It will ask for your PIN4. The amount will be transferred immediately.

Can I request money?

Yes, you can request money from other BHIM users through the app. For this, you have to open the ‘Request’ link and mention the UPI ID or mobile number. You can also time the validity of your request. The sender will be asked to enter their PIN before transferring the amount.

The person I want to transfer money to does not have a UPI VPA. What do I do?

In the Send Money option, click on the three dots on the top right. You will get an option that says ‘ACCOUNT+IFSC’. You will be able to transfer the money based on account number and IFSC code of the recipient.

Can I transfer any amount?

No. It is limited to Rs. 10,000 per transaction and Rs. 20,000 within 24 hours.

Can I add multiple accounts?

Yes and No.You can add multiple accounts. But only one account can be used at a time. Even if you switch accounts, your VPA will be the same.

Can I transfer money to other wallets from BHIM?

No, this feature is not available on the app.

I don’t have a phone. Can I use BHIM through my computer?

No. An Android phone with internet connectivity is a MUST for the BHIM app.

Must the recipient have a mobile?

No. There is no need for the recipient to have a mobile. It will be credited directly to the recipient’s account. However, the recipient must have a VPA. If not, money can be transferred using the recipient’s account number and IFSC code.

What are the advantages over other UPI apps?

The VPA is simpler. The VPA for each bank is different. For example, if you have an account in ICICI, the VPA will be xxxxx@ICICI. For a HDFC Bank account holder, it will be xxxx@HDFC. BHIM eliminates all these different IDs. All BHIM VPAs end with xxxx@UPI. Also, most UPI apps of banks don’t have QR codes, while BHIM has that option.

What are the advantages over other wallets like Paytm or Mobikwik?

In other wallets, you have to store money in the wallet. You are blocking your money by storing money in the mobile wallets and you are losing interest. But in BHIM, the amount stays in your bank till you transfer. Also, when someone transfers money, you will get it in your account.


CirCular rOuNd up

1. Usage and Reference of Generic Term Credit Information Companies (CICs) (Credit Policy & Planning Section, Credit Division, HO

Circular No: 801/2016 dated 19.12.2016)

Branches/Offices have to use the Generic TermCredit Information Companies (CICs) or the names of all the four (4) CICs and desist from using the specificnameofCIBIL,whilereferringtoCICs.Thisis required to ensure that appropriate information on sharing of their data is given to the end customer

while creating awareness about all the CICs.

2. Common Sanction Letter and Scoring System for PMEGP.(MSME Division, HO, Circular No: 805/2016 dated

21.12.2016)

Introduction of a Common Sanction Letter (Credit Sanction Intimation-CSI) and Credit Scoring System for evaluating the project proposal of PMEGP applicants has been introduced in the Bank as approved and communicated by the Indian Banks’ Association (IBA). The Credit Sanction Letter (CSI) is enclosed as Annexure-I and Credit

Grammar and logic – learn so that, Foes you can, boldly retort -Thirukkural


Scoring System/Methodology for evaluating project proposal of PMEGP applicants is enclosed as Annexure-II to the circular, for use of our Branches.

3. Recovery Campaign 2016-2017 & Staff Recognition Scheme.(Recovery Division, HO, Circular No: 807/2016 dated 21.12.2016)

A 100 days’ long Recovery Campaign & Staff Recognition Scheme has been announced vide the circular from 22nd December, 2016 to 31st March, 2017.

v Asset Excellence award for Branch Heads, Zonal Heads, Circle Heads & Zonal Recovery Teams.

v Asset Quality Club Membership award for staff members/officers working in Branches/otheroffices.

v Riyayati Leadership award for recognising best performance under Corp Riyayati-IV scheme.

v Performance of the award winners to be recordedinpersonalprofile/appraisal.

4. Introduction of New Payroll Variants – CORP PAY ELITE – ARMY AND CORP PAY DELITE – ARMY- Exclusively to cater to Army Personnel. (Marketing Division, HO, Circular No: 808/2016 dated

21.12.2016)

v Introduction of New Payroll Variants – CORP PAY ELITE – ARMY AND CORP PAY DELITE – ARMY- Exclusively to cater to Army Personnel.

v Details of First Salary Credit to be entered in Plum Menu before 7th of every month, for all the Corp Pay Elite & Delite Variants, to facilitate purchase of Life Insurance Cover.

5. Inter Branch Transactions – Need for timely elimination of entries.(Financial Management Division, HO, Circular No:

809/2016 dated 22.12.2016)

v The need for timely elimination of Inter Branch Transactions has been emphasised in the circular.

v A programme has been enabled in CORE, which will enable the Branches/Offices to view thepending entries at the time of signing off at the Branches.

v The updated list of pending entries is made available in Bank’s Intranet ( Download-IBR entries – Branch wise entries).

6. Sending “Letter of Thanks” and periodical updation of KYC(Re-KYC)- norms reiterated. (KYC and AML Cell, HO, Circular No: 816/2016 dated

27.12.2016)

v Sending Letter of Thanks by Registered Post with Acknowledgement Due (RPAD) or through reputed Courier Agency approved by Zonal Office.

v Periodical updating of KYC (RE-KYC) exercise should be done at least every two years for High Risk customers, every eight years for Medium Risk customers and every ten years for Low Risk customers.

v Such KYC exercise may include all measures for confirming the identity, addressandotherparticulars of the customer that the Branch may consider reasonable and necessary based ontheRiskProfileofthecustomer.

7. Operational Guidelines for Remitting Tax through ITNS 287 under Pradhan Mantri Garib Kalyan Yojana 2016.(Government Business Division, HO Circular No: 818/2016

dated 27.12.2016)

The detailed procedure to remit tax under the Taxation and Investment Regime under Pradhan Mantri Garib Kalyan Yojana 2016 have been highlighted.

8. Interest Subvention Scheme for Short Term Crop Loans during the year 2016-2017 – Grant of grace period of 60 days beyond due date. (Priority Sector Division, HO Circular No: 819/2016 dated

29.12.2016)

In view of the constraints faced by Farmers for timely repayment of loan dues on account of withdrawalofLegalTenderstatusofSpecifiedBankNotes (SBNs), the Government of India has decided to provide an additional Grace Period of 60 days for prompt repayment. Incentive of 3% to those farmers whose Crop Loan dues are falling due between 1st November 2016 and 31st December, 2016, if such Farmers repay the same within 60 days from the above period.

Success is sweet; but its secret is sweat


9. Introduction of Standardised Forms in our Bank.(Organisation & Methods Division, HO Circular No:

821/2016 dated 29.12.2016)

As per the direction of the Reserve Bank of India (RBI), Indian Banks’ Association (IBA) has advised all its member Banks to adopt standardised forms for convenience of the customers. Accordingly, 9 forms for which Standardised Forms introduced by our Bank for the usage of customers with effect from 01.01.2017 have been furnished as per Annexure – 1 to Annexure – 9.

10. Introduction of “PMEGP e-PORTAL” – modified operational guidelines of PMEGP Scheme.(MSME Division, HO Circular No: 824/2016 dated

30.12.2016)

Introduction of “PMEGP e-PORTAL” for processing of loan application and Margin Money claim under PMEGP programme. Modified operationalguidelines of PMEGP Scheme and detailed write up on modalities for processing the application and claiming of margin money (subsidy) on line have been furnished in the circular.

11. Preservation of CCTV Recording at Currency Chests and Branches. (Operations and Services Division, HO Circular No:

831/2016 dated 31.12.2016)

As per the directions of the Reserve Bank of India (RBI), Currency Chests and Branches shall have to preserve CCTV recordings of operations at Bank Branches and Currency Chests for the period from 08.11.2016 to 30.12.2016 until further instructions, to facilitate coordinated and effective action by the Enforcement Agencies in dealing with matters relating to illegal accumulation of new currency notes.

12. Change of Phone/Mobile Number of Account Holder.(Organisation & Methods Division, HO Circular No:

832/2016 dated 31.12.2016)

Branches shall obtain a service request in form No. ID 20010 as per Annexure to the circular for noting the change of phone/mobile number of the account holder. Procedure to be followed when an account

holder visits the Branch, personally and whenever he sends a representative with a request is also furnished therein.

13. Branch Level Alert Indicators that need to be reported to Head Office.(KYC & AML Cell, HO Circular No: 834/2016 dated

31.12.2016)

Suspicious Transaction Report on suspicion arising from walk-in customers, enquiries by Law Enforcement Agencies (LEA), receipt of attachment orders and garnishee orders in respect of customers etc., from Government Departments/Courts, adverse news items about customers shall be furnished to KYC/AML Cell, HO in the prescribed format.

14. Indiscretion/Abuse of Authority by Branch Managers/other officials in ARM lending. (Priority Sector Division, HO Circular No: 835/2016 dated

31.12.2016)

In view of the various irregularities observed during the inspection and vigilance investigation of the Branches, various guidelines to be followed, steps to be taken and the precautions to be observed while lending in order to improve the quality of advances have been reiterated in the circular.

15. Launching of “CorpWILL”, an online Will Writing Product by Corp Bank Securities Ltd.(Treasury & Investment Department, HO Circular No:

836/2016 dated 31.12.2016)

Corp Bank Securities Ltd., a wholly owned subsidiary of our Bank, in association with willjini.com has launched CorpWILL, an online platform for writing succession Will with the convenience of sitting at home.

16. Guidelines for Transfer of Officer Employees.(Human Resource Management – Personnel Administration

Division, HO Circular No: 2/2017 dated 02.01.2017)

The revised guidelines for transfer of OfficerEmployees (up to MMG Scale-III) after discussion and deliberation by the Management of the Bank with Corporation Bank Officers’ Organisation(CBOO) and as approved by the Board of Directors of the Bank, have been furnished in the Annexure to the circular.

Only some of us can learn from other people’s mistakes. The rest of us have to be the other people. - Tribune


17. Levy of Charges in Connection with IMPS transactions.(E-Business & Delivery Channels Division, HO Circular No:

3/2017 dated 02.01.2017.)

In order to promote small payments through digital means and incentivise greater adoption of digital payments, the Reserve Bank of India (RBI) has directed Banks not to levy any charges on customers for transactions up to Rs. 1000/ settled on IMPS and USSD. Accordingly, our Bank has decided to waive charges up to Rs. 10000/. Bank is not levying any charges for USSD transactions. The new service charges for IMPS transactions with effect from 01.01.2017 are furnished in the circular.

18. Scheme for extending production subsidy to sugar mills notified by government of India.(Credit Policy & Planning Section, Credit Division, HO Circular No: 4/2017dated 02.01.2017)

The Scheme for extending production subsidy toSugarMills is notifiedbyGovernment of Indiawherein Cane Price dues of the current sugar season 2015-2016 relating to the Fair and Remunerative Price (FRP) of sugarcane fixed by the CentralGovernment and Cane price arrears of previous sugar seasons shall be directly credited to the accounts of farmers.

19. Issuance of Bank Certificate for (a) Registration of AD code of the Exporter/Importer with Customs Authority (b) while applying for IE code with DGFT.(Treasury & Investment Department, HO Circular No:

5/2017 dated 03.01.2017)

F Branchesarenotallowed to issueCertificate/Letter for Registration of AD Code with Customs Authority and also while applying for IE Code with DGFT.

F ZonalOfficehastoissuesuchCertificate/letteron the recommendation of the Branch after verifying the documents.

F Branches have to verify all the documents prescribed with the originals, before sending it toZonalOffice.

20. Credit Information Reporting in respect of Self Help Group (SHG) Members. (Priority Sector Division, HO Circular No: 10/2017 dated

04.01.2017)

D In order to collect adequate information of individual SHG members and to expedite the process of collection and reporting of KYC information of each member of the SHG, all the Branches/Officesareadvised toopenSavingsBank accounts of individual SHG members.

D Branches/Offices have to submit informationas prescribed by the Reserve Bank of India (RBI) to Credit Information Companies (CICs) to identify all members associated with a particular SHG group and a particular person tobe identifiedwithallSHGswithwhomhe/she is/was associated.

21. Revised Framework for Revival and Rehabilitation of MSMEs – Review of implementation.(MSME Division, HO Circular No: 14/2017 dated

05.01.2017)

Revised framework for revival and rehabilitation of MSMEs are reiterated along with details on online application facility and action points to be followed byZonalOffices.

22. IBA Group Medical Insurance For Retired Officers/Employees – Issuance Of Premium Paid Certificate (H R M & P A D, HO Circular No: 45/2017 dated

18.01.2017)

The retired Officers/Employees of our Bankhave been enrolled under IBA Medical Insurance Scheme with Option I (without Domiciliary cover) and Option II (with Domiciliary cover) as opted by them. Branches may therefore, after verifying and satisfying that the premium is deducted from their account,mayissueCertificatetotheretiredofficer/employee on the letter head of the Branch as per the format attached as Annexure I for those who have opted for Option I (without Domiciliary cover) and as Annexure II for those who have opted for Option II (with Domiciliary cover)

You cannot escape the responsibilities of tomorrow by evading them today.

Govt. gives nod for listing 5 general insurance PSUs

The listing of 5 state-owned general insurance companies was approved by the government on Wednesday to encourage them to raise funds from capital markets and also improve corporate governance. “It could be either by fresh equity or offer for sale. Both options are available. We can expand the shareholding so that the government sharecomesdownto75%,”financeministerArunJaitley told reporters after the Cabinet meeting here.


NPCI upgrades BHIM app

The National Payments Corporation of India (NPCI) has upgraded Bharat Interface for Money (BHIM), the nationwide common platform for making simple, easy and quick payment transactions usingtheUnifiedPaymentsInterface(UPI). Ithasincorporated features such as ‘Pay to Aadhaar Number’ and a ‘Spam Report’ to help users to block unknown persons requesting for money. The updated BHIM version 1.2 is now available on Google Play Store, NPCI said in a statement. AP Hota, MD & CEO, said, “...The new version offers enhanced security features, and superior user experience which makes digital transactions much more safe and secure.”


Medi-claim renewal rates for SBI retirees may rise 300%

Renewalpremiumratesofthefamilyfloatergroupmedi-claim policy for retirees of State Bank of India (SBI) may go up by 300 per cent or more. The family floater policy had replaced the SBIRetired Employees Medical Benefit Scheme thatgaveassuredbenefitofRs.7 lakhtopensioners/spouse/ dependents during their lifetime by paying Rs. 62,000.

The family floater was launched on January 16,2016, and was due for renewal on January 15, this year. According to the terms, the rates for renewal would be negotiable if the claims ratio exceeded 140 per cent. United India Insurance had conveyed to the bank that the claims ratio had exceeded this level as early as on November 15, 2016. Anticipating

further escalation by the end of the policy term in January 2017, it had quoted renewal premium rates with high loading percentages.

Following discussions with the insurance company and brokers, the SBI management approved modifications in the policy and its renewal onthe revised rates across various plans. Sources say that an estimated 2.43 lakh pensioners, their spousesandchildren (countinguptoaroundfivelakh in total) are likely to be impacted. According to them, the higher premium will see many opting out, leading to likely escalation in premium rates in the years to come.

They are concerned that the Centre’s proposal to raise service tax from 15 per cent to 18 per cent would only add to the premium outgo. The policy will continue to be available to pre-merger retirees, surviving spouses of pre-merger retirees, and deceased employees of erstwhile State Bank of Saurashtra and State Bank of Indore. New retirees of associate banks, which are expected to merge shortly, will also be permitted to join in. Prospective members can opt for any one of these by paying the premium from their own sources.

Existing members covered under any plan will have the option of switching to a different plan subject to payment of appropriate premium. Pensioners removed from service may be permitted to join, but those dismissed from service may continue to be excluded. Eligible new retirees/ spouses of deceased employees will be allowed to join within three months from the date of retirement/ death by paying the premium from own sources on pro-rata basis. Employees who are members of the National Pension System will be allowed to join on completionof20yearsofconfirmedservice.


Cabinet clears pension scheme for seniors with 8% return

Cabinet today approved a pension scheme for senior citizens under which insurance behemoth LIC will provide a guaranteed return of 8 per cent for 10 years, as part of government’s social security and financial inclusion programme. TheUnion Cabinet chaired by Prime Minister Narendra Modi gave its post-facto approval for launching of Varishtha Pension Bima Yojana 2017 (VPBY 2017), anofficialstatementsaid.“Theschemewillprovidean assured pension based on a guaranteed rate of return of 8

misCellaNy


per cent per annum for ten years, with an option to opt for pension on a monthly/ quarterly/half yearly and annual basis,” it said.

The scheme will be implemented through Life Insurance Corporation of India (LIC) in the current financialyeartoprovidesocialsecurityduringoldage and protect elderly persons aged 60 years and above against a future fall in their interest income due to uncertain market conditions. The differential return — the difference between the return generated by state-owned LIC and the assured return of 8 per cent per annum would be borne by the government as subsidy on an annual basis. VPBY-2017 is proposed to be open for subscription for a period of one year from the date of launch, the statement said. The pension scheme, the release said is a part of government’s commitment for financialinclusionandsocialsecurity.


PSU stakes: Centre begins ‘strategic sale’ process

The Centre has kick-started the process for ‘strategic sale’ of equity stakes in public sector undertakings. First of the blocks will be BEML, in which the Government intends to sell a 26 per cent stake. The Centre has a 54.03 per cent stake in BEML. The Department of Investment and Public Asset Management (DIPAM) has sought bids for engagement of a “transaction advisor” for strategic disinvestmentofBEML,official sourcessaid.Thetransaction advisor is expected to provide advisory services and manage the disinvestment process.

BEML has three major business verticals — mining and construction, defence and rail and Metro. For the current fiscal year, the Centre aims to mopup Rs. 56,500 crore through divestment of its stake in PSUs. It has already garnered Rs. 23,500 crore (before the recent Central Public Sector Enterprises ExchangeTradedFund) thisfiscal throughsharesales and share buybacks by the companies. If one were to include the near Rs. 6,000-crore mop-up from the just-concluded CPSE-ETF, the government has garnered Rs. 30,000 crore from PSU disinvestments this fiscal year. Thisincludes Rs. 480 crore that the Centre mobilised through a 10 per cent stake sale in MOIL on Wednesday.


[2016 (151) FLR 619](ALLAHABAD HIGH COURT-LUCKNOW

BENCH)SUDHIR AGARWAL AND ANANT KUMAR,

J.JWrit Petition Ni.394 of 1999 (S/B), April

11, 2016Between SATYA PRAKASH SINGH andSTATE PUBLIC SERVICES TRIBUNAL

LUCKNOW

Disciplinary Proceedings-Constitution of India, 1950-Article 226-Judical review-To Prove Charges-Initial burden is on department-By oral evidence also-It is trite law that the departmental proceedings are quasi judicial proceedings-Inquiry officer functionsasquasi judicial officer.SUDHIRAGARWAL and ANANT KUMAR, JJ- Heard learned Counsel for petitioner and learned Standing Counsel for respondents.

The writ petition is directed against judgment and order dated 02.12.1998 passed by State Public Services Tribunal, Lucknow (hereinafter referred to as ‘Tribunal’) rejecting Claim Petition No. 526/III/90 of petitioner-Satya Prakash Singh, who has since died and substituted by his legal heirs. Petitioner challenged the order of punishment of removal dated 16.04.1990 but has failed before Tribunal.

2. Counsel for petitioner submitted that only a charge-sheet was served upon petitioner which he could not reply and thereafter without holding oral enquiry whatsoever enquiry report was submitted and thereafter impugned punishment order has been passed.

3. It is contended that punishment of removal is a major punishment and therefore, could not have been passed without holding an oral enquiry.

4. Our attention has been drawn to paragraphs 2 and 3 of claim petition wherein it was pleaded that no oral enquiry was conducted and in the counter affidavitfiledbeforeTribunal inpara3 ithasnotbeen disputed that no oral enquiry was conducted. However, it is said that petitioner has neither submitted any reply nor requested for personal hearing.


legal COrNer

5. It is vehemently contended by learned counsel for petitioner that no procedure for major penalty was initiated. It was mandatory on the part of respondent’s authority to hold oral inquiry in the matter, but no such inquiry was conducted, therefore, entire proceedings including punishment order are vitiated.

6. The question, that calls for determination is, whether oral inquiry is necessary when employer intends to impose a major punishment.

7. In Meenglas Tea Estate v. The workmen the Supreme Court observed “It is an elementary principle that a person who is required to answer a charge must know not only the accusation but also the testimony by which the accusation is supported. He must be given a fair chance to hear the evidence in support of the charge and to put such relevant questions by way to cross-examination as he desires. Then he must be given a chance to rebut the evidence led against him. This is the barest requirement of an enquiry of this character and this requirement must be substantially fulfilledbefore the result of the enquiry can be accepted.

8. In State of U.P. v. C. S. Sharma, Court held that omissiontogiveopportunitytotheofficertoproducehis witnesses and lead evidence in his defence vitiates the proceedings. The Court also held that in the enquiry witnesses have to be examined in support of the allegations, and opportunity has to be given to the delinquent to cross-examine these witnesses and to lead evidence in his defence.

9. In Punjab National Bank v. A.I.P.N.B.E. Federation (vide para 66) the Supreme Court held that in such enquiries evidence must be recorded in the presence of the charge-sheeted employee and he must be given an opportunity to rebut the said evidence. The same view was taken in A.C.C. Ltd. v. Their Workmen and in Tata Oil Mills Co. Ltd. v. Their Workmen.

10. In S.C. Girotra v. United Commercial Bank, Court set aside a dismissal order which was passed without giving employee an opportunity of cross-examination.

11. This Court in Subhas Chandra Sharma v. Managing Director and another, said:-

“In our opinion after the petitioner replied to the charge-sheet a date should have been fixed forthe enquiry and the petitioner should have been

intimated the date, time and place of the enquiry and on that date the oral and documentary evidence against the petitioner should have been led in his presence and he should have been given an opportunity to cross-examine the witnesses against him and also he should have been given an opportunity to produce his own witnesses and evidence. If the petitioner in response to this intimation had failed to appear for the enquiry, then an ex parte enquiry should have been held but the petitioner’s service should have not been terminated without holding an enquiry. In the present case it appears that no regular enquiry was held at all. All that was done that after receipt of the petitioner’s reply to the charge-sheet he was given a show-cause notice and thereafter the dismissal order was passed. In our opinion this was not the correct legal procedure and there was violation of the rules of natural justice. Since no date for enquirywas fixednor any enquiry held inwhichevidence was led in our opinion the impugned order is clearly violative of natural justice.”

12. The above judgment was followed by a Division Bench in Subhas Chandra Sharma v. U.P.Co-operative Spinning Mills and others, and Court held:-

“In cases where a major punishment proposed to be imposed an oral enquiry is a must, whether the employee request, for it or not. For this it is necessary to issue a notice to the employee concerned intimating him date, time and place of the enquiry as held by the Division Bench of this Court in Subhash Chandra Sharma v. Managing Director, against which SLP has been dismissed by the Supreme Court on 16-8-2000.”

13. In State of Uttar Pradesh v. Saroj Kumar Sinha Court said:-

“Aninquiryofficeractinginaquasi-judicialauthorityis in the position of an independent adjudicator. He is not supposed to be a representative of the department/disciplinary authority/Government. His function is to examine the evidence presented by the Department, even in the absence of the delinquent official to see as to whether theunrebutted evidence is sufficient tohold that thecharges are proved. In the present case the aforesaid procedure has not been observed. Since no oral evidence has been examined the documents have not been proved, and could not have been taken


into consideration to conclude that the charges have been proved against the respondents.

When a departmental enquiry is conducted against the government servant it cannot be treated as a casual exercise. The enquiry proceedings also cannot be conducted with a closed mind. The inquiry officer has to be wholly unbiased. Therules of natural justice are required to be observed to ensure not only that justice is done but is manifestly seen to be done. The object of rules of natural justice is to ensure that a government servant is treated fairly in proceedings which may culminate in imposition of punishment including dismissal/removal from service.”

14. In Roop Singh Negi v. Punjab National Bank, the Court said: -

“Indisputably, a departmental proceeding is a quasi-judicial proceeding. The enquiry officer performsa quasi-judicial function. The charges levelled against the delinquent officer must be found tohavebeenproved.Theenquiryofficerhasadutytoarriveatafindingupontakingintoconsiderationthe materials brought on record by the parties. The purported evidence collected during investigation bytheinvestigatingofficeragainstalltheaccusedby itself could not be treated to be evidence in the disciplinary proceeding.

No witness was examined to prove the said documents. The management witnesses merely tendered the documents and did not prove the contents thereof. Reliance, inter alia, was placed bytheenquiryofficerontheFIRwhichcouldnothave been treated as evidence.”

15. One of us (Justice Sudhir Agarwal) in Rajesh Prasad Mishra v. Commissioner, Jhansi Division, Jhansi and others observed as under after a detail analysis of earlier authorities on the subject:

“Now coming to the question, what is the effect of non-holdingoforal inquiry, Ifindthat, inacasewheretheinquiryofficerisappointed,oralinquiryis mandatory. The charges are not deemed to be proved suo motu merely on account of levelling them by means of the charge-sheet unless the same are proved by the department before the inquiryofficerandonlythereafteritistheturnofdelinquent employee to place his defence. Holding oral enquiry is mandatory before imposing a major

penalty, as held by Apex Court in State of U.P. & another Vs. T.P.Lal Srivastava, as well as by a Division Bench of this Court in Subhash Chandra Sharma V Managing Director and another.”

16. In Subhash Chandra Gupta v. State of U.P., a Division Bench of this Court, after survey of law on this issue, observed as under: -

“It is well settled that when the statute provides to do a thing in a particular manner that thing has to be done in that very manner. We are of the considered opinion that any punishment awarded on the basis of an enquiry not conducted in accordance with the enquiry rules meant for that very purposes is unsustainable in the eye of law. We are further of the view that the procedure prescribed under the inquiry rules for imposing major penalty is mandatory in nature and unless those procedures are followed, any outcome inferred thereon will be of no avail unless the charges are so glaring and irrefutable which does not require any proof. The viewtakenbyusfindsupportfromthejudgementof the Apex Court in State of U.P. and another v. T.P Lal Srivastava as well as by a Division Bench of this Court in Subash Chandra Sharma v. Managing Director and another.

A Division Bench decision of this Court in the case of Salahuddin Ansari V. State of U.P. and others, held that non holding of oral inquiry is a serious flaw which can vitiate the order of disciplinaryproceeding including the order of punishment has observed as under:-

“Non - holding of oral inquiry in such a case, is a serious matter and goes to the root of the case.

A Division Bench of this Court in Subash Chandra Sharma Vs. Managing Director and another, considering the question as to whether holding of an oral inquiry is necessary or not, held that if no oral inquiry is held, it amounts to denial of principles of natural justice to the delinquent employee. The aforesaid view was reiterated in Subash Chandra Sharma v. U.P .Cooperative Spinning Mills & others and Laturi Singh v. U.P. Public Service Tribunal & others - Writ Petition No. 12939 of 2001, decided on 06.05.2005.”

17. Even if an employee refuses to participate in the enquiry, employer cannot straightaway dismiss him, but he must hold an inquiry where evidence must be led as held in Imperial Tobacco Co. Ltd. v. Its Workmen, and Uma Shankar v. Registrar.’


18. A Division Bench of this Court in Mahesh Narain Gupta v. State of U.P. and others had also had an occasion to deal with this issue. It has held:-

“At this stage, we are to observe that in the disciplinary proceedings against a delinquent, the department is just like a plaintiff and initial burden lies on the department to prove the charges which can certainly be proved only by collecting some oral evidence or documentary evidence presence and notice charged employee. Even if the department is to rely its own record/document which are already available, thenalso the enquiry officerby lookinginto them and by assigning his own reason after analysis, will have to record a finding that hosedocuments are sufficient enough to prove thecharges.

Innocase,approachoftheEnquiryOfficerthatasno reply has been submitted, the charge will have to be automatically proved can be approved. This will be erroneous. It has been repeatedly said that disciplinary authority has a right to proceed against delinquent employee in ex parte manner but some evidencewillhavetobecollectedandjustificationtosustain the charges will have to be stated in detail. The approach of the enquiry officer of automaticproveofchargesonaccountofnon-filingofreplyisclearly misconceived and erroneous. This is against the principle of natural justice, fair play, fair hearing and, thus, enquiry officer has to be cautioned inthis respect.”

19. The principal of law emanates from above judgments are that initial burden is on the department to prove charges. In case of procedure adoptedforinflictingmajorpenalty,thedepartmentmust prove the charges by oral evidence also.

20. From the pleadings as also a perusal of enquiry report it is demonstrably proved that no oral evidence has been led by the department. When a major punishment is proposed to be passed the department has to prove the charges against the delinquent/employee by examining the witnesses and by documentary evidence. In the present case neither any witness was examined by department, nor any officer has been examined to provedocuments in the proceedings.

21. It is trite law that the departmental proceedings are quasi - judicial proceedings. The Inquiry Officer functionsasquasi - judicial officer.He isnot merely a representative of the department. He hastoactasanindependentandimpartialofficertofindouttruth.Themajorpunishmentawardedto an employee visit serious civil consequences and

as such the departmental proceedings ought to be in conformity with the principles of natural justice. Even if, an employee prefers not to participate in the enquiry, department has to establish charges against such employee by adducing oral as well as documentary evidence. In case the charges warrant major punishment then oral evidence by producing witnesses is necessary.

22. We may hasten to add that the above mentioned law is subject to certain exception. When the facts are admitted or no real prejudice has been caused to employee or no other conclusion is possible, in such situation the order may not be vitiated for such lapse. Reference may be made to the some of the decision in K.L.Tripathi v. State Bank of India State Bank of Patiala v. S.K. Sharma reported and Biecco Lawrie Ltd. v. West Bengal.’

23. In the present case the stand taken by respondents is that petitioner despite opportunity given to him, did neither submit reply nor requested for oral inquiry. Even if the said statement is assumed to be correct, obligation on the department to prove charges is not discharged.

24. In the result, writ petition is allowed. Impugned judgment dated 02.12.1998 passed by Tribunal is hereby quashed. Impugned order of punishment i.e. removal dated 16.4.1990 is also set aside and claim petition filed by petitioner stands allowed.Petitioner shall also be entitled to all consequential benefits.

- Common Bond, January, 2017

PEACEMAKER

Lord,Make me an instrument of thy peace;Where there is hatred, let me sow Love;Where there is injury, Pardon;Where there is despair, Hope;Where there is darkness, Light;Where there is sadness, Joy.

Grant that I may not so much seek to be consoled, as to Console;To be understood, as to Understand;To be loved, as to Love;For, it is in giving that we Receive;It is in pardoning that we are Pardoned;It is in dying that we are born to Eternal Life.

- St. Francis of Assisi


Officers’ Voice, February 2017 27Officers’ Voice, February 2017 27

An officer working at Faridabad availed LFC andtravelled from Delhi to Port Blair. She visited nearby

islands at Port Blair like Havelock Island, Ross

Island, Coral Island etc. While sanctioning her TA

bill,theZonalOffice:

a. Disallowed the taxi expenses from residence to

Delhi airport (48 K.M.s) and Port Blair airport to

hotel and sanctioned, instead, eligible amount

as local conveyance.

b. Disallowed tour expenses within Port Blair as

inadmissible.

c. Treated travel to the islands as local sight –

seeing - sanctioned the expenses of travel to

Havelock Island and disallowed travel expenses

to Ross Island and Coral Island.

The officer referred the matter to Grievance

Reddressal Cell, HO. During the discussions, GRC

opined:

a. Since Delhi airport is located outside the city

limits of Faridabad and the distance between

the residence of the officer andDelhi airport

is 48 K.M.s, the actual to and fro taxi fare

from residence to airport and vice versa may

be sanctioned on the production of relevant

receipts.

b. The local conveyance at the rate of Rs.25/- per

head at Port Blair may be sanctioned according

to the guidelines.

c. City tour expenses incurred within Port Blair

cannot be considered.

d. The travel eligibility shall be reckoned from

the place of posting to the farthest point.

Accordingly,ZonalOfficemayre-examinethe

matter considering the farthest island from

Port Blair as the farthest place.

The Competent Authority concurred with the views

of the Committee.

grieVaNCe reddressal TEMPTATION

The roots of happiness grow deepest in the soil of service.

I haven’t repaid my debt to my father,

But, of course, I have a counter claim.

It pains me to realise I know not,

What claim I have against my own self?

Money, they say, is vice:

I am told to make out and go.

This and only this I could make out:

All that is vice but tempts.

You call it by any name,

But it is temptation that matters.

You are tempted to be, you attempt to be,

And be what you want or falter.

It is temptation, the fuel of life.

I’ve been tempted to copy my neighbour,

Result: I’m in the maze of debt.

You adopt and adapt, sheer temptation.

“Forget your being in the process of becoming”

The world seems to guide you that way.

You lose your being in your effort to copy,

You never know you have spoiled your life.

“You never know”, that’s how it is worked out.

In the business of life, you have to fall in line.

Don’t swim against the current, don’t attempt.

Saveyourenergytoputoutthefireinyourmate.

“Slow and steady wins the race”, saying so they left.

“Speed, Speed and Speed”, so say those left behind.

Poor forefathers must be grieving from their graves,

For the “mistake” they had committed in life.

Let’s chew peanuts and pass out time:

Why we should break our head

to expose its hollowness.

Let’s not peel the vegetable of life:

Keep the onion in tact, for it gives a visual effect.

- Premanand


I am on duty.... I came here directly from the branch.... In fact, my leave application was not sanctioned...!!!

My LFC leave was not sanctioned....Therefore, we are watching this channel...

If I apply for a week's leave, one day's leave will be sanctioned.... I wanted one week's leave....Therefore I applied for a month's leave and got it sanctioned....

H.S. Vishwanath

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Documents

416 Vol 35 - 8 February, 2017 · Mahim and Khar (W) Branch. b. Probationers being forced to work in advances Dept. c. Problems in ATM operations at Fort, Mahim, Shivaji Park, Bandra