ALL INDIA ALLAHABAD BANK OFFICERS’ ASSOCIATION FOR PRIVATE CIRCULATION ONLY VOL. : 18 N0. : 06 JUNE 2018 EDITORIAL BOARD CHAIRMAN EDITOR MEMBERS : : : BISWARANJAN RAY P. ANAND ALL STATE SECRETARIES AINBOF OFFICIAL PUBLICATION OF EDITORIAL… SMALL COMMITTEE MEETING AT HEAD OFFICE ON 13.06.2018 The above was held at Head Office, Kolkata on 13.06.2018 to discuss all the issues related to the ensuing Transfer exercise of Officers, in which the Association was represented by the President, Four Vice Presidents, the General Secretary, Three Deputy General Secretaries and the State Secretaries of the Jharkhand & the Odisha, keeping in view the complexities relating to these States. The Management was represented by the Sri S K Suri, the GM (HR), Sri B N Sahoo, the AGM (HR) and other Officials of the Department. The Meeting was inaugurated by the ED (HR), Sri NK Sahoo. The Association presented the following points emphatically : 1 The movement of Officers to the extent possible should be from relatively Surplus States / Zones to Deficit States / Zones ; 2 As far as possible, the State concept should be followed while Rotation and also during Promotional Deployment in case of Deficit / self sufficient States ; 3 The newly promoted Officers should also be considered for Repatriation to the extent the vacancy position permits ; 4 Sufficient preparatory time should be allowed and all the Circle level Meetings be held after release of the Lists from the HO and well before the issuance of Transfer orders ; 5 Compassionate cases may be considered in order to facilitate the ongoing medical treatment of self / spouse & all the Dependants for specified diseases ; 6 All the request cases of Lady Officers may be considered on merits and Spouse cases be considered, on priority as per the relevant guidelines of the Govt. ; 7 The cases of Physically challenged and also those having mentally challenged wards be considered as per the prevailing guidelines of the Govt. ; 8 The Officers of 55 years & above may not be transferred outside their Home State ; 9 All the Transfers including Specialist Officers / Officers in Staff Colleges, FIOs etc.. should be carried at one go ; 10 Since the Promotional deployment of JMGS-I Officers promoted from Clerical cadre has already been completed, the Repatriation of existing JMGS-I Officers needs specific care, so as to ensure 100 % Repatriation of all the eligible JMGS-I Officers ; 11 The Instructions from the HO should be clear and unambiguous with all the relevant data / details ; 12 In case of Bihar & Jharkhand, Repatriation of such Officers languishing in far away States, viz., South, West, Extreme North etc.. may be given priority in case, sufficient number of vacancies do not exist in Bihar / Jharkhand ;
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ALL INDIA
ALLAHABAD BANK
OFFICERS’ ASSOCIATION
FOR PRIVATE CIRCULATION ONLY
VOL. : 18
N0. : 06
JUNE 2018
EDITORIAL BOARD
CHAIRMAN
EDITOR
MEMBERS
:
:
:
BISWARANJAN RAY
P. ANAND
ALL STATE SECRETARIES
AINBOFOFFICIAL PUBLICATION OF
EDITORIAL…
SMALL COMMITTEE MEETING AT HEAD OFFICE ON 13.06.2018 The above was held at Head Office, Kolkata on 13.06.2018 to discuss all the issues related to the ensuing
Transfer exercise of Officers, in which the Association was represented by the President, Four Vice Presidents, the General Secretary, Three Deputy General Secretaries and the State Secretaries of the Jharkhand & the Odisha, keeping in view the complexities relating to these States. The Management was represented by the Sri S K Suri, the GM (HR), Sri B N Sahoo, the AGM (HR) and other Officials of the Department. The Meeting was inaugurated by the ED (HR), Sri NK Sahoo.
The Association presented the following points emphatically :1 The movement of Officers to the extent possible should be from relatively Surplus States / Zones to Deficit States / Zones ;2 As far as possible, the State concept should be followed while Rotation and also during Promotional Deployment in case of Deficit / self sufficient States ;3 The newly promoted Officers should also be considered for Repatriation to the extent the vacancy position permits ;4 Sufficient preparatory time should be allowed and all the Circle level Meetings be held after release of the Lists from the HO and well before the issuance of Transfer orders ;5 Compassionate cases may be considered in order to facilitate the ongoing medical treatment of self / spouse & all the Dependants for specified diseases ;6 All the request cases of Lady Officers may be considered on merits and Spouse cases be considered, on priority as per the relevant guidelines of the Govt. ;7 The cases of Physically challenged and also those having mentally challenged wards be considered as per the prevailing guidelines of the Govt. ;8 The Officers of 55 years & above may not be transferred outside their Home State ;9 All the Transfers including Specialist Officers / Officers in Staff Colleges, FIOs etc.. should be carried at one go ;10 Since the Promotional deployment of JMGS-I Officers promoted from Clerical cadre has already been completed, the Repatriation of existing JMGS-I Officers needs specific care, so as to ensure 100 % Repatriation of all the eligible JMGS-I Officers ; 11 The Instructions from the HO should be clear and unambiguous with all the relevant data / details ;12 In case of Bihar & Jharkhand, Repatriation of such Officers languishing in far away States, viz., South, West, Extreme North etc.. may be given priority in case, sufficient number of vacancies do not exist in Bihar / Jharkhand ;
13 The cut off date for the Inter FGM Span Repatriations of Officers and also Intra FGM span should be same & the Deployment plan should also take care of the Repatriation cases from one State to another, within an FGM span ;14 There should be clear instructions to FGMOs / ZOs to place the newly promoted Officers at Branches, in order to expose them to the nitty gritty of the Branch Banking.
After threadbare discussion, the following decisions have been reached :
1 Cut off for Repatriations is 31.07.2015 with the exception of the following -STATE JMGS-I MMGS-II MMGS-IIIOdisha 31.07.2013 31.07.2013Rajasthan 30.06.2014Jharkhand 31.07.2013 31.07.2013 31.07.2013N.B. : Cut off for JMGS-I & MMGS-II is 30.06.2013 in case of FGMO, Kolkata
Bihar 30.06.2013 30.06.2013 31.07.2012N.B.: Cut off for JMGS-I in case of FMGO, Hyderabad & Mumbai is 31.07.2013
2 The cut off for Repatriations from North Eastern States is 31.08.2016.3 The cut off in case of Rotational transfers will be 30.09.2015.4 The Officers who completed /are completing 57 years of age as on 31.07.2015 will be posted in their Home Zones. 5 As far as feasible, Officers on their Repatriation should be considered for posting within their Zone of Domicile. 6 As far as practical, new promotees may be deployed for Branch assignment and repetition of posting at administrative offices may be avoided. 7 All the newly promoted Officers are likely to be retained within their Parent / Present Circles, barring the FGM Span, Ranchi and also, the Odisha State. (Subsequently, due to more number of Repatriations / Promotions, the newly promoted Officers from Delhi FGM Span, were also to be posted outside the Circle)8 Deployment of newly promoted Officers, wherever retained within the FGM span, may be made within the State (in case of States having having multiple Zones & also, Zones having one State), subject to availability of vacancies. 9 The Swap will be enforced in case of 10 JMGS-I Officers of Rajasthan ; 4 MMGS-II Officers of Odisha and 10 MMGS-III Officers of Bihar. 10 The common cut off date of relieving shall be 30.06.2018 and the common date of joining at the new places of posting 02.07.2018. 11 All the Circle level Meetings will be completed during the next week and the Circle Meeting for the State of UP will be held jointly by the FGM, Lucknow and the FGM, Allahabad. 12 Movement of Wait listed Officers will also be carried out now itself for the sake of Administrative conveniences. 13 All the Norms of the Transfer Policy vide HOIC No. 8361 dated 14.09.2004 will be followed. 14 A Two year cooling period has been suggested by the Management, regarding Lady Officers' requests, in case of their Promotional Deployment from their original places and also from their previous requests.
NOTE : The Association is of the view that such restrictions may be resorted to, in case of Surplus States only.
The GM (HR), HO issued detailed guidelines to the FGMOs, vide letter No. PA/PROM/Dep-2018/70 dated 20.06.2018, covering most of the above discussed points.
The following are the details of the Transfer exercise carried out at HO Level : Newly Promoted 836 (MMGS-II : 227+303 MMGS-III : 94+212)Repatriations 291 NE States 17Aged 57 + 14 Spouse cases 98Request cases 26 FIO Transfers 36Swap Transfers 24 STC Transfers 05Head Office (Additional +Replacements) 73
Total Inter-FGM Movements 14202
E & O E
FGM WISE DETAILS==========================================================================FGM SPAN OUTGOING INCOMING TOTAL
PRESS RELEASE BY AIBOC DATED 27.06.2018 STOP LOOT OF ALOK INDUSTRIES BY RELIANCE
"All India Bank Officers Confederation, the largest Officers’ organization having membership of around 3, 25,000 officers and the apex trade union of supervisory cadre employees vehemently condemns the Govt. move to take a haircut on Alok Industries outstanding loans. Alok Industries is one of the 12 companies, the so-called ‘Dirty Dozen’, identified by the Reserve Bank of India in May last year for initiating bankruptcy proceedings by lenders. As per the move, lenders to Alok Industries will have to take a deep haircut of 83% in approving Reliance Industries-JM Financial ARC’s resolution plan to take over the bankrupted textile company. The RIL-JM combine has offered just Rs. 5,050 crore for the acquisition of Alok Industries, which owes close to Rs. 30,000 crore to a consortium of banks and operational creditors.
On one side, there are Reserve Bank of India (RBI) and state-owned lenders that have borne the brunt of India’s bad-loan problem and on the other, there are 12 big defaulters who owe the banks a collective Rs1.78 Trillion—about a quarter of the bad loans choking the Indian banking system. RIL-JM Financial has emerged as the sole bidder for the Alok Industries in the first round of auction held in March 2018, but lenders baulked at accepting the resolution plan which required them to take 85% haircut. RIL-JM later raised its offer price by Rs. 100 crore. But lenders again rejected the resolution plan. The resolution plan was finally approved with 72% of lenders voting in its favour. The resolution has been facilitated with the assistance of the government by the amendment in the Insolvency and Bankruptcy Code (IBC) that requires the approval of only a minimum of 66% of lenders as against 75% earlier. It is quite clear that IBC has been amended with the only objective to allow the RIL-JM taking over Alok Industries and in the process the banks have to endure the haircut of 83%. Alok Industries was started in 1986 and its a ISO 9001:2000 certified Textile Manufacturing Company. It has 250 stores in India under the brand name H&A. It also has 100% owned subsidiary in Czech Republic. As per 2017 Balance Sheet it had Rs.16,762.93 Cr. Tangible Assets. The current assets was Rs. 14,459.18 Cr. Total Current Assets were Rs. 32,708.99 Crores and total current liabilities was Rs.21,717.59 Crores. How in one year its value can become Rs.5050 Crores?
At a time, when the banks are already struggling to cope up with the rise in NPAs and decline in their net profits, such a step on the part of the government to further weaken the banks is very unfortunate. Our confederation condemns such a pro-corporate and anti-public sector banks approach on the part of the government and RBI. In the name of cleaning up the Balance Sheet, now the banks are forced to allow 83% haircut and benefit the corporate and again when the net profits will come down, it will be the same bankers who are to be blamed for the same. We wonder how NCLT allows only one bidder in this case. How Reliance Industries which is the biggest borrower in the Country allowed to become a bidder ? This requires a thorough probe. Through this communication, All India Bank Officers Confederation, demands that the Government does not move ahead with this plan of benefitting the RIL-JM and thereby destroying the Indian Public Sector Banks. We further clarify that our confederation has also been monitoring all these developments which will jeopardize the existence of the PSBs and we will not remain silent spectator to all these for an indefinite period of time."
Sd/ D T FRANCOGENERAL SECRETARY
E & O E
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CENTRAL EXECUTIVE COMMITTEE MEETINGThe above was held at Bhopal on 30.06.2018 under the President-ship of Com. Biswaranjan Ray & the following are some of the important decisions :
th1 The 26 Triennial Conference of the AIABOA will be held at Nagpur, Maharashtra on the following probable dates : 24.11.2018 & 25.11.2018 10.11.2018 & 11.11.2018 08.12.2018 & 09.12.2018 The Second option for the venue will be Hyderabad. The exact dates will be finalized, by the General Secretary in consultation with the President, on receiving necessary feedback from the State Secretary, MS-II. 2 The Delegation shall be at the rate of 1 for every 25 Members or part thereof. The Delegate fee shall be Rs.2000 per Delegate. 3 Such State / Zonal units where the Triennial Conference is falling due shall hold their Triennial Conferences before the All India Conference. States where Triennial Conferences are due / falling due :1 Delhi 2 Bihar 3 Chattisgarh 4 UP-East 5 Punjab & JK6 UP-Central 7 Gujarat 8 Karnataka4 All the Circle Co-ordinators will list out the aberrations being noticed in the recent Transfer exercise at respective FGMOs and the same will be taken up with the FGM concerned immediately for suitable redressal. The aberrations that have taken pace at HO Level will be pursued by the General Secretary, in close coordination with the President. 5 CO-OPTIONS :
POSITION NAME IN PLACE OF
VICE PRESIDENT OP Gaur RK Jodhani DEPUTY GENERAL SECRETARY Moses P Singh OP GaurASSISTANT GENERAL SECRETARY Sanjay Lath J K MishraASSISTANT GENERAL SECRETARY SK Jaiswal KS CheemaASSISTANT TREASURER VS Balaji K SureshEXECUTIVE MEMBER Anil Kumar Suri SK JaiswalEXECUTIVE MEMBER Dinesh Jha OP TahilianiEXECUTIVE MEMBER Sanjay Raju Sanjay LathEXECUTIVE MEMBER K Sriharsha K BalaguruINVITEES Shaily Varshney Dinesh Jha
Mithileshkumar Sanjay RajuCEC Member of AIBOC Sunil Kumar Singh RK Jodhani6 The House accorded a warm farewell to Com. Dipak Dasgupta, the CEC Member, who retired from Bank on 31.01.2018. The House also greeted and wished Com. RK Jodhani, the Vice President, Com. MSK Rajan, the State Secretary, TN, Puducherry & Kerala and Com. JK Mishra, the AGS of the CEC on their retirement on 30.06.2018.
OPERATIONAL RISK AT PUBLIC SECTOR BANKS ON RISE - RBIReserve Bank of India, on Tuesday, said that operational risks, especially in public sector banks is on the rise, and is indicative of weakness in internal controls and audits, risk management framework, and governance mechanism at these lenders. “In terms of the relative share of frauds, public sector banks have a disproportionate share of over 85 per cent, significantly exceeding their relative business share of about 65 to 75 per cent,” said the RBI in its Financial Stability Report of June 2018. The report has called for a “ringside reassessment” of efficacy of internal and external audit framework, the internal governance framework, specifically with regard to accountability and also better credit screening, and oversight to address this risk. “The ‘Fugitive Economic Offenders Bill, 2018’ could act as a major deterrence for willful defaulters,” it added. The RBI’s comments come at a time when most public sector banks have been hit by fraud cases, the largest being the ₹12,700-crore fraud at Punjab National Bank by jewellery designer Nirav Modi. The RBI report further noted that the fraud amount at PSBs under Prompt Corrective Action (PCA) is much higher, compared to their relative share in credit, and this could be due to lax internal controls which magnified their stressed asset positions. With frauds in working capital loans on the rise at state-owned banks, the RBI said that this points to coordination issues in implementing the ‘three lines of defence architecture’, which consists of business line management, an independent corporate operational risk management function, and an independent review. It also said that incentives to operating staff at banks is important for ensuring proper risk management.[COURTESY : The Hindu-Business Line, dated 26.06.2018]
CIRCLE LEVEL MANAGEMENT RELATIONS COMMITTEE MEETINGS
MUMBAI : The CLMRC was held at FGMO, Mumbai on 25.06.2018, in which the Association was represented by Com. P Anand Rao, the General Secretary, AIABOA, Com. Advait Malhotra, the Deputy General Secretary & also, the State Secretary, Gujarat, Com. Jeevan Bhambure & Com. Pooja Dhurandhar, the State President & the State Secretary, MS-I, respectively, Com. Sanjay Kuthe & Com. Sumedh Wasnik, the State President & the State Secretary, MS-II, respectively and Com. Abhishek Srivastava, State President, Gujarat. The Management was represented by Sri SL Jain, the FGM, Mumbai, Sri Dipankar Das, DGM, FGMO, Sri Satish, the DGM, ZO, Mumbai, Sri K Rajasekhara Rao, the AGM, FGMO & others. Sri Shyam Shankar, the Zonal Head, Ahmedabad, Sri RS Bhatt, the Zonal Head, Nagpur and Sri Anil Kumar Sharma, the Zonal Head, Pune participated in the Meeting through VC. The Association Representatives requested that the newly promoted Officers from Gujarat State may be retained within the State and the rotation of Officers from one Zone to another within the FGM span may be considered along with the promotional deployment. They also requested to consider some of the requests from Lady Officers and also other Medical cases, sympathetically. They noted with concern that the Repatriation of newly promoted Officers has not been considered, by the HO though they completed 3 years outside their FGM span.
HYDERABAD : The CLMRC was held at FGMO, Hyderabad on 26.06.2018, in which the Association was represented by Com. P Anand Rao, the General Secretary, AIABOA, Com. MSK Rajan & Com. K Suresh, the State Secretary & the State President, Tamilnadu, Puducherry & Kerala, respectively, Com. S Mahender Reddy & Com. PJV Anand Pani, the State President & the State Secretary, AP & Telangana unit, respectively, Com. K Sriharsha & Com. BRV Murthy, the State President & the State Secretary, Karnataka, respectively and Com. BB Karan & Com. Sambit Rout, the State President & the State Secretary, Odisha, respectively. The Management was represented by Sri Rakesh Kumar Sharma, the FGM, Hyderabad, Sri DK Kapoor, the DGM, FGMO, Sri SLN Prasad, AGM, ZO, Hyderabad and Sri K Muralikrishna, DGM, Bhubaneswar, Sri R Sankarlingam, DGM, Chennai and Sri Armugham, Zonal Head, Bengaluru, through VC and others. The Association requested the Management to appreciate the importance of knowing the local languages in Southern States and also the fact that the FGM span is covering as many as 6 major States and keep the same in view while deployment of Officers on Promotion as well as rotation. The Management stated that within the allotted Zone wise manpower strength as per HO guidelines, there can be some flexibility.
KOLKATA : The CLMRC Meeting was held at FGMO, Kolkata on 26.06.2018, in which the Association was represented by Com. Biswaranjan Ray, the President, AIABOA & The State Secretary, West Bengal, Com. Swapan Kumar Gayen, the State President, WB, Com. PK Mukherjee, the State Secretary, NE, Com. Kuntal Maity, the Deputy State Secretary, WB, the Zonal Secretaries of various Zones in WB & others. The Management was represented by Sri Bhavesh Misra, the DGM, FGMO, Kolkata, all the Zonal Heads in the FGM Span and others. The Association Representatives requested to ensure the rotational and promotional deployment, within the State of WB and also within the NE States. They also requested to appreciate that the displacement of Officers from Deficit pockets can be minimized.
LUCKNOW : The CLMRC was held at FGMO, Lucknow on 27.06.2018, in which the Association was represented by Com. P Anand Rao, the General Secretary, AIABOA, Com. MP Singh, the Circle Co-ordinator & the Vice President, AIABOA and the State Secretary, UP- East, Com. Siddhanath, the Deputy General Secretary, AIABOA & The State Secretary, UP-South, Com. Ram Nath Shukla, the State Secretary, UP-Central, Com. NK Rajvanshi, the State Secretary, UP-West, Com. Rajesh Srivastava, the State President, UP-South, Com. Abhilakshit Kaushal, the State President, UP-Central, Com. DP Singh, the State President, UP-East, Com. SK Jaiswal, the State President, UP-West & others. The Management was represented by Sri Dineshkumar, the GM, Lucknow, Sri Ravindra Singh, FGM, Lucknow, Sri VM Padegaonkar, the FGM, Allahabad, Sri Naseeb Ahmed, the DGM, FGMO, Lucknow, Sri Nirmal Kumar Das, the DGM, FGMO, Allahabad, all the 14 Zonal Heads of various Zones in UP State and other Officials from the FGMO, Lucknow & the FGMO, Allahabad. The Association Representatives stressed the need to have a transparent and impartial Transfer exercise, keeping in view the large number of Transfers that is going to take place in 14 Zones of the State. Also, as the performance of the Bank in the State of UP is exemplary in the key areas of Savings Deposits, Recovery and also Priority Sector Credit, the Officers who are responsible for such stupendous performance at various Branches, deserve extra care & consideration while deployment. Also the Association Representatives suggested to have a scientific methodology, while effecting the Transfers from one FGM Span to another, since the FGM Span of Allahabad is going to witness Deficit, while the FGM Lucknow Span is much in demand, keeping in view the Zones like Lucknow, Kanpur & Agra. They also explained the importance of Home-Zone based periodical rotation of Officers and suggested that the resultant gaps in Manpower strength, if any, be filled with new promotees first.
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For that purpose, the Association Representatives mooted the idea of the erstwhile Zonal structure, which serves the purpose of the Bank, while minimizing the hardship to the Officers concerned. The cases of Medical and other compassionate grounds have been worked out with mutual dialogue.
RANCHI : The CLMRC Meeting was held at FGMO, Ranchi on 27.06.2018, in which the Association was represented by Com. Biswaranjan Ray, the President, AIABOA, Com. Sunil Singh, the Vice President, AIABOA & the Circle Co-ordinator and the State Secretary, Bihar, Com. Vinod Sinha, the State Secretary, Jharkhand, Com. Sanjay Lath & Com. Alokeprakash, the State Presidents of Bihar and Jharkhand, respectively and others. The Management was represented by Sri SB Jena, the FGM, Ranchi, Sri Rajan Chowdhry, the DGM, FGMO, the Zonal Heads of Ranchi, Patna, Muzaffarpur, Bhagalpur & Deoghar and others. The Association pointed out that some of the Officers who were chosen under Swap have serious ailments and the Physically challenged Officers including Visually Impaired have been subjected to displacements to far away States like Maharashtra / Gujarat etc.. and requested for sympathetic consideration of these cases.
DELHI : The CLMRC Meeting was held at FGMO, Delhi, on 27.06.2018, in which the Association was represented by Com. OP Gour, the Circle Co-ordinator ; the Deputy General Secretary, AIABOA & the State Secretary, Rajasthan State, Com. Tarlok Bhagat, the State Secretary, Punjab & JK, Com. Kapil Aggarwal, the State Secretary, Delhi, Com. Sachin Katiyar, the State Secretary, Haryana & HP, Com. Sunil Khurana, the State President, Delhi, Com. BR Chhabra, the State President, Punjab & JK, Com. Berwal Takdir, the State President, Haryana & HP, Com. RD Gurjar, the State President, Rajasthan (the last Three through VC) & others. The Management was represented by Sri Vikashkumar, the FGM, Delhi, Sri Sanjay Mathur, the DGM, FGMO, Sri Avay Mohapatra, the DGM, Delhi, Sri SS Gupta, the DGM, Delhi NCR & other Zonal Heads through VC and other Officials. The Association requested that the hardship to the Officers be minimized and the cases of genuine compassion be considered sympathetically.
BHOPAL : The CLMRC Meeting was held at FGMO, Bhopal on 27.06.2018, in which the Association was represented by Com. RK Jodhani, the Circle Co-ordinator and the Vice President, AIABOA, Com. Moses P Singh, the State Secretary, Chattisgarh, Com. Bhupendra Shende, the State President, CG, Com. OP Tahiliani & Com. Dinesh Jha, the State Secretary & the State President, MP, respectively, Com. Shaily Varshney, the Deputy State Secretary, MP, Com. Vikash Upadhyaya, the Zonal Secretary, Jabalpur & others. The Management was represented by Sri MN Patel, the FGM, Bhopal, Sri RP Toshniwal, the DGM, FGMO, Sri SSP Roy, the Zonal Head, Bhopal, Sri GR Reddy ; Sri Sudhir Srivastava & Sri P Ramesh, the Zonal Heads of Raipur ; Satna & Jabalpur, respectively and other Officials. The Association requested to minimize the hardship to the Officers, during the Promotional & Rotational Deployment, while following the State concept.
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STATE EXECUTIVE COMMITEE MEETING AT CHENNAI
There was an EC Meeting of the Tamilnadu, Puducherry & Kerala State unit on 22.06.2018 at KK Nagar, Chennai which was presided by Com. K Suresh, the State President. The Meeting was attended and addressed by the All India President, Com. Biswaranjan Ray and the General Secretary, Com. P Anand Rao. The Meeting approved the Secretary's Report to be placed before the Members on 23.06.2018 along with the audited Financial Statements for the period under consideration. The Meeting also resolved to have unity and solidarity in choosing the next Executive Committee during the Conference.
NEW SARAL LOAN SCHEME : INCLUSION OF OFFICERS / EMPLOYEESFollowing the constant follow up and pursuation of the AIABOA, the Competent Authority accorded approval for inclusion of Officers / Employees of the Bank under AllBank New Saral Loan Scheme :
TARGET GROUP All Confirmed Employees of the Bank(The Probationers already enjoy OD loan vide HOIC No. 15502 dated 15.02.2018) PURPOSE To meet personal needs and all other expensesLOAN Minimum of Rs.20000/ 6 Times Gross - Max. of Rs.300000FACILITY Term Loan RATE OF INTEREST 1YMCLRREPAYMENT EMI by Salary Deduction TAKE HOME PAY 35 %LOAN TERM Remaining month in attainment of 60 years ; Max. Of 60 M SECURITY Personal Guarantee of PF / NPS / Gratuity Nominee(Ref.: HOIC No. 15766 Dated 28.06.2018)CRESCENDO wholeheartedly thanks all the authorities concerned, for the above inclusion.
ASSOCIATION’S LETTER DATED 06.06.2018 ADDRESSED TO GM (HR), HOAADHAR ENROLLMENT WORK THRUST ON EMPLOYEES OF PSB
AIBOC DECISION TO BOYCOTT "You are kindly aware that the Aadhaar Enrollment work is straining the manpower and the financial resources of the Public Sector Banks for a non- banking activity and the AIBOC had been opposing the move since the beginning. The recently held Executive Committee of the Confederation (at Port Blair on 10th May, 2018) again discussed on the subject issue. The EC was unanimous in its view that the subject work shall not be imposed on the Public Sector Banks for the following reasons :
a. Most of the PSBs are presently passing through a strenuous journey in the industry caused by unabated increase in NPAs – more specifically from the corporates, negative impact of Prompt Corrective Actions, stipulated by RBI, lack of business growth as experienced by several banks and also serious manpower shortage in almost all the banks. Banks are also forced to invest in infra-structure and space for the subject work which is apparently avoidable financial burden to PSBs.b. The sole intention of the Government appears to be only finding scapegoats by fixing accountability in case of erroneous and accidental issuance of Aadhaar Cards to ineligible individuals for which the Bank officers come as a very handy and easy target. This is very insulting to the community of bank officers. c. When substantial enrollment work is already accomplished by the assigned agencies in the private sector (as claimed by a few Government agencies), the sudden decision of the UIDAI /DFS to load the enrollment work on Bank Officers does not appear to be logical. d. The UIDAI is unwilling to permit even the retired employees and officers of the banks to conduct this work which appears suspect of its intentions towards serving workforce of the PSBs.
Accordingly, the Executive Committee of the AIBOC unanimously decided to call upon the members not to undertake the Aadhaar Enrollment work. We have also communicated to our Members the decision of the AIBOC not to undertake the subject work.
It is suggested that the same may be entrusted to willing Retired Employees / Officers of the PSBs, with suitable checks and cautions. We also understand that at many Branches the related work has been outsourced whereas in other Branches the same is being thrust up on the Officers most of whom are our Members.
We therefore request you to note the above do the needful immediately. We are also willing to call on you for discussions, if necessary, on the subject." Sd/ P ANAND RAOGENERAL SECRETARY
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COM. SOUMYA DATTA TAKES OVER AS GENERAL SECRETARY OF AIBOCThe Executive Committee meeting held at Chennai on 26.06.2018 unanimously co-opted Com. Soumya Datta as the General Secretary of the AIBOC on the retirement of Com. D T Franco.
Com. Soumya Datta joined State Bank of India as a Probationary Officer in the year 1987. He decided not to go on promotion and remained as an activist of the Trade Union Movement. A voracious Reader, Writer, Orator, Defence Representative, Organizer and a Humanist. He is against social injustice and a campaigner for equality. Raising from the grass root he became the General Secretary of State Bank of India Officers Association, Bengal Circle in the year 2015. He was also the State President of AIBOC Bengal Unit.
Com. Soumya Datta was fully involved in the preparation of the Charter of Demands and provided all inputs to prepare the charter of demands. He was also a member of the Wage Revision Negotiation Committee in All India State Bank Officers Federation. Under his guidance, the AIBOC e research wing had been contributing a lot in bringing out booklets, pamphlets and press releases for AIBOC. He has not missed any seminars or conferences organized by All India Bank Officers Confederation and All India State Bank Officers Federation.
As a trainer he had been conducting training programmes and cadre development programmes for his membership almost every Sunday and Holidays. Com. Soumya Datta is also an accomplished sports person who plays football, table tennis , Hockey and involves in all sports activities.
The immediate challenges are Wage Revision, and Defence of Public Sector and Public Sector Banks.
CRESCENDO congratulates Com. Soumya Datta on this occasion and wishes him a successful tenure.
CRESCENDO extends a warm farewell to Com. Franco retiring on 30.06.2018 during whose tenure the issues pertaining to the Public Sector Banks and their Officers have been effectively highlighted, attracting the attention of the Govt. & also the common public.
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UFBU MEETING AT CHENNAI ON 12.06.2018
A meeting of the United Forum of Bank Unions was held at Chennai on 12.06.2018, in the background of the successful Two days’ strike on 30th and 31st May, 2018. The meeting was attended by representatives of all the constituent unions.
The meeting noted that the participation of Employees and Officers in the All India Strike on 30th and 31st May, 2018, was total and the massive turnout of the members in the rallies, demonstrations and processions was impressive and encouraging. The meeting congratulated the entire rank and file of the unions for making this strike action a stupendous success and as a befitting reply to the paltry offer of 2% hike by the Indian Banks’ Association.
The meeting reviewed the developments during the course of the agitation including the discussions held before the Chief Labour Commissioner (Central), Ministry of Labour, Government of India, on 28th May, 2018. The meeting observed that despite the clear advise of the CLC (C) to IBA to withdraw the 2 % offer and give a revised percentage of wage hike, the IBA did not come forward with any concrete proposal or offer to enable reconsideration of the strike call. The meeting took note that in deference to the observations of the CLC (C), the IBA has written to the concerned Banks to re-examine their decision on restricted mandate to the IBA but the issue still remains as the UFBU can not agree with the fractured mandate.
There were threadbare discussions regarding the further course of action to be decided by the UFBU to pursue the Charter of Demands and its resolution. After full-fledged discussions, the meeting decided as under:
a) Attempts should be made to meet higher authorities like Finance Minister, Secretary, Department of Financial Services, Chief Labour Commissioner (Central), Chairman, IBA, etc., with a view to impress upon them the need to resume the discussions in order to find amicable solution to the demands. It was decided to meet these officials at the earliest to explore the possibilities of an enhanced offer from the IBA in order to take the negotiations forward.b) In the event of unsatisfactory response from these authorities to resume the talks and to ensure expeditious settlement with adequate increase in wages and satisfactory improvement in service conditions, it has been decided that UFBU will undertake further strike actions during the months of July and August, 2018. The duration of the strikes and the dates etc., will be decided looking to the response of the IBA and the Government. It was also decided that these strike actions would be further intensified including the need for giving a call for continuous and indefinite strike actions.c) The meeting further decided to undertake various preparatory programmes preceding the strike actions in order to ensure full mobilization of the members.d) The meeting observed that the IBA’s paltry offer of wage hike is ostensibly due to the losses incurred by the Banks on account of increasing bad loans and consequent higher provisions and write-offs. The meeting reiterated that the wage expenses of the Banks as a ratio to the total expenses has actually declined over the years and hence, denial of fair wage revision can not be accepted. It was also reiterated that all the Banks without exception have been consistently earning operating profits year after year and in the last five years, from 2013-14 to 2017-18, the total Operating Profits were Rs.7,12,150 Crores and hence, to plead inability to offer better wage revision is totally retrograde. e) The meeting felt that the burden on the huge bad loans contributed by the corporate defaulters is sought to be put on the shoulders of the employees, on the one hand and on the Banking public, on the other hand. The meeting took note that all these problems are as a result of the Government pursuing the policies of Banking reforms like privatization, consolidation, appeasement to corporate defaulters, new mechanism to relieve the corporate defaulters from their liabilities under the guise of Insolvency and Bankruptcy Code FRDI Bill etc. Hence, the meeting felt that alongside the agitation for wage revision, UFBU should also build up campaign and protest actions against the Banking reform policies of the Government which are harmful to the interests of the banking public. f) 19.07. 2018, marks the commencement of 50th year of Bank Nationalization. In the background of the increasing attacks on Public Sector Banks and Social Orientation of these Banks, it was decided to observe “Defend Bank Nationalization Week” from 16th July, 2018 to 21st July, 2018, through observance of week-long programmes like Mass Meetings, Public Meetings, Seminars, Badge Wearing, Demonstrations, Press Release, Postering etc.g) The meeting observed that recently the Ministry of Electronics and Information Technology has given instructions to the Banks that from July, 2018, onwards, Banks must undertake Aadhaar Enrollment services. Keeping in view that already so many Government schemes are thrust on the Banks leading to avoidable stress on the Employees and Officers at the branches, the meeting decided that the members will not undertake the job of Aadhaar Enrollment.
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h) It was brought to the notice of the UFBU that Mr. Hansraj Ahir, Union Minister of State for Home, had issued instructions to some District Magistrate that Annual Increment should be stopped for Bank Managers, who have not completed the target to sanction Mudra Loans. The meeting took serious objection to such high-handed instructions and decided to take up the matter with the Government to rescind these instructions.i) The meeting also took note that in continuation of the PCA norms clamped on some of the Banks, recently, the RBI had issued directives prohibiting sanction of loans by Dena Bank and stopping all further recruitments in the Bank. Like any other Bank, the problem of Dena Bank is only on account of the huge Bad Loans and the remedy lies in taking stringent measures to recover these loans from the defaulters. On the other hand, prohibiting sanction of loans by the Bank will choke the Bank to ultimate death. Hence, the meeting took objection to the RBI’s action and demanded its immediate review and withdrawal. It was decided to take up the matter with the RBI.If the attempts to meet higher authorities to resume the discussions in order to find amicable solution to the reasonable demands of wage revision are spurned, the UFBU will come out with the agitation programmes including strike actions in July /August 2018 followed by intensified strike actions to achieve these just demands. Alongside the UFBU shall also protest against the banking reform policies of the Government and the hardship the banking clients are put to.Banking Sector is passing through critical times. In order to safeguard the Banks, which represents the hard-earned savings of the people and in order to protect and promote the interest of the workforce in the Banks, strengthening the Unions is the utmost priority. Unity and Struggles alone will be the guarantee against these attacks.
AIBOC PRESS RELEASE DATED 14.06.2018
Delhi High Court directs the Central Govt. to appoint Employee Directors in Public Sector Banks
"All India Bank Officers Confederation had filed a writ petition at Delhi High Court requesting a direction from the Court to implement the legal provisions of Banking Companies Act and SBI Act regarding appointment of Workmen and Non Workmen Directors in 20 Public Sector Banks. The case was admitted on 03.11.2017. In the hearing held on 28.02.2018, the Counsel of the Govt and RBI sought time to file counter. The next hearing took place on 16.05.2018 and the following order was issued.
WP 9749/2017 16.05.2018 Petitioner AIBOC
Respondent 1. GOI Respondent 2. RBI Justice Rajiv Shakhder
For the petitioner AIBOC, Mr. Prashant Bhushan and Ms. Kamini Jaiswal appeared.
Mr. Bhushan says that the petitioner Federation will furnish the concerned unions in respect of 21 PSBs for appointment of persons in the category of Employee Director in Consonance with the provisions of Sec. 9(3) (f) of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 read with the Sec. 19 of the SBI Act, 1955 as also the extent Rules and Regulations and Scheme framed thereof.
1.0 Let the needful be done in 10 days from the date of receipt of a copy of the order2.0 The list of names so submitted will be filed by the petitioner Federation, to the court, supported by an
affidavit of a duly authorized person. 3.0 Respondent No.1 will process the list and place it’s response before the court on or before the next
date of hearing.4.0 Re notify the matter on 09.08.20185.0 In the meanwhile, counter affidavit will be placed on record Justice Rajiv Shakdher
With this order the ball has started rolling for appointment of Workmen and Non Workmen Directors in 20 Public Sector Banks which are vacant for long. As on date there is not even one Officer or Employee Director in any of these Banks though proper recommendations have been sent to the Finance Ministry by respective Banks. As per the legal provisions and schemes attached to that, the majority Unions / Associations will recommend 3 names to the Banks and the same will be forwarded to the Govt. which will appoint the first name unless there is some case against that person.
AIBOC has asked its affiliates and the UFBU constituents to immediately submit their recommendations to their respective Banks."
Sd/ D T FRANCOGENERAL SECRETARY
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IS LIC PLAYING WHITE KING OR DON QUIXOTE ?
Experts rue likely use of policyholder funds to rescue ailing state-owned bankIt’s the same script playing out yet again, but with a slight twist. Insurance behemoth LIC is seen to have been nudged by the Centre to do the rescue act, though the official word is the boards of the respective entities will take a call.
The main difference this time around is that there is no disinvestment process at play; rather, LIC will unilaterally try to prevent the ailing public sector lender IDBI Bank from going under.
The proposed move is not going well with finance experts, who are accusing the Centre of using policyholder funds to rescue IDBI Bank. In the past, only taxpayers’ funds were used for bailouts, they pointed out. “LIC=ATM”, tweeted Sanjay Bakshi, a professor of finance at the Management Development Institute in Gurugram.
The big question is whether LIC has the expertise to run a bank if it gets a controlling interest in IDBI Bank, say industry watchers. The Central Government, which owns an 81 per cent stake in IDBI Bank, may look to bring its holding below 50 per cent. However, it is not divesting its stake to LIC. Instead, IDBI Bank will make a preferential allotment to LIC through fresh equity of shares.
With the LIC board giving its go-ahead, the action has clearly shifted to the insurance regulator IRDAI and capital markets regulator SEBI. The current regulatory norms forbid insurers from holding more than a 15 per cent stake in a company. IRDAI blessing is a must beyond this level. Also, since IDBI Bank is a listed entity, LIC ought to make an open offer. However, since two state-controlled entities are at play, SEBI might exempt it, say banking industry observers.
PCA FRAME WORKLast month, the RBI had brought IDBI Bank under its prompt corrective action (PCA) framework due to high NPAs and negative RoAs. For the just-ended March quarter, IDBI Bank had reported a net loss of ₹5,662.76 crore, wider than the net loss of ₹3,199.77 crore in the same quarter last year. Gross NPA as of end March 2018 stood at ₹ 55,588 crore (₹44,753 as of end March 2017)
[COURTESY : The Hindu-Business Line, dated 25.06.2018]
TRIENNIAL CONFERENCE OF TAMILNADU, PUDUCHERRY & KERALA STATE UNITThe Tenth Triennial Conference was held at Hotel Vestin Park, Chennai on 23.06.2018 which was presided by Com. K Suresh, the State President. The Conference, which witnessed massive participation of the Members, was graced by Sri R Sankarlingam, DGM, Chennai, Sri B K Sarangi, DGM, Hyderabad, Com. Biswaranjan Ray, the President, AIABOA, Com. R Sekaran, State Secretary, AIBOC, TN, Com. P. Anand Rao, the General Secretary, AIABOA, Com. PJV Anand Pani, the State Secretary, AP & Telangana States, Com. K Sriharsha, the State President, Karnataka & Com.BRV Murthy, the State Secretary, Karnataka & other Senior Officials of the Bank posted in Chennai.
After the Inauguration of the Conference by lighting of the lamp, by the Dignitaries on the dais, amidst thunderous cheers, both the Zonal Heads recorded their appreciation for the positive role, being played by the Association in every matter relating to the Bank. While fondly recollecting their days with the Association, they highlighted the present scenario, in which the Banking Industry is placed, with particular reference to the Allahabad Bank. They confidently reiterated that with continued & focused efforts, towards the core areas of the Bank, viz., Retail Business and Recovery, the Bank will certainly retain its past glory soon. They greeted the Officers on the eve of the Tenth Triennial Conference.
Com. Sekaran in his address detailed how and why the Public Sector characteristics are coming under concerted attacks and why the PSBs are being targeted by the vested elements. He further highlighted the role being played by a responsible trade union like the AIBOC and the need for all the members to rally around the leadership. He appreciated the activities of the AIABOA in the State of Tamilnadu.
Com. Biswaranjan Ray shared with the House the activities of the AIABOA and the key issues being pursued. He highlighted the efforts of the Association in ensuring minimal hardship to the Officers during this year’s Transfer exercise. He fondly recollected the active participation of the State unit during the agitation period of mid-1990s, when 4 activists of the Association were suspended at Kolkata for trade union activities. He also appreciated the enthusiastic participation of the members in the recent Two day strike programme under the banner of the UFBU. He acknowledged the overwhelming support of the Members to the ESPS, owing to which the same received tremendous success. He assured the House that suitable loan scheme will be introduced soon, to mitigate the hardship of the Officers / Employees on account of their investment in ESPS. He wished the conference every success.
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Com. Anand Rao, while congratulating the Officers of the State unit, recalled his long association with the Members of the unit and the constant support & the inspiration he has been drawing from them. He stated that the prime role of the Association is to ensure Justice with Equity to its Members in all the service matters. He also stated that the top priority of the Association lies in ensuring timely Repatriation of the Officers languishing in far off places. He claimed that due to the efforts of the Association, the Promotion policy of the Bank now carries extra weight-age to those struggling in Branches as a result of which, majority of the newly Promoted are from the branches only, this time. He assured Com. Sekaran of the continued participation of the members of the Association in every activity of the AIBOC / UFBU.
Com. Anand Pani stressed on the need to have unity and also, to rally behind the leadership at this critical juncture. Com. BRV Murthy & Com. Sriharsha, who spoke on the occasion, congratulated the Members & wished the Conference every success.
Later, Com. MSK Rajan who was retiring on 30.06.2018, was felicitated in a grand manner befitting his 3 Decade-long contributions to the trade union movement of the Officers. The House accorded him a standing ovation.
During the Business session, after the House unanimously adopted the Secretary’s Report along with the audited Financial statements of the State for the relevant period, the following new committee has been elected unanimously.
PRESIDENT V S Balaji Zonal Office, Chennai VICE PRESIDENTS S Chandrasekharan Annamalai Nagar, Trichy
S Bhaskar TirunelveliS Rakesh Thodupuzha (Kerala)
STATE SECRETARY Suresh K KK Nagar, ChennaiTREASURER V Dinesh Kumar Jafferkhanpet, ChennaiASSTT. TREASURER AS Ponsingh Justin KK Nagar, ChennaiDEPUTY STATE SECRETARY MK Sanjayan Kannur (Kerala)
ASSTT. STATE SECRETARY S Harishankar Service Branch, ChennaiM Ramarao SRCM Branch, ChennaiK Kalavalli Mount Road Branch,Chennai
COMMITTEE MEMBERS01.Smitha Babu, Cochin (Kerala) 02.KB Hariprasad - Kottayam (Kerala)03.Paul Kachappilly, Alwaye (Kerala) 04.S Moorthy, Kalapatti 05.A Mariappan, Tiruvanmiyur, Chennai 06 D Nanda Kumar, Magudanchavadi07.N Pushparajan, Kochadai, Madurai 08 P Vimal Kumar, Vellandipalayam09.S Deepan,Madipakkam, Chennai 10.V Ponnazhagan, Pathamadai11.S Chenthil Ganesh, Kancheepuram 12.M Muthuselvi, VP Colony, Chennai
CRESCENDO congratulates the above and wishes them a successful tenure. CRESCENDO places on record the valuable services rendered by Com. MSK Rajan to the Cause of the Officers and the Cause of the Association for all these long years and wishes him a healthy, peaceful and eventful retired life.
SAVE PUBLIC SECTOR BANKS SERIES - KILLING FROM WITHINTHE NEW PHASE OF PRIVATIZATION
There was a public Meeting at Jeevanjyothi Hall, ICSA Programme Centre, Chennai on 05.06.2018 which was jointly organized by the Tamilnadu State unit of the AIBOC & Centre For Financial Accountability, New Delhi.
The Speakers included Com. R Sekaran, the State Secretary, AIBOC, Sri KE Raghunathan, AIMO, Com. DT Franco, AIBOC, Ms.Selvi Priyadarshini, CFA, Com. CP Krishan, BEFI and others. A book on Commendable Performance of Public Sector Banks during 2017-18 was released during the Meeting. Significant changes being made by the Govt. and the RBI, silently, viz., Restrictions on Dena Bank on fresh Credit exposure, Appointment of Non Executive Directors in Dena Bank, Punjab & Sind Bank, Central Bank of India & other developments viz., while allegations of scams have been on the Heads some of the new generation Private Banks, they have been treated with kid gloves, etc. were highlighted by the Speakers.
PRESS RELEASE DATED 27.06.2018AIBOC OPPOSES ARREST OF SENIOR MANAGEMENT OFFICIALS OF BOM
& EFFORTS TO SHOW BANKERS IN BAD LIGHT
“All India Bank Officers Confederation, the largest Officers’ organization having membership of around 3, 25,000 Officers and the apex trade union of supervisory cadre employees conveys its strong resentment against the arrest of Shri Ravindra Prabhakar Marathe, Managing Director (MD) and chief executive officer (CEO) of Bank of Maharashtra, along with five others in connection with the suspected Rs 2,043 crore DS Kulkarni Developers Limited (DSKDL) fraud case by the Economic Offences Wing of the Pune Police.
The loans were sanctioned to DSKDL as per the bank’s lending norms. The Bank has also made it clear that outstanding loan to DSK Developers is just about Rs 94.52 crore, which is secured by collateral securities given. The fact that the bank has declared DSK Group as wilful defaulter and possessing their assets under the SARFAESI Act shows that there was no collusion between the bank management and the defaulter. But, the government is treating public sector banks very harshly and putting them in the bad light even in cases where due diligence process was followed. The loans disbursed to DSK Group were sanctioned through a formal process which involved a clearance from the credit committee of the bank. Hence, it was incorrect to allege that the officials misused their position or gained anything by disbursing loans to DSK Group. The loans have been further scrutinised by the Board where RBI representative and Government representatives are there. No action has been taken against them.
This is a case of a conspiracy as the officials of the bank have been arrested for criminal conspiracy and “in violation of Maharashtra Protection of Interest of Depositors in Financial Establishment Acts, 1999”; however, this law is not applicable to banks. Further, as per RBI guidelines, frauds involving amounts exceeding Rs 25 crore are to be only handled by the Central Bureau of Investigation (CBI) and not the state police, but in this case arrest has been made by the State Police. Hence, this action on the part of the Maharashtra State Govt. is a clear case of infringement of the existing laws of the country and is an example of high-handedness and mis-use of power. In the recent past also, we have seen many cases where the investigating agencies have overstepped and are overpowered in handling the cases of officials of public sector bank. This is a conscious attempt on the part of the Government to damage the image of public sector banks (PSBs) and divert the attention of the masses from the core issues which are spoiling the public sector banks of the country.
It would not be an exaggeration recalling the contribution of the public sector bankers community in the successful implementation of all the govt sponsored schemes and the officials have discharged their roles and responsibilities with honesty and sincerity beyond doubt. Public Sector banks have been made to use their resources without any return and not to mention about demonetization, owing to which, the bankers’ fraternity as a whole had to toil for day in and day out for not less than three months to bring the situation and economy under control. It is known that most of the loans which have become NPAs are large advances, sanctioned at board level of the Banks consisting of RBI Representatives and members nominated by Government as well. Hence, it is not in order to punish the bank officials alone if at all the government thinks of such an action. With this communication, Executive Committee of our Confederation which met on 26.06.2018 condemns the arrest of the top management of the Bank of Maharashtra for “taking bonafide decisions” and demand for their immediate release from the police custody. We also demand that the government and the RBI for that matter should conform to the prevailing Rules and Regulations of the country and stop their atrocities on the Bankers community. "
Sd/ D T FRANCOGENERAL SECRETARY
ZONAL MANAGEMENT RELATIONS COMMITTEE MEETING AT CHENNAIThe above was held at ZO, Chennai on 22.06.2018, in which the Association was represented by Com. P Anand Rao, the General Secretary, AIABOA, Com. K Suresh, the State President and Com. MSK Rajan, the State Secretary. The Management was represented by Sri R Sankarlingam, the DGM, Sri Kumar Doure, the AGM, Sri Venkatesh, the Chief Manager & others. The Meeting addressed the issues pertaining to the Bank and the Officers in a cordial manner. Com. Rajan who was retiring on 30.06.2018, was warmly greeted and appreciated, by the Management Representatives, for his valuable services to the Bank as Branch Head, for most of his service period and to the Officers' community.
