An open letter to RBI/ Finance Minister/ banking Division Government of India
Are you really worried about health of Banks in India?
Are you really interested to increase lending in rural sector and achieve social inclusion?
If yes,
you should appoint at least 100 teams of honest and sincere auditors, each team comprising of at least three to four people and give them time of at least ten days to audit a branch from all angle of consideration and ensure that they submit detailed report within ten days.
Such report then should be further analysed and stern action should be taken against erring officials, he may be Branch Manager or Regional Head or General Manager or CEO of the Bank.
Audit not for the sake of Audit should be the target.
How deposits are mobilized,
How advances are sanctioned,
How much of advances are real NPA,
How much is really declared NPA,
How much is written off,
How much waiver took place,
Who are responsible for bad advances for last ten years?
Who did not make any follow up?
Who got promotion only by flattery?
Who worked hard and who looted the Branch,
Who performed honestly?
Who indulged in reckless financing?
Who got adequate manpower at branch?
Which branch is working under acute manpower shortage, whether regional head is promoting corrupt practices?
Whether GM is corrupt?
Whether rural posting is used for increasing rural lending
or punishing a non-flatter officer and so on ………..
You may start your investigation from the state of Jharkhand, Bihar, UP …..
You may select five top banks and ten branches from each Bank and complete this task within three months to know the reality of banks.
Are banks in India suffering from more dangerous crisis than sub prime crisis of USA?
Are CAs giving true certificate?
Are audit reports submitted by various internal auditors duly taken care of and erring officials are punished and kept away from promotion and from sensitive posting?
Have RBI auditors portrayed true picture in the past?
You may start with State Bank or Bank of India or Union Bank
Monday, January 25, 2010
Thursday, January 7, 2010
Neta -Management nexux in Banks
It is always advisable that office bearers of an organization are changed periodically in a democratic system. At least there should be change of person every two or three years for the post of Secretary and the President in the same way as Branch head or Regional head or Zonal head or CEO of a bank is changed every two – three years.
In a democratic country like India every political parties have been changing their Presidents periodically. Prominent Communist parties change their party president every two years. Banking Industry has inherited communist culture, but it is disheartening to mention here that staff unions and associations in these banks are dependent on a few leaders who have been occupying top posts for decades. Political parties, trust or an organization or Bank union or association of officers who consider any person indispensable on top posts are really too weak to survive for long and undoubtedly prone to corrupt practices. These organizations in fact have not developed second line of management.
Even a financial Institute cannot prosper with quality and remain in good health if the persons posted at responsible and sensitive posts are not altered periodically. Whereever the same person hold sensitive posts in a bank for a longer period it is found that the bank's intrinsic value and overall quality of its assets suffers continuous erosion and the disease of corruption spread like cancer in the system. It is such organization where whimsical promotions and whimsical posting takes place.
It is these organizations where good persons are shunted away and bad persons are promoted and placed at cream posts so that the corrupt lobby is not questioned by anyone. It is under such bad administration that person like Rathore goes on getting promotion and respectable posting whereas on the other persons like Ruchika are forced to bear with injustice meted out to them. By the time realities of corrupt person get exposed by grace of God, it is too late. Justice delayed is justice denied. There are many Rathore like executives in banking Industry too who have been getting uninterrupted promotions and getting one after other elevation in their career (at the cost of good performers) despite the fact that there were indulged in corrupt practices and they caused huge loss to banks.
Keeping in view above-mentioned bitter truth of the organization I demand those office bearers of officers association as also employees unions in all banks must be changed every two - three years. If Bank employees fail to ensure this healthy culture, perpetuation of injustice cannot be stopped and frustration among good workers will continue to rise ultimately jeopardizing the health of the bank.
I hope sensible, experienced, educated and prudent class of officers will apply their wisdom and take all possible steps to stop monopoly and dictatorial attitude of certain office bearers who have in course of time become indispensable and who are eating away fruits of hard labour done by real workers. Second line of leadership must be developed in all organization for achieving sustainable quality growth of not only assets but also that of human capital.
Danendra Jain
Ganaraj Choumuhani
Agartala
7th January 2009
In a democratic country like India every political parties have been changing their Presidents periodically. Prominent Communist parties change their party president every two years. Banking Industry has inherited communist culture, but it is disheartening to mention here that staff unions and associations in these banks are dependent on a few leaders who have been occupying top posts for decades. Political parties, trust or an organization or Bank union or association of officers who consider any person indispensable on top posts are really too weak to survive for long and undoubtedly prone to corrupt practices. These organizations in fact have not developed second line of management.
Even a financial Institute cannot prosper with quality and remain in good health if the persons posted at responsible and sensitive posts are not altered periodically. Whereever the same person hold sensitive posts in a bank for a longer period it is found that the bank's intrinsic value and overall quality of its assets suffers continuous erosion and the disease of corruption spread like cancer in the system. It is such organization where whimsical promotions and whimsical posting takes place.
It is these organizations where good persons are shunted away and bad persons are promoted and placed at cream posts so that the corrupt lobby is not questioned by anyone. It is under such bad administration that person like Rathore goes on getting promotion and respectable posting whereas on the other persons like Ruchika are forced to bear with injustice meted out to them. By the time realities of corrupt person get exposed by grace of God, it is too late. Justice delayed is justice denied. There are many Rathore like executives in banking Industry too who have been getting uninterrupted promotions and getting one after other elevation in their career (at the cost of good performers) despite the fact that there were indulged in corrupt practices and they caused huge loss to banks.
Keeping in view above-mentioned bitter truth of the organization I demand those office bearers of officers association as also employees unions in all banks must be changed every two - three years. If Bank employees fail to ensure this healthy culture, perpetuation of injustice cannot be stopped and frustration among good workers will continue to rise ultimately jeopardizing the health of the bank.
I hope sensible, experienced, educated and prudent class of officers will apply their wisdom and take all possible steps to stop monopoly and dictatorial attitude of certain office bearers who have in course of time become indispensable and who are eating away fruits of hard labour done by real workers. Second line of leadership must be developed in all organization for achieving sustainable quality growth of not only assets but also that of human capital.
Danendra Jain
Ganaraj Choumuhani
Agartala
7th January 2009
Monday, January 4, 2010
You are called as Star Performer
Labour exploitation in Star Performer Banks
Who will monitor NPA? It is better to sell the NPA so that new avenues for lending are opened and new scope for creation of NPA arises. Banks are proud of loading branches with new products without taking proper care of assets what they have and think it wise to allow NPA increasing, selling it to other bank or ARC. or writing off the same Banks in general know how to cook balance sheet and portray good picture before Ministry as Raju of Sayam used to do. None of prominent bankers want to understand and act on reasons of brakeless erosion in quality of bank assets .Everyone want to become star performer by manipulation and through shortcut route as hitherto done. Window dressing in business and exploitation of manpower are two shortcuts to achieve the goal.
Labour exploitation was the mantra of private entrepreneurs before reformation era i.e. before 1991 when the policies of privatization and globalization were adopted by our government. Now even Public Sector Banks are also earning profit by curtailing manpower in many ways. First they do not make fresh recruitment in proportion to expansion of branches carried out by them. Secondly they do not fulfill the vacancies caused by resignation, death, dismissal and retirement. Thirdly they are introducing machine and outsourcing many job which were handled by internal staff in the past.Forthly they have added new business like insurance, demat, mutual fund, portfolio management etc in banks which were not part of banking work in the past. Lastly they do not increase manpower even if there is large scale increase in business of the branch; rather they put pressure on existing manpower in the branch to complete the work by sitting late. If banks start keeping manpower as per need of the branches I apprehend most of the banks will either come to loss or face considerable erosion in their profits. There is none to stop this culture now. There is a proverb, “jab saiyan bhai kotwal to dar kahe ka”
In the past there used to be Labour Departments and Labour Enforcement offices in every district to enforce various labour friendly rules. But now these offices are getting their salary without doing any job. It is ironical that Government of India as a whole is advocating 12 hour work culture and seven days work in banking without satisfactory increase in wages whereas employees of central government are getting higher wage revision and enjoying five day week.
Delhi headed by star performer
Delhi is headed by most able and renowned CM Mrs. Sheila Dikchit. Bridges are collapsing, terrorists are escaping from hospitals. Cricketers are leaving Kotla ground, blue line buses are causing accidents after accidents, low base buses are getting bunt in the first year of purchase automatically and so on. In our India all star performers are found to be involved in some bigger fraud which becomes visible only after causing much delay. Satyam exposure proved that award for best corporate governance was unjustified. Exposure of Rathore in Ruchika suicide case proved that police medals are awarded to one who is expert in flattery and not to one who is performing the best. Indian Bank in the past booked historic loss because it was headed by one of the best CEO. And so on …………………
Bihar on path of development
Bihar renowned for its backwardness has shown unprecedented growth during last five years and it is near to topper Gujarat in growth. On the contrary Maharastra reputed for growth and development has shown decline in annual growth during the same period. At least Mr. Raj Thakre should take a note of it and realise and be cautious in his remarks against North Indians and Biharis that if people from Bihar do not go to Mumbai and get job in Bihar only, fate of Maharastra will be doomed.
Danendra Jain
5th January 2010
Who will monitor NPA? It is better to sell the NPA so that new avenues for lending are opened and new scope for creation of NPA arises. Banks are proud of loading branches with new products without taking proper care of assets what they have and think it wise to allow NPA increasing, selling it to other bank or ARC. or writing off the same Banks in general know how to cook balance sheet and portray good picture before Ministry as Raju of Sayam used to do. None of prominent bankers want to understand and act on reasons of brakeless erosion in quality of bank assets .Everyone want to become star performer by manipulation and through shortcut route as hitherto done. Window dressing in business and exploitation of manpower are two shortcuts to achieve the goal.
Labour exploitation was the mantra of private entrepreneurs before reformation era i.e. before 1991 when the policies of privatization and globalization were adopted by our government. Now even Public Sector Banks are also earning profit by curtailing manpower in many ways. First they do not make fresh recruitment in proportion to expansion of branches carried out by them. Secondly they do not fulfill the vacancies caused by resignation, death, dismissal and retirement. Thirdly they are introducing machine and outsourcing many job which were handled by internal staff in the past.Forthly they have added new business like insurance, demat, mutual fund, portfolio management etc in banks which were not part of banking work in the past. Lastly they do not increase manpower even if there is large scale increase in business of the branch; rather they put pressure on existing manpower in the branch to complete the work by sitting late. If banks start keeping manpower as per need of the branches I apprehend most of the banks will either come to loss or face considerable erosion in their profits. There is none to stop this culture now. There is a proverb, “jab saiyan bhai kotwal to dar kahe ka”
In the past there used to be Labour Departments and Labour Enforcement offices in every district to enforce various labour friendly rules. But now these offices are getting their salary without doing any job. It is ironical that Government of India as a whole is advocating 12 hour work culture and seven days work in banking without satisfactory increase in wages whereas employees of central government are getting higher wage revision and enjoying five day week.
Delhi headed by star performer
Delhi is headed by most able and renowned CM Mrs. Sheila Dikchit. Bridges are collapsing, terrorists are escaping from hospitals. Cricketers are leaving Kotla ground, blue line buses are causing accidents after accidents, low base buses are getting bunt in the first year of purchase automatically and so on. In our India all star performers are found to be involved in some bigger fraud which becomes visible only after causing much delay. Satyam exposure proved that award for best corporate governance was unjustified. Exposure of Rathore in Ruchika suicide case proved that police medals are awarded to one who is expert in flattery and not to one who is performing the best. Indian Bank in the past booked historic loss because it was headed by one of the best CEO. And so on …………………
Bihar on path of development
Bihar renowned for its backwardness has shown unprecedented growth during last five years and it is near to topper Gujarat in growth. On the contrary Maharastra reputed for growth and development has shown decline in annual growth during the same period. At least Mr. Raj Thakre should take a note of it and realise and be cautious in his remarks against North Indians and Biharis that if people from Bihar do not go to Mumbai and get job in Bihar only, fate of Maharastra will be doomed.
Danendra Jain
5th January 2010
Saturday, January 2, 2010
Listen CMD of Bank
• Why officers and employees are not transferred out from the Mumbai, Kolkata, Delhi, Bangalore, Chennai etc. and on the contrary employees of states like Orrisa, Bihar, and Jharkhand are frequently transferred out of their states even violating transfer policies?
• Why some officers are always given rural posting whereas some other officers are even promoted without rural posting violating government guidelines in this regard?
• Why some officers are allowed to work in their Metro towns for decades whereas officers of other small towns and villages are to change their place of working every year or alternate year without any incentive or compensation?
• Is there no punishment for those executives who indulge in corrupt practices and resort to whimsical transfers to keep away all employees who may prove hurdle in their money making process?
• Why RBI remains silent spectator of ill-motivated CEOs of banks and allows the malady in banks to accumulate?
• It is worthwhile to mention here that unhappy lot of employees cannot think for and make efforts to keep bank healthy?
• Is human resource not capital in real sense in Banking Industry and for some VIP CEOs of Bank?
Danendra Jain
• Why some officers are always given rural posting whereas some other officers are even promoted without rural posting violating government guidelines in this regard?
• Why some officers are allowed to work in their Metro towns for decades whereas officers of other small towns and villages are to change their place of working every year or alternate year without any incentive or compensation?
• Is there no punishment for those executives who indulge in corrupt practices and resort to whimsical transfers to keep away all employees who may prove hurdle in their money making process?
• Why RBI remains silent spectator of ill-motivated CEOs of banks and allows the malady in banks to accumulate?
• It is worthwhile to mention here that unhappy lot of employees cannot think for and make efforts to keep bank healthy?
• Is human resource not capital in real sense in Banking Industry and for some VIP CEOs of Bank?
Danendra Jain
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