Flattery Is the Best Qualification For Promotion

If CBI or CVC conduct investigation into entire promotion process of any bank for last ten years or at least five years  , it will be clear how in each process, top executives commits fraud with APAR marks and how numbers are given in interview to pass or to reject an officer overlooking annual report of the officer . Such manipulation continues and reckless and check-less fraud goes on committed with merit of officers and it is is not new in banks .

http://dkjain4970901092007.blogspot.in/2013/09/see-how-top-executives-get-promotion-in.html

If CBI is entrusted to verify the past records of at least  executives ( say from scale IV to scale VII ) to begin with , if their appraisal markings are verified , if their market report is collected, it will be proved beyond doubt that large scale manipulation in APAR marks in public sector bank is common feature and unrealistic favour in Interview by Interview panel members and fraudulent rejection of good officers have only resulted in elevation of corrupt officers to top post and which promote culture of flattery and bribery only .

Otherwise CBI can verify the past record of those officers who have at their own left taking part in promotion process  in disgust or who have been repeatedly rejected in promotion process for years and decades to find out how they were the best performer but could not get success only because they were not backed by any Godfather at central office.

In India when 186 cumbersome and bulky files pertaining to coal scam are lost , it will not be surprising to hear if files pertaining to APAR are reported lost by bank management.When files pertaining to bank fraud or that of Bad borrowers (NPA borrowers ) can be reported lost , loss of HR related files is very much possible  to save the culprits who manipulated in APAR and Interview markings to promote some and to reject others strictly as per whims and fancies of top officials. 

This is possible in banks only that staff accountability in high value bad loans is never fixed, at least until the real culprit gets retired.If a bad loan accounts involves ten or twenty crore or more , the reason for account going bad is more often than not attributed to global recession or natural calamities and real corrupt officials are absolutely shielded by punishing a few juniors as easy scapegoat.

Following news can confirm this because when a General Manager can be promoted on getting one 1 out of 30 marks , one can imagine what he will do with his juniors.And fraudulently promoted officers later become number one Chamcha of bosses and become union leader too so that IR problems is not possible.In this way there is mutual understanding between union leaders and top officers of the bank and finally with ministers and top officers of Government of India.

As long as Field functionaries are  unhappy, one cannot dream of any reduction in bad assets. Rather volume of bad assets will go on rise because inefficient and frustrated officers sitting at key post such as Branch head or Regional Head of a bank or zonal or central head of the bank. This is why bank reports recovery of Rs.100 from bad assets and simultaneously report slippage of Rs.200 to bad assets category.Quality of Credit processing is moving from bad to worse despite the fact that bank management always claim that they have dynamic training system and merit oriented promotion policies .

CMD Indian Bank And Ex ED Caught BY CVC

CVC seeks action against Indian bank CMD, ex-ED--Times of India 31.08.2013

NEW DELHI: The Central Vigilance Commission (CVC) has sought action against Indian Bank CMD T M Bhasin and former ED V Ramgopal for "high-handedness, arbitrariness and manipulation" of appraisal reports of Malay Mukherjee, a general manager in the bank, with a view to deny him a promotion.


While the finance ministry has not initiated action against the two executives, the CVC has also sought action against Shreya Guha, a director in the ministry, for lapses in conducting enquiry against Bhasin and Ramgopal. For the finance ministry, this the second embarrassment in less than a month as the watchdog was critical of the role performed by the Appointments Board in recommending M O Rego for the post of IDBI Bank deputy MD. 

Once again seeking regular departmental action (RDA) against the two top-raking Indian Bank executives, CVC had told the finance ministry that Mukherjee's performance for 2009 had been reviewed by the then ED A S Bhattacharya and M S Sundarrajan, who was then the CMD of the Chennai-headquartered bank. Bhasin and Ramgopal were not required to appraise Mukherjee for 2009-10 as he had not worked with the two executives.

http://timesofindia.indiatimes.com/business/india-business/CVC-seeks-action-against-Indian-bank-CMD-ex-ED/articleshow/22177194.cms

One-year rigorous imprisonment for former CMD of Indian Bank Business Line 23.05.2013

A Principal Special Judge for CBI cases here on Wednesday sentenced the former Chairman and Managing Director of the nationalised Indian Bank, M. Gopalakrishnan (77), to one year’s rigorous imprisonment (RI) and slapped a fine of Rs.1.50 lakh on him in a case relating to causing loss to the bank to the tune of Rs.3.26 crore.

The Judge, S.Malathi, also awarded one year RI to the then Zonal Manager of the bank,A.V.Shanmugasundaram, and two years RI to the Managing Director of a private construction company, S.Dhanasingh, in the case. A total fine of Rs. three lakh was imposed on the two.

The Judge suspended the jail terms for a month to enable the convicted persons to file appeals.

This is the third case in which Gopalakrishnan, against whom 20 cases were registered by the CBI in the mid-1990s, is being convicted in a corruption case. In April 2009, he was sentenced to undergo 14 years’ rigorous imprisonment by a special CBI court in Chennai. The judge awarded two seven-year terms to run one after another.

He is out on bail pending appeal.

While four cases were investigated by Anti-Corruption Branch, the others are with the Economic Offences Wing (EOW) and the Bank Security and Fraud Cell (BSFC). All the cases are charge-sheeted and pending trial, agency sources said.

Gopalakrishnan was considered close to influential political leaders during his high-profile tenure. He was prominently covered by Doordarshan almost on a daily basis in news bulletins, giving an impression to viewers that he was highly popular. However, his arrest and subsequent investigation by the CBI led to closer scrutiny of the unusually large number of high-value loans he generously sanctioned to prominent personalities.

In the latest case to end in conviction, the offence was committed between 1993 and 1995. The prosecution case was that Akilam Constructions Pvt. Ltd., Chennai, represented by its Managing Director Dhanasingh, applied to the bank’s Alwarpet branch here for a secured overdraft facility to the tune of Rs. five crore for purchasing 200 acres at Mamallapuram for developing them as farm lands and selling them. Pursuant to a conspiracy to cheat the bank, the bank branch’s Chief Manager, K. Sundaramurthy (died during course of trial), by abusing his official position forwarded the proposal to the regional office recommending sanction.

Shanmugasundaram abused his official position and sent a letter to Gopalakrishnan directly recommending the proposal the same day, August 28, 1995. The Chairman conveyed his approval for sanction without verification. Based on the sanction letter, Sundaramurthy released a temporary OD facility of Rs.3.26 crore to the construction company by accepting inadequate collateral security and disregarding the terms and conditions of sanction.

Dhanasingh, who availed himself of the credit facility of Rs.3.26 crore, diverted Rs.2.86 crore to the account of one M/s Allengar Foundation, represented by K.Anandan Pillai (who also died during the course of trial) without using the loan amount for which it was sanctioned. Pillai, in turn, used the sum to settle his dues in his account in IndBank Housing Limited.

Thus, the bank sustained a loss of Rs.3.26 crore and Dhanasingh and Anandan Pillai obtained pecuniary advantage.

The Judge held that the prosecution had established its case by adducing reliable and satisfactory evidence. As Sundaramuthy and Anandan Pillai had died, the charges against them abated.

http://www.thehindu.com/news/national/tamil-nadu/oneyear-rigorous-imprisonment-for-former-cmd-of-indian-bank/article4740200.ece

Flattery Is the Best Qualification For Promotion

If CBI or CVC conduct investigation into entire promotion process of any bank for last ten years , it will be clear how in each process top executives commits fraud with APAR marks and how numbers are given in interview 

Despite 1/30 marks, 4 bankers set to be EDs-

Times of India 27th August 2013

NEW DELHI: Can you get a job after securing one mark out of 30 in an interview? Yes, if you are an aspirant for the job of an executive director (ED) in a public sector bank. 

The finance ministry has recommended appointing four general managers of state-run banks as executive directors, on promotion, despite the candidates managing to barely open their accounts during an interview conducted by a panel headed by financial services secretary Rajiv Takru. 
An ED is part of the top management of a bank and a level below the bank chairman and managing director. 

4 bankers recommended for post of executive director in PSU banks despite scoring just 1 out of 30 marks An ED is part of a bank's top management, just a level below the bank chairman and managing director All 4 bankers had earlier scored full marks in their annual confidential reports 

Panel foxed by low scores of 4 general managers 

After interviews by a committee in June and July, the finance ministry sent a list of bankers for appointment as executive directors, including four who had secured one mark. 

This included B S Rama Rao, general manager in Andhra Bank who is to be appointed as executive director of Vijaya Bank, Atul Agarwal (Central Bank of India GM to Indian Overseas Bank ED), Mahesh Jain (Syndicate Bank GM to Indian Bank ED) and RK Takkar (from Oriental Bank of Commerce general manager to Dena Bank ED). 

The Reserve Bank of India governor heads the appointment board, which interviews candidates for top jobs in public sector banks including those for posts of CMD and executive director. Often, if the governor can't attend the meeting, a sub-committee headed by the financial services secretary shortlists the candidates. The other members of the panels include one of the four RBI deputy governors and two external experts, which includes a professor from an Indian Institute of Management. 

How the four general managers managed to score so low in the interview is something that has even foxed the appointments committee of cabinet, given their track record. Four bankers had scored full marks based on their annual confidential reports or appraisal done by their bosses. 


IDBI top job under CVC lens 

The Central Vigilance Commission has pulled up the Appointments Board headed by RBI governor and its sub-committee chaired by the financial services secretary for recommending that IDBI Bank executive director MO Rego be appointed the bank's deputy managing director. 

The observations came after it emerged that the Rego was given 10 marks each for his annual appraisals for 2007-08 and 2008-09 based on ratings of 4.1 for each of the years. 

As reported by TOI on December 4, the finance ministry was pushing Rego's case after the Appointments Board marked him as the top choice for the DMD's job at IDBI Bank. The personnel department, however, wrote to the finance ministry pointing out certain shortcomings. It said that during 2007-08 and 2008-09, Rego's work had been praised, but the rating had not been changed. 

The financial services department, however, upgraded the ratings from "very good" to "outstanding" and gave him a score of 70 instead of 66, which had also been given to another candidate who was a contender for the job. The personnel department said that the selection panel may have been influenced by the finance ministry's rating.

http://timesofindia.indiatimes.com/business/india-business/Despite-1/30-marks-4-bankers-set-to-be-EDs/articleshow/22084750.cms