State Level Bankers’ Committee, Jharkhand Convenor: Bank of Indiaslbcjharkhand.org/pdf/Minutes45.pdf · 2014-06-03 · a)S LBC website is proposed to be activated with export dealing

SLBC Jharkhand: Convener-Bank of India1

The 45th Meeting of SLBC, Jharkhand was held on 12th November, 2013 (Tuesday) atHotel Radisson Blu, Ranchi. Honourable Finance Minister, Govt of Jharkhand, SriRajendra Prasad Singh was the Chief Guest of the meeting. The meeting was chairedby Sri B. P. Sharma, Executive Director, Bank of India. The meeting was also attendedby Sri A.P.Singh, Secretary, Institutional Finance and Programme Implementation,Govt of Jharkhand, other Principal Secretaries, Secretaries, senior functionaries ofvarious departments of Government of Jharkhand, Regional Director of RBI, SriM.K.Verma, Chief General Manager of NABARD, Controlling Heads and other officialsof all the Banks operating in Jharkhand, besides representatives of UIDAI and otheragencies. List of participants is furnished in Annexure-1.

At the outset Shri R.M.Prasad, General Manager, SLBC, Bank of India welcomed all theparticipants and dignitaries to the 45rd Meeting of SLBC, Jharkhand. The variousdignitaries were formally welcomed by the Controlling Heads of different Banks of thestate , by handing over flower bouquets.

Welcome Address:

Sri A.P.Singh, Secretary, Institutional Finance, Govt of Jharkhand, formally welcomedHonourable Finance Minister, GOJ, Sri Rajendra Prasad Singh, ED, Bank of India, SriB.P.Sharma and other participants from Govt side and Banking fraternity. He informedthe house about the qualitative changes being brought into the format of SLBC meetingfor ensuring more discussions/ deliberations to make it more meaningful. The same hasyielded results with the initiatives taken in more focussed manner, timely conduct ofdifferent Sub-committee meetings and participation of representative of DFS, MoF,Govt of India. The issues emerged out of his welcome address are as under;

Issues/Observations Action points emerged Action to be taken by

1. Timely conduct of meetingand subsequent implementationof its recommendations.

All convenors of differentSLBC Sub Committees andPrincipal Secretaries,Chairman of respectivesub-committees

2. CD Ratio needs to be closelymonitored and actions to beinitiated for its qualitative andquantitative improvement.Among the Districts ChatraDistrict has registered a CDRatio below 30% and hencesincere effort is required to bemade by all Banks to improve

SLBC/All Banks/DLCCs

State Level Bankers’ Committee, Jharkhand

Convenor: Bank of India

Minutes of 45th SLBC Meeting held on 12th

November’2013

at Hotel Radisson BLU , Ranchi


CD ratio in Backward Districts ofthe State by setting up realisticyear to year target

3. SLBC role should be morevisible in the State with more co-ordinated activities underCorporate Social Responsibility.To start with Ranchi and itsadjoining areas can be taken upas a challenge with activitiesresulting into Green Ranchi andgainful employment to at least10000 persons.

SLBC/All Banks/DOIF GoJ

Inaugural Address:

The Executive Director of Bank of India, Sri B.P.Sharma in his inaugural addresswelcomed Finance Minister Govt of Jharkhand and other participants to the 45th SLBCmeeting. He specially thanked Honourable Minister and other Govt functionaries formaking it possible for attending the meeting despite important cabinet meetingscheduled on the same day. Sri Sharma in his short and effective address touchedupon the following issues:

Observations Action points emerged Action to be taken by

CD ratio needs specialattention as discussed bySri A.P.Singh earlier sinceY-O-Y level has gonedown. Hence theactivation of branch levelsanctioning is essential.Disbursements under Bigticket advances in theState is generally takencare by the sanctions atcorporate level.

1. Need for BranchManagers to take initiativesby utilising their delegatedauthority for sanctioning ofloans to improve the overallsituation. Jharkhand being aState where priority sectorlending of smaller quantumtakes place in good numbers.

All Controlling Headsof different Banks inJharkhand shouldmonitor this aspect.

DBT is a flagship schemeof GOI and is on the mainagenda of Govt ofJharkhand.

2.The deliberations on theissues involved in it to betaken up in details duringAgenda discussion andaction points emerged duringvarious meetings includingSLBC sub Committeemeetings.

All Banks

3.Time bound Action plan tobe prepared to improve CDRatio.

SLBC/All Banks/DoIF


4. Corporate SocialResponsibility is Bankspecific and hence SLBCbeing a co-ordinating bodycan not take up on its own.However, they canproactively contribute inidentifying areas, specificfields and modalities to havea proper direction to thewhole concept.

SLBC/All Banks/DoIF

5. SLBC to work proactively,as its theme, mission andcommitment, for overalldevelopment of the State andup liftment of its masses

SLBC

Keynote Address:

Sri Rajendra Prasad Singh, Hon’ble Finance Minister, Govt of Jharkhand, in his keynoteaddress emphasized the need of more proactive role of Banks in overall growth of theState. He assured that Govt is committed to extend all support in the matter of recovery,security and other developmental issues. He cited example of Chatra Distt whereinquantitative & qualitative improvement has been seen on the condition of Electricity,Health, Roads, basic policing, but the CD ratio is still being found at the bottom level.Further, he raised certain issues mentioned below for the Bankers to ponder andbringing improvement therein:


1. Banks are city centricand not reaching out to theremote rural places.

Instead of openingbranches in town, more &more branch needs to beopened in rural areas.

SLBC/Banks/DoIF/DLCCs

2. There is generalreluctance on the part ofBankers in opening ofaccounts, more particularlyin case of SC, ST & otherweaker sections. He citedthe case of “Sahiyas” inHealth Department whereinhe had to persuade Banksfor opening accounts insome of the districts.

The Bankers to take it asa responsibility to openBank accounts of poorpeople for inclusivecoverage and financialinclusion.

AllBanks/LDMS/DoIF/SLBC


3. Despite Govtcommitment for support inrecovery, Banks are nothelping out borrowers whoare ready to return thesizeable dues.

All the banks in thestate to extend thehelping hand in suchcases on merits andfollow the laid downprocedures in thisregard.

All Banks

4. Education Loans to theStudents are not beingsanctioned promptly or atthe right time. This causeshardships to both parents &students

All the banks shouldensure to follow the timeline in this regard .

All Banks

While concluding his address he exhorted Bankers to help people of the Statewhere they work. He appealed to all Bankers to take it as their moral duty to help Statedevelop & prosper in the days to come.

The Executive Director, Bank of India, Sri B.P.Sharma thanked the HonourableMinister for having spared valuable time out of the busy Schedule (Important CabinetMeeting scheduled on same day) for the SLBC meeting and his assurances of all Govtsupport on recovery matters & security aspects in the State. He said that with this levelof assurances Banks should come forward and contribute proactively in overalldevelopment of the State.

Business Session

Business Session started with opening remark of Sri Jain Bhushan, DGM, SLBC, whoinformed the house about conducting meetings of around 80% of the Sub-committeesduring the quarter. The important recommendations of key sub-committees along withthe action points are enumerated below:

i) Agriculture Sub-committee


1) Rationalisation of KCC targetsamong District is proposed.Based upon the outstanding levelincremental budget has beengiven.

SLBC/NABARD

SLBC/NABARD

2) Meeting of controlling Heads ofboth Public Sector & PrivateSector Banks to be called forstrategising KCC intensification,improvement in Allied Sectorfinancing & ensuring circulation of


necessary instructions tobranches.

3) Utilisation of active farmersclubs promoted by NABARD foraugmenting business

SLBC/NABARD

All Banks/NABARD/SLBC

All Banks

4) Sensitisation of field levelfunctionaries on differentschemes and recovery aspect

5) Consolidation of database ofKCC holders in a gradual mannerto enable all stakeholders toutilise it. It has been observedthat out of about 39 lacs farmersin the State, about 28 lacsfarmers have been so farcovered. However, live KCCfinance pertain to only about 12lacs farmers.

6) Insurance coverage of croploan is mandatory as per RBInorm, but the coverage isextended to limited crops and thattoo up to a certain date. This wasthe reason for non-disbursementat most of the places in the laterhalf of last quarter. Matters needsto be taken up by RBI with GOI

SLBC/RBI/DFSGOI/NABARD

All Banks/NABARD/SLBC7) Issuance of Rupay Card inKCC account is very low whereasall KCC holders need to be issuedthe same.

ii) Sub-Committee on CD Ratio & ACP


a) To resolve the differenceobserved in the figures of RBI &SLBC, a committee has beenformed to look into the details andfind reasons.

RBI/SLBC

b) In Low CD ratio (Less than30%) Districts, specially Chatra ,provision of monthly DLCCmeeting for monitoring Action

DoIF/LDM Chatra/DLCCChatra


Plan is proposed to be activated.

c)Matter of low achievementunder ACP is proposed to betaken up with Controlling Headsof Banks having less than 40%achievement of the target

SLBC/Banks

d) To give impetus to overallgrowth in lending, need was felt tocreate proper awareness ofdifferent investment creditschemes of NABARD and also itssubsidy linked schemes.NABARD has been requested forcirculation of the same.

NABARD

(iii) Sub Committee on Export Finance


a)SLBC website is proposed to beactivated with export dealingbranches names & address. It willalso contain the detailedinformation of CGTMSE schemeon export finance.

SLBC

b) Department of Industries, Govtof Jharkhand, has beenrequested to notify the StateExport Policy

DOI, GoJ

c) Refresher Courses onprocedures & norms of ExportFinance for Bankers to beorganised in the State. AlsoExport Awareness workshopsneed to be organised in variouscities of Jharkhand.

Export Promotion Council

SLBC and All Banks

iv) Meeting on DBT/DBTL


b) Time line for completion ofAadhar seeding in Bank account& subsequent mapping on NPCIhas been agreed upon which iswithin maximum 7 days of receipt

All Banks


of data. to be adhered to by allBanks.

c) Seeding in dormant accountsneeds to be attended to byAuthorities concerned in branches

All Banks

d) Opening of No-frill accounts tobe made smooth. Back officearrangement for bulk openingneeds to be explored afterobserving KYC norms

All Banks

e) Kiosk Banking is an easilyoperable model which needs tobe adopted on priority by Banksfor activation of CSP/USBnetwork.

All Banks

The individual Agenda items were subsequently taken up for deliberation /discussion with the permission of the Chair. Details of Agenda wiseobservations and Action Points emerging thereafter are produced hereunder:

AgendaNo,

Agenda Items/Issues &Observations

Action Point Emerged Action to be taken Action PointEmerged

Action to betaken

1 Confirmation of the minutes of44th SLBC

Observations

Since no further communicationrequesting amendments receivedhence treated as confirmed

2 Important issues forimplementation as per DFS,MoF, GOI

Observations

a) General observation was thatinitially rejection of data receivedby Banks from Govt Authoritieswas higher, which has nowimproved over the period. ButHigher rejections are still beingobserved between seeding &mapping

a.All the LDMs ofJharkhand stateshould compulsorilyattend the SLBCmeeting for effectivereview of district wiseperformances underdifferent schemes.

SLBC a) All LDMs ofJharkhand State shallattend the SLBCmeeting l for effectivereview of district wiseperformances underdifferent schemes.

SLBC


b)ED, BOI observed that cases ofrejections are huge particularlyafter seeding which should not bethe case and hence he wanted toknow the reasons of rejection

c)Sh.Arvind Prasad, ADG, UIDAIsaid that rejections at preliminarystage by Banks are mainly due tofollowing reasons – (a) WrongBank name, (b) Wrong AadharNumber, (c) Account No & namenot tallying

d)Sh.Ashok Choudhary,representative DBT cell, GOJinformed that rejections afterseeding should not take place asno further input is requiredthereafter.

e)No LDM of DBT District waspresent in the meeting. LDM ,Dhanbad, upon being asked forcomment, observed that postseeding rejection is mainly due towrong Aadhar Number anddormant account

f)SBI representative (CM, In-charge DBT) submitted thatrejection after seeding is mainlydue to a) Wrong Aadhar Number,b) Account being dormant

g)Representative of DBT Cell,GOJ further said that accountopening is also an issue in Banks.He submitted that KYC detailsidentified by Govt functioneriesshould be accepted for Accountopening.

h)RD,RBI clarified the house thatKYC norms have been well speltout in detail for both normalaccount & No-frill account.Relaxation in opening No-frill

b)In those districtswhere DBT/DBTL is tostart in coming days,LDMs/ Banks/ Govtofficials should beproactive in capturingAadhar Numbers inBank accounts withoutfurther loss of time.

c)DBT implementationco-ordinationcommittee , formed ineach district, shouldmeet at regularintervals and resolveproblems/ issues onconcurrent basis.d) A sub-committeeunder theconvenorship of SLBCis to be constitutedwhich shall deliberateupon the issues /bottlenecks inimplementation of DBTand suggest actionpoints within 15 daysfor uniformimplementation. OtherMembers of thecommittee shall includeLDMs of Hazaribag &Ranchi, Two Govtofficials from thesame distt involved inDBT implementation.

e) KYC norms foraccount opening,already made liberal incase of No-frillaccounts by RBI,should be strictly

All Banks/GOJ

SLBC/All Banks/LDMs

SLBC/LDM Hazaribagh,LDM Ranchi andGovernment Official ofHazaribagh and Ranchi.

b)All Banks whileopening the accountmust capture AadharNumber then & thereitself. Aadhar to becaptured proactivelyby Banks in all existingaccounts also asAadhar peneteration ismore in Jharkhand.

c)In those districtswhere DBT/DBTL is tostart in coming days,LDMs/ Banks/ Govtofficials should beproactive in capturingAadhar Numbers inBank accounts withoutfurther loss of time.

d)DBT implementationco-ordinationcommittee , formed ineach district, shouldmeet at regularintervals and resolveproblems/ issues onconcurrent basis.

e) A sub-committeeunder theconvenorship of SLBCis to be constitutedwhich shall deliberateupon the issues /bottlenecks inimplementation of DBTand suggest actionpoints within 15 daysfor uniformimplementation. Other

All Banks

SLBC/AllBanks/LDMs

DoIF/SLBC/LDMs

SLBC/LDMHazaribagh, LDMRanchi andGovernmentOfficial ofHazaribagh andRanchi.


accounts is also well spelt outthrough RBI circulars. Moreover,SLBC is not a forum for suchdeliberation. Matter requiresproper implementation of existingnorms at ground level. Heobserved that a DBT co-ordinationcommittee is already existing inthe Districts which should be madefunctional for resolving problemsrelated to account opening,seeding and mapping at NPCI etc.

i)ED, BOI observed that sinceAadhar penetration in Jharkhandis more Banks should captureAadhar Number if available in allaccounts opened by themirrespective of customer beingDBT or Non-DBT beneficiary.

j)Arvind Prasad, ADG, UIDAIinformed the house that ChiefSecretary, GOJ, has alreadyinstructed the DCs of all theDistrict of Jharkhand for ensuringAadhar Seeding work under NSAPscheme.DBTLa)DGM , SLBC informed thehouse that first phase under DBTLwas started from 01.10.2013 in 5district of Jharkhand andsubsequently wef 01.11.2013,01.12.2013 and 01.01.2014,twenty two districts of the State iscovered/proposed to be coveredunder DBTL.

As per the dataavailable from OMCs, thepercentage of aadhar seeded byOMCs to Seeding by banks isaround 42%. in the existingidentified five districts.. Howeverpercentage of bank seeding tototal no. Of LPG consumers in thefive identified districts is found tobe around 20%. Hence a properstrategy in terms of DFS

adhered to. It includesidentification byAuthorised Govtofficials

f)Since Aadharpenetration is more inJharkhand, all Bankswhile opening theaccount must captureAadhar Number then &there itself. Aadhar tobe captured proactivelyby Banks in all existingaccounts also.

All Banks.

SLBC/OMC/DoIF

Members of thecommittee shallinclude LDMs ofHazaribag & Ranchi,Two Govt officials fromthe same disttinvolved in DBTimplementation

f) KYC norms foraccount opening,already made liberal incase of No-frillaccounts by RBI,should be strictlyadhered to. It includesidentification byAuthorised Govtofficials

g)Rupay Card shouldbe issued mandatorilyin all KCC accounts.The same can beissued to illiterate KCCholders as discussedat apex level. SBI andother Banks whereRupay Card not beingissued to illiteratespresently should takeup the matter with theirCentral office as suchissuance is notinconsistent with GOI/RBI guidelines.

h)Gap in opening ofon-site ATMs in eachDistrict by all Banks tobe taken up on priority

.

DBT Cell GoJ, AllBanks, All LDMSand SLBC.

All Banks/SLBC

All Banks


guidelines is required to beinitiated.

b)No representation was foundfrom the side of OMCs in SLBCmeeting despite priorcommunication of the same. Thehouse took a serious view of thematter as no meaningfuldiscussion/ decisions could betaken up due to non-participationof OMCs

g) Due to non-participation by OMCofficials in the meetingof SLBC, despitecommunication in thisregard, meaningfuldiscussion onimplementation ofDBTL could not takeplace. Matter to becommunicated to DFSand respectiveministry.

h) Major Banks shouldtake initiative likegiving SMS toconsumers, organisingcamps with adequateprior advertisement inMalls, Cinema Hallsetc for seeding ofaadhar numbers ofconsumers.

i)Gap in opening of on-site ATMs in eachDistrict should beimmediately filled byall the Banks.Matter tobe taken up on priority.

j) Rupay Card shouldbe issued mandatorilyin all KCC accounts.The same can beissued to illiterate KCCholders ,as decided atapex level. SBI andother Banks whereRupay Card not beingissued presently toilliterate customers

SLBC/OMC/DOIF

All Banks.

All Banks.

a) Matter of non –participation of OMCsrepresentatives to becommunicated toDFS/respectiveministry.

b) Major Banks shouldtake initiative likegiving SMS toconsumers, organisingcamps with adequateprior advertisement inMalls, Cinema Hallsetc for seeding ofaadhar numbers ofconsumers.

SLBC/OMC/DoIF

All Banks


should immediatelytake up the matter withtheir Central office.



3 Financial Inclusion

Observations

a)Coverage of village below 2000population, is not progressing asper Roadmap approved. MajorBanks like SBI, BOI, JGB & VGBare lagging behind schedule.

b)The Regional Director, RBIemphasized that ,

(i) Monthly updation of progressunder Roadmap is required.

Time line underRoadmap approvedmust be adhered to.Major Banks like SBI,BOI, JGB & VGBshould take up theissue and cover up thearrear in right earnest.

a.All Banks whileopening Ultra SmallBranch shall adhere tothe guidelines issued

All Banks/

RBI/SLBC

All Banks/SLBC

a)Time line underRoadmap approvedmust be adhered to.Major Banks like SBI,BOI, JGB & VGBshould take up theissue and cover up thearrear in right earnest.

b)All Banks whileopening Ultra SmallBranch shall adhere tothe guidelines issued

All Banks/

RBI/SLBC

All Banks/SLBC


4.

.(ii) Roadmap is so prepared that5% of the total coverage should beby normal Branch or USB, but theUSBs are not functioning as perRBI norm which requires full timebank official,

(iii) BC Model should not only bevisualised for deposit &Withdrawal only, as presentlybeing the case, but also be rolledout with sale of Insuranceproducts, recovery, loancanvassing etc to make it moreremunerative avoiding highattrition rate of BCs

c)Mapping of Gram Panchayats &SSAs has been done by LDMs indistricts. In all Gram Panchayats inJharkhand a CSC centre (PragyaKendra) is scheduled to beopened. As per available fieldinformation, only 1240 Panchayatsare presently having a CSCcentres.

Special Schemes to Support the

Victims of cyclone “Phallin”

It was decided that properrehalbilitary measures will betaken , as per the guidelines ofRBI , for the victims of Phallin .

by DFS

b.Observation of RBIregarding BC Model,being a point ofdelivery of multiplebanking services, isrequired to beimplemented in thefield by all Banks.

All CSC centres needsto have a proper set upfor activation under BCModel. Sri S.C.Das ,Dy Secy, DFS, MoFhas been requested totake up the matter withe-Governance Deptt ofcentral Govt/ Agenciesinvolved for activationof CSCs at allPanchayats inJharkhand.

No such casesreported by State Govtand Banks

All Banks/SLBC

All Banks/SLBC/

Dy.Sec.DFS

by DFS

c)Observation of RBIregarding BC Model,being a point ofdelivery of multiplebanking services, isrequired to beimplemented in thefield by all Banks.

d)All CSC centresneed to have a properset up for activationunder BC Model. SriS.C.Das , Dy Secy,DFS, MoF has beenrequested to take upthe matter with e-Governance Deptt ofcentral Govt/ Agenciesinvolved for activationof CSCs at allPanchayats inJharkhand.

All Banks/SLBC

All Banks/SLBC/

Dy.Sec.DFS


5 Agenda Item – Issues Pertainingto State Govt

Observations

a)House observed that Issues arepending since long and samestatus can not be accepted inevery meeting.

b)RD, RBI said that all legal issuesincluding PDR Act affects lendingenvironment. Rising NPAs attractsprovisioning, which blocks Bank’scapital which in-turn affectslending. Hence early decisions inthese matters is essential toimprove overall environment forcredit growth.

c)OSD, IF&PE Deptt – said that aprogress on all issues have beenmade but right now a timeline cannot be given.

d)Director, Industries observedthat it is found that initiative on thepart of Bankers are also found

All pending issuesneed to be expedited.

Posting of regularcertificate officers isessential for overallimpact on improvementin recoveryenvironment.

SLBC should look intomatter of indifferenceshown by the Bankers

Do IF , GoJ

DOIF, GOJ

SLBC/All Banks

a)All pending issuesneed to be expedited.Posting of regularcertificate officers isessential for overallimpact onimprovement inrecovery environment.

b)SLBC should lookinto matter ofindifference shown by

DoIF GoJ

SLBC/All Banks


missing as tallying of Register 9 &10 is not done at regular intervalsand cases of non-appearances ofBank officials, on scheduled datefor recovery, is more.

e)ED, BOI observed that mattershould not be seen as a blamegame , it is deliberated upon thatas recovery is poor , it ishampering overall lendingprocess. Hence matters related tolegal issues, posting of regularCertificate Officers should beexpedited.

Security ArrangementIt was deliberated that manycurrency chests are not mannedfully by Armed Forces.RegionalDirector, RBI , informed that in theState of Orissa separate force hasbeen constituted for such securityarrangement. Likewise, a need forsuch arrangement is felt inJharkhand. ED, BOI requestedGovt to increase the level ofdeployment and for this SLBCshould carry out an exercise withthe help of all Banks forrequirement during coming year

Allotment of land to RSETI

a)SBI informed the house that inaddition to Latehar & Garhwa,Land allotment is pending inDaltonganj Distt also.

b)DGM SLBC informed that matterhas been taken up by Secy, IF &PE with District Authorities in caseof Latehar & Garhwa and matter isexpected to be resolved shortly. In

in cases of recoveryinitiative by Govt andapprise the seniorexecutives ofconcerned Bank. AllBanks must attend theschedules of recoverydrives fixed by theGovt in districts and donot abstain from theirmandatory presence atschedule date & time.Any absence must bewith prior consent ofcontrolling Head of therespective Banks in theSt ate.

All Banks should carryout an exercise forexisting vacancies andfuture Action plan/requirement andsubmit the same toSLBC by 25th of thismonth, Based uponwhich SLBC shallprepare a plan ofaction for 2014-15 andsubmit to Govt.

Matter regarding landallotment for Rsetibuiding in Garhwa,Latehar & Daltonganjneed to be pursuedwith the Authorities forearly resolution.

All Banks/SLBC/DOIFGOJ

DoIF/SLBC

the Bankers in casesof recovery initiative byGovt and apprise thesenior executives ofconcerned Bank.

c)All Banks mustattend the schedulesof recovery drivesfixed by the Govt indistricts and do notabstain from theirmandatory presence atschedule date & time.Any absence must bewith prior consent ofcontrolling Head of therespective Banks inthe St ate.

d)All Banks shouldcarry out an exercisefor existing vacanciesand future Action plan/requirement andsubmit the same toSLBC by 25th of thismonth, Based uponwhich SLBC shallprepare a plan ofaction for 2014-15 andsubmit to Govt.

e)Matter regardingland allotment for Rsetibuiding in Garhwa,Latehar & Daltonganjneed to pursued withthe Authorities for

All Banks/SLBC

DoIF/SLBC


case of Daltonganj , matter will betaken up now as it came to noticein this meeting itself.

Notifying District for creation ofEquitable mortgage

j)Memorandum submitted to Govtfor Khunti & Ramgarh

k)Secretary, Registration said thatthey have verified the records andno Notification for any Districtfound issued by Department forcreation of Equitable Mortgageafter separate State status ofJharkhand and hence notificationis required to be issued for all thenew Districts came into existence(Total five in numbers includingKhunti & Ramgarh) subsequent toformation of Jharkhand State.

Notification for competentAuthority for approval ofBuilding Plan in areas outsideMunicipal Authorities

The OSD, GOJ, Deptt. Of IF &PIinformed that the matter is beingenquired with the neighbouringstates for deciding about themodalities of implementation.

Issues pertaining to Banks

Records need to berechecked / revisitedas availableinformation suggeststhat equitableMortgage is beingcreated at all Districtsin Jharkhand exceptonly in Khunti &Ramgarh. Notificationfor all Districts notnotified till date mustbe brought in byconcerned Departmentwithout further loss oftime.SLBC/RegistrationDepartment, GOJ wererequested for resolvingthe matter of issuanceof notice regardingnotified area forcreation of EquitableMortgage early.

SLBC/RegistrationDepartment GoJ.

DOIF, GOJ

early resolution.

f)Records need to berechecked / revisitedas availableinformation suggeststhat equitableMortgage is beingcreated at all Districtsin Jharkhand exceptonly in Khunti &Ramgarh. Notificationfor all Districts notnotified till date mustbe brought in byconcerned Departmentwithout further loss oftime.

g)SLBC/ RegistrationDepartment, GOJwere requested forresolving the matter ofissuance of noticeregarding notified areafor creation ofEquitable Mortgageearly.

Do Registration/GoJ/ SLBC

SLBC/RegistrationDepartment GoJ.


Observations

j)Periodic updation of Service AreaPlan in each District on thewebsite maintained by NIC notbeing done

k)Pre fixation of dates ofDLCC/DLRC Meeting

All LDMs must updatethe Service Area Planunder FI upto lastquarter by 30th Nov2013 positively. List ofpending Districts to bebrought in by SLBCfrom next meeting

SLBC to send advisoryto All LDMs thatsecond Saturday ofnext month of thequarter may uniformlybe fixed forDLCC/DLRC meeting.However due tounforeseen exigenciesthe chairman of themeeting may effectchanges.

All LDMS

SLBC

h)All LDMs mustupdate the ServiceArea Plan under FIupto last quarter by30th Nov 2013positively. List ofpending Districts to bebrought in by SLBCfrom next meeting

i)SLBC to sendadvisory to All LDMsthat second Saturdayof next month of thequarter may uniformlybe fixed forDLCC/DLRC meeting.However due tounforeseen exigenciesthe chairman of themeeting may effectchanges.

All LDMS Banks

SLBC

6. OTHER IMORTANT ISSUES

NPA & Recovery

Observationsa)The level of NPAis increasing alarmingly in theState across the Banks andgradually turning out to be matterof serious concern.The DGMSLBC informed that if portfolio ofNPA, write off (Book entry) andstressed Assets taken together theportfolio is even bigger.

b)The Chairperson of the meeting,ED, BOI, suggested all Banks tofinance more and more underCGTMSE where Banks getimmediate reprieve by receipt of

All Banks were askedto raise their follow-upaction for recovery

All Banks to take activeparticipation in theproposed National LokAdalat

All Banks

All Banks

a)All Banks wereasked to raise theirfollow-up action forrecovery

All Banks

All Banks


coverage amount. He also advisedall Banks to raise their follow-updrive and utilise Govt supportproactively.

c)DGM, SLBC informed thatNational Lok Adalat under theaegis of NALSA is scheduled on23.11.2013 and all effort isrequired to make it a grandsuccess.

d)The Chairman of the meeting,ED, BOI said that cases of lack offollow-up by Bank on issues/casesreferred to by Govt Authorities is amatter of serious concern. On theone hand Bankers demand forsupport from govt and on the otherin-action is found at the groundlevel by Bankers.

SLBC should follow-upand come up withBankwise dataregarding lack offollow-up measures byBanks on issues/casesreferred to by GovtDepartments from thenext meeting

SLBC/All Banks

b)All Banks to takeactive participation inthe proposed NationalLok Adalat

c)SLBC should follow-up and come up withBankwise dataregarding lack offollow-up measures byBanks on issues/casesreferred to by GovtDepartments from thenext meeting

All Banks

SLBC/All Banks

7. Key Indicators & CD Ratio

Observations

The Chairperson of the MeetingSh. B.P.Sharma , ED ,BOIexpressed his concern over theoverall CD ratio being 56.18% , hefurther emphasized on theimmediate steps to be taken bythe Banks for improvement in CDratio, with spl. Focus on Ruralareas.

The Chairperson ,ED, BOIobserved that financing tominorities , DRI needsimprovement. Banks are requiredto check their database alsowhether feeding of categories is

a.Stress to be given byBanks on branch levelsanction of small ticketadvances.

b. SLBC to take up thematter with the Headoffice of poor performerBanks.

c. The formulation &implementation ofMonitorable ActionPlan at DLCC levelshould be startedimmediately.

d. Banks are to checktheir Database andcorrectness in feeding.

All Banks

SLBC

Dy. Commissioner/LDMof all the Districts.

All Banks

All Banks need to havea relook in theirdatabase for correctreflection of categorycode. There may be alarge number ofaccounts of ST whichwill also come underMinority communities

All Banks /SLBC


properly taken care of or not.

8. Review of Achievement under

ACP: 2013-14

Observations

a)The Secretary, Agricultureinformed that data are not beingput up in the meeting in atransparent manner which affectsproper review. The house shouldknow the low performing Banks sothat Bank’s response & measurestaken can be discussed

b)RD, RBI commented that theperformance under ACP is verydismal vis-a-vis target and theachievement is found lesser by Rs2023 crores of the correspondingperiod of last financial year.

c)The Chairperson of the meeting& ED, BOI wanted to know theperformance Bank-wise in terms ofpercentage wise achievement ofthe total budget. DGM, SLBCinformed the house about thenames of Banks in differentpercentage bracket ofachievement like below5%(Corporation Bank, SIB ), 5%to10%(SBBJ, Yes Bank, KotakMahindra),10% to 20% (CBI,Canara Bank), 20% to 30% etc

d)HDFC & Central Bank of Indiarepresentatives were asked aboutthe reasons of low performance.They assured the chair thatprogress shall be visible in theremaining part of the year

e)The Chair emphasized that inthe State like Jharkhand prioritysector lending of smaller sizetakes place more than big ticketfinancing and hence credit can

SLBC shall put up thedata bankwise underdifferent level ofperformances fromnext meeting alongwith comparison of lastyear so that aneffective review Bankwise can take place.

Performance underACP needs to beclosely monitored fordesired improvement.

Controlling Heads of allBanks to monitor thesanctions at branchlevel and ensure thatdelegations are beingutilised withoutexception

SLBC

All Banks/SLBC.

All theBanks/DoIF/SLBC.

All Banks

All Banks

a)SLBC shall put upthe data bank-wiseunder different level ofperformances fromnext meeting alongwith comparison of lastyear so that aneffective review Bank-wise can take place.

b)Performance underACP needs to beclosely monitored fordesired improvement.

c)Controlling Heads ofall Banks to monitorthe sanctions atbranch level andensure thatdelegations are beingutilised withoutexception

d)All Banks to takeproactive steps toincrease the level ofperformance in theremaining period ofFinancial so thattargets are met.

SLBC

All Banks/SLBC.

All theBanks/DoIF/SLBC.

All Banks


grow only when branch headssanction more & more cases. So itis required that controlling Headsshould monitor number of casesbeing sanctioned at branch level.

f)CGM, NABARD observed thatJharkhand being a mono croparea maximum disbursementshould have taken place duringthe first half of the financial yearitself.

g)DGM, SLBC informed that 15districts have shown achievement15% or below which is a matter ofconcern. Performance underAgriculture of major Banks werefound as follows- BOI – Between20 to 30%, SBI – Between 10 to20%, Allahabad Bank – 10 to 20%.It was observed by ED that fourmajor Banks in Jharkhand i.e. BOI,SBI, JGB, & VGB with its level ofnetwork should contribute moreand become role model.

h)Representative of exportpromotion body said that a surveysuggests that Banks in Jharkhandare not taking up export financeand implementation of CGTMSEscheme.

All Banks to takeproactive steps toincrease the level ofperformance in theremaining period ofFinancial so thattargets are achieved.

Controlling heads of allBanks should monitorthe coverage of eligibleaccounts underCGTMSE.

All Banks

SLBC/SBI/BOI/JGB/VGB

All Banks

All Banks

All Banks


9. Review of lending

Observations

a) Lending to Agriculture&KCC, including newKCC scheme

i)Principal Secretary, Agricultureenquired about the norms ofadmissibility of crop insurance asBanks are not resorting to KCCfinancing taking the plea of non-availability of insurance coveragein certain months.

ii)CGM NABARD informed thehouse that as per RBI guidelinesinsurance coverage is mandatoryfor crop loan. Issues need to betaken up with Central Govt asinsurance coverage is notpresently available for full seasonand that too not for all crops.

iii)RD,RBI said that issue shall beraised through its Central office.The Chairperson & ED,BOI alsosaid that the matter will be takenup with Ministry.

iv)The DGM SLBC apprised thehouse about the following points ,

a. total Agri. Credit of the state isat 16.68% of the total Credit and isbelow the National Bench Mark of18%.Though, it is showingincreasing trend over the years.Moreover, the state falling under“Bringing Green Revolution inEastern India(BGRBI)”.Hencethere is need to extend Agri.Credit.

b)The participation of Privatesector Banks in extendingAgriculture credit more particularlyKCC is meagre & poor

c)There is huge gap between theTotal no of Farmers in the state

SLBC shall raise thematter of insurancecoverage (seasonalityand extent ofcoverage) to apex levelby taking up the issuewith Ministry/RBI

a.All the Stake holdersshould activelyparticipate inincreasing Agri.Advance by providingadequate support fromtheir respectivecontrolling offices.

b. Banks includingPrivate Sector Banksshould closely monitorthe performancesuinder agriculture andshould ensure thatACP budget isachieved without fail.

SLBC/ NABARD/DOIF-GOJ/GOI

All Banks/SLBC

Controlling Heads of AllBanks.

SLBC shall raise thematter of insurancecoverage (seasonalityand extent ofcoverage) to apexlevel by taking up theissue with Ministry/RBI

Amendment in CNTAct must be taken upfor removing theimpediments infinancing to housingsector without anyfurther loss of time.

All Banks were askedto extend more promptand timely response toEducation loan request

SLBC/ NABARD

DoIF/SLBC

All Banks


(around 39 Lacs) vis-a-vis KCCpresently outstanding ( about 12lacs)

d) All the KCC holders are notbeing covered under Rupay Creditcard.

b)Housing Loan

i)Issue related to amendment inCNT Act was raised by Banks,which is pending with Govt

ii)Dr. Kulkarni, Principal Secretary,Agriculture informed the housethat matter has been taken up atTribal Advisory Council but nodecision has come yet

iii)ED, BOI informed the house thatin MP State BOI has givenpermission for financing to SC/STfor Housing against GovtGuarantee under specific scheme.Likewise similar schemes for theState of Jharkhand can be thoughtof.

c)Education Loan

The Chairperson of the Meeting i.eED , BOI observed that JharkhandState is not developing as aneducation hub like Orissa & otherState which will definitely open upimmense opportunity for thestudents of Jharkhand.

c.Controlling headsshould adhere to RBIguidelines for 100%coverage of KCCaccounts under theambit of Rupay Card.

d.Camp modecoverage by new KCCborrowers to befollowed by all theBanks

Amendment in CNTAct must be taken upfor removing theimpediments infinancing to housingsector without anyfurther loss of time.

All Banks were askedto extend more promptand timely response toEducation loan request

All Banks

All Banks

Govt. Of Jharkhand

All Banks

In addition to raise thelevel of credit flow toweaker sections of allcategory, Banks weredirected to have arelook in theirclassification to have aproper reflection ofFinances to differentcategory of weakersection

SLBC was asked tocome up with someMIS on Bankwiseperformance with thehelp of NABARD/JSLPS in the nextmeeting for taking upthe issue in a moremeaningful mannerwith Banks at belowpar performance level

All Banks

SLBC/ NABARD


d) Loan to Minorities, SC/ST,women etc & Loan under DRIscheme

It was observed by the chair thatPerformance of Banks were notupto the desired level. Datasrelated to banks at bottom level interms of performance need to bepresented

e) Scheme for financing womenSHG

CGM, NABARD said thatperformance of Jharkhand is verygood in terms of SHGperformance, but the SB linkagesis found only 50%. Lot ofindifference at the level of Bankshas been observed in case ofaccount opening of SHGs, leaveaside the credit linkages. Even,Finance Minister, GOJ in hisopening remark talked about theissues related to account openingof SHGs.

ED,BOI suggested that some MIS/ status Bankwise may be put upbefore the house for taking up thematter with non-performing Banks

Urban Development Depttrepsentative also spoke about thetargets given to Banks underSJSRY for group linkages

NRLM representative also talkedabout the targets given to banks ,

In addition to raise thelevel of credit flow toweaker sections of allcategory, Banks weredirected to have arelook in theirclassification to have aproper reflection ofFinances to differentcategory of weakersection

SLBC was asked tocome up with someMIS on Bank wiseperformance with thehelp of NABARD/JSLPS in the nextmeeting for taking upthe issue in a moremeaningful mannerwith Banks at belowpar performance level.

All Banks

All Banks/NABARD

SLBC

All Banks

JSLPS/SLBC


10.

11.

12.

already circulated, and stressedupon the need for its achievement.

Finance to MSME

DGM SLBC informed that thoughPriority Sector Advances of theState is quite above theBenchmark and MSE is the majorconstituent. However share ofcredit to Micro Enterprises in totalCredit to MSE (37.70%) is stillbelow the Bench Mark(60%).

Review of Progress under Govt.Sponsored Schemes.

The DGM , SLBC apprised thehouse about the progress underPMEGP and other sponsoredschemes.It was also apprised thatreview of the progress under thevarious sponsored schemes is aregular Agenda item at DLCCmeeting.

No Comments/Issues werereceived from any quarter.

Functioning of various Sub-Committees of SLBC

Issues & Action Points emergedhave been placed under theheading of Business Sessions (Pg.No.-4 ).

Miscellaneous

12.1.Provision of Space forDRT,Ranchi

It is informed that DRT,Ranchi hasbeen allotted a space on Leasebasis to shift their office.

Banks should activelyparticipate in clusterformation scheme ofGOJ.Govt. sponsoredschemes likePMEGP,SJSRY,NRLMshould be encouraged.

All Banks were advisedto closely monitor theprogress and issuesraised by Parentdepartments anddisposal of applicationsbe taken up on prioritybasis .

All Banks

Parent Departmentssponsoring theapplications/ All Banks.


12.2. Allotment of suitable Land forcontrollong offices in Ranchi forRBI,NABARD,SLBC and majorPSBS.

The Govt. OfJharkhand wasrequested to expeditethe matter of allotmentof Land toRBI,NABARD,SLBCand major PSBS.

GOJ


The meeting was concluded with the farewell extended to Sri R.M.Prasad,General Manager, SLBC who is demitting office on superannuation on 30.11.2013.Vote of Thanks was proposed by DGM , United Bank of India.

Documents

State Level Bankers’ Committee, Jharkhand Convenor: Bank of Indiaslbcjharkhand.org/pdf/Minutes45.pdf · 2014-06-03 · a)S LBC website is proposed to be activated with export dealing