Govt holds interview to fill top bank positions

The government conducted interviews for the post of chairman and managing director of public sector banks, in which 11 candidates appeared. In addition, two deputy managing directors from Small Industries Development Bank of India (Sidbi) were also interviewed. The executive directors who appeared for the interview included RS Reddy, (Union Bank of India), KR Kamath and A Parulkar (Bank of India), SC Gupta, (Bank of Baroda), DL Rawal (Canara Bank) and JM Garg (Punjab National Bank). The two Sidbi deputy managing directors interviewed were Rakesh Rewari and Basant Seth. This is for the first time that officials from development finance institutions have been called for selection. Nine public sector bank heads are due to retire this year, starting with A K Khandelwal and C P Swarnkar of Bank of Baroda and Syndicate Bank, respectively, who will retire on March 31. The top jobs in Canara Bank, United Bank of India, Andhra Bank, Dena Bank, Corporation Bank, Vijaya Bank and Central Bank of India will also fall vacant during the course of the year. MD Mallya, CMD, Bank of Maharashtra, is expected to take charge as the head of Bank of Baroda, while Allahabad Bank Chairman AC Mahajan is tipped to head Canara Bank. Among executive directors, Allen Periera of Oriental Bank of Commerce is slated to join Bank of Maharashtra as its head. Periera was not interviewed this time around, as he had been selected as a prospective chairman in the previous round of interviews.

HDFC Bank ATMs upgraded

NCR Corporation has successfully upgraded 1,200 HDFC Bank automated teller machines (ATMs) with its ‘jitter-enabled' card readers that help make common types of skimming attempts ineffective. With this upgrade, all 1,910 ATMs of HDFC Bank are now equipped with ‘jitter-enabled' card readers.

ICICI Bank puts ‘high-risk’ loans on the block

ICICI Bank is understood to have sounded off a couple of foreign banks to buy out its Rs 2,000-crore small-ticket personal loans (STPL) portfolio, it is reliably learnt. Foreign banks such as Deutsche Bank, Standard Chartered and Barclays are understood to have been approached by the bank to pick the portfolio. ICICI Bank has decided to exit this ‘high-risk’ space a couple of months ago owing to the rising defaults in the segment. Currently, ICICI’s collection agency is handling the portfolio until it identifies a suitable buyer, it is learnt. The bank’s total STPL portfolio size is estimated to be around Rs 3,000 crore, of which the bank intends to sell Rs 2,000 crore. By acquiring the portfolio, new entrants in the retail banking space will be able secure a foothold in the market. Almost 70% customers in the portfolio will be good customers and it will enable the player to sell other products to the same customers.