RBI to try plastic currency in 5 centres

http://www.business-standard.com/india/news/rbi-to-try-plastic-currency-in-5-centres/177945/on

Amid instances of counterfeiting of notes, the Reserve Bank today said it is working on launching plastic currency and will soon launch a pilot project for the same.

Under the pilot project for issue of plastic currency notes, notes of Rs 10 denomination would be distributed through the central bank's five regional offices.

The proposed shift to plastic currency notes, instead of the normal paper notes, is primarily aimed at checking the counterfeiting as also high cost associated with printing of paper currency, as they need early replacement due to soiling and mutilation.

These notes would have an average life span of 5 years compared to one year for the currency notes, and also these notes are cleaner than paper notes and it would be difficult to counterfeit the currency.

Besides studying the potential cost savings through plastic notes, the pilot project will also look into the environmental impact of the proposed plastic notes.

The polymer notes were first introduced in Australia to safeguard against counterfeiting of currency. Besides Australia, other countries which have introduced plastic notes include New Zealand, Papua New Guinea, Romania, Bermuda, Brunei and Vietnam.

RBI Launches website to explain detection of fake currency

http://www.financialexpress.com/news/rbi-launches-website-to-explain-detection-of-fake-currency/971809/0

Seeking to spread awareness among public about fake notes, the Reserve Bank has launched a website explaining ways to detect counterfeit notes.

With a tagline 'Pehchano Paise Ki Boli, Kyunki Paisa Bolta Hai', the website -- www.paisaboltahai.rbi.org.in – gives visual presentation with pointers on currency notes of 10, 20, 50, 100, 500 and 1,000 rupee denominations.

Consumers have the option to download posters of these currency notes, which can be used as reference to identify counterfeit notes. A documentary film on it can also be downloaded.

The link for this website is available on RBI's main website as well.

click link to go to site: www.paisaboltahai.rbi.org.in

Ratios and Rates as on 07.07.2012 - CRR,SLR, Bank Rate

Bank Rate :  9.00 %
Repo Rate : 8.00 %
Reverse Repo Rate : 7.00 %


Cash Reserve Ratio (CRR) : 4.75%
Statutory Liquidity Ratio (SLR): 24.00%

Rs 100,000 crore default by 49 lakh debtors

http://www.financialexpress.com/news/49-lakh-debtors-default-on-rs-1-lakh-cr/970810/0

Over 49 lakh debtors have defaulted in repaying loans totalling more than Rs one lakh crore from various nationalised banks in the country, an RTI query has revealed.

The information was provided by individual banks to Om Prakash Sharma, an RTI activist and a former National Council member of BJP.

The State Bank of India tops the list accounting for 32 percent of the total defaulted amount and 36.3 per cent of the defaulters.

A compilation of the information received indicated that the debtors numbered 49,24,611 and the defaulted amount was to the tune of Rs 1,00,155 crore.

The State Bank of India has a total of 17,88,125 defaulters and the amount involved is Rs 32,534 crores. Punjab National Bank stands second with Rs 9632 crores in default, accounting for 0.09 percent of the total defaulted amount, followed by Union Bank of India where the debtors have not repaid Rs 7615 crore.

There are six banks where the defaulted amount is between Rs 3000 and Rs 4000 crore, four banks where it is between Rs 2000 and Rs 3000 crore, seven where default is between Rs 1000 and Rs 2000 crore and three with less than Rs 1000 crore.

It was revealed that there were 969 debtors who defaulted in repaying loans over Rs 10 crore each, adding up to around Rs 27,000 crore. 

Dr. Rajendra Prasad's SB ac kept alive after 50 yrs, Balance 1813/-

http://www.financialexpress.com/news/50-yrs-on-rajendra-prasads-bank-a-c-kept-alive;-rs-1813-bal/970738/0

Nearly 50 years after his death, India's first President Dr Rajendra Prasad's saving account has been kept alive by a public sector bank here in a unique remembrance--and the balance is Rs 1,813.

The amount of Rs 1,813 is lying unclaimed in the account of Dr Prasad in the Punjab National Bank's Exhibition Road branch, according to a bank official today.

The account may have become inoperative in the past 50 years after the death of Dr Prasad but the bank continues to credit half-yearly interest as usual. Dr Praad passed away four months after the account was opened on October 24, 1962.

Dr Prasad had opened his saving account with an amount of Rs 500 and since then the ledger balance has increased to Rs 1,813 as the bank has routinely credited half-yearly interest even though the account is non-operational, the Bank's Exhibition Road Branch Manager S L Gupta told PTI.

Prasad's account is perhaps the only bank account in the country which is not only open and functional but also seen interest income being added to it. Usually after the death of a bank account holder, the money in there is passed on to the legal heirs on completion of certain formalities. No one has come to stake claim for the money till date.

A veteran freedom fighter and a native of Bihar, Prasad had served as the country's first President for two terms between 1952 and 1962. He was born on December 3, 1884 in Zeradei in Siwan district and died on February 28, 1963 in Patna.

SBI offers incentives to top officers to boost deposits

http://www.thehindubusinessline.com/industry-and-economy/banking/article3606259.ece?homepage=true&ref=wl_home

State Bank of India, India’s largest bank, is introducing performance incentives for its middle and senior management.

These variable incentives are being structured in such a way as to provide higher incentives for better performance.

Perhaps to ease the pain involved in meeting the targets, the bank has decided to provide its middle and senior management with incentives that will be as high as Rs 1.5 lakh for a Chief General Manager.

The bank has now fixed a target for achieving 25 per cent growth in deposits over March 2012 level.

However, consolation incentives are also proposed on achieving 20 per cent and above.

CLERICAL STAFF OUT

Interestingly, there is no mention here of other bank officers, clerks or the subordinate staff who are the first point of contact and are on the field mobilising the deposits.

The results of the scheme will be announced on the PBBU (personal banking business unit) Web site. All incentives will be in the form of gift cards only.

The performers under various categories will be felicitated at various conclaves and performance review meetings at the end of financial year 2012-13.

The campaign would be for all branches opened up to March 31, 2012 and run (with retrospective effect) from April 1, 2012 to March 31, 2013.

source: http://www.thehindubusinessline.com

ONGC becomes most valued company in India

http://business-standard.com/india/news/ongc-surpasses-tcs-to-become-most-valued-company/479302/

State-run Oil and Natural Gas Corporation (ONGC) became the country’s most valued company, with market capitalisation of about Rs 2.47 lakh crore, surpassing software services company Tata Consultancy Services (TCS).

At the end of Tuesday’s trade, ONGC’s market value was the highest for any listed company in India, and about Rs 4,550 crore more than TCS’ market value of about Rs 2,43,125 crore.