· & policy reform measures. these changes are taking place in the country at a time when...

1ANNUAL REPORT 2016-17

dm{f©H$ [anmoQ>© AnnuAl RepoRt 2016-2017{df¶-gyMr ContentS

{ddaU particulars n¥ð> g§. page no. 1. JV Xg df© Ho$ {ZînmXZ H$s {d{eï>VmE§ Performance Highlights for the Last 10 Years 02 2. à~§Y {ZXoeH$ Ed§ _w»` H$m`©nmbH$ A{YH$mar H$m A{^^mfU Managing Director and CEO Statement 03 3. gyMZm Notice 09

4. {ZXoeH$m| H$s [anmoQ>© Directors’ Report 24

5. à~§YZ-dJ© H$m {ddoMZ Ed§ {díbofU Management Discussion & Analysis 35

6. H$mnm}aoQ> A{^emgZ na [anmoQ>© Report on Corporate Governance 74

7. ZB© ny±Or n`m©ßVVm Ho$ T>m±Mo Ho$ {Xem{ZX}em| Ho$ A§VJ©V àH$Q>rH$aU Disclosure under New Capital Adequacy Framework guidelines 116

8. EH$b VwbZ-nÌ Ed§ bm^-hm{Z boIm Standalone Balance Sheet and Profit & Loss Account 117

9. g‘o{H$V VwbZ-nÌ Ed§ bm^-hm{Z boIm Consolidated Balance Sheet and Profit & Loss Account 187

10. H$mn© ~¢H$ {g³¶w[aQ>rµO {b. (AZwf§Jr H§$nZr) Ho$ boIo Accounts of CorpBank Securities Ltd. (Subsidiary Company) 224

11. Zm_m§H$Z \$m_© Nomination Form 255

12. EZB©grEg A{YXoe NECS Mandate 257

13. àm°³gr ’$m‘© Proxy Form 259

~¢H$ Ûmam Omar ~m±S> Ho$ {bE Q´>ñQ>r Trustees for Bond issued by Bank:

AmB©S>r~rAmB© Q´>ñQ>r{en g{d©gog {b{_Q>oS>E{e`Z {~pëS>¨J, {ZMbm Vb17, Ama. H$_mZr _mJ©, ~obmS>© EñQ>oQ>_w~§B© - 400 001Xya^mf : 022-40807000\¡$Šg : 022-66311776/40807080B©_ob : [email protected]; [email protected]~gmBQ> : http://www.idbitrustee.co.in

IDBI Trusteeship Services Limited Asian Building, Ground Floor 17, R. Kamani Marg, Ballard Estate MUMBAI – 400 001 Ph : 022 – 40807000 Fax : 022-66311776/40807080 Email : [email protected]; [email protected] Website : http://www.idbitrustee.co.in

EpŠgg Q´>ñQ>r g{d©gog {b. EpŠgg hmCg, Xygam Vb ~m§~o S>mB§J {_ëg H$m§nmC§S> nmÊSw>a§J ~wYH$a _mJ© dbu, _w§~B© - 400 025 Xya^mf : 022-24252525/43252525 B©_ob : [email protected] do~gmBQ> : http://www.axistrustee.com

Axis Trustee Services Ltd.

Axis House, 2nd Floor

Bombay Dyeing Mills Compound

Pandurang Budhkar Marg

Worli, Mumbai – 400 025

Ph : 022-24252525/43252525

Email : [email protected]

Website : http://www.axistrustee.com

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gm§{d{YH$ H|$Ðr` boIm narjH$‘ogg© E_. AmZ§X_ EÊS H§ . ‘ogg© XÎmm qgJbm EÊS H§ . ‘ogg© E. Ho . g~V EÊS H§ . ‘ogg© à_moX EÊS Egmo{gEQ²g ‘ogg© nmoZamO EÊS H§ .

Chief Financial officerShri M. B. Ganesh

Company SecretaryS. K. Dash

Statutory Central Auditors

M/s M. Anandam & Co.

M/s Datta Singla & Co.

M/s A. K. Sabat & Co.

M/s Pramod & Associates

M/s Ponraj & Co.

a{OñQ´>ma Ed§ eo¶a A§VaU EO|Q>H mdr© H§$ß`yQaeo`a àm.{b.H mdr© gobo{Z`_ Qmda ~r. ßbmQ g§. 31 Ed§ 32,Jm{M~modbr, {dÎmr` {µObmZmZH«$m_JwSm, go{aqbJån{„h¡Xam~mX - 500 032 (Vob§JZm)Xya^mf… 040-67161500/67161514\¡ Šg… 040- 23001153B©-‘ob: [email protected]

Registrar & Sharetransfer AgentKarvy Computershare Private LimitedKarvy Selenium Tower B,Plot No. 31 & 32,Gachibowli, Financial DistrictNanakramguda, SerilingampallyHYDERABAD–500 032 (Telangana)Phone: 040-67161500/67161514Fax: 040-23001153E-mail: [email protected]

2 dm{f©H$ [anmoQ>© 2016-17

df© 2007-08 go 2016-17 VH$ ~¢H$ H$m {ZînmXZBank’s Performance from 2007-08 to 2016-17

(am{e ` H$amo‹S>> _| Amount ` in crores)

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17

ny±Or Capital 143.44 143.44 143.44 148.13 148.13 152.91 167.54 167.54 204.50 229.41

Ama{jV {Z{Y`m± Ed§ A{YeofReserves & Surplus 4085.07 4753.07 5631.43 6989.68 8127.80 9412.78 9917.56 10316.94 11161.39 12482.53

H$mamo~ma _mZX§S>Business Parameters

O_mam{e`m± Deposits 55424.42 73983.91 92733.67 116747.50 136142.20 166005.45 193393.01 199345.82 205170.84 220559.62

A{J«_ Advances 39185.57 48512.16 63202.56 86850.40 100469.02 118716.65 137086.30 145066.03 140322.24 140356.79

{Zdoe Investments 16512.38 24937.77 34522.63 43452.74 47474.63 58164.49 66191.21 63412.28 63280.64 64072.98

Hw$b Am` Total Income 5216.33 7174.57 8481.03 10459.62 14510.40 16942.02 19606.29 21038.91 21146.40 22561.78

ì`` {H$`m J`m ã`mOInterest Expended 3073.24 4376.37 5084.35 6195.51 9870.89 11908.23 14174.88 15486.10 15171.78 15020.46

n[aMmbZ ì`` Operating Expenses 891.95 1001.58 1259.95 1641.71 1783.55 1996.79 2392.01 2525.36 2879.60 3101.79

n[aMmbZ bm^ Operating Profit 1251.14 1796.61 2136.73 2622.40 2855.97 3037.00 3039.40 3027.45 3095.02 4439.53

{Zdb bm^ Net Profit 734.99 892.77 1170.25 1413.27 1506.04 1434.67 561.72 584.26 -506.48 561.21

_w»` AZwnmV Key Ratios

ny±Or n`m©ßVVm AZwnmV (%)Capital Adequacy Ratio (%) 12.09 13.66 15.00

#12.90##14.11

#11.94##13.00

#11.38##12.33

##12.21###11.64

##11.80###11.09

##10.88###10.56

##11.90###11.32

Am¡gV AmpñV`m| na à{Vbm^ (%)Return on Average Assets (%) 1.38 1.28 1.28 1.21 1.06 0.88 0.29 0.28 - 0.23 0.23

B©pŠdQ>r na à{Vbm^ (%)Return on Equity (%) 17.38 18.23 20.26 20.70 18.20 16.27 5.72 5.68 - 4.64 4.66

à{V eo`a AO©Z (`) Earnings per Share (`) $51.24 $62.24 $81.58 $98.50 $101.67 $96.74 $35.75 $$6.97 $$- 5.48 $$5.17

à{V eo`a ~hr _yë` (`)Book Value per Share (`) $294.79 $341.36 $402.60 $497.62 $558.69 $645.76 $601.95 $$125.16 $$110.94 $$110.82

Am¡gV H$m`©erb ny±Or _| EZAmB©E_ NIM to Average Working Funds

2.71 2.26 2.41 2.85 2.48 2.29 2.10 2.07 2.06 2.12

Hw$b Am` _| ã`mOoVa Am` (%)Non-interest income to total income (%)

13.42 17.06 16.95 12.09 10.29 9.49 8.40 7.05 8.21 13.70

gH$b A{J«_m| _| gH$b EZnrE (%)Gross NPA to Gross Advances (%)

1.47 1.14 1.02 0.91 1.26 1.72 3.42 4.81 9.98 11.70

{Zdb A{J«_m| _| {Zdb EZnrE (%)Net NPA to Net Advances (%)

0.32 0.29 0.31 0.46 0.87 1.19 2.32 3.08 6.53 8.33

bm^m§e Dividend (`) $10.50 $12.50 $16.50 $20.00 $20.50 $19.00 $6.75 $$1.40 $$0.00 $$0.00

# ~ogb I Ho$ AZwgma As per Basel I.## ~ogb II Ho$ AZwgma As per Basel II.### ~ogb III Ho$ AZwgma As per Basel III.

$$ A§{H$V _yë` à{V eo a `2/- hoVw $$ For FV `2/- per share$ A§{H$V _yë` à{V eo a `10/- hoVw $ For FV `10/- per share


FROM THE MANAGING DIRECTOR AND CEO

Dear Shareholders,

I am presenting the Annual Report and financial statements of your Bank for the financial year 2016-17. I would like to share with you the performance highlights and financial indicators of the Bank along with the business environment within which your Bank operated during the year.

Economic Scenario:

The Indian economy has witnessed several path breaking developments in the year 2016-17. From Demonetization to the landmark GST Bill passage, the year has seen several initiatives & policy reform measures. These changes are taking place in the country at a time when inflation is benign amidst a modest current account deficit, credible fiscal consolidation efforts, rising foreign exchange reserves, increase in foreign inflows and growth supportive policy measures and reform initiatives.

On the economic growth front, as per the second advance estimate the Central Statistical Organisation (CSO) estimated India’s real GDP growth at 7.1% in the financial year 2016-17 compared to 7.9% in the financial year 2015-16. Despite the transient impact of demonetization on the growth front, India continues to be the fastest growing emerging market economies in the world. The growth prospects are expected to strengthen in the days ahead on account of several factors, including, pick-up in discretionary consumer spending after remonetisation, the emphasis in the Union Budget on the rural economy and affordable housing, higher govt. capital spending & pick-up in export growth, improved investor confidence after passage of bills such as GST, Insolvency & Bankruptcy Code etc.

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4 dm{f©H$ [anmoQ>© 2016-17

As far as the banking sector is concerned, the performance remained subdued amidst rising delinquent loans, consequent increase in provisioning, persisting corporate sector stress and continued slowdown in credit growth. However, the banking system has witnessed a steady rise in deposits ever since the government announced demonetisation. The substantial inflow of deposits in the form of demonetized currency in the banking system has prompted the banking sector to cut their lending rates so as to revive the demand in the economy. Demonetization has also brought the digitalisation of banking services to the forefront. The banking sector is laying greater emphasis on providing improved services to its clients and also upgrading its technology infrastructure, in order to enhance the customer experience as well as to give banks a competitive edge.

Performance Highlights:The major highlights of your Bank’s performance during 2016-17 are:

Business Growth:Total Business of the Bank has reached `3,60,916.41 crore as on 31st March, 2017 as against ` 3,45,493.08 crore as on 31st March, 2016, registering an absolute growth of `15,423.33 crore.

While total Deposits grew by 7.50% to reach `2,20,559.62 crore, total Advances increased by 0.02% to reach 1,40,356.79 crore as on 31st March, 2017.

During the year, the Bank concentrated on reducing the Bulk deposits and replacing it with retail deposits. The level of Bulk deposit has come down from 45.53% as at 31.03.2016 to 38.34% as on 31.03.2017.

During the financial year Bank has achieved CA, SB and CASA targets. The Bank has mobilized `3,719 Crore from 31,13,343 new SB accounts and `1,545 Crore from 90,287 new Current accounts during the financial year.

Share of CASA in total deposit improved to 26.47% as on 31.03.2017 as compared to 22.14% as on 31.03.2016.

Asset Quality and Provisioning:During the year there was severe pressure on quality of assets and the rise of NPA in your Bank was not an isolated case but part of overall Industry phenomenon. The Gross NPA of your Bank increased from `14,544.25 crore (9.98%) as at 31.03.2016 to `17,045.22 crore (11.70%) as at 31.03.2017and Net NPAs increased from `9,160.14 crore (6.53%) to `11,692.18 crore (8.33%) during this period.

The provision coverage ratio as on 31.03.2017 is 55.17% with respect to Gross NPA as against 55.05% as at 31.03.2016.

The focus during the year was on recovery of NPAs. The employees rose to the challenge and your Bank could effect a cash recovery and upgradation of NPAs to the tune of 3350.87 crore as compared to `1596.04 crore in the previous financial year.

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H$mamo~ma d¥{Õ:

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31 _mM©, 2017 H$mo Ohm± O_mAmo§ _o§ 7.50% d{Õ Ho gmW 2,20,559.62 H$amo‹S ahm dht Hw$b A{JŒ_ _o§ 0.02% H$s d¥{Õ Ho gmW `1,40,356.79 H$amo‹S ahm&

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Your Bank will continue its focus and rigorous efforts through vibrant credit monitoring and NPA recovery system to arrest effectively the rising trend in slippages during the coming years.

Other key performance indicators:

Total Income of the Bank increased by `1415.38 crore during the financial year to reach `22561.78 crore.

Interest Spread increased by `211.55 crore (4.99%) during the year. Non-interest income increased by `1355.09 crore with a growth rate of 78.10% whereas non-interest expenditure increased by 7.72%.

Cost of deposits of the Bank has come down from 7.51% for the year 2015-16 to 6.74% for the year 2016-17.

Operating Profit of the Bank increased by `1344.51 crore during the year to reach `4439.53 crore. However, with increased provisioning on NPAs, the Bank posted net profit of `561.21 crore for the year 2016-17.

The Bank’s consolidated Net worth improved from `11,399.59 crore as at 31.03.2016 to `12,749.90 crore as at 31.03.2017.

Priority Sector Lending:

The Bank has achieved regulatory target under priority sector advances and its sub-sectors. Total Priority Sector advances stood at `60604 crore as on 31.03.2017 which works out to 42.75% of Adjusted Net Bank Credit (ANBC) as against the regulatory target of 40%. As in the past years, your Bank conducted special campaigns during FY 17 to augment agriculture advances in both Rabi and Kharif seasons. Furthermore, your Bank introduced tailor-made area specific schemes to cater to the specific needs of the farming community.

A number of initiatives were taken by your Bank to support MSME sector, given its potential to generate employment and growth. Under Pradhan Mantri MUDRA Yojana (PMMY), Bank has achieved 103.86% of annual disbursement target.

Pradhan Mantri Jan Dhan Yojana/Financial Inclusion :

Your Bank has been a front runner in the Financial Inclusion efforts. The Bank looks at it not just as a social commitment but also as an effective and profitable business proposition. The Bank has implemented Financial Inclusion through Branchless Banking in 4727 locations as on 31.03.2017. Number of accounts under financial inclusion increased to 40.86 lakhs (31.03.2017) from 39.71 lakhs as on 31.03.2016. The Bank has actively participated in implementation of PMJDY. During FY 2016-17, Bank has opened 1.40 lakh accounts under PMJDY and reached a level of 27.33 lakhs accounts.The balance in the PMJDY accounts has increased to `1051.74 crore (31.03.2017) from `749.63 crore as on 31.03.2016. The average balance in non-zero balance accounts as on 31.03.2017 has been increased to `4668/- from `3663/- as on 31.03.2016. The percentage of

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àmW{_H$Vm àmßV joÌ CYma:

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E_EgE_B© _o§ d¥{Õ Am¡a amoOJma H$s g§^mdZmAmo§ H$mo XoIVo hwE ~¢H$ _o§ BgHo g_W©Z hoVw H$B© nhbo§ ewê$ H$s h¡& àYmZ_§Ìr _wÐm `moOZm (nrE_E_dmB©) Ho VhV ~¢H$ Zo dm{f©H$ g§{dVaU bú` H$m 103.86% àmßV {H$`m h¡&

àYmZ_§Ìr OZ YZ `moOZm/ {dÎmr` g_mdoeZ:

AmnH$m ~¢H$ {dÎmr` g_mdoeZ à`mgmo _o§ AJŒUr ahm h¡& ~¢H$ Zo Bgo EH$ gm_m{OH$ à{V~ÕVm Ho$ ê$n _o§ Zht A{nVw EH$ à^mdr Ed§ bm^Xm`H$ ì`dgm` Ho$ ê$n _o§ {b`m h¡& 31.03.2017 Ho AZwgma 4727 Ho$ÝÐmo§ _o§ emIma{hV ~¢qH$J Ho _mÜ`_ go {dÎmr` g_mdoeZ H$mo H$m`m©Ýd{`V {H$`m h¡& {dÎmr` g_mdoeZ Ho A§VJ©V ImVmo§ H$s g§»`m 31.03.2016 Ho 39.71 bmI go ~‹TH$a 31.03.2017 H$mo 40.86 bmI hmo J`m& ~¢H$ Zo nrE_OoSrdmB© Ho H$m`m©Ýd`Z _o§ g{H«$` ê$n go ^mJ {b`m& {dÎmr` df© 2016-17 Ho Xm¡amZ ~¢H$ Zo nrE_OoSr Ho A§VJ©V 1.40 bmI ImVo Imobo Am¡a 27.33 bmI ImVm Ho ñVa H$mo àmßV {H$`m& nrE_OoSrdmB© ImVm _o§ eof 31.03.2016 Ho `749.63 H$amo‹S go ~‹TH$a `1051.74 H$amo‹S _o§ nhw±M J`m& J¡a eyÝ` ImVm _o§ Am¡gV eof 31.03.2016 Ho `3663/- go ~‹TH$a 31.03.2017 H$mo `4668/- hmo J`m& eyÝ` eof ImVmo§ H$s à{VeVVm 31.03.2016 Ho

6 dm{f©H$ [anmoQ>© 2016-17

zero balance accounts has been brought down to 17.59 % (4.80 lakh A/cs) as on 31.03.2017 from 21.07% (5.46 lakh A/cs) as on 31.03.2016. Incentive Scheme has been formulated for Bank Mitras for getting funds in the Zero balance accounts. Issued RuPay debit cards to 95% of the account holders and passbook to 90% of the account holders. Aadhaar number has been seeded in 73.90% of the operative PMJDY accounts, which is one of the best in the Industry. Corp Bank is one of the leading Banks in carrying out Aadhaar based (AEPS) transactions in Micro ATMs. A few Bank Mitras have done more than 2000 AEPS transactions and UIDAI has awarded the Bank with an incentive of `9.60 lakhs during FY 2016-17 for achieving more than 2000 AEPS transactions in 64 Micro ATMs.

New Products Launched:

• Bank launched Co-branded CORP-MHE RuPay Debit card in collaboration with Manipal Health Enterprise which offers a special 5-20% discount at Manipal Group Hospitals.

• Bank launched Platinum RuPay Debit card which offers exclusive previleges such as Airport lounge facility and insurance cover.

New Initiatives:

• Bank has launched BHIM-UPI which facilitates and makes fund transfer easy, quick and hassle free. It is a step towards achieving the goal of universal electronic payments, a less cash society and financial inclusion, using the latest technology. UPI provides immediate money transfer through mobile device round the clock 24x7 and 365 days. The money is transferred in a secured environment with immediate confirmation feature.

• Bank has launched Corp ApnaApp in seven languages which simplifies the usage of SMS Banking and eliminates the need for remembering many SMS syntaxes.

• Bank has enabled Corp Rewardz App on iOS platform also.

CSR and Empowerment Initiatives:

1. The Corporation Bank Economic Development Foundation®, a Non-Profit Economic Outfit Trust has been pursuing its objective of fulfilling social obligation in tune with corporate mission. All CSR activities of the Bank are conducted under the aegis of CBEDF. Financial grants to the extent of ` 205.53 lakhs were disbursed for execution of various projects of social concern during the year 2016-17 through CBEDF. Amongst others, CBEDF implemented the following major CSR projects during FY 2016-17.

2. For the welfare of the underprivileged, Bank granted `19.71 lakhs to various Institutions during 2016-17 through “CorpKiran”. The major activities included providing food, books, computers, water purifier, etc., to poor school children and inmates of orphanages, old age

21.07% (5.46 bmI ImVm) go KQH$a 31.03.2017 H$mo 17.59% (4.80 bmI ImVm) hmo J`m h¡& eyÝ` eof ImVmo§ _o§ {Z{Y àmßV H$aZo hoVw ~¢H$ {_Ìmo§ Ho {bE àmoËgmhZ `moOZm H$m gyÌnmV {H$`m J`m h¡& 95% ImVmYmaH$mo§ H$mo éno So{~Q H$mS© Am¡a 90% ImVmYmaH$mo§ H$mo nmg~wH$ Omar {H$`m J`m& AmYma g§»`m 73.90% n{aMm{bV nrE_OoSrdmB© ImVmo§ _o§ Smbm J`m h¡ Omo CÚmoJ _| loîR _o§ go EH$ h¡& H$mn© ~¢H$ _mBH«$mo EQrE_ _o§ AmYma AmYm{aV boZ-XoZ (EB©nrEg) H$mo g§^mbZo _o§ AJŒUr ~¢H$mo§ _o§ EH$ h¡& Hw$N> ~¢H$ {_Ì 2000 go A{YH$ EB©nrEg boZ-XoZmo§ H$mo g§^mbVo h¢& {dÎm df© 2016-17 _o§ Hw N ~¢H$ {_Ì Zo 2000 go A{YH$ EB©nrEg boZ-XoZ {H$E Am¡a `yAmB©SrEAmB© Zo 64 _mBHŒ mo EQrE_mo§ _o§ 2000 go A{YH$ EB©nrEg boZXoZ H$aZo dmbmo§ H$mo ` 9.60 bmI go A{YH$ H$s àmoËgmhZ am{e Xr JB© h¡&

ZE CËnmX :

· ~¢H$ Zo _{Unmb hoëW E§QaàmBµO Ho gh`moJ _o§ gh-~Œm§SS H$mn©-E_EMB© éno So{~Q H$mS© H$s ewéAmV H$s h¡ Omo _{Unmb JŒwn Ho AñnVmbmo§ H$mo 5-20% H$s {deof NyQ XoVm h¡&

· ~¢H$ Zo éno So{~Q H$mS© H$m ßb¡{QZ_ dµO©Z àma§^ {H$`m h¡ Omo E`anmoQ© bm°ÝO gw{dYm VWm ~r_m ajm O¡gm {deof gw{dYm Am°\ a H$aVm h¡&

ZB© nhb :

· ~¢H$ Zo ~rEMB©E_-`ynrAmB© H$s ewéAmV H$s h¡ Omo {Z{Y A§VaU AmgmZ, VrdŒ VWm Âm§ÂmQa{hV ~ZmZo hoVw àUmbr h¡& ZdrZV_ àm¡Úmo{JH$s àd¥{Îm`mo§ Ho à`moJ go d¡{œH$ BboŠQ—m{ZH$ ^wJVmZ, ZH$X a{hV g_mO VWm {dÎmr` g_mdoeZ Ho bú`mo§ H$mo àmßV H$aZo hoVw EH$ H$X_ h¡& `ynrAmB© 24 x 7 K§Qo VWm 365 {XZmo§ hoVw _mo~mB©b CnH$aU go VËH$mb YZ A§VaU àXmZ H$aVm h¡& VËH$mb nwpîQH$aU {deofVm Ho gmW gwa{jV dmVmdaU go YZ A§V{aV {H$`m OmVm h¡&

· ~¢H$ Zo gmV ^mfmAmo§ _o§ H$mn© AnZm Eßn H$s ewéAmV H$s h¡ Omo EgE_Eg ~¢qH$J H$mo gab ~ZmVm h¡ VWm H$B© EgE_Eg {gÝQoŠg `mX H$aZo H$s Amdí`H$Vm H$mo hQmVm h¡&

· ~¢H$ Zo AmB©AmoEg ßb¡Q\ m_© na H$mn© {admS©g Eßn gj_ {H$`m h¡&

grEgAma VWm gepŠVH$aU nhb :

1. H$mnmo©aoeZ ~¢H$ BH$mZm{_H$ Sodbn_o§Q \$mC§SoeZ EH$ J¡a-bm^H$mar Am{W©H$ Q—ñQ h¡ Am¡a H$mnmo©aoQ {_eZ _o§ em{_b gm_m{OH$ ~mÜ`VmAmo§ H$mo nyam H$aZo Ho AnZo bú` Ho {bE H$m`© H$a ahr h¡ & ~¢H$ H$s g^r grEgAma J{V{d{Y`m± gr~rB©SrE\ Ho VËdmYmZ _o§ H$s OmVr h¢ & df© 2016-17 Ho Xm¡amZ {d{^Þ gm_m{OH$ _wÔmo§ Ho$ {H«$`mH$bmnmo§ hoVw gr~rB©SrE\$ Ûmam `205.53 bmI H$m {dÎmr` AZwXmZ {X`m J`m & AÝ` J{V{d{Y`mo§ Ho gmW gr~rB©SrE\ Zo {dÎm df© 2016-17 _o§ {ZåZ grEgAma J{V{d{Y`m§ H$t &

2. Aën gw{dYm àmßV bmoJmo§ Ho H$ë`mU hoVw "H$mn© {H$aU' Ho Ûmam ~¢H$ Zo df© 2016-17 _o§ {d{^Þ g§ñWmAmo§ H$mo `19.71 bmI H$m AZwXmZ {X`m & _w»` J{V{d{Y`mo§ _o§ AZmWml_ Ho bmoJmo§ VWm Jar~ {dÚm{W©`mo§ H$mo, d¥Õml_mo§ H$mo, {Zam{lVmo§ H$mo ^moOZ, {H$Vm~o§, H§$ß`yQa, dmQa


homes, destitute homes, helping physically and mentally challenged people. The major activities carried out during the year under CorpKiran includes installation of projector and computers to Govt./aided schools. Orphanages were provided with furniture and water purifiers.

Branch/ATM Expansion:

• No. of branches increased from 2,440 to 2,517 and Branchless Banking units increased from 4,724 to 4,727, during the year.

• No. of ATMs increased to 3,169 and E-Lobbies increased to 335 as at 31st March, 2017.

Awards and Accolades:

The Bank has taken various encouraging steps towards value addition, expansion and inclusive banking as a result of which your Bank was conferred with the following prestigious awards during 2016-17:

1. Bagged the SKOCH Silver Award for attaining the No.: 1 position as channel partner of LIC of India for the past three financial years. The Bank was also awarded Order of Merit under the following three categories:

– CAPS-Virtual Account based Collection of Corporates

– Aadhaar Enabled payment System

– Point of Sale2. Won the following two MSME Banking Excellence Awards-

2016, conferred by Chamber of Indian Micro Small & Medium Enterprises (CIMSME) under the following categories:

– Eco-Technology Savvy Bank Award for Mid-Sized Bank – Winner.

– Best MSME Bank Award for Mid-Sized Bank – Runner-Up.

3. Awarded, once again, with the “National MSME Excellence Award 2017” by the Federation of Industry, Trade & Services [FITS].

4. Bagged three Runner up awards under Social Banking Excellence Awards instituted by The Associated Chambers of Commerce & Industry of India (ASSOCHAM). The Bank bagged the awards for Agriculture Banking, Priority Sector Lending and Best Social Bank under Large Bank category for 2016.

5. Received ten awards from NABARD at the State Level Awards Programme held at Bengaluru for best performance under SHG/JLG Bank Linkage Programme in Karnataka,

– The Bank has been adjudged first for 2013-14 in following categories: overall performance under SHG – Bank Linkage programme; highest share of SHG lending to priority sector lending; highest number of

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emIm/EQrE_ H$m {dñVma:

• df© Ho Xm¡amZ emImAmo§ H$s g§»`m 2,440 go ~‹TH$a 2,517 hmo JB© VWm emIma{hV BH$mB©`mo§ H$s g§»`m ~‹TH$a 4,724 go 4,727 hmo JB© &

• 31 _mM© 2017 VH$ EQrE_ H$s g§»`m 3,169 VWm B©-bm~r H$s g§»`m ~‹TH$a 335 hmo JB© &

nwañH$ma VWm gå_mZ:

~¢H$ Zo JwUdÎmm ~‹TmZo hoVw {d{^Þ CËgmhdY©H$ H$X_ CRmE h¢ {OZ_o§ {dñVma Am¡a g_mdoer ~¢qH$J em{_b h¢ & BZ AÀNo H$m_mo§ Ho n[aUm_ñdê$n AmnHo$ ~¢H$ H$mo df© 2016-17 Ho Xm¡amZ {ZåZ à{VpîRV gå_mZ àmßV h¢ &

1. ~¢H$ H$mo ^maVr` OrdZ ~r_m {ZJ_ Ho {dJV VrZ dfmoª go Z§.1 M¡Zb nmQ©Za hmoZo Ho {bE ñH$moM {gëda nwañH$ma àmßV hwAm & ~¢H$ H$mo {ZåZ VrZ g§dJmoª _o§ CËH¥ îQVm hoVw nwañH$ma àmßV hwAm h¡:

- H¡ ßg-H$mnmo©aoQ H$m dmñV{dH$ ImVm AmYm{aV g§JŒhU

- AmYma AmYm{aV ^wJVmZ V§Ì

- nmB§Q Am\ gob

2. ~¢H$ Zo ^maVr` gyú_ Ed§ _Ü`_ CÚ_mo§ Ho M¡å~a (grAmB©E_EgE_B©) Ûmam {ZåZ g§dJmoª _o§ Xmo E_EgE_B© ~¢qH$J CËH¥ îQVm nwañH$ma 2016 àmßV {H$E h¢ :

- _Ü`_ AmH$ma Ho ~¢H$mo§ _o§ B©H$mo-QoŠZmobmoOr godr ~¢H$ AdmS©- {dOoVm

- _Ü`_ AmH$ma Ho ~¢H$mo§ _o§ gd©loîR E_EgE_B© ~¢H$ AdmS©- Cn{dOoVm

3. ~¢H$ H$mo CÚmoJ,ì`mnma Ed§ godmAmo§ Ho \o SoaoeZ (E\$AmB©QrEg) Ûmam nwZ: "E_EgE_B©-CËH¥ îQVm nwañH$ma 2017' àmßV h¡ &

4. ~¢H$ H$mo Egmo{gEQ M¡å~a Am\ H$m_g© E§S B§SñQ—r Am\ B§{S`m (EgmoM¡_) Ûmam gm_m{OH$ ~¢qH$J CËH¥ îQVm nwañH$ma _o§ VrZ Cn{dOoVm nwañH$ma àmßV hwE h¢ & ~¢H$ H$mo 2016 Ho {bE ~‹So ~¢H$mo§ H$s loUr _o§ H¥ {f ~¢qH$J, àmW{_H$Vm àmßV joÌ G$U Am¡a gd©loîR gm_m{OH$ ~¢H$ nwañH$ma àmßV hwE &

5. ~¢Jbya _o§ Am`mo{OV amÁ` ñVar` nwañH$ma H$m`©H«$_ _o§ H$Zm©QH$ _o§ EgEMOr/OoEbOr ~¢H$ g§~Õ H$m`©HŒ _ _o§ gd©loîR {ZînmXZ hoVw Zm~mS© Ûmam 10 nwañH$ma àmßV hwE &

- ~¢H$ H$mo 2013-2014 _o§ {ZåZ lo{U`mo§ _o§ àW_ ñWmZ àmßV hwAm: EgEMOr Ho AÝVJ©V g_JŒ {ZînmXZ ~¡H$ g§~Õ H$m`©HŒ _, àmW{_H$Vm àmßV joÌ G$U _o§ EgEMOr H$mo G$U H$m g~go Á`mXm

8 dm{f©H$ [anmoQ>© 2016-17

SHG's credit linked; highest number of JLG’s credit linked; highest number of SHG’s credit linked by a branch – Pandavapura branch in Mysuru zone; and highest average JLG loan size. The bank has also been ranked first for 2014-15 under highest number of SHG’s credit linked; and highest quantum of loan disbursed. The Bank stood second under highest quantum of loan outstanding and third under highest number of JLG’s credit linked.

6. Received “SKOCH Achiever Award – 2016” for National SME enablement from Shri M. Venkaiah Naidu, Hon’ble Minister of Urban Development, Housing and Urban Poverty Alleviation and Parliamentary Affairs, Govt. of India.

7. Received “Best MSME Bank Award 2016” from Shri Haribhai Parthibhai Chaudhary, Hon’ble Minister of State for MSME, Government of India at the 4th SMEs Excellence Award – 2016 held at New Delhi on 6th December, 2016.

Acknowledgements

Before I conclude, I take this opportunity to extend my sincere gratitude to all the shareholders for their persistent support for overall development of the Bank. I sincerely thank the members of the Board, Govt. of India, Reserve Bank of India, all the regulatory authorities and organisations and Insurance Companies for their valuable support and guidance. I thank all our customers for their continued support & patronage and the opportunity given to us to serve them and develop business relationship. I also place on record my appreciation for the employees for their dedication, commitment and contribution towards the growth of the Bank.

The valuable support of all the stakeholders and the confidence they repose in the Bank will motivate us to work with renewed vigour to improve the business performance, year after year.

With best wishes,Yours Sincerely,

Place : Mangaluru Jai Kumar GargDate : 01.06.2017 Managing Director & CEO

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Am^ma

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~¢H$ _o§ g^r {hVm{YH$m[a`mo§ Ho ~hw_yë` g_W©Z Am¡a {dœmg go df© Xa df© ZE CËgmh go H$mamo~ma {ZînmXZ _o§ gwYma H$aZo Ho {bE h_o§ àoaUm {_boJr &

hm{X©H$ ew^H$m_ZmAmo§ g{hV, ^dXr`,

ñWmZ : _§Jbyé O` Hw _ma JJ© {XZm§H$ : 01.06.2017 à~§Y {ZXoeH$ Ed§ grB©Amo


CORPORATION BANK HEAD OFFICE : MANGALA DEVI TEMPLE ROAD

MANGALURU – 575 001D.K. DISTRICT, KARNATAKA STATE, INDIA

NOTICE

NOTICE IS HEREBY GIVEN pursuant to Regulation 56 of the Corporation Bank (Shares and Meetings) Regulations, 1998 that the Twentieth Annual General Meeting of the Shareholders of CORPORATION BANK will be held on Wednesday, 28th June 2017, at 10.30 a.m. at Millennium Building, Corporation Bank, Head Office, Mangala Devi Temple Road, Pandeshwar, Mangaluru – 575 001, KARNATAKA State to transact the following business:

Item No. 1: To discuss, approve and adopt the Audited Standalone and Consolidated Balance Sheet of the Bank as at 31st March, 2017, Standalone and Consolidated Profit and Loss Account of the Bank for the year ended 31st March, 2017, the Report of the Board of Directors on the working and activities of the Bank for the period covered by the Accounts and the Auditors’ Report on the Balance Sheet and Accounts.

Item No. 2: Raising of Capital of the Bank by way of issuance of fresh Equity Shares and/or by issuance of Additional Tier–I or Tier–II capital as per Basel III Guidelines.

To consider and if thought fit, to pass, the following resolution as a Special Resolution:

“RESOLVED THAT pursuant to the provisions of Section 3(2B) of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 (“Act”), Clause 20 of the Nationalised Banks (Management and Miscellaneous Provisions) Scheme, 1980 (“Scheme”), the Corporation Bank (Shares and Meetings) Regulations, 1998 (“Regulations”) and other applicable provisions, if any, and subject to the approvals, consents, sanctions, if any, of the Reserve Bank of India (“RBI”), the Government of India (“GOI”), the Securities and Exchange Board of India (“SEBI”), and / or any other authority as may be required in this regard and subject to such terms, conditions and modifications thereto as may be prescribed by them in granting such approvals and which may be agreed to by the Board of Directors of the Bank and subject to the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 [the SEBI (ICDR) Regulations], The SEBI (Listing Obligations Disclosure Requirements) Regulations, 2015 [the SEBI (LODR) Regulations] as amended, the Foreign Exchange Management (Transfer or Issue of Securities by a Person Resident Outside India), Regulations, 2000 as amended and in accordance with the applicable rules, regulations,

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gyMZm

H mnmo©aoeZ ~¢H (eoà Ed§ ~¡RH) {d{Z`_, 1998 Ho {d{Z`_ 56 Ho AZwgaU _o§ EVX²Ûmam gy{MV {H m OmVm h¡ {H H mnmo©aoeZ ~¢H Ho eoàYmaH mo§ H$s ~rgdt dm{f©H _hmg^m ~wYdma, 28 OyZ, 2017 H mo nydm©• 10.30 ~Oo, ghòmpãX ^dZ, H mnmo©aoeZ ~¢H , àYmZ H m`m©b`, _§JbmXodr _§{Xa _mJ©, nm§Soœa, _§Jbyé - 575 001, H Zm©QH amÁ` _o§ g§nÞ hmoJr {Og_o§ {ZåZ{b{IV _Xmo§ na {dMma {d_e© {H m OmEJm…

_X g§. 1: ~¢H Ho 31 _mM©, 2017 Ho n¥WH Ed§ g_o{H V boIm nar{jV VwbZ-nÌ, 31 _mM©, 2017 H mo g_mßV df© hoVw ~¢H Ho n¥WH$ Ed§ g_o{H$V bm^-hm{Z boIm, boImo§ _o§ g_m{hV Ad{Y Ho {bE ~¢H Ho H m`©-{ZînmXZ VWm {H«$`mH bmnmo§ na {ZXoeH _§Sb H$s [anmoQ© Am¡a VwbZ-nÌ Ed§ boImo§ na boIm-narjH mo§ H$s [anmoQ© na {dMma {d_e©, AZw_moXZ VWm ñdrH ma H aZm&

_X g§. 2 : ZB© BpŠdQ>r eoàmo§ Ho {ZJ©_ Am¡a/`m ~mgob III {Xem{ZXoemo§ Ho AZwgma A{V[aº Qmà-I `m Qmà -II ny§Or Ho {ZJ©_ Ûmam ~¢H H$s ny§Or OwQmZm

{deof g§H ën Ho ê n _o§ {ZåZm§{H V g§H ën na {dMma H aZm Am¡a Cn`wº$ nmE OmZo na Cg na {dMma H aZm

g§H ën {H m OmVm h¡ {H ~¢qH J H§ nZr (CnH«$_mo§ H m A{^J«hU Ed§ A§VaU) A{Y{Z`_, 1980 (""A{Y{Z`_'') H$s Ymam 3(2~r), amîQ—r`H¥ V ~¢H (à~§YZ Ed§ {d{dY àmdYmZ) `moOZm, 1980 (""`moOZm'') Ho IÊS 20, go~r (gyMrH aU ~mÜ`VmE± VWm àH QZ AnojmE±) {d{Z`_, 2015 go~r (EbAmoSrAma) {d{Z`_, 2015 (Cg_o§ {H gr AmemoYZ `m nwZ… A{Y{Z`_Z g{hV), ~m°å~o ñQm°H EŠgMo§O {b{_QoS Am¡a ZoeZb ñQm°H EŠgMo§O Am°\ B§{S`m {b{_QoS Ho gmW {H E JE gyMrH aU H ama Ho g§~§{YV àmdYmZmo§ Ho AZwgaU _o§ Am¡a H mnmo©aoeZ ~¢H (eoà Am¡a ~¡RH) {d{Z`_, 1998 Ho {d{Z`_ 4E Ho àmdYmZmo§ VWm ^maV gaH ma (""OrAmoAmB©''), ^maVr` [aµOd© ~¢H (""Ama~rAmB©''), ^maVr` à{V^y{V Ed§ {d{Z_` ~moS© (""go~r'') `m g§~§{YV AÝ` {H gr àm{YH mar Ûmam g_`-g_` na {ZYm©[aV Eogo {Z`_, eV© Am¡a g§emoYZ {OgH m ~mX _o§ {ZXoeH _§Sb Ûmam AZw_moXZ Am¡a gh_{V br OmEJr, Omo ^maVr` à{V^y{V Ed§ {d{Z_` ~moS© (ny±Or {ZJ©_ Am¡a àH QZ AnojmE§) {d{Z`_, 2009 (AWm©V go~r AmB©grSrAma {d{Z`_) `Wm g§emo{YV {dXoer {d{Z_` à~§YZ (^maV Ho ~mha ahoZodmbo àdmgr ì`{º Ûmam à{V^y{V`mo§ Ho {ZJ©_

10 dm{f©H$ [anmoQ>© 2016-17

guidelines, circulars and clarifications if any, prescribed by the RBI, SEBI, notifications/circulars and clarifications under the Banking Regulation Act, 1949, the Securities and Exchange Board of India Act, 1992 and all other applicable laws and all other competent authorities from time to time and subject to the Uniform Listing Agreements entered into with the Stock Exchanges where the equity shares of the Bank are listed, consent of the members of the Bank be and is hereby accorded to the Board of Directors of the Bank (hereinafter called “the Board” which shall be deemed to include any Committee which the Board may have constituted or hereafter constitute to exercise its powers including the powers conferred by this Resolution) to create, offer, issue and allot in one or more tranches (including with provision for reservation on firm allotment and/or competitive basis of such part of issue and for such categories of persons as may be permitted by the law then applicable) by way of offer document(s)/prospectus or such other document(s), in India or abroad :

a) Such number of equity shares of the face value of `2 each for cash (whether at a discount or premium to the market price or issue price or floor price) which together with the existing Paid-up Equity share capital shall be within the total authorized capital of `3000 crore of the bank, being the ceiling in the Authorised Capital of the Bank as per Section 3(2A) of the Act, or to the extent of enhanced Authorised Capital as per the Amendment (if any ), that may be made to the Act in future, in such a way that the Government of India shall at all times hold not less than 51% of the paid-up Equity share capital of the Bank;

b) Such number of perpetual debt instruments, Non-Convertible Debentures including but not limited to Subordinated Debentures, Bonds, Perpetual Non-Cumulative Preference Shares andor other debt securities/ Preference Shares (cumulative or non-cumulative) etc., on a private placement/public issue basis, in one or more tranches which may classify for TIER I or TIER II Capital as identified and classified by RBI;

to one or more of the members, employees of the Bank, Indian nationals, Non-Resident Indians (“NRIs”), Companies, private or public, Investment Institutions, Limited Liability Partnerships (LLPs) Societies, Trusts, Research Organizations, Qualified Institutional Buyers (“QIBs”) like Foreign Institutional Investors (“FIIs”), Banks, Financial Institutions, Indian Mutual Funds, Alternate Investment Funds, Foreign Venture Capital Investors, State Industrial Development Corporations, Insurance Companies, Provident Funds, Pension Funds, Development Financial Institutions or other entities, authorities or any other category of investors which are eligible to invest in equity/preference shares/securities of the Bank as per extant regulations/guidelines or any combination of the above, as may be deemed appropriate by the Bank for an amount not exceeding `3,500 Crore (Rupees Three Thousand Five Hundred Crore only) in one or more tranches”.

H m A§VaU) {d{Z`_Z, 2000, ~¢qH J {d{Z`_Z A{Y{Z`_, 1949, ^maVr` à{V^y{V Ed§ {d{Z_` ~moS© A{Y{Z`_, 1992 Am¡a AÝ` g_ñV bmJy {d{Y Am¡a g_`-g_` na bmJy AÝ` g_ñV gj_ àm{YH m[a`mo§ 1949 Ho A§VJ©V A{YgyMZmAmo§/n[anÌmo§, AJa H moB© hmo, Ho AZwgma g§emoYZ {H m J`m Am¡a CgHo AZwê n ~Zm`m J`m ~eVo© ñQmH EŠgMo§O Ho gmW g_mZ gyMr~Õ H ama _o§ ~¢H em{_b hwAm hmo Am¡a dhm± ~¢H Ho eoà H mo gyMr~Õ {H m J`m hmo, ~¢H Ho gXñ`mo§ H$s gh_{V hmo Vmo ~¢H Ho {ZXoeH _ÊSb (VËnümV² "{ZXoeH _§Sb' H hm J`m h¡, {Og eãX _o§ ~moS© Ûmam Bg {d{Z`_ Ûmam àXÎm A{YH mamo§ g{hV CgHo A{YH mamo§ H m à`moJ H aZo hoVw J{RV/J{RV H$s OmZodmbr g{_{V (`m±) em{_b g_Âmm OmEJm, H mo ^maV _o§ `m ^maV Ho ~mha àboImo§/{dda{UH mAmo§ `m Eogo AÝ` àboImo§ Ho Ûmam EH `m A{YH {hñgmo§ (`Wm bmJy {d{Y Ûmam AZw_V {ZJ©_ Ho Eogo ^mJ Ho \ _© Am~§QZ na AmajU Am¡a/`m à{VñnYm©Ë_H AmYma na VWm ì`{º mo§o§ H$s Eogr loUr hoVw àmdYmZ g{hV) H m g¥OZ, àñVwV Am¡a {ZJ©_ H aZo hoVw AZw_moXZ, gh_{V, g§ñdrH¥ {V Ho {bE EVX²Ûmam àm{YH¥ V {H m OmVm h¡:

H$) ZH Xr hoVw `2 Ho A§{H V _yë` Ho àËòH BpŠdQ>r eoà H$s Eogr g§»`m (Mmho dh ~mOma _yë` `m {ZJ©_ _yë` `m {ZåZV_ _yë` _o§ ~Åm `m àr{_`_ na Omar {H m OmE) Omo g§emoYZ (AJa H moB© hmo) `m ^{dî` _o§ Eogm A{Y{Z`_ ~Zm`m Om gH Vm h¡ {H ^maV gaH ma Ûmam {H gr ^r g_` Ym[aV àXÎm BpŠdQ>r eoà ny§Or 51% go H _ Z hmo, Ho AZwgma Cº A{Y{Z`_ H$s Ymam 3(2H ) Ho AZwgma ~¢H H$s àm{YH¥ V ny§Or _o§ CÀMV_ gr_m Ho ê n _o§ Hw b `3000 H amo‹S H$s àm{YH¥ V ny§Or Ho ^rVa {dÚ_mZ àXÎm BpŠdQ>r eoà ny§Or H mo aIm OmEJm&

I) EH `m A{YH {hñgmo§ _o§ {ZOr ßbog_o§Q/gmd©O{ZH {ZJ©_ AmYma na g~mo{S©ZoQoS {S~o§Ma, ~m°ÊS, nanoMwAb J¡a g§M`r A{Y_m{ZV eoà Am¡a/`m AÝ` H O© à{V^y{V/A{Y_m{ZV eoà (g§M`r `m J¡a g§M`r) g{hV {H ÝVw CÝht _Xmo§ VH gr{_V Z hmoVo hwE ^r, nanoMwAb S¡ãQ {bIVmo§, An[adV©Zr` {S~o§Mamo§ BË`m{X {Ogo ^m[a~¢ Ûmam M`{ZV Am¡a dJr©H¥ V Qmà I `m Qmà II ny§Or Ho ê n _o§ dJr©H aU {H m Om gH Vm h¡, H$s Eogr g§»`m H mo;

EH `m A{YH gXñ`, ~¢H Ho H _©Mmar, ^maVr` ZmJ[aH , Amàdmgr ^maVr` (EZAmaAmB©), H§ nZr, {ZOr `m gmd©O{ZH , {ZdoeH g§ñWmZ, gr{_V Xo`Vm ^mJrXmar (EbEbnr) gmogm`Qr, Ý`mg, AZwg§YmZ g§JRZ, {dXoer g§ñWmJV {ZdoeH (E\ AmB©AmB©) O¡go AmhVm© àmßV g§ñWmJV H«o$Vm (Š`yAmB©~r), ~¢H , {dÎmr` g§ñWmZ, ^maVr` n[an¹ Vm {Z{Y, d¡H pënH {Zdoe {Z{Y, {dXoer CÚ_ ny§Or {ZdoeH , amÁ` Am¡Úmo{JH {dH mg {ZJ_, ~r_m H§ nZr, ^{dî` {Z{Y, no§eZ {Z{Y, {dH mgerb {dÎmr` g§ñWmZ `m AÝ` BH mB©, àm{YH mar `m {ZdoeH mo§ H$s AÝ` loUr `m Cnamoº _o§ H moB© AÝ` Ho db go Omo {dÚ_mZ {d{Z`_mo§/{Xem{ZXoemo§ Ho AZwgma ~¢H H$s BpŠdQ>r/A{Y_m{ZV eoàmo§/à{V^y{V`mo§ _o§ {Zdoe hoVw nmÌ h¡, EH `m A{YH {hñgmo§ _o§ `3,500 H amo‹S (énò VrZ hOma nm±M gm¡ H amo‹S _mÌ) go AZ{YH am{e hoVw ~¢H Ûmam {d{Z`mo{OV _mZm Om gH Vm h¡&


“RESOLVED FURTHER THAT such issue, offer or allotment of equity/preference shares/securities may also be by way of Qualified Institutions Placement (QIP), Follow on public issue, rights Issue, private placement, Employees Stock Option Scheme or Employee Stock Purchase Scheme of the Bank, or such other mode of issue as may be provided by applicable laws, with or without over-allotment or Green Shoe option and that such offer, issue, placement and allotment of equity/preference shares/securities be made as per the provisions of the Act, RBI Guidelines, the SEBI ICDR Regulations and all other applicable guidelines issued by the RBI, SEBI and any other authority as applicable, and at such time or times in such manner and on such terms and conditions as the Board may, in its absolute discretion, think fit.”

“RESOLVED FURTHER THAT in respect of the aforesaid issue/s, the Board shall have the absolute authority to decide, such price or prices not below the price as determined in accordance with relevant provisions of the SEBI (ICDR) Regulations, in such manner and wherever necessary, in consultation with the lead managers and/or underwriters and/or other advisors, and/or such terms and conditions as the Board may, in its absolute discretion, decide in terms of the SEBI (ICDR) Regulations, other regulations and any and all other applicable laws, rules, regulations and guidelines, and/or whether or not the proposed investor(s) are existing shareholders of the Bank.”

“RESOLVED FURTHER THAT in accordance with the provisions of the Uniform Listing Agreements entered into with relevant stock exchanges, the provisions of SEBI (LODR) Regulations, 2015, the provisions of Act, the provisions of Regulations, the provisions of ICDR Regulations, the provisions of the Foreign Exchange Management Act, 1999 and the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2000, and subject to requisite approvals, consents, permissions and/or sanctions of SEBI, Stock Exchanges, RBI, Department of Industrial Policy and Promotion, Ministry of Commerce (DIPP) and all other authorities as may be required (hereinafter collectively referred to as “the Appropriate Authorities”) and subject to such conditions as may be prescribed by any of them while granting any such approval, consent, permission and/or sanction (hereinafter referred to as “the requisite approvals”) the Board may, at its absolute discretion, issue, offer and allot, from time to time in one or more tranches, equity shares/preference shares or any securities other than warrants, in such a way that the Central Government at any time holds not less than 51% of the Equity Capital of the Bank, to QIBs (as defined in Chapter VIII of the ICDR Regulations) pursuant to a Qualified institutions placement (QIP) as provided for under Chapter VIII of the ICDR Regulations, through a placement document and/or such other documents/writings/circulars/ memoranda and in such manner and on such price, terms and conditions as may be determined by the Board in accordance with the ICDR Regulations or other provisions of the law as

""`h ^r g§H ën {H$`m OmVm h¡ {H A{YH Am~§QZ `m J«rZ ey Am°ßeZ g{hV `m a{hV npãbH Bí`y, amBQ Bí`y, {ZOr ßbog_o§Q, H _©Mmar ñQmH Am°ßeZ ñH$s_ `m ~¢H H m H _©Mmar ñQm°H H«o$Vm ñH$s_ `m Bí`y H m Eogr AÝ` VarHo Ho AZwH aU _o§ AmhVm© àmßV g§ñWmZ ßbog_o§Q Ho Ûmam ^r BpŠdQ>r/A{Y_m{ZV eoà/{gŠ`y[aQr H mo Bí`y, Amµ\ a `m Am~§{QV {H m OmVm h¡ Am¡a ~moS© Eogo g_` _o§ `m Eogo g_`md{Y _o§ Am¡a Eogo {Z`_mo§ Ed§ eVmoª Ho AZwgma AJa Bgo AnZo {ddoH go Cn`wº nmVm h¡ Vmo BpŠdQ>r/A{Y_m{ZV eoà/{gŠ`y[aQr H m Bí`y, Amµ\ a `m Am~§QZ H mo Cº A{Y{Z`_ Ho àmdYmZmo§, ^m[a~¢ Ho {Xem{ZXoemo§, go~r AmB©grSrAma {d{Z`_mo§, AÝ` {d{Z`_mo§ Am¡a ^m[a~¢, go~r Ed§ {H gr AÝ` àm{YH mar Ûmam Omar AÝ` g^r bmJy {Xem {ZXoemo§ Ho AZwgma ~Zm`m OmVm h¡&''

""`h ^r g§H ën {H$`m OmVm h¡ {H Cnamoº Bí`y Ho g§~§Y _o§ ~moS© Eogo go~r (AmB©grSrAma) {d{Z`_mo§ Ho g§~§{YV àmdYmZmo§ Ho AZwê n Eogo _yë` `m Cg _yë` go ZrMo Zht na Bg VarHo go {ZU©` bo gH Vm h¡ Am¡a Ohm± Amdí`H hmo, AJ«Ur hm_rXmamo§ Am¡a/`m AÝ` gbmhH mamo§ Ho nam_e© go Am¡a/`m Eogo {Z`_mo§ Am¡a eVmoª H mo Ü`mZ _o§ aIVo hwE go~r(AmB©grSrAma) {d{Z`_mo§, AÝ` {d{Z`_mo§ Ed§ bmJy AÝ` g^r H mZyZ, {Z`_, {d{Z`_ Am¡a {Xem{ZXoe Ho AmbmoH _o§ ~moS© H mo `h {ZU©` boZo H m A{YH ma hmoJm {H Š`m ~¢H Ho {dÚ_mZ eoàYmaH àñVm{dV {ZdoeH h¢ `m Zht&''

""`h ^r g§H ën {H$`m OmVm h¡ {H go~r (EbAmoSrAma) {d{Z`_Z, 2015 Ho àmdYmZmo§, A{Y{Z`_ H m àmdYmZ, {d{Z`_Z H m àmdYmZ, AmB©grSrAma {d{Z`_Z H m àmdYmZ, {dXoer {d{Z_` à~§YZ A{Y{Z`_, 1999 Am¡a {dXoer {d{Z_` à~§YZ (^maV Ho ~mha ahZo dmbm ì`{º Ûmam à{V^y{V H m A§VaU `m {ZJ©_) {d{Z`_Z, 2000 Ho àmdYmZmo§ g§~§{YV ñQm°H EŠgMo§O Ho gmW g_mZ gyMr~ÕVm H ama Ho àmdYmZmo§ Ho AZwê n Am¡a go~r, ñQm°H EŠgMo§O, ^m[a~¢, Am¡Úmo{JH Zr{V Am¡a nXmoÞ{V {d^mJ, dm{UÁ` _§Ìmb` Am¡a `Wm Amdí`H AÝ` g^r àm{YH mar (BgHo ~mX Bgo g_pÝdV ê n go Cn`wº$ àm{YH mar Ho ê n _o§ g§X{^©V {H m OmEJm&) Am¡a ~moS© BgH m AZw_moXZ, gh_{V, AZw_{V Am¡a/`m g§ñdrH¥ {V H aVo g_` ({Ogo BgHo ~mX Ano{jV AZw_moXZ Ho ê n _o§ g§X{^©V {H m OmEJm) ßbog_o§Q àboI Am¡a/`m AÝ` Eogo àboI/boIZ/n[anÌ/kmnZ Ho _mÜ`_ go VWm AmB©grSrAma {d{Z`_mo§ Am¡a Cg g_` àM{bV {d{Y Ho AÝ` àmdYmZmo§ Ho AZwê n ~moS© Ûmam {ZYm©[aV Bg àH ma go Ed§ Eogo _yë`, {Z`_mo§ Am¡a eVmoª, CZ_o§ go {H gr Ûmam {ZYm©[aV H {Vn` eVmoª Ho AYrZ g_`-g_` na EH go A{YH {hñgmo§ _o§ BpŠdQ>r eoà/A{Y_m{ZV eoà `m dma§Q Ho Abmdm {H gr AÝ` à{V^y{V Ho {ZJ©_, Amµ\ a Am¡a Am~§QZ AnZo {ddoH go Bg àH ma H a gH Vm h¡ {H AmB©grSrAma {d{Z`_mo§ Ho AÜ`m` VIII Ho A§VJ©V àmdYmZ Ho AZwgma AmhVm© àmßV g§ñWmZ ßbog_o§Q (Š`yAmB©nr) Ho AZwH aU _o§ Š`yAmB©~r AmB©grSrAma {d{Z`_Z Ho AÜ`m` VIII _o§ `Wm nm[a^m{fV, ~¢H H$s BpŠdQ>r ny§Or _o§ {H gr ^r g_` Ho§ Ð gaH ma H$s {hñgoXmar 51% go H _ Z hmo VWm {ZJ©{_V BpŠdQ>r eoàmo§ Ho

12 dm{f©H$ [anmoQ>© 2016-17

may be prevailing at that time; provided the price inclusive of the premium of the equity shares so issued shall not be less than the price arrived in accordance with the relevant provisions of ICDR Regulations”.

“RESOLVED FURTHER THAT in case of a Qualified Institutions Placement pursuant to Chapter VIII of the SEBI (ICDR) Regulations

a) the allotment of Securities shall only be to Qualified Institutional Buyers within the meaning of Chapter VIII of the SEBI (ICDR) Regulations, such Securities shall be fully paid-up and the allotment of such Securities shall be completed within 12 months, from the date of this resolution, or such other time as may be permitted under the SEBI (ICDR) Regulations from time to time.”

b) The Bank is pursuant to proviso to Regulation 85(1) of ICDR Regulations authorized to offer shares at a discount of not more than five percent on the floor price.

c) the Relevant Date for the determination of the floor price of the securities shall be in accordance with the SEBI (ICDR) Regulations.”

“RESOLVED FURTHER THAT the Board shall have the authority and power to accept any modification in the proposal as may be required or imposed by the GOI/RBI/SEBI/Stock Exchanges where the shares of the Bank are listed or where the Debt Securities to be issued are proposed to be listed or such other appropriate authorities at the time of according/granting their approvals, consents, permissions and sanctions to issue, allotment and listing thereof and as agreed to by the Board.”

“RESOLVED FURTHER THAT the issue and allotment of aforesaid Securities, if any, to NRIs, FIIs and/or other eligible foreign investments be subject to the approval of the RBI under the Foreign Exchange Management Act, 1999 as may be applicable but within the overall limits set forth under the Act and by other regulators, as applicable.”

“RESOLVED FURTHER THAT the said new equity shares to be issued shall be subject to the Corporation Bank (Shares and Meetings) Regulations, 1998 as amended and shall rank in all respects pari-passu with the existing equity shares of the Bank including dividend, if any, in accordance with the statutory guidelines that are in force at the time of such declaration.”

“RESOLVED FURTHER THAT the equity shares to be issued shall be listed with the stock exchanges where the existing equity shares of the Bank are listed.”

“RESOLVED FURTHER THAT the Board be and is hereby authorized to enter into and execute all such arrangements with any Lead Manager(s), Banker(s), Underwriter(s), Depository (ies), Legal Advisor(s), Monitoring Agencies and all such agencies as may be involved or concerned in such offering of aforesaid Securities and to remunerate all such institutions and agencies by way of commission, brokerage, fees or the like and also to enter into and execute all such arrangements, agreements, memoranda, documents, etc., with such agencies.”

àr{_`_ H m Am§V[aH _yë` AmB©grSrAma {d{Z`_mo§ Ho g§~§{YV àmdYmZmo§ Ho AZwê n {ZUr©V _yë` go H _ Z hmo&''

""`h ^r g§H ën {H$`m OmVm h¡ {H go~r (AmB©grSrAma) {d{Z`_mo§ Ho AÜ`m` VIII Ho AZwH aU _o§ AmhVm© àmßV g§ñWmZ ßbog_o§Q H$s pñW{V _o§ H$) à{V^y{V`mo§ H m Am~§QZ go~r (AmB©grSrAma) Ho AÜ`m` VIII Ho

Ame` Ho ^rVa AmhVm© àmßV g§ñWmJV H«o$Vm H mo hr Ho db {H m OmEJm, Eogr à{V^y{V`m± nyU© àXÎm hmoJr Am¡a Eogr à{V^y{V`mo§ H m Am~§QZ Bg g§H ën H$s {V{W go 12 _mh Ho ^rVa AWdm g_`-g_` na go~r (AmB©grSrAma) {d{Z`_mo§ Ho A§VJ©V AZw_V Eogo AÝ` g_` _o§ nyam H a {b`m OmEJm&

I) ~¢H {ZåZV_ _yë` na nm±M à{VeV go AZ{YH ~Åm na eoàmo§ H mo àñVwV H aZo hoVw AmB©grSrAma {d{Z`_mo§ Ho {d{Z`_Z 85(1) Ho na§VwH H m AZwgaU H aoJm&

J) à{V^y{V`mo§ Ho {ZåZV_ _yë` Ho {ZYm©aU hoVw g§~§{YV {V{W go~r (AmB©grSrAma) {d{Z`_Zmo§ Ho AZwê n hmoJr&''

""`h ^r g§H ën {H$`m OmVm h¡ {H ~moS© H mo Ano{jVmZwgma àñVmd _o§ AmemoYZ H aZo H m A{YH ma hmoJm `m ^maV gaH ma/^maVr` [aµOd© ~¢H/go~r/ñQm°H EŠñMo§O, Ohm± ~¢H Ho eoà gyMr~Õ h¢, `m CgH mo Omar H aZo, Am~§{QV H aZo VWm gy{M~Õ H aZo Ho AZw_moXZ, gh_{V, AZw_{V VWm _§Oyar XoZo Ho g_` Eogo AÝ` Cn wº àm{YH m[a`mo§ Ûmam bmJy {H E JE AmemoYZmo§ H mo ñdrH ma H aZo H m A{YH ma hmoJm&''

""`h ^r g§H ën {H$`m OmVm h¡ {H EZAmaAmB©, E\ AmB©AmB© Am¡a/`m AÝ` nmÌ {dXoer {ZdoeH mo§, AJa H moB© hmo, H mo Cnamoº à{V^y{V`mo§ Ho {ZJ©_ Am¡a Am~§QZ {dXoer {d{Z_` à~§YZ A{Y{Z`_, 1999 Ho A§VJ©V ^m[a~¢ Ho AZw_moXZ go bmJy {H ÝVw Bg A{Y{Z`_ Am¡a `Wm bmJy {Z`m_H mo§ Ho A§VJ©V {Z{X©îQ g_J« g_` gr_m Ho ^rVa hmoJm&''

""`h ^r g§H ën {H$`m OmVm h¡ {H {ZJ©_ {H m OmZo dmbm Cº Z`m BpŠdQ>r eoà `Wm g§emo{YV H mnmo©aoeZ ~¢H (eoà Am¡a ~¡RHo§ ) {d{Z`_Z, 1998 Ho AZwgma Am¡a Eogo ñnîQrH aU Ho g_` à^mdr gm§{d{YH {Xem {ZXoemo§ Ho$ AZwê n bm^m§e, AJa H moB© hmo, g{hV ~¢H Ho {dÚ_mZ BpŠdQ>r eoàmo§ H$s g_Vwë`Vm H mo V` {H m OmEJm&''

""`h ^r g§H ën {H$`m OmVm h¡ {H BpŠdQ>r eoàmo§ H mo CZ ñQm°H EŠgMo§Omo§ _o§ gyMr~Õ {H m OmEJm Ohm± ~¢H Ho {dÚ_mZ BpŠdQ>r eoà gyMr~Õ {H m OmVm h¡&''

""`h r g§H ën {H$`m OmVm h¡ {H {H gr AJ«Ur à~§YH , ~¢H a, hm_rXma, {ZjonmJma, {d{Y gbmhH ma, {ZJamZr EOo§gr Am¡a Cnamoº à{V^y{V`mo§ H mo Bg àH ma go Amµ\ a H aZo _o§ em{_b `m g§~§{YV Eogr g^r EOo§{g`mo§ Ho gmW H ama H aZo Am¡a Cgo {ZînmXZ H aZo hoVw ~moS© H mo A{YH¥ V {H m OmVm h¡ VWm H _reZ, Xbmbr Am¡a ewëH `m Bg àH ma Ho H moB© AÝ` Ho Ûmam Eogr g^r g§ñWmZmo§ Ed§ EOo§{g`mo§ H mo à{Vny{V© H aoJm Am¡a Eogr g^r EOo§{g`mo§ Ho gmW Bg àH ma H$s g^r ì`dñWmAmo§, H amamo§, kmnZmo§, àboImo§ BË`m{X Ho gmW H ama Ed§ CgH m {ZînmXZ ^r H aoJm&''


“RESOLVED FURTHER THAT for the purpose of giving effect to the above, the Board, in consultation with the Lead Managers, Underwriters, Advisors and/or other persons as appointed by the Bank, be and is hereby authorized to determine the form and terms of the issue(s), including the class of investors to whom the aforesaid Securities are to be allotted, their number to be allotted in each tranche, issue price (including premium, if any), face value, premium amount on issue/conversion of Securities/exercise of warrants/redemption of securities, rate of interest, redemption period, number of equity shares /preference shares or other securities upon conversion or redemption or cancellation of the securities, the price, premium or discount on issue/conversion of securities, rate of interest, period of conversion, fixing of record date or book closure and related or incidental matters, listings on one or more stock exchanges in India and/or abroad, as the Board in its absolute discretion deems fit.”

“RESOLVED FURTHER THAT such of the aforesaid Securities as are not subscribed may be disposed off by the Board in its absolute discretion in such manner, as the Board may deem fit and as permissible by law.”

“RESOLVED FURTHER THAT for the purpose of giving effect to this Resolution, the Board, be and is hereby authorised to do all such acts, deeds, matters and things as it may in its absolute discretion deem necessary, proper and desirable and to settle any question, difficulty or doubt that may arise in regard to the issue, of the shares/securities and further to do all such acts, deeds, matters and things, finalize and execute all documents and writings as may be necessary, desirable or expedient as it may in its absolute discretion deem fit, proper or desirable without being required to seek any further consent or approval of the shareholders or authorise to the end and intent, that the shareholders shall be deemed to have given their approval thereto expressly by the authority of the Resolution.”

“RESOLVED FURTHER THAT the Board be and is hereby authorized to delegate all or any of the powers herein conferred jointly or severally to Securities Allotment Committee of the Board or the Managing Director and Chief Executive Officer (MD and CEO) or to the Executive Director/(s) or the Chief Financial Officer or the Company Secretary of the Bank to give effect to the aforesaid Resolutions.”

By order of the Board of Directors

for CORPORATION BANK

Place : Mangaluru (S. K. DASH)

Date : 29.05.2017 COMPANY SECRETARY

""`h ^r g§H ën {H$`m OmVm h¡ {H Cnamoº H mo à^mdr H aZo Ho CÔoí` go AJ«Ur à~§YH mo§, hm_rXmamo§, gbmhH mamo§ Am¡a/`m ~¢H Ûmam {Z`wº AÝ` ì`{º mo§ Ho nam_e© go ~moS© {ZdoeH mo§ Ho Cg dJ© g{hV {OÝho§ Cº à{V^y{V`mo§ H mo Am~§{QV {H m OmZm h¡, g{hV Cº Bí`y Ho ñdê n Am¡a eVmoª, àËòH {hñgo _o§ Am~§{QV {H E OmZo H$s g§»`m, {ZJ©_ _yë` (àr{_`_, AJa H moB© hmo, g{hV), A§{H V _yë`, {ZJ©_ na àr{_`_ am{e/à{V^y{V`mo§ H m A§VaU/dma§Qmo§ H m à`moJ/à{V^y{V`mo§ H m CÝ_moMZ, ã`mO Xa, CÝ_moMZ Ad{Y, BpŠdQ>r eoàmo§/A{Y_m{ZV eoàmo§/n[adV©Z `m CÝ_moMZ `m {ZañVrH aU Ho ~mX AÝ` à{V^y{V`mo§ H$s g§»`m, CZH m _yë`, {ZJ©_/à{V^y{V`mo§ Ho n[adV©Z na àr{_`_ `m ~Åm, ã`mO Xa, n[adV©Z H$s Ad{Y, [aH mS© H$s {V{W `m ~hr ~§Xr Am¡a g§~pÝYV `m AmH pñ_H _Xo§, nyar Vah ~moS© Ho {ddoH na ^maV Ho A§Xa Am¡a/`m ~mha _o§ EH `m A{YH ñQm°H EŠgMo§Omo§ _o§ gyMr~ÕVm H mo {ZYm©[aV H aZo hoVw ~moS© H mo àm{YH¥ V {H m OmVm h¡&''

""`h ^r g§H ën {H$`m OmVm h¡ {H AJa Cnamoº à{V^y{V`mo§ H m A§eXmZ Zht hmo nmVm h¡ Vmo ~moS© O¡gm Cn`wº g_Âmo Am¡a O¡gm {d{Y Ûmam AZw_V hmo, AnZo {ddoH go CgH m {ZnQmZ Bg àH ma H a gH Vm h¡&''

""`h ^r g§H ën {H m OmVm h¡ {H Bg g§H ën H mo à^mdr ~ZmZo Ho CÔoí` hoVw {ZXoeH _§Sb H mo Eogr g_ñV H ma©dmB©, H m`©, _m_bo Am¡a H m_ H aZo hoVw VWm Cº B©pŠdQ>r eoàmo§ H mo Omar H aZo Ho g§~§Y _o§ CËnÞ hmoZodmbo {H gr àý, H {RZmB`mo§ Am¡a g§Xoe H mo {ZnQmZo hoVw EVX²Ûmam àm{YH¥ V {H m OmVm h¡ Omo CgHo nyU© {ddoH _o§ Amdí`H , C{MV Am¡a dm§NZr` g_Âmm OmE& BgHo Abmdm Cgo Eogr g_ñV H ma©dmB©, H m`©, _m_bo Am¡a H m_ Amdí`H , dm§NZr` Am¡a A{Zdm`© XñVmdoµOmo§ Am¡a H mJµOmV H mo A§{V_ ê n XoH a {Zînm{XV H aZo Omo {H {ZXoeH _§Sb Ho nyU© {ddoH _o§ Cn`wº, C{MV Am¡a dm§NZr` hmo§, BgHo {bE CÝho§ eoàYmaH mo§ go A{V[aº gh_{V `m AZw_moXZ _m±JZm Z n‹So Am¡a do Bg àH ma àm{YH¥ V hmo§ _mZmo Bg g§H ën Ho àm{YH ma go eoàYmaH mo§ Zo CÝho§ ñnîQV`m AZw_moXZ {X`m hmo&''

""`h ^r g§H ën {H m OmVm h¡ {H ~¢H Ho {ZXoeH _ÊSb H mo nydmo©º g§H ën H mo à^mdr H aZo Ho {bE ~moS© H$s à{V^y{V Am~§QZ g{_{V, `m à~§Y {ZXoeH Ed§ _w»` H m`©nmbH A{YH mar (E_Sr Ed§ grB©Amo) `m H m`©nmbH {ZXoeH (JU) `m _w»` {dÎmr` A{YH mar `m ~¢H Ho H§ nZr g{Md H mo AnZo g^r `m {H gr A{YH ma H mo àË`m`mo{OV H aZo H m àm{YH ma hmoJm&''

{ZXoeH _§Sb Ho AmXoe Ûmam H¥ Vo H mnmo©aoeZ ~¢H

ñWmZ… _§Jbyé (Eg. Ho . Xme){XZm§H … 29.05.2017 H§ nZr g{Md

14 dm{f©H$ [anmoQ>© 2016-17

NOTES

1. APPOINTMENT OF PROXY A SHAREHOLDER ENTITLED TO ATTEND THE

MEETING, IS ALSO ENTITLED TO APPOINT A PROXY TO ATTEND INSTEAD OF HIMSELF/HERSELF, AND SUCH A PROXY NEED NOT BE A SHAREHOLDER OF THE BANK.

However, the proxy so appointed will not have any right to speak at the Meeting.

No person shall be appointed as a proxy who is an officer or an employee of Corporation Bank.

As per the Regulations 70(vi), the grantor of an instrument of proxy shall not be entitled to vote in person at the meeting to which such instrument relates.

The proxy form, in order to be effective, must be received by the Bank at its Head Office at Mangala Devi Temple Road, Mangaluru – 575 001, Karnataka State, not later than FOUR DAYS before the date of the meeting, i.e., on or before the closing hours i.e., 5.00 p.m. of Friday, the 23rd June, 2017.

2. APPOINTMENT OF AN AUTHORISED REPRESENTATIVE

No person shall be entitled to attend or vote at the Annual General Meeting as a duly authorised representative of anybody corporate which is a shareholder of the Bank, unless a copy of the resolution appointing him/her as a duly authorised representative, certified to be true copy by the Chairman of the meeting at which it was passed, shall have been deposited at the Head Office of the Bank, with the Company Secretary, Corporation Bank, Investor Services Department, H.O., Mangalore – 575 001 Karnataka State, not later than FOUR DAYS before the date of the Meeting i.e., on or before the closing hours i.e., 5.00 p.m. of Friday, the 23rd June, 2017.

3. EXERCISE OF RIGHTS OF JOINT HOLDERS

If shares are in the names of joint holders, then first named person is only entitled to attend the meeting and is only eligible to vote.

4. CLOSURE OF REGISTER OF MEMBERS

Pursuant to Regulation 12 of the Corporation Bank (Shares and Meetings) Regulations, 1998, the Register of Members and the Share Transfer Books of the Bank will remain closed from Thursday, the 22nd June, 2017 to Wednesday, the 28th June, 2017 (both days inclusive) in connection with the Twentieth Annual General Meeting and Thursday, the 22nd June, 2017 be treated as cutoff date for entitlement of shareholder for remote e-voting or voting a the Annual General Meeting.

ZmoQ>

1. àm°Šgr H$s {Z`w{º {Og eoàYmaH H mo ~¡RH _o§ ^mJ boZo H m A{YH ma h¡, Cgo AnZo

ñWmZ na ~¡RH _o§ ^mJ boZo Ho {bE EH àm°Šgr {Z`wº H aZo H m ^r A{YH ma h¡ VWm Eogo àm°Šgr H m H mnmo©aoeZ ~¢H H m eoàYmaH hmoZm Amdí`H Zht h¡&

VWm{n, Bg àH ma {Z`wº àm°Šgr H mo ~¡RH _o§ ~mobZo H m H moB© A{YH ma Zht hmoJm&

àm°Šgr Ho ê n _o§ Eogo {H gr ì`{º H$s {Z`w{º Zht H$s OmEJr Omo H mnmo©aoeZ ~¢H H m EH A{YH mar `m H _©Mmar hmo&

{d{Z`_ 70(vi) Ho AZwgma àm°Šgr {bIV XoZodmbm, {bIV go g§~§{YV ~¡RH _o§ ì`{º JV ê n go dmoQ XoZo Ho {bE nmÌ Zht hmoJm&

àm°Šgr \ m_© à^mdr hmoZo hoVw ~¡RH àma§^ hmoZo go H _-go-H _ Mma {XZ nhbo AWm©V² ewH«$dma, 23 OyZ 2017 H mo H m`©g_` H$s g_mpßV AWm©V² Anam• 5.00 ~Oo VH `m Cggo nhbo ~¢H Ho àYmZ H m`m©b`, _§JbmXodr _§{Xa _mJ©, _§Jbyé-575 001, H Zm©QH amÁ` _o§ àmßV hmo OmZm Mm{hE&

2. àm{YH¥ V à{V{Z{Y H$s {Z`w{º ~¢H Ho eoàYmaH H§ nZr {ZH m` H m {d{YdV² àm{YH¥ V à{V{Z{Y Ho

ê n _o§ H moB© ì`{º, dm{f©H _hmg^m _o§ ^mJ boZo Am¡a _VXmZ H aZo hoVw V~ VH nmÌ Zht hmoJm, O~ VH Cgo {d{YdV² àm{YH¥ V à{V{Z{Y Ho ê n _o§ {Z`wº H aZodmbo g§H ën H$s à{V H mo Cg ~¡RH Ho AÜ`j Ûmam, {Og ~¡RH _o§ dh nm[aV {H m J`m hmo, gË`à{V à_m{UV {H m J`m hmo, ~¡RH H$s {V{W go H _-go-H _ Mma {XZ nhbo AWm©V² ewH« dma, 23 OyZ, 2017 H mo H m`© g_` H$s g_mpßV AWm©V² Anam• 5.00 ~Oo VH `m Cggo nhbo ~¢H Ho àYmZ H m`m©b` _o§ H§ nZr g{Md, H mnmo©aoeZ ~¢H , {ZdoeH godm {d^mJ, à.H m. _§Jbyé - 575 001, H Zm©QH amÁ` H mo àñVwV Zht {H m OmVm h¡&

3. g§`wº YmaH mo§ Ho A{YH mamo§ H m à`moJ `{X eoà g§`wº YmaH mo§ Ho Zm_ _o§ h¡, V~ Ho db nhbo Zm{_V ì`{º hr

~¡RH _o§ ^mJ boZo hoVw nmÌ hmoJm Am¡a dh hr ~¡RH _o§ dmoQ SmbZo Ho {bE nmÌ hmoJm&

4. gXñ`mo§ Ho a{OñQa H$s ~§Xr H mnmo©aoeZ ~¢H (eoà Ed§ ~¡RH ) {d{Z`_, 1998 Ho {d{Z`_ 12

Ho AZwgaU _o§ ~¢H Ho gXñ`mo§ H m a{OñQa Am¡a eoà A§VaU ~{h`m±, Jwédma 22 OyZ, 2017 go ~wYdma, 28 OyZ, 2017 (XmoZmo§ {XZmo§ g{hV) ~rgdt dm{f©H _hmg^m Ho g§~§Y _o§ VWm Cº dm{f©H _hmg^m _o§ ^mJ boZo VWm A§{V_ bm^m§e, `{X H moB© hmo, H mo àmßV H aZo hoVw nmÌ eoàYmaH mo§ Ho Zm_ {ZYm©[aV H aZo Ho CÔoí` go ~§X aho§Jr BgHo {bE [a_moQ B-dmoqQJ hoVw Jwédma, 22 OyZ, 2017 H mo H Q-Am°\ {V{W _mZm OmòJm&


5. ATTENDANCE SLIP-CUM-ENTRY PASS For the convenience of the shareholders, Attendance Slip-

cum-Entry Pass is annexed to this notice. Shareholders/Proxy holders/Authorized Representatives are requested to fill in and affix their signatures at the space provided therein and surrender the same at the venue. Proxy/Authorized Representative of shareholders should state on the Attendance Slip-cum-Entry Pass as “Proxy” or “Authorized Representative” as the case may be.

6. Serving of Notice Electronic copy of the Notice of the 20th Annual General

Meeting of the Bank inter alia indicating the process and manner of e-voting along with Attendance Slip and Proxy Form is being sent to all the members whose e-mail IDs are registered with the Bank/Depository Participant(s) for communication purposes unless any member has requested for a hard copy of the same. For members who have not registered their e-mail address, physical copies of the Notice of the 20th Annual General Meeting of the Bank inter alia indicating the process and manner of e-voting along with Attendance Slip and Proxy Form, are being sent in the permitted mode.

7. The explanatory statement to the item on the agenda is annexed hereto.

8. The business set out in the Notice will be transacted through electronic voting system and the Bank is providing facility for voting by electronic means.

Voting through electronic voting system

a) In compliance with provisions of Regulation 44 of the SEBI (LODR) Regulations, 2015 read with Rule 20 of the Companies (Management and Administration) Rules, 2014 as amended, the Bank is pleased to provide to its members facility to exercise their right to vote on resolutions proposed to be passed in the 20th Annual General Meeting (AGM) by electronic means. The members may cast their votes using an electronic voting system from a place other than the venue of the Meeting (‘remote e-voting’).

b) The facility for voting through electronic voting system (‘Insta Poll’) shall be made available at the Meeting and the members attending the Meeting who have not cast their vote by remote e-voting shall be able to vote at the Meeting through ‘Insta Poll’.

c) The members who have cast their vote by remote e-voting may also attend the Meeting but shall not be entitled to cast their vote again. It is hereby clarified that it is not mandatory for a shareholder to vote using the remote e-voting facility, and a shareholder may avail of the facility at his/her/their discretion, subject to compliance with the instructions prescribed below.

d) The Bank has engaged the services of Karvy Computershare Private Limited (“Karvy”) as the Agency to provide e-voting facility.

5. CnpñW{V nÌH -gh-àdoe nÌ eoàYmaH mo§ H$s gw{dYm hoVw CnpñW{V nÌH -gh-àdoe nÌ Bg gyMZm

Ho gmW AZw~§{YV h¡& eoàYmaH mo§/àm°ŠgrYmaH mo§/àm{YH¥ V à{V{Z{Y`mo§ go AZwamoY h¡ {H do Cgo âH a Cg_o§ {ZYm©[aV ñWmZ na AnZo hñVmja H ao§ Am¡a ~¡RH ñWmZ na Bgo gm¢n Xo§& eoàYmaH mo§ Ho àm°Šgr/àm{YH¥ V à{V{Z{Y H mo CnpñW{V nÌH -gh-àdoe nÌ _o§ `WmpñW{V “àm°Šgr” `m “àm{YH¥ V à{V{Z{Y”, O¡gm ^r _m_bm hmo, Cp„{IV H aZm Mm{hE&

6. gyMZm Vm{_b H aZm 20dt dm{f©H _hmg^m H$s gyMZm H$s BboŠQ—m°{ZH à{V AÝ` ~mVmo§ Ho

gmW-gmW B©-dmoqQJ H$s à{H«$`m Am¡a nÕ{V gy{MV H aVo hwE CnpñW{V nÌH Ed§ àm°Šgr \ m_© Ho gmW CZ g^r gXñ`mo§ H mo ôOr Om ahr h¡ {OÝhmo§Zo AnZr B©-_ob AmB©Sr g§gyMZm Ho {bE ~¢H/{Snm°{µOQar nm{Q©{gno§Q Ho gmW n§OrH¥ V H madmB© h¡ Am¡a BgH$s hmS© H m°nr Ho {bE AZwamoY Z {H m hmo& {OZ gXñ`mo§ Zo AnZm B©_ob nVm n§OrH¥ V Z H adm`m hmo, CÝho§ 20dt dm{f©H _hmg^m H$s gyMZm H$s H mJµOr à{V AÝ` ~mVmo§ Ho gmW-gmW B©-dmoqQJ H$s à{H«$`m Am¡a nÕ{V gy{MV H aVo hwE CnpñW{V nÌH Ed§ àm°Šgr \ m_© Ho gmW AZw_V {d{Y Ûmam ôOr Om ahr h¡&

7. H m`©gyMr na _Xmo§ go g§~§{YV ì`m»`mË_H {ddaU AZwgyMr Ho gmW g§b¾ h¡:

8. Zmo{Qg _o§ {X`m J`m ì`dgm` H m`© BboŠQ—m°{ZH dmoqQJ {gñQ_ Ho Ûmam {H m OmòJm gmW hr BboŠQ—m°{ZH gmYZmo go dmoqQJ H$s gw{dYm ~¢H CnbãY H amòJm&

BboŠQ—m°{ZH VarHo go dmoqQJH ) go~r (EbAmoSrAma) {d{Z`_, 2015 Ho {d{Z`_ 44 Ho àmdYmZmo§ Ho

AZwnmbZ _o§ ~¢H , AnZo gXñ`mo§ H mo 20dt dm{f©H _hmg^m (EOrE_) _o§ àñVm{dV g§H ënmo§ H mo nmg H aZo hoVw AnZo gXñ`mo§ H mo BboŠQ—m{ZH _mÜ`_ go AnZo _V Ho A{YH ma H m à`moJ H aZo hoVw B©-dmoqQJ gw{dYm ghf© àñVwV H aVm h¡& gXñ` AnZo _Vm{YH ma H m à`moJ BboŠQ—m{ZH dmoqQJ {gñQ_ Ho _mÜ`_ go ~¡RH H$s OJh Ho A{V[aº AÝ` OJh go ^r H a gH Vo h¢ ([a_moQ B©-dmoqQJ)&

I) BboŠQ—m{ZH dmoqQJ {gñQ_ go dmoqQJ H aZo H$s gw{dYm (B§ñQm nmob) H mo ~¡RH Ho ñWmZ na CnbãY H am`m OmòJm VWm ~¡RH _o§ AmZo dmbo gXñ` {OÝhmo§Zo [a_moQ dmoqQJ(B§ñQm nmob) Ûmam dmoqQJ Zhr§ {H m h¡ do AnZm dmoQ Xo gHo§ Jo &

J) {OZ gXñ`mo§ Zo [a_moQ B©-dmoqQJ Ûmam AnZo _V H m à`moJ {H m h¡ do ^r ~¡RH _o§ ^mJ bo gHo§ Jo bo{H Z nwZ… _VXmZ hoVw nmÌ Zht hmo§Jo& `hm± ñnîQ {H m OmVm h¡ {H eoàYmaH Ho {bE [a_moQ B©-dmoqQJ gw{dYm H m Cn`moJ H aVo hwE _V XoZm A{Zdm`© Zht h¡ Am¡a {ZåZ{b{IV {ZXo©emo§ H m AZwnmbZ H aVo hwE EH eoàYmaH Bg gw{dYm H m Cn`moJ AnZo/CZH m/CZH$s {ddoH Ho AZwgma H a gH Vo h¢-

K) ~¢H Zo B©-dmoqQJ H$s gw{dYm àXmZ H aZo Ho {bE EOo§gr Ho ê n _o§ H mdr© H§ ß`yQaeoà àmBdoQ {b{_QoS (H mdr©) H mo {Z`wº {H m h¡&

16 dm{f©H$ [anmoQ>© 2016-17

e) Voting rights shall be reckoned on the paid-up value of shares registered in the name of the member/beneficial owner (in case of electronic shareholding) as on the cut-off date i.e., Thursday, June 22, 2017. Subject to the condition that no shareholder of the Bank, other than the Central Government, shall be entitled to exercise voting rights in respect of any shares held by him in excess of ten per cent of the total voting rights of all the shareholders of the Bank.

f ) A person, whose name is recorded in the register of members or in the register of beneficial owners maintained by the depositories as on the cut-off date, i.e., Thursday, the June 22 , 2017 only shall be entitled to avail the facility of remote e-voting/Insta Poll.

g) Any person who becomes a member of the Bank after dispatch of the Notice of the Meeting and holding shares as on the cut-off date i.e., Thursday, June 22, 2017, may obtain the User ID and password in the manner as mentioned below: by writing to the Bank at [email protected] or by post with authenticated proof of shareholding or write to KARVY Computershare Pvt. Ltd. at [email protected], sufficiently before the closing of the remote e-voting.

h) The remote e-voting period commences on 24th June, 2017 (10.00 a.m.) and ends on 27th June, 2017 (5.00 p.m.) and the remote e-voting shall not be allowed beyond this date and time. During this period, shareholders of the Bank, holding shares either in physical form or in dematerialized form, as on Thursday, June 22, 2017 (cut off date), may cast their vote electronically. The remote e-voting module shall be blocked by Karvy Computershare Pvt. Ltd., for voting thereafter. Once the vote on a resolution is cast by the shareholder, the shareholder shall not be allowed to change it subsequently.

i) In case of Joint holders, login ID/User Id and password details shall be sent to the first holder of the shares. Accordingly, the vote using user ID and Password sent to first holder is recognized on behalf of all the joint holders as the shareholder who casts the vote through the remote e-voting services of Karvy, is doing so on behalf of all joint holders. First holder shall mean the holder of shares, whose name is first registered against the shares held.

j) Only a Shareholder entitled to vote is entitled to exercise his vote through remote e-voting. Any person having no voting rights should treat this Notice as intimation only.

k) Mr. Ankur Kumar, Advocate (Bar Council Registration MAH/5718/2011) of M/s. Ezy Laws, Mumbai), has been appointed as the Scrutinizer to scrutinize the Insta Poll and remote e-voting process in a fair and transparent manner and he has communicated his willingness to be appointed and will be available for same purpose.

l) The Scrutinizer shall, first count the votes cast at the meeting (insta votes), thereafter unblock the votes cast through remote e-voting in the presence of at least two

L) _VXmZ A{YH ma H$s JUZm H Q Am°\ {V{W AWm©V Jwédma 22 OyZ 2017 H mo gXñ`/bm^mWr© ñdm_r Ûmam Ym[aV eoàmo§ Ho àXÎm _yë` Ho AmYma na H$s OmòJr Omo Bg eV© Ho AYrZ hmoJm {H Ho§ Ð gaH ma H mo Nmo‹SH a AÝ` H moB© eoàYmaH ~¢H Ho Hw b eoàYmaH mo§ Ho _Vm{YH ma Ho 10 à{VeV go A{YH H$s eoàYm[aVm hoVw _Vm{YH ma Ho {bE nmÌ Zht hmoJm&

M) EH ì`{º {OgH m Zm_ gXñ`mo§ Ho a{OñQa _o§ `m {Snm{OQar Ho nmg aIo bm^mWr© ñdm_r Ho a{OñQa _o§ H Q-Am°\ {V{W Jwédma 22 OyZ, 2017 H mo XO© hmoJm dhr [a_moQ B©-dmoqQJ/B§ñQm nmob H mo {bE nmÌ hmoJm&

N) EH ì`{º Omo Cº$ ~¡R>H$ H$s Zmo{Qg ôOo OmZo Ho ~mX ~¢H H m gXñ` ~ZVm h¡ Am¡a H Q-Am°\ {V{W Jwédma, 22 OyZ, 2017 H mo eoà YmaU H aVm h¡ dh {ZåZ{b{IV àH ma go `yOa AmB©Sr Ed§ nmgdS© àmßV H a gH Vm h¡ [email protected] H$mo {bIH$a `m eoà Ym[aVm Ho$ A{^à_m{UV gmú` Ho$ gmW S>mH$ Ûmam `m [a_moQ> B©-dmoqQ>J H$s g_m{á Ho$ n`m©á nhbo H$mdu H§$ß`yQ>aeoà àm.{b. H$mo vlakshmi.p@karvy.

com H$mo {bIH$a&O) [a_moQ B©-dmoqQJ 24 OyZ, 2017 (àmV…10 ~Oo) go ewê hmoH a 27

OyZ, 2017 ( gm`§ 5.00 ~Oo) H mo g_mßV hmoJr VWm Bg {V{W Ed§ g_` Ho ~mX [a_moQ B-dmoqQJ H$s AZ_{V Zht hmoJr& Jwédma, 22 OyZ, 2017 (H Q-Am\ {V{W) H mo BboŠQ—m{ZH `m ^m¡{VH ê n go ~¢H eoàmo§ H mo YmaU H aZo dmbo eoàYmaH Bg Ad{Y Ho Xm¡amZ AnZo _Vm{YH ma H m à`moJ Bg Ad{Y Ho Xm¡amZ BboŠQ—m{ZH T§J go H a gH Vo h¢& BgHo ~mX H mdr© H§ ß`yQa eoà àmBdoQ {b{_QoS Ûmam [a_moQ B-dmoqQJ _m°Sçyb H mo ãbmH H a {X`m OmòJm& `{X eoàYmaH {H gr g§H ën na AnZm dmoQ Xo XoVm h¡ V~ ~mX _o§ BgHo n[adV©Z H$s AZw_{V Zht hmoJr&

Âm) g§`wº YmaH mo§ Ho _m_bo _o§, bmJBZ AmBSr/`yOa AmBSr H mo àW_ eoàYmaH Ho Zm_ go ôOm OmòJm& VXZwgma àW_ eoàYmaH H mo ôOo JE `yOa AmBSr Ed§ nmgdS© H m à`moJ H aVo hwE {XE OmZo dmbo _V H mo g^r eoàYmaH mo§ H$s Amoa go _mZm OmòJm Š`mo§{H H mdr© H$s [a_moQ B-dmoqQJ H$s gw{dYm H m Cn`moJ H aVo hwE Omo eoàYmaH _VXmZ H aVm h¡ dh g^r g§`wº eoàYmaH mo§ H$s Amoa go _VXmZ H aVm h¡& àW_ eoàYmaH go VmËn`© Ym[aV eoàmo§ _o§ n§OrH¥ V nhbm Zm_ h¡&

Äm) Ho db dh eoàYmaH Omo _VXmZ H aZo hoVw nmÌ h¡ dht [a_moQ B©-dmoqQJ Ûmam _VXmZ hoVw ^r nmÌ hmoJm& H moB© ì`{º {Ogo _VXmZ H m A{YH ma Zht h¡ Bg gyMZm H mo Ho db gyMZmW© g_Âmo§&

V) _ogg© B©Or bm±, _w§~B© Ho lr A§Hw a Hw _ma, ESdmoHo Q (~ma H mC§{gb n§Or`Z g§. E_EEM/5718/2011) H mo B§ñQnmob VWm [a_moQ B©-dmoqQJ à{H«$`m H$s {Zînj Ed§ nmaXer© g§drjm hoVw _VnÌ-{ZarjH {Z`wº {H m J`m h¡ VWm CÝhmo§Zo {Z`{º hoVw AnZr gh_{V Xr h¡ Ed§ Bg hoVw CnbãY aho§Jo&

W) _VnÌ-{ZarjH nhbo ~¢RH _| hwE _VXmZ Ho _Vmo§ H$s JUZm H aoJm (B§ñQm dmoQ), VËnümV _hmg^m H$s ~¡RH Ho VrZ {XZ Ho ^rVa Xmo


witnesses not in the employment of the Bank and make, not later than three days of conclusion of the Annual General Meeting, a consolidated scrutiniser’s report of the total votes cast in favour or against, if any, and submit the report to the Chairman or a person authorised by him in writing and shall countersign the same to declare the result of voting forthwith.

m) The Results declared alongwith the consolidated Scrutinizer’s Report shall be placed on the Bank’s website www.corpbank.com and on the website of Karvy Computershare Pvt. Ltd. The results shall simultaneously be communicated to the Stock Exchanges (NSE & BSE).

n) Subject to receipt of requisite number of votes, the Resolutions shall be deemed to be passed on the date of the Meeting, i.e. June 28, 2017.

o) Instructions and other information relating to remote e-voting:

The instructions for remote e-voting are as under:

IA. In case a shareholder receives an email from Karvy Computershare Pvt. Ltd.–the authorised e-Voting Platform provider, [for shareholders whose email IDs are registered with the Bank/Depository Participant(s)]:

i) Open your web browser on your computer/on the enabled gadgets during the voting period and navigate to https://evoting.karvy.com

ii) Enter the login credentials (i.e., user-id & password) mentioned in the e-mail /on the Attendance slip. Your folio/DP Client ID will be your User-ID.

User – ID For Members holding shares in Demat Form:-a) For NSDL : 8 Character DP ID followed

by 8 Digits Client IDb) For CDSL :- 16 digits beneficiary IDFor Members holding shares in Physical Form:-• EVEN followed by Folio Number registered

with the Bank.

Password Your Unique password is forwarded through the electronic notice via email

Captcha Enter the Verification code i.e., please enter the alphabets and numbers in the exact way as they are displayed for security reasons.

iii) Please contact toll free No. 1800 345 4001 of e-Voting Platform provider, i.e. Karvy Computershare Pvt. Ltd., for any further clarifications.

iv) After entering these details appropriately, click on “LOGIN”.

v) Members holding shares in Demat/Physical form will now reach Password Change menu wherein they are required to mandatorily change their login password in the new

Jdmhmo§ Omo ~¢H `m g§JRZ Ho H _©Mmar Z hmo§ CZHo g_j [a_moQ B©-dmoqQJ Ûmam Smbo JE _Vmo§ H mo AZãbmH H aoJm, AÜ`j H mo `m CZHo Ûmam {b{IV ê n go A{YH¥ V {H E JE ì`{º H mo nj `m {dnj _o§ n‹So _Vmo§ H$s g_o{H V [anmoQ© àñVwV H aoJm Ed§ n[aUm_ H mo Omar {H E OmZo hoVw Bg [anmoQ© H mo à{VhñVmj[aV ^r H aoJm&

X) Kmo{fV n[aUm_ H mo _VnÌ-{ZarjH H$s g_o{H V [anmoQ© Ho gmW ~¢H H$s do~gmBQ www.corpbank.com VWm H mdr© H§ ß`yQaeoà àm. {b. H$s do~gmBQ na àX{e©V {H m Om`& gmW hr n[aUm_ H m ñQm°H EŠgMo§O (EZEgB© VWm ~rEgB©) H mo ^r gy{MV {H m OmZm Mm{hE &

Y) Amdí`H _Vmo§ Ho àmßV hmoZo Ho AYrZ g§H ën H mo ~¡RH H$s {V{W 28 OyZ, 2017 H mo Omar _mZ {b`m OmòJm&

Z) B©-dmoqQJ Ho {bE AZwXoe Ed§ AÝ` gyMZmE± {ZåZmZwgma h¡…

[a_moQ B©-dmoqQJ hoVw AZwXoe {ZåZmZwgma h¡:

I H . {X {H gr eoàYmaH H mo àm{YH¥ V B©-dmoqQJ ßb¡Q\ m_© àXmVm H mdr© H§ ß`yQaeoà àm.{b. go B©_ob àmßV hmoVm h¡ (CZ eoàYmaH mo§ Ho {bE {OZH$s B©_ob AmB©Sr ~¢H /{Snm°{µOQar nm{Q©{gno§Q Ho gmW n§OrH¥ V h¡):

i) dmoqQJ Ho Xm¡amZ AnZo do~ ~«mCµOa H mo Imobo§ Am¡a ‘https://evoting.

karvy.com’ _o§ Z¡{dJoQ H ao§&

ii) nmoñQb ~¡bQ \ m_© _o§ C{„{IV bm°JBZ {ddaU (AWm©V² `yµOa AmB©Sr Am¡a nmgdS©) à{dîQ H ao§& AnZr \ mo{b`mo/ŠbmB§Q AmB©Sr AmnH$s `yµOa AmB©Sr hmoJr&

`yµOa- AmB©Sr

Sr_¡Q ê n _o§ eoà aIZo dmbo gXñ`mo§ Ho {bE…-H ) EZEgSrEb Ho {bE…- 8 H¡ aoŠQa dmbr Srnr AmB©Sr Am¡a CgHo ~mX 8 A§H mo§ dmbr ŠbmB§Q AmB©SrI) grSrEgEb Ho {bE…- 16 A§H mo§ dmbr bm^mWr© AmB©SrH mJµOr ê n _o§ eoà aIZo dmbo gXñ`mo§ Ho {bE…-• EVEN CgHo ~mX ~¢H _o§ n§OrH¥ V \ mo{b`mo g§»`m

nmgdS© AmnH m {d{eîQ nmgdS© BboŠQ—m°{ZH gyMZm Ho µO[aE B©_ob Ûmam ôOm h¡&

H¡ nMm gË`mnZ Hy Q à{dîQ H ao§ AWm©V² gwajm H maUmo§ go RrH Cgr VarHo go dUmoª Am¡a g§»`mAmo§ H mo à{dîQ H ao§&

iii) {H gr A{V[aº ñnîQrH aU/dV©_mZ nmgdS© Ho {bE B©-dmoqQJ ßb¡Q\ m_© àmodmBSa AWm©V H mdr© H§ ß`yQaeoà àm.{b. H$s Qmob \«$s g§. 18003454001 na g§nH© H ao§&

iv) Cn`wº VarHo go ã`m¡ao à{dîQ H aZo Ho ~mX “LOGIN” na pŠbH H ao§&

v) Sr_¡Q/H mJµOr ê n _o§ eoà aIZo dmbo gXñ` A~ nmgdS© ~XbZo H m _oZy nmE§Jo {Og_o§ CÝho§ ZE nmgdS© H$s \$sëS _o§ AnZm bm°JBZ nmgdS© A{Zdm`© ê n go ~XbZm hmoJm& ZE nmgdS© _o§ Ý`yZV_ AmR H¡ aoŠQa hmoZo h¢ {OZ_o§ H _ go H _ EH Aßna Ho g (A-Z) dmbm, EH bmoda Ho g (a-z) dmbm, EH g§»`m (0-9) Am¡a EH {deof H¡ aoŠQa hmo& AJa Amn nmgdS© ^yb OmVo h¢ Vmo Bgo nwZ… àmßV H aZo

18 dm{f©H$ [anmoQ>© 2016-17

password field. The new password has to be minimum eight characters consisting of at least one upper case (A-Z), one lower case (a-z), one numeric value (0-9) and a special character. You may also enter the Secret Question and answer of your choice to retrieve your password in case you forget it. You can also update your contact details. It is strongly recommended not to share your password with any other person and take utmost care to keep your password confidential.

vi) The new password can be used for voting on future e-voting resolution(s) for Corporation Bank or any other Bank/Company in India on which you are eligible to vote, provided that Bank/Company opts for e-Voting through Karvy Computershare Private Limited, e-Voting Platform provider.

vii) You need to login again with the new credentials i.e. with new password etc.

viii) On successful login, system will prompt to select the ‘EVEN’ i.e., ‘Bank Name’.

ix) On the voting page, you will see Resolution Description and against the same the option ‘FOR/AGAINST/ABSTAIN’ for voting. Enter the number of shares (which represents number of votes) under ‘FOR/AGAINST/ABSTAIN’ or alternatively you may partially enter any number in ‘FOR’ and partially in ‘AGAINST’, but the total number in ‘FOR/AGAINST’ taken together should not exceed your total shareholding/voting right. If the shareholder does not want to cast, select ‘ABSTAIN’.

x) After selecting the resolution you have decided to vote on, click on “SUBMIT”. A confirmation box will be displayed. If you wish to confirm your vote, click on “OK”, else to change your vote, click on “CANCEL” and accordingly modify your vote.

xi) Once you ‘CONFIRM’ your vote on the resolution, you will not be allowed to modify your vote and it will be treated as final voting by you.

xii) Institutional shareholders including body corporates (i.e. other than individuals, HUF, NRI etc.) are required to send scanned copy (this file be as an attachment in PDF Format) of the resolution appointing him/her as a duly authorised representative, certified to be true copy by the Chairman of the meeting at which it was passed, together with attested specimen signature of the duly authorized signatory(ies) who are authorized to vote, to the Scrutinizer through e-mail to [email protected] with a copy marked to [email protected]. The file should be named in the format of “the body corporate Name-------------------EVEN ----------”. The scanned copies are to be sent as mentioned above by e-mail, before or immediately after casting the remote e-voting. However, in case the same do not reach scrutinizer/Karvy Computershare Pvt. Ltd., before closure of remote e-voting, the remote e-voting so exercised will be rejected in computer system.

Ho {bE Amn JmonZr` àý Am¡a CÎma H$s à{dpîQ H a gH Vo h¢ & Amn AnZo g§nH© ãòamo§ H mo ^r AÚVZ H a gH Vo h¢& Bg ~mV na µOmoa {X`m OmVm h¡ {H AnZm nmgdS© {H gr AÝ` ì`{º H mo Z ~VmE§ Am¡a AnZo nmgdS© H mo JmonZr` aIZo Ho {bE AË`{YH gmdYmZr ~aVo§&

vi) H mnmo©aoeZ ~¢H `m ^maV _o§ {H gr AÝ` ~¢H /H§ nZr _o§, {Og_o§ Amn _VXmZ H aZo Ho {bE nmÌ h¢, ^mdr B©-dmoqQJ g§H ën (g§H ënmo§) na dmoqQJ H aZo Ho {bE ZE nmgdS© H mo BñVo_mb H a gH Vo h¢ ~eVo© {H dh ~¢H /H§ nZr B©-dmoqQJ Ho {bE H mdr© H§ ß`yQaeoà àmBdoQ {b{_QoS Ho B©-dmoqQJ ßb¡Q\ m_© H m M`Z H aVr h¡&

vii) AmnH mo ZE ã`m¡amo§ AWm©V² nmgdS© Am{X Ho gmW {\ a go bm°JBZ H aZm hmoJm&

viii) g\ bVmnyd©H bm°JBZ H aZo Ho ~mX ‘EVEN’ AWm©V² ‘~¢H H m Zm_’ MwZZo Ho {bE {gñQ_ AmnH mo àm°åßQ H aoJm&

ix) dmoqQJ n¥îR na AmnH mo g§H ën H m {ddaU {XImB© XoJm Am¡a CgHo gm_Zo dmoqQJ Ho {bE ‘FOR/AGAINST/ABSTAIN’ {dH ën hmoJm& ‘FOR/AGAINST/ABSTAIN’ Ho A§VJ©V eoàmo§ H$s g§»`m (Omo dmoQmo§ H$s g§»`m Xem©Vo h¢) à{dîQ H ao§ `m {dH ën Ho Vm¡a na Amn Am§{eH ê n go H moB© g§»`m ‘FOR’ _o§ à{dîQ H a gH Vo h¢ Am¡a Am§{eH ê n go ‘AGAINST’ _o§, bo{H Z FOR/AGAINST’ _o§ Hw b {_bmH a AnZr Hw b eoàYm[aVm go A{YH Zht hmoZm Mm{hE& `{X eoàYmaH dmoQ Zht SmbZm MmhVm h¡ Vmo ‘ABSTAIN’ MwZo&

x) _VXmZ H aZo Ho {bE g§H ën H mo MwZZo Ho ~mX “SUBMIT” na pŠbH H ao§& EH nwîQrH aU H m ~m°Šg {XImB© XoJm& AJa Amn AnZo dmoQ H$s nwpîQ H aZm MmhVo h¢ Vmo “OK” na pŠbH H ao§, AÝ`Wm “CANCEL” na pŠbH H ao§ Am¡a VXZwgma AnZo {dH ën H mo n[ad{V©V H ao§&

xi) EH ~ma Amn g§H ën na AnZo dmoQ H mo “CONFIRM” H aVo h¢, AmnH mo AnZo dmoQ H mo ~XbZo H$s AZw_{V Zht hmoJr Am¡a Bgo AmnHo Ûmam A§{V_ dmoqQJ _mZm OmEJm&

xii) H§ nZr {ZH m` g{hV g§ñWmJV eoàYmaH mo§ (AWm©V² ì`{º mo§o§, EM`yE\, EZAmaAmB© Am{X H mo Nmo‹SH a AÝ`) Ho {bE `h Amdí`H h¡ {H CÝho§ {d{YdV² àm{YH¥ V à{V{Z{Y Ho ê n _o§ {Z`wº H aVo hwE nm[aV g§H ën H$s ñH¡ Z H$s JB© à{V (`h \ mBb nrSrE\ \ m°_o©Q _o§ EQ¡M_o§Q Ho ê n _o§ hmo), {Ogo {Og ~¡RH _o§ dh g§H ën nm[aV {H m J`m, CgHo AÜ`j Ûmam gË`à{V Ho ê n _o§ à_m{UV {H m hmo, Am¡a CgHo gmW dmoQ H aZo Ho {bE àm{YH¥ V {d{YdV² àm{YH¥ V hñVmjaH Vm©(Amo§) Ho AZwà_m{UV Z_yZm hñVmja B©_ob Ho µO[aE [email protected] H mo à{V A§{H V H aVo hwE [email protected] na ñH«y${QZmBµOa H mo ôOo§& \ mBb H m Zm_ “the body corporate Name......EVEN” \ m_o©Q _o§ hmo& Cn`w©º mZwgma ñH¡ Z H$s JB© à{V`m± B©-dmoqQJ go nhbo `m Vwa§V ~mX B©-_ob Ûmam ôOr OmZr h¡& AJa dh B©-dmoqQJ H$s g_mpßV go nhbo ñH«y${QZmBµOa/H mdr© H§ ß`yQaeoà àmBdoQ {b{_QoS H mo àmßV Zht hmoVr h¡, Vmo H$s JB© B©-dmoqQJ H§ ß`yQa {gñQ_ _o§ AñdrH¥ V H$s OmEJr&


I B. In case a shareholder receives physical copy of the Notice of Annual General Meeting (AGM) [for shareholders whose email IDs are not registered with the Bank/Depository Participant(s) or requesting physical copy]:

i) Initial password is provided at the bottom of the Attendance Slip for the AGM:

EVEN (E-Voting Event Number)

USER ID PASSWORD ii) Please follow all steps from Sl. No. IA (i) to Sl. No. (xii)

above, to cast vote.

II) In case of any queries, you may refer the Frequently Asked Questions (FAQs) for Shareholders and e-voting user manual for Shareholders available at the Downloads section of https://evoting.karvy.com or contact Karvy Computershare Pvt. Ltd., on Tel. No.1800 345 4001 (toll free).

III) If you are already registered with Karvy Computershare Pvt. Ltd., for e-voting then you can use your existing user ID and password for casting your vote.

IV) You can also update your mobile number and e-mail id in the user profile details of the folio which may be used for sending future communication(s).

9. UNCLAIMED DIVIDEND, IF ANY The shareholders who have not encashed their Dividend

Warrants/received Dividend of previous periods, if any, are requested to contact the Share Transfer Agent, for issue of duplicate Dividend Warrant. In this regard Bank is also sending reminder letters from time to time to the concerned shareholders as per Dividend Register of the Bank.

As per Section 10B of the Banking Companies (Acquisitions and Transfer of Undertakings) Act, 1980, the amount of dividend remaining unpaid or unclaimed for a period of seven years is required to be transferred to the Investor Education and Protection Fund (IEPF) established by the Central Government under Section 125 of the Companies Act, 2013.

As a matter of service to shareholders, Bank has been sending reminders to shareholders at regular intervals requesting them to claim the same.

10. REQUEST TO THE SHAREHOLDERS(A) Copies of Balance Sheet Shareholders are requested to note that copies of the

Annual Report will not be distributed at the venue of the Annual General Meeting and hence shareholders are requested to bring their copies of the Annual Report or extract thereof, mailed by the Bank to them at their registered addresses and/or e-mail addresses.

(B) Dematerialisation of Shares Shareholders who are still holding their shares

in physical form are requested to get their shares dematerialized at the earliest.

I I. `{X {H gr eoàYmaH H mo dm{f©H _hmg^m (EOrE_) H$s gyMZm H$s H mJµOr à{V àmßV hmoVr h¡ (CZ eoàYmaH mo§ Ho {bE {OZH$s B©_ob AmB©Sr ~¢H /{Snm°{µOQar nm{Q©{gno§Q Ho gmW n§OrH¥ V Zht h¡ Am¡a Omo H mJµOr à{V H m AZwamoY H aVo h¢)

i) EOrE_ Ho CnpñW{V nÌH Ho ZrMo àma§{^H nmgdS© {X`m J`m h¡& EVEN (B©-dmoqQJ B©do§Q Z§~a) `yµOa AmB©Sr nmgdS© ii) H¥ n`m dmoQ SmbZo Ho {bE Cn`w©º H«$_m§H (i) go H«$_m§H (xii) VH

{XE H X_mo§ H m AZwgaU H ao§&II `{X H moB© àý hmo Vmo Amn https://evoting.karvy.com Ho SmCZbmoS

goŠeZ _o§ CnbãY eoàYmaH mo§ Ho {bE AŠga nyNo OmZo dmbo àý (E\ EŠ`y) Am¡a eoàYmaH mo§ Ho {bE B©-dmoqQJ `yµOa _¡ZwAb H m g§X^© bo gH Vo h¢ Am¡a H mdr© H§ ß`yQaeoà àm. {b. go 1800 345 4001 (Qmob \«$s) go g§nH© H a gH Vo h¢&

III AJa AmnZo B©-dmoqQJ Ho {bE nhbo hr H mdr© H§ ß`yQaeoà àm. {b. Ho gmW a{OñQa H adm`m h¡ Vmo Amn AnZm dmoQ SmbZo Ho {bE AnZm dV©_mZ `yµOa AmB©Sr Am¡a nmgdS© H m BñVo_mb H a gH Vo h¢&

IV ^mdr g§gyMZmE§ ôOZo Ho {bE Cn`moJ {H E OmZo dmbo \ mo{b`mo Ho `yµOa àmo\ mBb ã`moao _o§ Amn AnZm _mo~mBb Z§~a Am¡a B©-_ob AmB©Sr H mo AÚVZ ^r H a gH Vo h¢&

9. AXmdr bm^m§e `{X H moB© h¡ {OZ eoàYmaH mo§ Zo AnZo bm^m§e dma§Qmo§ H mo Zht ^wZm`m h¡/AJa nyd©

Ad{Y Ho bm^m§e àmßV Zht hwE h¢ Vmo SwpßbHo Q bm^m§e dma§Q Omar H aZo hoVw ~¢H Ho eoà A§VaU EOo§Q go g§nH© H ao§& Bg g§~§Y _o§ ~¢H g_`-g_` na ~¢H Ho bm^m§e a{OñQa Ho AZwgma g§~§{YV eoàYmaH mo§ H mo AZwñ_maH ^r ôO ahm h¡&

~¢qH J H§ nZr (CnH«$_mo§ H m AO©Z Am¡a A§VaU) A{Y{Z`_, 1980 H$s Ymam 10~r Ho AZwgma gmV df© H$s Ad{Y Ho {bE AXÎm `m AXmdr bm^m§e H$s am{e, H§ nZr A{Y{Z`_, 2013 H$s Ymam 125 Ho VhV Ho§ Ð gaH ma Ûmam ñWm{nV {ZdoeH {ejm Ed§ g§ajU {Z{Y (AmB©B©nrE\ ) _o§ A§V[aV H$s OmZr Mm{hE&

{ZdoeH mo§ H mo ~Vm¡a godm ~¢H `h AZwamoY H aVo hwE {Z`{_V A§Vambmo§ _o§ AZwñ_maH nÌ ôOVm ahm h¡ {H do bm^m§emo§ H m Xmdm H ao§&

10. eoàYmaH mo§ go {ZdoXZH ) VwbZnÌ H$s à{V`m± eoàYmaH mo§ H mo gy{MV {H m OmVm h¡ {H dm{f©H _hmg^m Ho

g_` dm{f©H [anmoQ© H$s à{V`m± {dV[aV Zht H$s OmE§Jr, Bg{bE eoàYmaH mo§ go AZwamoY h¡ {H do ~¢H Ûmam CZHo n§OrH¥ V nVo na `m B©-_ob nVo na ôOr JB© dm{f©H [anmoQ© H$s à{V `m CgHo CÕaU H mo gmW boH a AmE§&

I) eoàmo§ H m Sr_oQr[a`bmBOoeZ AnZo eoà à_mUnÌ A~ ^r H mJµOr ê n _o§ Ym[aV H aZodmbo

eoàYmaH mo§ go AnZo eoàmo§ H mo `WmerK« Sr_¡Q H admZo H m AZwamoY {H m OmVm h¡&

20 dm{f©H$ [anmoQ>© 2016-17

(C) Change of address or e-mail ID Shareholders are requested to notify any change in

their addresses to:l Their respective Depository Participant, in case

shares are held in dematerialised form.l The Share Transfer Agent, M/s Karvy

Computershare Pvt. Ltd., Unit: Corporation Bank, Karvy Selenium Tower-B, Plot Nos. 31 & 32, Financial District, Gachibowli, Nanakramguda, Serilingampally, Hyderabad – 500 032 in case shares are held in physical form.

l Shareholders are also requested to register/update their e-mail address with the Bank to enable the Bank to send all Communications/notices/Annual Report etc., through e-mail. Shareholders holding shares in demat mode are requested to register/update their e-mail addresses with their respective Depository Participants. Shareholders holding physical shares are requested to send/update their e-mail address with M/s. Karvy Computershare Pvt. Ltd., the Share Transfer Agent of the Bank, at the earliest.

(D) Information on Accounts Shareholders seeking any information/clarification

with regard to annual accounts are requested to address their letters to the Company Secretary, Corporation Bank, Investor Services Department, Head Office, Mangaluru – 575 001, Karnataka State at least seven days in advance of the Annual General Meeting so as to reach latest by Wednesday, June 21, 2017 by 5.00 p.m. to enable the Bank to keep the information ready.

(E) Consolidation of Folios Shareholders, who hold shares in physical form in

multiple folios in identical names or joint names in the same order of names, are requested to send the share certificates to the Share Transfer Agent of the Bank, M/s Karvy Computershare Pvt. Ltd., for consolidation into a single folio.

(F) Change of Status Non-Resident Indian Shareholders are requested to

inform the Share Transfer Agent of the Bank, M/s Karvy Computershare Pvt. Ltd., in respect of shares held in physical form or to inform their respective Depository Participants if shares are held in dematerialised form immediately of:

a) the change in the Residential status on return to India for permanent settlement.

b) the particulars of the Bank Account maintained in India with complete name, branch, account type, account number and address of the Bank with PIN, if not furnished earlier.

J) nVm `m B©-_ob AmB©Sr _o§ n[adV©Z eoàYmaH mo§ go AZwamoY {H m OmVm h¡ {H AnZo nVo _o§ {H gr n[adV©Z H mo {ZåZ{b{IV H mo Vwa§V A{Ygy{MV H ao§:

• eoàmo§ Ho Sr_¡Q ê n _o§ YmaU Ho _m_bo _o§ AnZo g§~§{YV {Snm°{OQar nm{Q©{gno§Q H mo&

• H mJµOr ê n _o§ Ym[aV eoàmo§ Ho _m_bo _o§ eoà A§VaU EOo§Q _ogg© H mdr© H§ ß`yQaeoà àm. {b., y{ZQ… H mnmo©aoeZ ~¢H , H m{d© gobo{Z`_ Qm°da- ~r, ßbmQ g§. 31 d 32, {dÎmr` {Obm, Jm{M~modbr, ZmZH am_JwSm, goarqbJ_n„r, h¡Xam~mX - 500 032 H mo&

• eoàYmaH mo§ go `h ^r AZwamoY {H m OmVm h¡ {H do AnZo B©-_ob nVo H mo ~¢H _o§ n§OrH¥ V/AÚVZ H ao§ Vm{H ~¢H B©-_ob Ûmam AnZm g^r nÌmMma/gyMZm/dm{f©H [anmoQ© Am{X ôO gHo & Sr_¡Q ê n _o§ eoà aIZo dmbo eoàYmaH mo§ go AZwamoY h¡ {H do AnZo {Snm°{µOQar nm{Q©{gno§Q Ho nmg AnZm B©-_ob nVm n§OrH¥ V/AÚVZ H ao§& H mJµOr ê n go eoà aIZo dmbo eoàYmaH mo§ go AZwamoY h¡ {H do _ogg© H mdr© H§ ß`yQaeoà àm. {b. H mo, Omo ~¢H H m eoà A§VaU EOo§Q h¡, `Wm erK« AnZm B©-_ob nVm ôOo§/AÚVZ H ao§&

K) ImVmo§ g§~§Yr gyMZm ImVmo§ go g§~§{YV H moB© gyMZm/ñnîQrH aU _m§JZo dmbo eoàYmaH mo§

go AZwamoY h¡ {H do dm{f©H _hmg^m go H _-go-H _ gmV {XZ nhbo H§ nZr g{Md, H mnmo©aoeZ ~¢H , {ZdoeH godm {d^mJ, à.H m. _§Jbyé - 575 001, H Zm©QH amÁ` H mo {bIo§ Vm{H ~wYdma, 21 OyZ, 2017 H mo em_ 5.00 ~Oo VH àmßV hmo Am¡a ~¢H gyMZm V¡`ma aI gHo &

L>) \ mo{b`mo H m g_oH ZOmo eoàYmaH eoà H mJµOr ê n _o§ EH go A{YH \ mo{b`mo _o§ EH hr Zm_ go `m Zm_ Ho Cgr H«$_ _o§ g§`wº Zm_ go Ym[aV H aVo h¢, CZgo AZwamoY h¡ {H EH hr \ mo{b`mo _o§ g_oH Z hoVw eoà à_mUnÌmo§ H mo ~¢H Ho eoà A§VaU EOo§Q, _ogg© H mdr© H§ ß`yQaeoà àm. {b. H mo ôOo§&

M) pñW{V _o§ n[adV©Z A{Zdmgr ^maVr` eoàYmaH mo§ go AZwamoY h¡ {H do ~¢H Ho eoà

A§VaU EOo§Q _ogg© H mdr© H§ ß`yQaeoà àm. {b. H mo H mJµOr ê n _o§ Ym[aV eoàmo§ Ho g§~§Y _o§ `m eoàmo§ Ho Sr_¡Q ê n _o§ YmaU Ho _m_bo _o§ AnZo g§~§{YV {Snm°{OQar nm{Q©{gno§Q H mo {ZåZ{b{IV gyMZm Vwa§V Xo…H) ñWmB© {Zdmg Ho {bE ^maV bm¡QZo na {Zdmgr h¡{g`V _o§

n[adV©Z&I) ^maV Ho ~¢H ImVo go g§~§{YV ã`m¡ao, nyam Zm_, emIm,

ImVm àH ma, ImVm g§»`m, {nZ g{hV ~¢H H m nVm Xo§, `{X nhbo Zht {X`m hmo&


(G) Voting Rights of Shareholders: In terms of the provisions of Section 3 (2E) of the Act,

no shareholder of the Bank, other than the Central Government shall be entitled to exercise voting rights in respect of any shares held by him/her in excess of ten per cent of the total voting rights of all the shareholders of the Bank.

In terms of Clause 68(i) of Corporation Bank (Shares and Meetings) Regulations, 1998, subject to the provisions contained in Section 3 (2E) of the Act, each shareholder who has been registered as a shareholder as on the date of the closure of the Register, prior to the date of the Annual General Meeting, shall have one vote on show of hands and in case of a poll shall have one vote for each share held by him.

(H) Other information a) In support of the green initiative, the Bank is sending

soft copies of the Notice of Annual General Meeting and Annual Report to all the shareholders who have registered their e-mail ids with their Depository Participant/Registrar and Share Transfer Agent of the Bank, as per the provisions of Regulation 36 of the SEBI (LODR) Regulations, 2015. However, Members may note that the Notice of the 20th Annual General Meeting and the Annual Report for 2016 –17 will also be available on the Bank’s website www.corpbank.com for their download. The physical copies of the aforesaid documents will also be available at the Bank’s Head Office at Mangaluru, for inspection during normal business hours on working days. Even after registering for e-communication, members are entitled to receive such communication in physical form, upon making a request for the same by post free of cost. For any communication, the shareholders may also send requests to the Bank’s dedicated e-mail ID: [email protected] or by post.

b) Shareholders may kindly note that no gift/gift coupon will be distributed at the meeting.





N>) eoàYmaH mo§ Ho _Vm{YH ma…Cº$ A{Y{Z`_ H$s Ymam 3 (2B©) Ho àmdYmZmo§ Ho AZwgma, Ho§ Ð gaH ma H mo Nmo‹SH a H moB© ^r eoàYmaH ~¢H Ho g^r eoàYmaH mo§ Ho Hw b _Vm{YH ma Ho Xg à{VeV go A{YH CZHo Ûmam Ym[aV {H Ýht eoàmo§ Ho g§~§Y _o§ _Vm{YH ma H m à`moJ H aZo Ho {bE nmÌ Zht hmoJm& A{Y{Z`_ H$s Ymam 3 (2B©) Ho àmdYmZmo§ Ho AYrZ, H mnmo©aoeZ ~¢H (eoà Am¡a ~¡RH ) {d{Z`_, 1998 Ho AZwgma, dm{f©H _hmg^m H$s VmarI go nhbo a{OñQa H$s ~§Xr H$s VmarI H mo eoàYmaH Ho ê n _o§ n§OrH¥ V àËòH eoàYmaH H mo hñV àXe©Z na EH dmoQ hoJm Am¡a MwZmd Ho _m_bo _o§ CZHo Ûmam Ym[aV àËòH eoà hoVw EH dmoQ hmoJm&

O) AÝ` gyMZm

H ) n`m©daU gOJVm nhb Ho g_W©Z _o§ ~¢H Zo go~r (EbAmoSrAma) {d{Z`_Z, 2015 Ho {d{Z`_ 36 Ho àmdYmZmo§ Ho AZwgma, AnZo {Snm°{µOQar nm{Q©{gno§Q/~¢H Ho a{OñQ—ma Ed§ eoà A§VaU EOo§Q Ho nmg {OZ eoàYmaH mo§ Zo AnZr B©-_ob AmB©Sr n§OrH¥ V H madmB© h¡, CÝho§ dm{f©H [anmoQ© H$s gm°âQ à{V`m± ôOZo H m {ZU©` {b`m h¡& bo{H Z gXñ` H¥ n`m `h ZmoQ H ao§ {H 20dt dm{f©H _hmg^m H$s gyMZm Am¡a dm{f©H [anmoQ© 2016-17 SmCZbmoS H aZo Ho {bE ~¢H H$s do~gmBQ www.corpbank.com na ^r CnbãY hmoJr& nydmo©º XñVmdoµOmo§ H$s H mJµOr à{V`m± {ZarjU hoVw H m`©{Xdgmo§ na gm_mÝ` H mamo~ma g_` Ho Xm¡amZ _§Jbyé _o§ ~¢H Ho àYmZ H m`m©b` _o§ ^r CnbãY hmo§Jr& B©-g§gyMZm Ho {bE n§OrH¥ V H admZo Ho ~mdOyX, gXñ`, AZwamoY H aZo na SmH go {ZewëH H mJµOr ê n _o§ Eogr gyMZm àmßV H aZo Ho {bE nmÌ h¢& {H gr g§gyMZm Ho {bE eoàYmaH ~¢H H$s {d{eîQ B©_ob AmB©Sr [email protected] H mo `m SmH Ûmam ^r AZwamoY ôO gH Vo h¢&

I) eoàYmaH H¥ n`m Ü`mZ Xo§ {H ~¡RH _o§ H moB© Cnhma/Cnhma-Hy nZ {dV[aV Zht {H m OmEJm&

{ZXoeH _§Sb Ho AmXoe ÛmamH¥ Vo H mnmo©aoeZ ~¢H

ñWmZ… _§Jbyé (Eg. Ho . Xme){XZm§H … 29.05.2017 H§ nZr g{Md

22 dm{f©H$ [anmoQ>© 2016-17

EXPLANATORY STATEMENT

Agenda Item No. 2

a) The Bank is in the business of the banking and related services activities. Presently, the Authorised Capital of the Bank is `3000 crore. The paid-up equity share capital of the Bank as on 31st March, 2017 was 229.41 crore, which was increased from ` 204.50 crore on 28th September, 2016 pursuant to preferential allotment of 12.45 crore equity shares to the Central Government.

b) Under Basel III norms, the Bank is required to maintain the following Capital Adequacy Ratios as on March 31, 2017.

Under Basel – IIIBenchmark by

March – 2017 (%)

Common Equity Tier 1 Capital (CET1 Capital) 5.50

Capital Conservation Buffer 1.25

Additional Tier 1 (AT 1 Capital) 1.50

Total Tier 1 Capital 8.25

Tier - II 2.00

Total CRAR 10.25

c) Presently, shareholding of Government of India in the Bank is 70.76 % of the total paid-up capital of the Bank. The capital fund to Risk Weighted Assets as on March 31, 2017 was as under.

Basel III31.03.2017 (Amount ` in crore)

% of capital funds to Risk

Weighted Assets (under

Basel III) %

Risk Weighted Assets (RWA)

150146.75

Tier – I Capital 13367.88 8.90

Tier – II Capital 3623.90 2.42

Total Capital Funds 16991.78 11.32

d) To support the projected business growth and at the same time maintain healthy CRAR, the Bank may require raising additional capital from the market as well.

e) In order to ensure regulatory compliances and to meet the requirement of additional capital funds for expanding and achieving the targeted business growth and for general lending purposes, the Bank proposes to issue equity shares

ì`m»`mË_H H WZ

_X g§»`m 2 H$) ~¢H ~¢qH J Am¡a g§~§{YV {H«$`mH bmnmo§ Ho H mamo~ma _o§ h¡ & g§à{V ~¢H

H$s àm{YH¥ V ny±Or `3000 H amo‹S (énE VrZ hµOma H amo‹S _mÌ) h¡ & 31 _mM©, 2017 H mo ~¢H H$s àXÎm B©pŠdQ>r eoà ny±Or 28 {gV§~a, 2016 H mo Ho§ Ð gaH ma H mo 12.45 H amo‹S BpŠdQ>r eoàmo§ Ho A{Y_mZV: Am~§QZ Ho \ bñdê n `204.50 H amo‹S go ~‹TmH a `229.41 H amo‹S hmo J`m h¡&

I) ~mgob III _mZX§S Ho A§VJ©V 31 _mM©, 2017 H mo ~¢H _o§ {ZåZm§{H V ny§Or n`m©ßVVm AZwnmV H mo ~ZmE aIZo H$s Amdí`H Vm h¡:

~mgb - III Ho A§VJ©V _mM©-2017 VH ~o§M_mH© (%)

gm_mÝ` BpŠdQ>r Qmà 1 ny§Or (grB©Qr 1 ny§Or) 5.50

ny§Or g§ajU ^§Sma 1.25

A{V[aº Qmà 1 (EQr 1 ny§Or) 1.50

Hw b Qmà 1 ny§Or 8.25

Qmà-II 2.00

Hw b grAmaEAma 10.25

J) dV©_mZ _o§ ~¢H _o§ ^maV gaH ma H$s eoàYm[aVm ~¢H H$s Hw b àXÎm ny±Or H m 70.76% h¡ & 31 _mM©, 2017 H mo Omo{I_ ^m[aV AmpñV`mo§ H$s VwbZm _o§ ny±OrJV {Z{Y`m± {ZåZmZwgma h¢ :

~mgob III 31.03.2017 (am{e H amo‹S

énò _o§)

Omo{I_ ^m[aV AmpñV`mo§ Ho

_wµH m~bo ny§OrJV {Z{Y H m %

(~mgob - III Ho A§VJ©V) %

Omo{I_ ^m[aV AmpñV`m§ (AmaSãë`yE) 150146.75

Qmà – I ny§Or 13367.88 8.90

Qmà – II ny§Or 3623.90 2.42

Hw b ny§OrJV {Z{Y 16991.78 11.32

K) Ano{jV H mamo~ma d¥{Õ H mo àmßV H aZo Am¡a gmW hr ñdñW grAmaEAma H mo ~ZmE aIZo Ho {bE ~¢H H mo ~mOma go A{V[aº ny§Or OwQmZo H$s Amdí`H Vm h¡&

L>) {Z`m_H AZwnmbZmo§ H mo gw{Z{üV H$aZo Am¡a H mamo~ma d¥{Õ Ho bú` H mo àmßV H aZo d Cg_o§ d¥{Õ H aZo VWm gm_mÝ` CYmaH mar CÔoí` go A{V[aº ny§OrJV {Z{Y H mo àmßV H aZo Ho {bE ~¢H go~r


of `2 each at such price as may be determined close to the issue, by way of follow-up on Public Offer or Rights Issue or Qualified Institutional Placement(s), or such other suitable means under the SEBI (ICDR) Regulations and also other securities qualifying as Additional Tier–I or Tier–II capital as per Basel III Guidelines with an overall limit of `3500 crore.

f ) For reasons aforesaid, an enabling resolution is therefore proposed to be passed to give adequate flexibility and discretion to the Board to finalize the terms of the issue. For this purpose the Bank is required to obtain the consent of the shareholders by means of a special resolution. Hence your consent is requested to the above proposal.

g) The present resolution is also proposed in order to enable the Board of Directors of the Bank to issue the equity shares, and or Tier-I/ Tier-II capital at an appropriate time, mode, premium and other terms.

h) The proposed issuance of Equity Shares in terms of the Special Resolution will be in conformity with the provisions of all applicable laws.

i) Your Directors recommend, the Special Resolutions as set out in the Notice.

None of the Directors of the Bank, Key Managerial Persons and their relatives may be deemed to be interested or concerned in the aforementioned Resolution(s), except to the extent of their shareholding, if any, in the Bank.





(AmB©grS>rAma) {d{Z`_m| Ho$ A§VJ©V `3500 H$am‹oS> H$s g_J« gr_m VH$ ~mgob III {Xem {ZXoem| Ho$ AZwgma A{V[aº$ Q>mà-I

`m Q>>mà-II ny±Or Ho$ ê$n _| AmhVm© àmá AÝ` à{V^y{V`m| H$mo ^r gmd©O{ZH$ Am\$a `m amBQ> Bí`y `m Ah©Vm àmá g§ñWmJV ßbog_|Q> `m Eogo AÝ` g_w{MV Cnm`m| na AZwdV©Z Ho$ Ûmam Eogo _yë` na àËòH$ `2 Ho$ BpŠdQ>r eoàm| H$mo {ZJ©_ H$aZo H$m àñVmd H$aVm h¡&

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N>) dV©_mZ g§H ën Cn`wº g_`, VarH m, àr{_`_ Am¡a AÝ` eVmoª na BpŠdQ>r eoàmo§ Am¡a `m Qmà - I/Qmà - II ny§Or H mo Omar H aZo Ho {bE ~¢H Ho {ZXoeH _§Sb H mo gj_ ~ZmZo H m àñVmd H aVm h¡&

O) {deof g§H ën Ho AmbmoH _o§ BpŠdQ>r eoàmo§ H m àñVm{dV {ZJ©_rH aU g_ñV bmJy H mZyZmo§ Ho àmdYmZ Ho AZwê n hmoJm&

P) AmnHo {ZXoeH JU Bg Zmo{Qg _o§ gd©àW_ Bg {deof g§H ën H$s AZwe§gm H aVm h¡&

~¢H H m H moB© ^r {ZXoeH , _hËdnyU© à~§YZ ì`{º Am¡a CZHo g§~§{Y`mo§ H mo AnZr eoàYm[aVm H$s gr_m VH , H mo Nmo‹SH a Cnamoº g§H ën(nmo§) _o§ Z Vmo H moB© {hV h¡ Am¡a Z hr {H gr àH ma go g§~pÝYV h¡&

{ZXoeH _ÊSb Ho AmXoe go H¥ Vo H mnmo©aoeZ ~¢H

ñWmZ : _§Jbyé (Eg.Ho . Xme){XZm§H : 29.05.2017 H§ nZr g{Md

24 dm{f©H$ [anmoQ>© 2016-17

{ZXoeH$mo§ H$s {anmoQ© 2016-17DIRECTORS’ REPORT 2016 – 17

1. 31 _mM©, 2017 H$mo g_mßV df© Ho$ boIm-nar{jV VwbZ-nÌ Ed§ bm^-hm{Z boIm g{hV ~¢H$ H$s dm{f©H$ [anmoQ© àñVwV H$aVo hwE {ZXoeH$ _§Sb H$mo àgÞVm hmo ahr h¡&

2. {ZînmXZ H$s EH$ PbH :

2.1 31 _mM© 2017 H$mo ~¢H$ H$m Hw$b H$mamo~ma `3,60,916.41 H$amo‹S Ho$ ñVa VH$ nhw±M J`m& Bg_o§ 31.03.2016 Ho$ 3,45,493.08 H$amo‹S Ho$ ñVa go 4.46% H$s d¥{Õ Xa Ho$ gmW `15,423.33 H$amo‹S H$s g_J« d¥{Õ XO© hwB©&

2.2 ~¢H$ H$s Hw$b O_mam{e`m± 7.50% H$s dm{f©H$ d¥{Õ XO© H$aVo hwE 31 _mM©, 2016 Ho$ `2,05,170.84 H$amo‹S Ho$ ñVa go ~‹TH$a 31.03.2017 H$mo `2,20,559.62 H$amo‹S hmo JB© h¢&

2.3 H$mgm Zo `45,419.71 H$amo‹S go `58,374.36 H$amo‹S VH$ _mM© 2016 H$s VwbZm _o§ 28.52% H$s AÀNr d¥{Õ XO© H$s& Hw$b O_mam{e`mo§ _o§ H$mgm H$m {hñgm 22.14% go ~‹TH$a 26.47% hmo J`m h¡& Mmby VWm Eg~r g§{d^mJ _o§ H«$_e… 27.99% VWm 28.77% H$s d¥{Õ hwB© h¡&

2.4 ~¢H$ Zo G$U Omo{I_ à~§YZ g§~§Yr AnZr Zr{V Ho$ AZwê$n JwUdÎmm`wº G$U AmpñV`mo§ _o§ {dñVma H$aZo _o§ AnZm {ddoH$nyU© X¥pîQH$moU ~ZmE aIm& ~¢H$ H$m G$U Am§H$‹Sm 31 _mM© 2016 Ho$ `1,40,322.24 Ho$ _wH$m~bo 31.03.2017 H$mo `1,40,356.79 H$amo‹S Ho$ ñVa VH$ nhw±Mm& Bg_o§ `34.55 H$amo‹S (0.02%) d¥{Õ hwB©& {dÎm df© Ho$ Xm¡amZ G$U {dñVma hoVw àmW{_H$Vm-àmßV joÌ, _Ü`_ AmH$ma Ho$ H$mnmo©aoQ VWm E_EgE_B© Ho$ VhV G$U ~‹TmZo na Ü`mZ Ho§${ÐV {H$`m J`m&

2.5 31.01.2016 Ho$ 68.39% H$s VwbZm _o§ 31.03.2017 H$mo 63.64% G$U-O_m AZwnmV ahm&

2.6 ~¢H$ Zo J¡a-{ZînmXH$ AmpñV`mo§ H$s dgybr _o§ AnZm à`mg Omar aIm& {dÎm df© Ho$ Xm¡amZ ~¢H$ Zo JV df© H$s `1,596.04 H$amo‹S H$s VwbZm _o§ `3,350.87 H$amo‹S J¡a-{ZînmXH$ AmpñV`mo§ H$s ZH$X dgybr VWm CÞ`Z {H$`m h¡&

2.7 ~¢H$ H$mo JV df© Ho$ `-506.48 H$amo‹S H$s {Zdb hm{Z Ho$ _wH$m~bo `561.21 H$amo‹S H$m {Zdb bm^ hwAm&

2.8 31.03.2017 H$mo nyao Xoe _o§ \¡$br ~¢H$ H$s 10,413 H$m`m©Ë_H$ BH$mB`m± Wt {OZ_o§ 2,517 emImE§, 3,169 EQrE_ Am¡a 4,727 emIma{hV ~¢qH$J BH$mB`m± h¢&

3. Am` {díbofU:3.1 ~¢H$ H$s ã`mO Am` _o§ df© 2015-16 _o§ `19,411.24 H$amo‹S go

`60.23 H$amo‹S (0.31%) H$s d¥{Õ Ho$ gmW df© 2016-17 Ho$ Xm¡amZ `19,471.47 H$amo‹S ahr& Am¡a ã`mO ì`` {dÎm df© 2015-16 Ho$

1. The Board of Directors have pleasure in presenting the Annual Report together with Audited Balance Sheet and Profit and Loss Account of the Bank for the year ended 31st March, 2017.

2. Performance at a Glance:

2.1 The total business reached a level of `3,60,916.41 crore as on 31st March, 2017, recording an absolute growth of `15,423.33 crore over the business figure of `3,45,493.08 crore as on 31.03.2016, at a growth rate of 4.46%.

2.2 The total deposits of the Bank increased to `2,20,559.62 crore as on 31.03.2017 from `2,05,170.84 crore as on 31st March, 2016 registering a growth of 7.50% y-o-y.

2.3 CASA registered a healthy growth of 28.52% over March, 2016 from `45,419.71 crore to `58,374.36 crore. CASA share to total deposits has grown from 22.14% to 26.47%. Current and SB portfolios have grown by 27.99% and 28.77% respectively.

2.4 The Bank continued its prudent approach in expanding quality credit assets in line with its policy on Credit Risk Management. The Bank’s credit figure stood at `1,40,356.79 crore as on 31.03.2017 as against `1,40,322.24 crore as on 31st March, 2016, increased by `34.55 crore (0.02%). During the financial year, focused attention was given for accelerated lending under Priority Sector, Midsize Corporate and MSME, for expansion of credit.

2.5 Credit-Deposit Ratio stood at 63.64% as on 31.03.2017 as compared to 68.39% as on 31.03.2016.

2.6 The Bank continued its focus on recovery of NPAs. During the financial year, the Bank effected a cash recovery and upgradation of NPAs of `3,350.87 crore as compared to `1,596.04 crore in the previous financial year.

2.7 The Bank posted a Net Profit of `561.21 crore as against a Net Loss of -506.48 crore in the previous year.

2.8 As on 31.03.2017, the Bank had 10,413 functional units spread across India comprising of 2,517 Branches, 3,169 ATMs and 4,727 Branchless banking units.

3. Income Analysis:3.1 Interest Income of the Bank increased by `60.23 crore

(0.31%) from `19,411.24 crore in the year 2015-16 to `19,471.47 crore during the year 2016-17, and Interest expenses decreased by `151.32 crore from ` 15,171.78 crore during the financial year 2015-16 to 15,020.46 crore


4. H$s_V-bmJV A§Va {díbofU Spread Analysis: (` H$amo‹S> _| ` in crore)

ã`m¡ao Particulars 2015-16 2016-17d¥{Õ Growth

g_J« Absolute

%

Am¡gV H$m`©erb {Z{Y`m± Average Working Funds 2,20,056.00 2,40,227.00 20,171 9.17 %

Hw$b ã`mO Am` Total Interest Income 19,411.24 19,471.47 60.23 0.31 %

ì`` {H$`m J`m Hw$b ã`mO Total Interest Expended 15,171.78 15,020.46 -151.32 -1.00 %

ã¶mO H$s_V-bmJV A§Va Interest Spread 4,239.46 4451.01 211.55 4.99 %

Xm¡amZ `15,171.78 H$amo‹S go `151.32 H$amo‹S go H$_ hmoH$a df© 2016-17 Ho$ Xm¡amZ `15,020.46 H$amo‹S ahr& Bgr Ad{Y Ho$ Xm¡amZ {Zdb ã`mO Am` _o§ `211.55 H$amo‹S (4.99%) H$s d¥{Õ XO© hwB©&

3.2 ~¢H$ H$s Hw$b Am` (ã`mO Am` Am¡a ã`mOoVa Am` H$m `moJ)

{nNbo {dÎm df© Ho$ `21,146.40 H$amo‹S H$s VwbZm _o§ {dÎm df©

2016-17 Ho$ Xm¡amZ `1,415.38 H$amo‹S (6.69%) H$s d¥{Õ XO©

H$aVo hwE `22,561.78 H$amo‹S hmo JB©&

3.3 à_wI joÌmo§ go àmßV ã`mOoVa Am` {dÎmr` df© 2015-16 Ho$

`1,255.70 H$amo‹S H$s VwbZm _o§ {dÎmr` df© 2016-17 _o§ `89.28

H$amo‹S (7.11%) H$s d¥{Õ XO© H$aVo hwE `1,344.98 H$amo‹S VH$

~‹T JB©& Hw$b ã`mOoVa Am` 31.03.2016 Ho$ `1,735.16 H$amo‹S

78.10% H$s d¥{Õ XO© H$aVo hwE `3,090.25 ahr&

3.4 {dÎmr` df© 2016-17 Ho$ Xm¡amZ n[aMmbZ ì``mo§ _o§ 7.72% H$s d¥{Õ

hwB© h¡ Am¡a `h {dÎmr` df© 2015-16 Ho$ `2,879.60 H$amo‹S H$s

VwbZm _o§ `3,101.79 H$amo‹S ahm&

3.5 ñQm\$ na ì`` df© 2015-16 Ho$ `1,373.18. H$amo‹S go ~‹TH$a df© 2016-17 Ho$ Xm¡amZ `1,444.37 H$amo‹S hmo J`m &

during the year 2016-17. The Net Interest Income recorded a growth of `211.55 crore [4.99%] during the same period.

(` H$amo‹S> _| ` in crore)

{ddaU Particulars 2015-16 2016-17 % n{adV©Z Change in %

Am` INCOMEã`mO Am` Interest Income 19411.24 19471.47 0.31%

ã`mOoVa Am` Non-Interest Income 1735.16 3090.31 78.10%

Hw$b Am` Total Income 21146.40 22561.78 6.69%

ì`` EXPENDITUREã`mO ì`` Interest Expenditure 15171.78 15020.46 -1.00%

n{aMmbZ ì`` Operating Expenses 2879.60 3101.79 7.72%

Hw$b ì`` Total Expenditure 18051.38 18122.25 0.39%

n{aMmbZ bm^ Operating Profit 3095.02 4439.53 43.44%

àmdYmZ Ed§ AmH$pñ_H$VmE§ (H$a a{hV) Provisions & Contingencies (Excl. Tax) 5026.33 3603.16 -28.31%

H$a nyd© bm^ Profit before Tax -1931.31 836.37 143.30%

H$a hoVw àmdYmZ Provision for Tax -1424.83 275.16 -80.69%

{Zdb bm^ Net Profit -506.48 561.21 210.81%

3.2 The total Income of the Bank [total of Interest Income and Non-Interest Income] improved to `22,561.78 crore during the financial year 2016-17 from `21,146.40 crore in the previous financial year recording a rise of `1,415.38 crore [6.69%].

3.3 Non-Interest Income from Core Areas increased by 89.28 crore [7.11%] from `1,255.70 crore in the financial year 2015-16 to `1,344.98 crore in the financial year 2016-17. The Total Non-Interest Income has increased to `3,090.25 as on 31.03.2017 from `1,735.16 crore as on 31.03.2016, thereby registered growth rate of 78.10%.

3.4 The Operating Expenses has shown an increase of 7.72% during the financial year 2016-17 and stood at ` 3101.79 crore as compared to `2,879.60 crore in 2015-16.

3.5 Staff expenses increased from `1,373.18 crore during FY 2015-16 to `1,444.37 crore during FY 2016-17.

26 dm{f©H$ [anmoQ>© 2016-17

5. n[aMmbZ bm^:

5.1 n[aMmbZ bm^ 31.03.2016 Ho$ `3,095.02 H$amo‹S H$s VwbZm _o§ 31.03.2017 H$mo `4,439.53 H$amo‹S hmo J`m&

5.2 _mM© 2017 H$s {V_mhr Ho$ Xm¡amZ n[aMmbZ bm^ _mM©, 2016 Ho$ Xm¡amZ `724.92 H$amoS H$s VwbZm _o§ -45.47% H$s d¥{Õ H$aVo hwE `1,054.54 ahm&

5.3 _mM© 2017 {V_mhr hoVw {Zdb ã`mO _m{O©Z _mM© 2016 {V_mhr Ho$ 1.89% Ho$ gmnoj 1.72% ahm&

5.4 AmpñV Cn`mo{JVm AZwnmV (Am¡gV H$m`©erb {Z{Y`mo§ _o§ gH$b bm^ H$m à{VeV) {dÎmr` df© 2015-16 Ho$ 1.41% Ho$ _wH$m~bo {dÎmr`

df© 2016-17 _o§ 1.85% ahm&

6. àmdYmZ:6.1 AemoÜ` Ed§ g§{X½Y G$Umo§ hoVw àmdYmZ, _mZH$ AmpñV`mo§, H$amYmZ,

{Zdoe _yë`õmg Ed§ AÝ` hoVw àmdYmZ {dÎmr` df© 2015-16 _o§ `3.601.50 H$amo‹S H$s VwbZm _o§ {dÎmr` df© 2016-17 _o§ 3,878.32

H$amo‹S ahm&

7. {Zdb bm^ VWm bm^m§e:7.1 àmdYmZmo§ H$mo Ü`mZ _o§ aIZo ~mX, ~¢H$ H$m {Zdb bm^ 31.03.2016

H$mo g_mßV df© Ho$ `-506.48 H$amo‹S H$s {Zdb hm{Z VwbZm _o§ {dÎm df© 2016-17 Ho$ {bE `561.21 H$amo‹S ahm&

df©{Zdb bm^[` H$amo‹S _o§]

d¥{Õ %

2013-14 561.72 (-)60.85%

2014-15 584.26 (+)4.01%

2015-16 -506.48 (-)186.69%

2016-17 561.21 (+)210.81%

7.2 {ZXoeH$ _§Sb Zo {dÎm df© 2016-17 hoVw H$moB© ^r bm^m§e g§ñVwV Zht {H$`m h¡&

7.3 {Zdb bm^ _o§ go `140.30 H$amo‹S H$s am{e gm§{d{YH$ Ama{jV {Z{Y, `374.79 H$amo‹S ny±Or Ama{jV {Z{Y hoVw {d{Z`mo{OV {H$`m J`m h¡, `24.62 H$amo‹S {Zdoe Ama{jV {Z{Y go Amh[aV {H$`m J`m h¡& gmW

hr, `15 H$amo‹S H$_©Mmar H$ë`mU {Z{Y hoVw {d{Z`mo{OV {H$`m J`m Wm&

5. Operating Profit:

5.1 The Operating Profit stood at `4,439.53 crore as at the end of March 2017, as compared to `3,095.02 crore as on 31.03.2016.

5.2 Operating Profit during March 2017 Quarter stood at `1,054.54 crore as against `724.92 crore during March 2016, increased by 45.47%.

5.3 NIM for the March 2017 Quarter stood at 1.72% as against 1.89% during March 2016 Quarter.

5.4 The Asset Utilisation Ratio [percentage of Operating Profit to Average Working Funds] stood at 1.85% for the financial year 2016-17 compared to 1.41% for the financial year 2015-16.

6. Provisions:

6.1 The Provision for Bad and Doubtful Debts, Provision on Standard Assets, Taxation, Investment Depreciation and others aggregated to `3,878.32 crore in the financial year 2016-17 as compared to ` 3,601.50 crore in the financial year 2015-16.

7. Net Profit and Dividend:

7.1 After considering the provisions, the Net Profit of the Bank stood a `561.21 crore for the financial year 2016-17 as against the net loss of ` -506.48 crore for the year ended 31.03.2016.

Year Net Profit [` in crore] Growth %

2013-14 561.72 (-)60.85%

2014-15 584.26 (+)4.01%

2015-16 -506.48 (-)186.69%

2016-17 561.21 (+)210.81%

7.2 The Board of Directors of the Bank has not recommended any Dividend, for the financial year 2016-17.

7.3 Out of the Net Profit a sum of `140.30 crore was appropriated to Statutory Reserves, `374.79 crore to Capital Reserve, `24.62 crore withdrawn from Investment Reserve. Also, `15 crore was appropriated towards Staff Welfare Fund.

ã`m¡ao Particulars 2015-16 2016-17

{Z{Y`mo§ na à{V\$b Yield on Funds 8.82% 8.11%

{Z{Y`mo§ H$s bmJV Cost of Funds 6.89% 6.25%

A{J«‘m| na Am¶ Yield on Advances 10.23% 9.85%

O‘mam{e¶m| H$s bmJV Cost of Deposits 7.51% 6.74%

{Zdb ã`mO _m{O©Z Net Interest Margin 2.06% 2.12%


8. {Zdb _m{b`V Ed§ grAmaEAma:8.1 ~¢H$ H$s {Zdb _m{b`V 31 _mM©, 2016 Ho$ `11,366.00 H$amo‹S go

31 _mM©, 2017 H$mo `12,712.00 H$amo‹S ~‹T JB©&

8.2 df© Ho Xm¡amZ ^maV gaH ma Zo `677 H amo‹S H$s {Z{Y Am~§{QV H$s h¡, {Og_o§ go ^maV gaH ma Zo ~¢H H$s B©p¹Qr ny±Or Ho {bE _mÌ `508 H amo‹S bJm`m h¡& VXZwgma, ~¢H Zo àr{_`_ g{hV 508 H amo‹S VH H$s am{e VH A{Y_mZr Am~§QZ Ho ê n _o§ B©pŠdQ>r ny§Or ~TmB©& BgHo {bE, ~¢H Zo `38.78 à{V B©pŠdQ>r eoà àr{_`_ na `2/- A§{H V _yë` Ho 12,45,70,868 B©p¹Qr eoà Omar {H E VWm A{Y_mZr AmYma na 28 {gV§~a, 2016 H mo maV gaH ma H$moo Am~§{QV {H E& ~¢H Zo {ZOr {Z`moOZ AmYma na `500 H amo‹S H m ~mgob III AZwnm{bV A{V{aº {Qà-1 ~m°ÊS (l¥§Ibm II) ^r Omar {H m VWm 24.03.2017 H mo g§~§{YV ~m°ÊSYmaH mo§ H mo Am~§{QV {H m&

8.3 ny±Or na Omo{I_ g_m`mo{OV AmpñV AZwnmV (grAmaEAma) Omo 31 _mM© 2016 H$mo 10.88% H$s VwbZm _o§ 31 _mM© 2017 H$mo 11.90% (~mgob II) ahm& ~mgob III {Xem{ZXo©emo§ Ho$ AZwgma grAmaEAma 31 _mM© 2016 H$mo 10.56% H$s VwbZm _o§ 31 _mM© 2017 H$mo 11.32% ahm &

8.4 B©{¹$Q>r na à{Vbm^, à{V eoà AO©Z Am¡a à{V eoà ~hr _yë` {nNbo

{dÎm df© Ho$ H«$_e… -4.64%, `-5.48 d `111.16 H$s VwbZm _o§

{dÎmr` df© 2016-17 _o§ H«$_e… 4.66 %, 5.17 d 110.82 aho&

{dÎmr` df© 2016-17 Ho$ Xm¡amZ ~¢H$ H$s B©{¹$Q>r ny±Or H$s d¥{Õ Ho$

à^md H$mo n[aH$bZ hoVw {b`m J`m h¡&

9. g‘o{H$V boIo:

9.1 ^maVr` [aµOd© ~¢H$ Ho$ {Xem{ZXo©emo§ Ho$ AZwgma, ~¢H$ Zo 31 _mM©, 2017 Ho$ AnZo {dÎmr` boImo§ H$m AnZr nyU© ñdm{_Ëd dmbr AZwf§Jr AWm©V² H$mn©~¢H$ {gŠ`w[aQrµO {b. Ho$ boImo§ Ho$ gmW g_oH$Z {H$`m h¡& 31 _mM©, 2017 Ho$ g_o{H$V {ddaU Ho$ AZwgma, H$mn© ~¢H$ J«wn H$s {Zdb _m{b`V `12,749.90 H$amo‹S ahr& {dÎm df© 2016-17

hoVw g_o{H$V n[aMmbZ bm^ 31.03.2016 Ho$ `3,101.88 H$amo‹S H$s VwbZm _o§ `4,446.31 H$amo‹S ahm& {dÎm df© 2016-17 Ho$ Xm¡amZ ~¢H$ H$m g_o{H$V {Zdb bm^ 31.03.2016 H$mo g_mßV df© hoVw `-502.00 H$amo‹S H$s hm{Z Ho$ _wH$m~bo `565.81 H$amo‹S ahm& ~¢H$ Zo ^maVr` [aµOd© ~¢H$ Ho$ {Xem{ZXo©emo§ VWm ^maVr`

8. Net Worth and CRAR:8.1 The Net Worth of the Bank improved to 12,712.00 crore

as on 31st March, 2017 from `11,366.00 crore as on 31st March, 2016.

8.2 During the year, Government of India has allocated funds to the tune of `677 crore, out of which Govt. of India has infused only `508 crore towards equity capital in the Bank. Accordingly, the Bank raised equity capital by way of preferential issue amounting upto `508 crore including premium. For this, Bank has issued12,45,70,868 equity shares of 2/- face value at a premium of 38.78 per equity share and allotted to Government of India on preferential basis on September 28, 2016. The Bank has also raised Basel III compliant Additional Tier-1 Bond (Series II) of `500 crore on private placement basis and allotted to the respective bondholders on 24.03.2017.

8.3 The Capital to Risk Adjusted Assets Ratio (CRAR) stood at 11.90% (Basel II) as on 31st March, 2017 as against 10.88% as on 31st March, 2016. The CRAR as per Basel III guidelines works out to 11.32% as on 31st March, 2017 as against 10.56% as on 31st March, 2016.

àdJ© Category~ogb III Basel III ~ogb II Basel II

_mM© March 2016

_mM© March 2017

_mM© March 2016

_mM© March 2017

{Q>à I ny±Or Tier I Capital 7.93% 8.90% 7.33% 8.46%

{Q>à II ny±Or Tier II Capital 2.63% 2.42% 3.55% 3.44%

`moJ Total 10.56% 11.32% 10.88% 11.90%

8.4 The Return on Equity, Earnings Per Share and Book Value per Share for the Financial Year 2016-17 stood at 4.66%, `5.17 and `110.82 respectively, as against -4.64%, `-5.48 and `111.16 respectively for the previous Financial year. The impact of raising of Equity Capital of the Bank given effect during Financial Year 2016-17, for this calculation.

9. Consolidated Accounts:

9.1 As per RBI guidelines, the Bank has consolidated the financial accounts as at 31st March, 2017 with those of its wholly owned Subsidiary viz., Corp Bank Securities Ltd. As per the consolidated statement as on 31st March, 2017, the Net Worth of the Corp Bank group stood at `12,749.90 crore. The consolidated Operating Profit for the financial year 2016-17 stood at `4,446.31 crore as against `3,101.88 crore as at 31.03.2016. During the Financial Year 2016-17, consolidated Net Profit of the Bank stood at 565.81 crore, as against loss of -502.00 crore for the year ended 31.03.2016. The Bank has complied with the RBI guidelines and the Accounting Standards

28 dm{f©H$ [anmoQ>© 2016-17

gZXr boImH$ma g§ñWmZ Ûmam {ZYm©[aV boIm _mZX§Smo§ H$m AZwnmbZ

{H$`m h¡&

10. ~¢H$ Ho$ godm-AmCQboQ:

10.1 31 _mM©, 2017 H$mo g_mßV df© Ho$ Xm¡amZ ~¢H$ Ho$ Hw$b godm AmCQboQ

10,400 Ho$ ñVa H$mo nma H$aVo hwE 10,413 VH$ nhw±M JE {Og_o§

Xoe â _o§ 2,517 emImE§, 3,169 EQrE_ Am¡a 4,727 emIm a{hV

~¢qH$J BH$mB`m± em{_b h¢& BZ_o§ 77 emImE§ (~¢H$ a{hV J«m_rU

Ho§ Ðmo§ _o§ Imobr 10 emImAmo§ g{hV), 129 EQrE_ Am¡a 3 emIma{hV

~¢qH$J BH$mB`m± df© Ho$ Xm¡amZ Imobr JB© Wt& AnZo dV©_mZ Am¡a ^mdr

EZAmaAmB© J«mhH$mo§ H$mo godmE§ àXmZ H$aZo Ho$ {bE Xw~B© Ed§ hm§JH$m§J

_o§ ~¢H$ Ho$ à{V{Z{Y H$m`m©b` ^r h¢& Hw$b 2,517 emImAmo§ _o§ go

589 emImE§ J«m_rU joÌmo§ _o§ h¢, 795 emImE§ AY© ehar Ho§ Ðmo§ _o§,

537 emImE§ ehar Ho§ Ðmo§ _o§ Am¡a 596 emImE§ _hmZJar` Ho§ Ðmo§ _o§

h¢& Cgr àH$ma, Hw$b 3,169 EQrE_mo§ _o§ go 691 J«m_rU joÌmo§ _o§ h¢,

981 AY© ehar joÌmo§ _o§, 793 ehar joÌmo§ _o§ Am¡a 696 _hmZJamo§

_o§ h¢&

10.2 ~¢H$ Ho$ A~ Hw$b 34 Am§M{bH$ H$m`m©b` h¢ Omo ~ohVa {Z`§ÌU,

{ZJamZr Am¡a ~¢H$ Ho$ H$mamo~ma Ho$ {dH$mg hoVw emImAmo§ Ho$ gmW

AZwdV©Z H$aVo h¢& ~¢H$ Ho$ _w§~B©, {X„r, ~o§Jbya, MoÞ¡, H$mobH$mVm

Am¡a Ah_Xm~mX _o§ _hm à~§YH$ Ho$ AYrZ 6 _§Sb H$m`m©b` ^r h¢&

ò _§Sb H$m`m©b`, H$mnmo©aoQ H$m`m©b` Ho$ {dñVm[aV A§J Ho$ ê$n _o§

H$m`© H$aVo h¢ Am¡a ò AnZo A{YH$ma joÌ _o§ Am§M{bH$ H$m`m©b`mo§

Ho$ _mÜ`_ go H$mamo~ma {dH$mg `moOZmAmo§ H$m gh`moJ Ed§ g§MmbZ

H$aZo H$s ~ohVa pñW{V _o§ ho§& H$mnmo©aoQ H$m`m©b` Ho$ {OZ H$m`moª H$mo

_§Sb H$m`m©b`mo§ H$mo àË`m`mo{OV {H$`m h¡, do h¢ Am`moOZm, {dH$mg

Ed§ g§gmYZ g§J«hU, G$U _§Oyar, G$U Omo{I_ à~§YZ, dgybr Ed§

{d{Y, _mZd g§gmYmZ à~§YZ, gh`moJ godm Am¡a {ZarjU Ed§ boIm-

narjm&

11. {dkmnZ Ed§ àMma:

11.1 df© Ho$ Xm¡amZ ~¢H$ Ho$ ~Œ¢S Am¡a N{d {Z_m©U hoVw gKZ à`mg {H$E JE&

~¢H$ Zo AnZo CËnmXmo§, godmAmo§, ã`mO Xamo§ Ed§ {ZînmXZ go g§~§{YV

gyMZm J«mhH$mo§, eoàYmaH$mo§ VWm Am_ OZVm H$mo g_mMma nÌmo§,

n{ÌH$mAmo§, Qrdr M¡Zbmo§, E\$ E_ ao{S`mo ñQoeZmo§, hmo{S>ªJ, Q—mÝgbmBQ

do~gmBQ, EQrE_ BË`m{X Ho$ _mÜ`_ go {dkmnZmo§ Ed§ àMma Ho$ µO[aE

nhw±MmZm Omar aIm&

prescribed by the Institute of Chartered Accountants of India.

10. Bank’s Service Outlets:

10.1 The Bank’s total service outlets crossed 10,400 mark during the year ended 31st March, 2017 to reach 10,413 service outlets, comprising of 2,517 branches, 3,169 ATMs and 4,727 Branchless Banking Units across the country. Out of these 77 branches (including 10 branches opened in unbanked rural centres), 129 ATMs and 3 Branchless banking Units were opened during the year. The Bank is also having its representative offices at Hong Kong and Dubai for catering to the existing and prospective NRI customers. Out of the total 2,517 branches, 589 branches are in Rural areas, 795 in Semi-urban centres, 537 in Urban areas and 596 in Metro centres. Similarly, of the total 3,169 ATMs, 691 are in rural areas, 981 in Semi-urban centres, 793 in urban areas and 696 are in Metros.

10.2 The Bank now has a total of 34 zonal offices spread across the country to have a better control, monitoring and follow up with the branches for business development. The Bank also has 6 Circle offices headed by General Managers operating at Mumbai, Delhi, Bangalore, Chennai, Kolkata and Ahmedabad. The Circle Offices function as an extended arm of the Corporate Office, better equipped to support and drive business development plans through the Zonal Offices in their Command area. The Corporate office functions that are delegated to Circle Offices are Planning, Development and Resource Mobilisation, Credit Sanctions, Credit Risk Management, Recovery and Legal, Human Resource Management, Support Services and Inspection and Audit.

11. Advertisement and Publicity:

11.1 During the year, concerted efforts were made for enhancing the brand and image of the Bank. The Bank continued to disseminate messages on its products, services, interest rates and its performance, to the customers, shareholders and the general public through advertisements and publicity in Newspapers, Periodicals, TV Channels, FM Radio Stations, Hoardings, Translites, Website, ATMs, etc.


12. gaH$mar H$mamo~ma Am¡a ~¢H$mí¶moaoÝg:

12.1 31 _mM© 2017 H$mo g_mßV df© hoVw ~¢H$ H$m Hw$b àË`j/AàË`j

H$a g§J«hU H«$_e… 14.74% VWm 10.19% H$s d¥{Õ Xa Ho$ gmW

{nNbo df© Ho$ Xm¡amZ 25.80 bmI MmbmZmo§ go `69,393 H$amo‹S H$s

VwbZm _o§ 28.43 bmI MmbmZmo§ go `79,622 H$amo‹S ahm & ~¢H$ Zo

df© Ho$ Xm¡amZ gaH$mar H$mamo~ma go `8.88 H$amo‹S H$s Hw$b Am` A{O©V

H$s&

12.2 df© Ho$ Xm¡amZ ~¢H$ Ûmam H$s JB© Hw$N ZB© nhb h¢ –

^maV gaH$ma go bKw ~MV `moOZm (nrnrE\$, d[aîR ZmJ[aH$ ~MV `moOZm VWm gwH$Ý`m g_¥{Õ `moOZm) H$m H$m`© H$aZo hoVw 2,175 emImAmo§ H$m gwa{jV àm{YH$ma&

H$_©Mmar ^{dî` {Z{Y g§JRZ (B©nrE\$Amo) H$s Amoa go A§eXmZ VWm àemg{ZH$ à^ma Ho$ Am°ZbmBZ g§J«hU hoVw gwa{jV àm{YH$ma&

amÁ` H$amo§ Ho$ g§J«hU Ho$ {bE NÎmrgJ‹T VWm n{ü_ ~§Jmb amÁ`mo§ H$mo Omo‹Sm J`m h¡&

aobdo ^m‹Sm ^wJVmZ Ho$ {bE B©-^m‹Sm gw{dYm n[aMm{bV H$s JB© h¡&

12.3 ~¢H$mí`moaoÝg… ~¢H$ Zo OrdZ ~r_m H$mamo~ma Ho$ VhV `15,898.36 bmI Ho$ àr{_`_ VWm `932.61 bmI Ho$ H$_reZ Ho$ gmW 5,82,006 nm{b{g`mo§ H$s VwbZm _o§ _mM© 2017 H$mo `21,534.49 bmI Ho$ àr{_`_ Ho$ gmW 5,98,696 nm{b{g`mo§ H$mo àmá {H$`m VWm `1,042.80 bmI H$m H$_reZ A{O©V {H$`m (Bg_| àYmZ _§Ìr OrdZ Á`mo{V ~r_m `moOZm Ho$ VhV 5,82,006 nm{bgr Ed§ `15,898.36 Ho$ àr{_`_ Ho$ ~Xbo `1,686.64 bmI H$m àr{_`_ Am¡a `239.28 bmI H$m H$_reZ Am¡a OrdZ ~r_m H$mamo~ma Ho$ A§VJ©V _mM©, 2016 Ho$ AZwgma `932.61 bmI H$m H$_reZ em{_b h¢) &

~¢H$ Zo J¡a-OrdZ H$mamo~ma Ho$ VhV 3,848.11 bmI Ho$ àr{_`_ VWm 13,03,045 nm{b{g`mo§ H$s VwbZm _o§ _mM©, 2017 H$mo `3,889.97 bmI àr{_`_ VWm 344.59 bmI Ho$ H$_reZ Ho$ gmW 13,67,682 nm{b{g`mo§ H$mo àmá {H$`m (J¡a-OrdZ H$mamo~ma Ho$ A§VJ©V àYmZ _§Ìr gwajm ~r_m `moOZm Ho$ A§VJ©V _mM©, 2016 H$mo `3,848.11 bmI Ho$ àr{_`_ Am¡a `317.07 bmI Ho$ H$_reZ Ho$ ~Xbo `152.80

bmI Ho$ àr{_`_ Am¡a `25.46 bmI H$m H$_reZ Ed§ 12,73,364 Zm_m§H$Z em{_b h¡&)

~¢H$ Zo ñdmñÏ` ~r_m nm{bgr Ho$ VhV _mM© 2016 Ho$ `13.16 bmI H$s VwbZm _o§ _mM©, 2017 H$mo g_mßV df© hoVw `19.84 bmI H$m H$_reZ A{O©V {H$`m&

~¢H$ Zo å`yMwAb \§ S H$mamo~ma Ho$ VhV _mM© 2016 Ho$ `15.81 bmI H$s VwbZm _o§ _mM©, 2017 H$mo g_mßV df© hoVw `16.99 bmI H$m

H$_reZ A{O©V {H$`m&

12. Government Business and Bancassurance:

12.1 The total Direct/Indirect tax, Customs duty and State Tax collections of the Bank for the year ended 31st March, 2017 reached `79,622 crore from 28.43 lakh challans as compared to `69,393 crore from 25.80 Lakh challans collected during the corresponding period last year with a growth rate of 14.74% and 10.19% respectively. The Bank has earned an aggregate income of 8.88 crore from Govt. Business during the year.

12.2Some of the new initiatives undertaken by the Bank during the year are –

Secured authorization of 2,175 branches for handling Small Savings Scheme (PPF, Senior Citizen Savings Scheme and Sukanya Samriddhi Yojana) from Government of India.

Secured authorization for online collection of contribution and administrative charges on behalf of the Employees Provident Fund Organisation (EPFO).

Chattisgarh and West Bengal states have been added for collection of state taxes.

E-Freight facility has been operationalised for Railways freight payment.

12.3Bancassurance : Bank has canvassed 5,98,696 policies with premium of 21,534.49 lakhs and earned commission of `1,042.80 lakhs as at March, 2017, (This includes 5,83,613 enrolments made under Pradhan Mantri Jeevan Jyoti Bima Yojana with premium of ` 1,686.64 lakhs and commission of 239.28 lakhs) as against 5,82,006 policies with premium of `15,898.36 lakhs and commission of `932.61 lakhs as at March, 2016 under Life Insurance Business.

Bank has canvassed 13,67,682 policies with premium of `3,889.97 lakhs and commission of `344.59 lakhs as at March, 2017, (This includes 12,73,364 enrolments made under Pradhan Mantri Suraksha Bima Yojana with premium of `152.80 lakhs and earned commission of `25.46 lakhs) as against 13,03,045 policies with premium of `3,848.11 lakhs and commission of `317.07 lakhs as at March, 2016 under non-life Business.

Bank has earned a commission of `19.84 lakhs for the year ended March, 2017 under Health Insurance Policy as against `13.16 lakhs as at March, 2016.

Bank has earned a commission of 16.99 lakhs for the year ended March 2017 under Mutual Fund Business as against `15.81 lakhs as at March, 2016.

30 dm{f©H$ [anmoQ>© 2016-17

13. H$mnm}aoeZ ~¢H$ Am{W©H$ {dH$mg _§M:

H$mnmo©aoeZ ~¢H$ Am{W©H$ {dH$mg _§M (n§) H$mo ~¢H$ H$s EH$ bm^-a{hV Am{W©H$ BH$mB© Ho$ ê$n _o§ H$mnmo©aoQ {_eZ Ho$ AZwê$n AnZo gm_m{OH$ Xm{`Ëd Ho$ {Z^mVo Am ahm h¡& ~¢H$ H$s g^r gr Eg Ama J{V{d{Y`m± gr~rB©SrE\$ Ho$ VËdmYmZ _o§ Am`mo{OV H$s OmVr h¢& df© 2016-17 Ho$ Xm¡amZ gr~rB©SrE\$ Ho$ _mÜ`_ go gm_m{OH$ gamoH$ma H$s {d{^Þ n[a`moOZmAmo§ Ho$ {ZînmXZ hoVw `205.53 bmI Ho$ {dÎmr` AZwXmZ {dV[aV {H$E JE& {dÎm df© 2016-17 Ho$ Xm¡amZ gr~rB©SrE\$ Ûmam {Zînm{XV J{V{d{Y`mo§ _o§ Hw$N ~‹So grEgAma àmoOoŠQ {ZåZ{b{IV h¢-

13.1 “H$mn©{H$aU” - ~¢H$ Ho$ H$m`©nmbH$mo§ H$s npËZ`mo§ H$m EH$ g_yh

~¢H$ Zo {dÎm df© 2016-17 Ho$ Xm¡amZ Aëngw{dYm àmßV bmoJmo§ Ho$ H$ë`mU hoVw ""H$mn© {H$aU'' Ho$ _mÜ`_ go {d{^Þ g§ñWmAmo§ H$mo `19.71 bmI àXmZ {H$E& {H«$`mH$bmnmo§ _o§ Jar~ ñHy$br NmÌmo§ H$mo VWm AZmWml_mo§, d¥Õml_mo§, emar[aH$ Ed§ _mZ{gH$ ê$n go Aj_ bmoJmo§ H$mo ghm`Vm XoZo dmbo {Zam{lV J¥hmo§ Ho$ {Zdm{g`mo§ H$mo ImZm, H$n‹So, nwñVH|$ Am{X XoZm em{_b h¡& H$mn© {H$aU Ho$ VhV H$s JB© à_wI J{V{d{Y`mo§ _o§ gaH$mar/ghm`Vm àmßV ñHy$bmo§ _o§ àmoOoŠQa VWm H$åß`yQa H$m g§ñWmnZm em{_b h¡& AZmWml_mo§ H$mo \$Zr©Ma VWm dmQa

ß`yar\$m`a {XE JE&

13.2 H$mnmo©aoeZ ~¢H$ ñdamoµOJma à{ejU g§ñWmZ (grAmo~rEgB©QrAmB©)

H$mnmo©aoeZ ~¢H$ ñdamoµOJma à{ejU g§ñWmZ (grAmo~rEgB©QrAmB©) {MH$_Jbya Am¡a H$moSJw {Obmo§ _o§ pñWV h¡, Omo ~oamoµOJma `wdH$mo§ H$s ì`mdgm{`H$ à{ejU Amdí`H$VmAmo§ H$mo nyam H$aVo h¢ Ohm± ~¢H$ H$mo AJ«Ur ~¢H$ H$s {Oå_oXmar h¡& ñWmnZm g_` go boH$a XmoZmo§ g§ñWmZmo§ Ûmam {Z`{_V VWm AÝ` H$m`©H«$_mo§ Ho$ VhV 31000 Cå_rXdmamo§ H$mo à{e{jV {H$`m J`m h¡& CÚ{_Vm {dH$mg H$m`©H«$_ (B©Srnr) Ho$ VhV, 14595 Cå_rXdma à{e{jV {H$E JE, {OZ_o§ go 11000 Cå_rXdma Zo AnZm CÚ_ ñWm{nV {H$`m h¡, Omo 75% g\$bVm H$s Xa Xem©Vm h¡& ~¢H$ Zo df© 2016-17 Ho$ Xm¡amZ XmoZmo§ g§ñWmAmo§ _o§ à{ejU H$m`©H«$_ Am`mo{OV H$aZo Ho$ {bE 50.39 bmI H$m ì`` {H$`m h¡& df© 2016 hoVw J«m_rU {dH$mg _§Ìmb`, ^maV gaH$ma Ûmam H$mnmo©aoeZ ~¢H$ ñd{Z`moOZ à{ejU g§ñWmZ, {MH$_Jbya ""AA'' Am¡a H$mnmo©aoeZ ~¢H$ ñd{Z`moOZ à{ejU g§ñWmZ, Hw${S>Jo H$mo ""A''

à{ejU g§ñWmZ H$m XOm© {X`m J`m h¡&

13.3 “J«m_rU Aä`wX` {dÎmr` gmjaVm Ý`mg” (OrEE\$Ebgrgr Q—ñQ)

~¢H$ Zo {d{^Þ H|$Ðmo§ _o§ ‘{dÎmr` gmjaVm’ (E\$Ebgr) ñWm{nV H$aZo Ho$ {bE J«m_rU Aä`wX` {dÎmr` gmjaVm Ý`mg H$mo àm`mo{OV {H$`m

13. Corporation Bank Economic Development Foundation: The Corporation Bank Economic Development

Foundation® is a non-profit Economic Outfit Trust has been pursuing its objectives of fulfilling social obligation in tune with corporate mission. All CSR activities of the Bank are conducted under the aegis of CBEDF. Financial grants to the extent of `205.53 lakhs were disbursed for execution of various projects of social concerns during the year 2016-17 through CBDEF. Amongst others, CBEDF implemented following major CSR projects during FY 2016-17.

13.1 “CorpKiran” – Association of Spouses of Bank Executives

For the welfare of underprivileged, through “CorpKiran”, Bank granted `19.71 lakhs to various Institutions during 2016-17. The major activities included providing food, books, computers, water purifier etc., to poor school children and inmates of orphanages, old age homes, destitute homes, helping physically and mentally challenged people. The major activities carried out during the year under CorpKiran includes installation of projector and computers to Govt./aided schools. Orphanages are provided with furniture and water purifiers.

13.2 Corporation Bank Self-Employment Training Institutes [COBSETI]

The Corporation Bank Self-Employment Training Institutes are operating in Chikmagalur and Kodagu Districts catering to the training needs of the rural un-employed youth hailing from both the districts, where the Bank has the Lead Bank responsibility. Around 31000 candidates have been trained under regular and other programmes by both the institutes since inception. Under Entrepreneurship Development Programes (EDP), 14595 candidates have been trained, of which, 11000 candidates have established their own enterprise, indicating a success rate of 75%. The Bank has incurred an expenditure of `50.39 lakh during the year 2016-17, for conducting the training programmes at both the Institutes. COBSETI, Chikmagalur has been graded as “AA” Training Institute and COBSETI – Kudige is graded as “A” by the Ministry of Rural Development for year the year 2016.

13.3 “Gramina Abhyudaya Financial Literacy Trust” [GAFL Trust]

The Bank has sponsored Grameena Abhyudaya Financial Literacy Trust for establishing “Financial Literacy


h¡& `o Ho$§Ð bmoJmo§ H$mo AnZr Am{W©H$ Amdí`H$VmAmo§ Ed§ ge{ºH$aU Ho$ {bE ~¢qH$J gw{dYmAmo§ H$s Cn`mo{JVm Ho$ ~mao _o§ {e{jV H$aVo h¢ & `o H|$Ð, ~r_m, ~¢H$ _o§ ~MV, Am¡a G$U go g§~§{YV CËnmX/godmAmo§ Am{X g{hV {dÎmr` nhbwAmo§ Ho$ AmYma na CYmaH$Vm©Amo§ H$mo nam_e© ^r XoVo h¢& 31.03.2017 VH$ H$s pñW{V Ho$ AZwgma OrEE\$Ebgrgr Q—ñQ Zo 4 {µObm ñVar` Am¡a 18 ãbm°H$ ñVar` E\$Ebgr H|$Ð ñWm{nV {H$E h¢&

~¢H$ Zo df© 2016-17 Ho$ Xm¡amZ Cº Q—ñQ Ho$ AmdVu bmJV hoVw `50.00 bmI àXmZ {H$`m h¡& Q—ñQ Zo Jm±dmo§, ñHy$bmo§, H$m°boOmo§, AÝ` g§ñWmAmo§, ñdghm`Vm g_yhmo§ d AÝ` ñWmZmo§ _o§ 1984 {dÎmr` gmjaVm {e{da Am`mo{OV {H$E h¢ {OZ_o§ 92000 ì`{º$`mo§ Zo ^mJ {b`m&

13.4 EgEMOr {Z_m©U Ho$ OarE grEgAma df© Ho$ Xm¡amZ, ~¢H$ Zo H$Zm©QH$ Ho$ N>h {Obmo§ _o§ 8900 ZE ñd ghm`Vm

g_yhmo§ H$mo ~‹Tmdm XoZo Ho$ {bE `89 bmI H$m ì`` {H$`m h¡& Bg ~‹Sr grEgAma J{V{d{Y Ho$ _mÜ`_ go BZ EgEMOr Ho$ gXñ`mo§ dmbo 89,000 n[admamo§ H$s _XX H$aHo$ CÝho§ {dÎmr` geº Vm àXmZ H$s h¡& A~ BZH$s nhw±M O_m Am¡a G$U gw{dYmAmo§ g{hV ~¢qH$J gw{dYmAmo§ VH$ h¡& CÝho§ AnZo g§~§{YV g_yh ~hr ImVmo§ H$m AZwajU VWm boIm aIZo na à{ejU {X`m J`m& g_yhmo§ H$s {Z`{_V ~¡RH$mo§ Ho$ Am`moOZ go gXñ`mo§ H$mo CÝ_wº {dMma {d_e© H$aZo Ed§ AnZr ~mV aIZo hoVw àmoËgmhZ {_bVm h¡&

14. amO^mfm H$m àJm_r à`moJ:14.1 ~¢H$, amO^mfm A{Y{Z`_, 1963, amO^mfm {Z`_, 1976 VWm

amO^mfm {hÝXr Ho$ H$m`m©Ýd`Z Ho$ g§~§Y _o§ amO^mfm {d^mJ, J¥h _§Ìmb`, {dÎmr` godmE§ {d^mJ, {dÎm _§Ìmb` Am¡a ^maVr` [aµOd© ~¢H$ Ûmam g_`-g_` na Omar {ZXo©emo§ H$m AZwnmbZ gw{Z{üV H$aVm h¡&

14.2 amO^mfm H$m`m©Ýd`Z Ho$ joÌ _o§ df© 2016-17 Ho$ Xm¡amZ ~¢H$ H$m g_J« {ZînmXZ AÀNm ahm h¡& {X„r (CÎma) Ho$ VhV h_mar ZmoESm _oZ emIm, _¡gya, ^wdZoœa A§Mbmo§ VWm H$_©Mmar à{ejU Ho$ÝÐ ~o§Jbya H$mo amO^mfm H$m`©Ýd`Z _o§ CËH¥$îQ {ZînmXZ hoVw CZHo$ g§~§{YV ZJa amO^mfm H$m`m©Ýd`Z g{_{V (Qm°{bH$) go erëS àmßV hwB© h¡&

14.3 ~¢H$ ZJa amO^mfm H$m`m©Ýd`Z g{_{V (ZamH$mg),_§Jbya, ~obJm§d, {dO`dm‹Sm Ed§ Zo„ya VWm X{jU pñWV gmd©O{ZH$ joÌ Ho$ ~¢H$mo§ H$s amO^mfm g{_{V H$m g§`moOH$ h¡& gXñ` g§JRZmo§/~¢H$mo§ Ho$ ñQm\$ Ho$ bm^mW© hoVw ha df© {d{^Þ H$m`©H$bmn {H$E OmVo h¢&

14.4 {dÎm df© Ho$ Xm¡amZ g§gXr` amO^mfm g{_{V H$s Vrgar Cn-g{_{V Zo h_mar aodm‹Sr Ed§ nmoa~§Xa emIm H$m Xm¡am {H$`m Am¡a amO^mfm H$m`m©Ýd`Z _o§ ~¢H$ Ûmam {H$E Om aho à`mgmo§ H$s gamhZm H$s&

Centers” [FLCs] at various locations. These Centers educate people about the usefulness of the Bank account for all their economic needs and empowerment. The Centers also provide counseling for the borrowers on the basis of financial aspects including insurance, savings and credit related products/services in the Bank etc. As on 31.03.2017, GAFLCC Trust has established 4 District level and 18 Block level FLC centers.

The Bank has provided `50.00 Lakh for meeting the recurring cost of the Trust, during the year 2016-17. The Trust has conducted 1984 Financial Literacy Camps at villages, schools, colleges, other institutions, SHGs and others, covering about 92000 persons.

13.4 CSR through SHG formation:

During the year, the Bank has spent `89 lakhs for promoting 8900 new SHGs in 6 districts of Karnataka. Through this major CSR initiative, Bank has helped about 89000 families of the members of SHG groups to become financially empowered. They now have access to banking facilities including deposits and loans. They also receive training in record maintenance and account keeping of their respective groups. Regular meetings of the groups encourage the members to freely interact and become more vocal.

14. Progressive use of Official Language:14.1 The Bank ensures compliance of the provision of Official

Languages Act, 1963, Official Languages Rules, 1976 and various directions with regard to Official Language issued from time to time by Department of Official Language, Ministry of Home Affairs, Financial Services Department, Ministry of Finance and the Reserve Bank of India.

14.2 The overall performance of the Bank in the field of official language implementation during the year 2016-17 has been very good. Our Noida Main Branch under Delhi (North), Mysore, Bhubneshwar Zones and Staff Training College, Bangalore received shield from their respective Town Official Language Implementation Committee (TOLIC) for their excellent performance in Offical Language implementation.

14.3 The Bank is the convenor of Town Official Language Implementation Committee (TOLIC), Mangalore, Belgaum, Vijayawada and Nellore as well as that of the Official Language Committee of South Based Public Sector Banks. Various activities are conducted every year for the benefit of staff members of member organisations/banks.

14.4 During the Financial Year, the Third Sub-Committee of the Committee of Parliament on Official Language visited our Rewari and Porbandar Branch and appreciated the efforts being made by the Bank in Official Language Implementation.

32 dm{f©H$ [anmoQ>© 2016-17

14.5 ~¢H$ X{jU ^maV pñWV gaH$mar ~¢H$mo§ H$s amO^mfm H$m`m©Ýd`Z g{_{V H$m g§`moOH$ h¡& BgH$s ~¡RH$mo§ _o§ X{jU pñWV gaH$mar ~¢H$mo§ _| amO^mfm H$m`m©Ýd`Z go g§~§{YV g_ñ`mAmo§ na MMm© H$s OmVr h¡ Ed§ C{MV Cnm` gwÂmmE OmVo h¢&

14.6 ~¢H$ Zo ZJa amO^mfm H$m`©Ýd`Z g{_{V, _§Jbya Ho$ gmW g§`wº VËdmYmZ _o§ {XZm§H$ 21 {gV§~a, 2016 H$mo ^mfm`r gm¡hmX© {Xdg VWm H$åß`yQa na qhXr H$m`© Ho$ {bE 06.03.2017 go 10.03.2017 VH$ qhXr {ejU `moOZm (n), J¥h _§Ìmb` Ho$ VËdmdYmZ _o§ nm±M {Xdgr` _yb à{ejU H$m`©H«$_ H$m Am`moOZ {H$`m&

14.7 ~¢H$ amO^mfm {hÝXr H$mo bmoH${à` ~ZmZo Ho$ {bE {d{^Þ gm_{J«`m± àH$m{eV H$aVm h¡& Bg_o§ ~¢H$ H$s {V_mhr {hÝXr J¥h n{ÌH$m ""_§Jbm'', ZJa amO^mfm H$m`m©Ýd`Z g{_{V H$s Amoa go àH$m{eV H$s OmZo dmbo {hÝXr n{ÌH$m ""{ÌYmam'' em{_b h¡& BgHo$ Abmdm dm{f©H$ H$m`©H«$_ VWm àmoËgmhZ `moOZmE± - 2016-17, H$m`©embm gm_J«r, {dÎm _§Ìmb` Ho$ AmXoemo§ H$m g§H$bZ, {d{^Þ àH$ma Ho$ ~mo«ea ^r V¡`ma {H$E JE h¡&

14.8 ñQm\$ gXñ`mo§ Ho$ bm^mW© {hÝXr H$m`©embmE§ Am¡a à{ejU ^r

{Z`{_V ê$n go Am`mo{OV {H$E JE&

15. ~¢H$ Ûmam àm`mo{OV AZwf§{J`mo§ Am¡a AÝ` BH$mB`mo§ H$m {ZînmXZ:

15.1 H$mn© ~¢H$ {gŠ`w[aQrµO {b{_QoS… ~¢H$ H$s nyU© ñdm{_Ëddmbr

AZwf§Jr H$mn© ~¢H$ {gŠ`w[aQrµO (gr~rEgEb) Zo {dÎm df© 2016-

17 Ho$ Xm¡amZ `8.04 H$amo‹S H$s Hw$b Am`, `6.78 H$amo‹S H$m H$a

nyd© bm^ VWm `4.60 H$amo‹S H$m H$a Cnam§V bm^ (Mmby df© Ho$

{bE `1.36 H$amo‹S Ho$ H$a àmdYmZ, nyd© dfmoª Ho$ {bE `0.07 H$amo‹S

H$m H$a àmdYmZ, `0.0038 H$amo‹S H$s AmñW{JV H$a AmpñV Ho$

àË`mdV©Z Am¡a `0.90 H$amo‹S Ho$ _¡Q H«o${SQ g_m`moOZ Ho$ boIm§H$Z

Ho$ ~mX) A{O©V {H$`m h¡ O~{H$ {dÎm df© 2015-16 hoVw ò Am§H$‹So

H«$_e… `8.18 H$amo‹S, `6.86 H$amo‹S Am¡a `4.47 H$amo‹S (Mmby df©

hoVw `1.45 H$amo‹S Ho$ H$a àmdYmZ, nyd© dfmoª Ho$ {bE ` eyÝ` H$m H$a

àmdYmZ, `0.0041 H$amo‹S H$s AmñW{JV H$a AmpñV Ho$ àË`mdV©Z

H$m boIm§H$Z {H$`m O~{H$ CnbãY 0.94 H$amo‹S Ho$ _¡Q H«o${SQ dmng

Omo‹Sm J`m) Wo& 31.03.2016 H$mo àXÎm B©{¹$Q>r eoà ny§Or 75 H$amo‹S

ahr O~{H$ A{Yeof Ho$ nwZ{Z©doe Ho$ gmW {Zdb _m{b`V `112.96

H$amo‹S ahr& _mM© 2017 H$mo g_mßV {dÎm df© hoVw à{V eoà AO©Z

`0.61 ahm O~{H$ _mM© 2016 H$mo g_mßV {dÎm df© Ho$ {bE `h

`0.60 Wm& H§$nZr Zo g§ñWmJV J«mhH$mo§ Ho$ {bE {d.d. 2015-16

_o§ B©{¹$Q>r H$mamo~ma ewê$ {H$`m h¡& H§$nZr å`wMwAb \§$S CËnmXmo§ Ho$

{dVaU Am¡a O_m à_mUnÌmo§, Q—oµOar {~bmo§ Am{X O¡gr AZw_mo{XV

à{V^y{V`mo§ H$s Q—oqSJ O¡go {H«$`mH$bmn Omar aIr hwB© h¡&

14.5 Bank is the Convenor of the Official Language Implementation Committee of the south based Public Sector Banks. The committee deliberates on the problems faced by the south based public sector banks in Official Language implementation and provides appropriate remedies for the same.

14.6 Bank jointly organized the “Bhashayi Souhard Diwas (Hindi Diwas)” on 21st Sept., 2016 with TOLIC, Mangalore and organized five days basic training programme under the auspices of Hindi Teaching Scheme (W), Ministry of Home Affairs, Official Language Department from 06.03.2017 to 10.03.2017 for Hindi work on Computer.

14.7 The Bank is bringing out various publications for popularizing Official Language Hindi. These include “Mangala” – quarterly Hindi house-journal of the Bank and “Tridhara” – Hindi Journal published on behalf of TOLIC, Mangalore. Apart of these publications Bank has published Annual Programme and Incentive Schemes 2016-17, A book on Hindi Workshop, Compendium of the orders of Ministry of Finance and various brochures.

14.8 Hindi workshops and training programmes were conducted on a regular basis for the benefit of staff members.

15. Performance of Subsidiaries and other units sponsored by the Bank:

15.1 Corp Bank Securities Limited: The Bank’s wholly owned subsidiary, Corp Bank Securities Limited (CBSL) has earned a total income of `8.04 crore, posted Profit Before Tax of `6.78 crore and Profit After Tax of `4.60 crore (after accounting for tax provision of `1.36 crore for current year, tax provision of `0.07 crore for earlier years, reversal of deferred tax asset of `0.0038 crore and MAT credit set off of `0.90 crore) for FY 2016-17, while the corresponding figures for FY 2015-16 were `8.18 crore, `6.86 crore and `4.47 crore respectively (after accounting of tax provision of 1.45 crore for current year, tax provision of `NIL for earlier years, reversal of deferred tax asset of `0.0041 crore and `0.94 crore being MAT credit set off ). The Paid up Equity Share Capital remained at `75 crore as on 31.03.2017 while the Net worth stood at `112.96 crore with the plough back of surplus. The Earning per Share for fiscal ended March, 2017 was `0.61 while it was 0.60 for the fiscal ended March, 2016. The Company had launched equity broking business for institutional clients in FY 2015-16. The Company also continues to pursue its other activity of distribution of Mutual Fund Products and trading in approved Securities like Commercial Papers, Certificate of Deposits and Treasury Bills etc.


16. {ZXoeH$ _§Sb H$s g§aMZm:

16.1 31 _mM©, 2017 H$mo g_mßV {dÎmr` df© Ho$ Xm¡amZ ~¢H$ Ho$ {ZXoeH$ _§Sb _o§ {ZåZ{b{IV n[adV©Z hwE h¢&

16.2 lr XodamH$mo§Sm XrpßV{dbmg H$mo 25 Aà¡b, 2016 go ~¢H$ Ho$ {ZXoeH$ _§Sb _o§ J¡a-Am{YH$mar A§eH$m{bH$ {ZXoeH$ Ho$ ê$n _o§ {Z`wº {H$`m J`m&

16.3 lr Jmonmb _wabr ^JV H$m ~¢H$ Ho$ {ZXoeH$ _§Sb _o§ H$m`©nmbH$ {ZXoeH$ Ho$ ê$n _o§ {Z`w{º hwB© Am¡a 24 AJñV, 2016 H$mo CÝhmo§Zo H$m`©^ma J«hU {H$`m&

16.4 2016-17 Ad{Y Ho$ Xm¡amZ {ZåZ{b{IV gXñ` ~¢H$ Ho$ {ZXoeH$ _§Sb go godm{Zd¥Îm hwE-

• lr BH$ZmW ~m{bJm, A{YH$mar H$_©Mmar {ZXoeH$ 16 AŠVy~a 2016 H$mo AnZm H$m`©H«$_ nyam {H$`m&

• lr ~moZ_ do§H$Q ^mñH$a, A§eH$m{bH$ J¡a-A{YH$mar {ZXoeH$ Zo 03 Zd§~a, 2016 H$mo AnZm H$m`©H$mb nyam {H$`m &

• lr Am{Xe Hw$_ma O¡Z, gZXr boImH$ma àdJ© Ho$ VhV A§eH$m{bH$ J¡a-A{YH$mar {ZXoeH$ Zo 25 {Xg§~a, 2016 H$mo AnZm H$m`©H$mb nyam {H$`m&

16.5 {ZXoeH$ _§Sb, ~moS©/~moS© H$s g{_{V`mo§ H$s ~¡RH$mo§ _o§ {dMma-{d_e© Ho$ Xm¡amZ VWm ~¢H$ Ho$ {ZXoeH$ Ho$ nX na ahVo hwE AnZo H$m`©H$mb Ho$ Xm¡amZ ~¢H$ Ho$ ì`mnma g§MmbZ _o§ lr Am{Xe Hw$_ma O¡Z VWm lr ~moZ_ do§H$Q ^mñH$a Or go àmßV _mJ©Xe©Z Ed§ {ddoH$nyU© nam_e©

hoVw AnZr gamhZm ì`º H$aVm h¡&

17. {ZXoeH$mo§ Ho$ Xm{`Ëd {ddaU: {ZXoeH$ nwpîQ H$aVo h¢ {H$ 31 _mM©, 2017 H$mo g_mßV df© Ho$ dm{f©H$

boImo§ H$s V¡`mar _| -

17.1 _hÎdnyU© {dMbZ, `{X H$moB© h¡, Ho$ g§X^© _o§ C{MV ñnîQrH$aU Ho$ gmW bmJy boIm§H$Z _mZH$mo§ H$m nmbZ {H$`m J`m h¡&

17.2 boIm Zr{V`mo§ H$m M`Z H$aHo$ CÝho§ gVV ê$n go bmJy {H$`m J`m VWm Eogo AZw_mZ Am¡a àm¸$bZ {H$E JE Omo `w{º$g§JV Am¡a {ddoH$gå_V h¢ {H$ do {dÎm df© Ho$ A§V _o§ ~¢H$ H$s pñW{V Am¡a Cº Ad{Y Ho$ {bE ~¢H$ Ho$ bm^ Am¡a hm{Z H$s dmñV{dH$ Ed§ ghr Vñdra Xo§& boIm Zr{V`mo§ _o§ H$moB© n[adV©Z {H$`m hmo Vmo CgH$m C{MV àH$QZ {H$`m J`m h¡&

17.3 ~¢H$ H$s AmpñV`mo§ H$mo gwa{jV aIZo VWm H$nQ Ed§ AÝ` A{Z`{_VVmAmo§ H$mo amoH$Zo Am¡a nVm bJmZo hoVw Bg A{Y{Z`_ Ho$ g§~§{YV àmdYmZmo§ Ho$ AZwgma n`m©ßV boIm A{^boImo§ H$mo aIZo Ho$ {bE C{MV Ed§ n`m©ßV gmdYmZr ~aVr JB©&

17.4 dm{f©H$ boIo gVV g§ñWm AmYma na V¡`ma {H$E JE Wo&

16. Constitution of Board of Director:

16.1 The following changes have taken place in the Board of Directors of the Bank during the financial year ended 31st March, 2017.

16.2 Shri Deverakonda Diptivilasa was appointed as Non-Official Part Time Director on the Board of the Bank with effect from 25th April, 2016.

16.3 Shri Gopal Murli Bhagat was appointed as Executive Director on the Board of the Bank and assumed office on 24th August, 2016.

16.4 The following members retired from the Board of the Bank during the period – 2016-17:

• Shri Ekanath Baliga, Officers’ Employee Director on completion of his term on 16th October, 2016.

• Shri Bonam Venkata Bhaskar, part-time Non-official Director on completion of his term on 3rd November, 2016.

• Shri Adish Kumar Jain, part-time Non-official Director under Chartered Accountant Category on completion of his term on 25th December, 2016.

16.5 The Board places on record its appreciation for the guidance and counsel received from Shri Adish Kumar Jain, Shri Bonam Venkata Bhaskar and Shri Ekanath Baliga, during deliberations of the Board/Committees of the Board and also in the conduct of the Bank’s business during their tenure of office as Directors of the Bank.

17. Directors’ Responsibility Statements: The Directors confirm that in the preparation of the

Annual Accounts for the year ended 31st March, 2017 –

17.1 The applicable Accounting Standards had been followed along with proper explanation relating to material departures, if any.

17.2 Accounting Policies had been selected and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Bank at the end of the financial year and of the profit and loss of the Bank for that period.

17.3 Proper and sufficient care was taken for the maintenance of adequate Accounting Records in accordance with the provisions of the relevant Acts for safeguarding the assets of the Bank and for preventing and detecting fraud and other irregularities.

17.4 The Annual Accounts were prepared on a going concern basis.

34 dm{f©H$ [anmoQ>© 2016-17

17.5 ~¢H$ Ûmam AZwnmbZ H$aZo Ho$ {bE Am§V[aH$ {dÎmr` {Z`§ÌU {ZYm©[aV {H$E JE Wo Am¡a `h {H$ Eogo Am§V[aH$ {dÎmr` {Z`§ÌU n`m©ßV Wo Am¡a H$maJa ê$n go H$m_ H$a aho Wo&

17.6 g^r bmJy {d{Y`mo§ Ho$ àmdYmZmo§ Ho$ gmW AZwnmbZ gw{Z{üV H$aZo Ho$ {bE C{MV àUm{b`m± {ZYm©[aV H$s JB© Wt Am¡a Eogr àUm{b`m± n`m©ßV Wt Am¡a H$maJa ê$n go H$m_ H$a ahr Wt&

18. Am^ma:

18.1 ~¢H$ Ho$ eo`aYmaH$mo§, à{VpîRV J«mhH$mo§, ew^qMVH$mo§, eo`a A§VaU

EOo§Q Am¡a ^maV VWm ^maV Ho$ ~mha Ho$ à{V{Z{Y`mo§ H$mo CZH$s

gØmdZm, g§ajU VWm hm{X©H$ gh`moJ hoVw {ZXoeH$JU YÝ`dmX

km{nV H$aVo h¢&

18.2 ^maV gaH$ma, H$Zm©QH$ gaH$ma, ^maVr` [aµOd© ~¢H$, ^maVr`

à{V^y{V Ed§ {d{Z_` ~moS© (go~r), ~rEgB©, EZEgB©, EZEgSrEb,

grSrEgEb, {d{^Þ amÁ` gaH$mamo§, {dÎmr` g§ñWmAmo§ Am¡a ~¢H$ Ho$

gm§{d{YH$ Ho$Ðr` boIm narjH$mo§ go ~¢H$ n[aMmbZ _o§ àmßV ~hw_yë`

Ed§ g_`mo{MV nam_e©, _mJ©Xe©Z Am¡a gh`moJ Ho$ {bE, {ZXoeH$JU

H¥$VkVmnyd©H$ Am^ma km{nV H$aVo h¢&

18.3 {ZXoeH$JU, g^r ñVamo§ Ho$ ñQm\$ gXñ`mo§ H$mo ^r YÝ`dmX km{nV H$aVo

h¢, {OÝhmo§Zo df© Ho$ Xm¡amZ ~¢H$ H$s Mhw±_wIr àJ{V go Am¡a D$±MmB`m±

nmZo Ho$ {bE `moJXmZ {X`m Am¡a AmZo dmbo dfmoª _o§ H$mnmo©aoQ bú`mo§ H$s

àmpßV hoVw CZH$s gVV gh^m{JVm H$s Amem H$aVo h¢&

{ZXoeH$ _§Sb Ho$ {bE Am¡a CZH$r Amoa go

(O` Hw$_ma JJ©)ñWmZ : _§Jbyé à~§Y {ZXoeH$ E§d {XZm§H$ : 01.06.2017 _w»` H$m`©nmbH$ A{YH$mar

17.5 Internal financial controls had been laid down to be followed by the Bank and that such internal financial controls are adequate and were operating effectively.

17.6 Proper systems were in place to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

18. Acknowledgements:

18.1 The Directors thank the shareholders, valued customers, well-wishers, Share Transfer Agent and correspondents of the Bank in India and abroad for their goodwill, patronage and support.

18.2 The Directors acknowledge with gratitude the valuable and timely advice, guidance and support received from Government of India, Government of Karnataka, Reserve Bank of India, Securities and Exchange Board of India (SEBI), BSE, NSE, NSDL, CDSL, various State Governments, Financial Institutions and the Statutory Central Auditors of the Bank, in the functioning of the Bank.

18.3 The Directors place on record their deep appreciation of the valuable contribution of the members of the staff at all levels for the progress of the Bank during the year and look forward to their continued co-operation in realisation of the corporate goals of the Bank in the years ahead.

For and on behalf of the Board of Directors

(Jai Kumar Garg)Place : Mangaluru Managing Director &Date : 01.06.2017 Chief Executive Officer


n«~§YZ {ddoMZ Am¡a {díbofUMANAGEMENT DISCUSSION AND ANALYSIS

1. Monetary Policy 2016-17

The Reserve Bank of India (RBI), in its first bi-monthly review projected the GVA growth projection for 2016-17 at 7.6 per cent, with risks evenly balanced around it. RBI in its Fifth bi-monthly review revised downward the GVA growth for 2016-17 from 7.6 per cent to 7.1 per cent, with evenly balanced risks. In its Sixth bi-monthly review RBI further revised downward the GVA growth for 2016-17 at 6.9% with risks evenly balanced around it.

The RBI remained committed of achieving consumer price index (CPI) inflation at 5 per cent by March 2017 and the medium-term target of 4 per cent within a band of +/- 2 per cent, while supporting growth.

Key Monetary and Liquidity Measures announced in the bi-monthly reviews of 2015-16 are given below:

• Kept the cash reserve ratio (CRR) of scheduled banks unchanged at 4.0% of net demand and time liability (NDTL) in all the six bi-monthly monetary policies.

• The RBI reduced the repo rate by 50 bps in two tranche ie., 25 bps on 5th April, 2016 and again 25 bps on 4th October, 2016 bringing the Repo rate down to 6.25%.

• The RBI narrowed the policy rate corridor from +/- 100 basis points (bps) to +/- 50 bps by reducing the MSF rate by 75 basis points and increasing the reverse repo rate by 25 basis points, with a view to ensuring finer alignment of the weighted average call rate (WACR) with the repo rate.

• Consequently, the reverse repo rate under the LAF stands adjusted to 5.75%, and the marginal standing facility (MSF) rate and the Bank Rate to 6.75%.

• On September 29, 2015, the RBI announced a road map for bringing down the SLR by 0.25 per cent every quarter from April 2016 till March 31, 2017. Accordingly, the SLR is reduced to 21.25 per cent from April 2, 2016; 21.00 per cent from July 9, 2016; 20.75 per cent from October 1, 2016; and 20.50 per cent from January 7, 2017.

• Liquidity under overnight repos has been continued to be provided at 0.25% of bank-wise NDTL at the LAF repo rate and liquidity under 7-day and 14-day term repos of up to 0.75% of NDTL of the banking system through auctions. Continuation of daily one-day term repos and reverse repos to smooth liquidity.

Some of the important regulatory and developmental measures taken by RBI during 2015-16 are furnished below:

• The RBI on April 7, 2016 issued instructions on trading in Priority Sector Lending Certificates (PSLCs).

• The RBI on May 5, 2016 released the “Draft Guidelines for

1. _m¡{ÐH Zr{V 2016-17

^maVr` [aOd© ~¢H$ (^m[a~¢) Zo {dÚ_mZ Omo{I_mo§ H$mo g§Vw{bV H$aZo hoVw AnZr nhbr {Û_m{gH$ ~¡RH$ _o§ 7.6 à{VeV na 2016-17 hoVw àjo{nV OrdrE _o§ d¥{Õ H$s ^{dî`dmUr H$s g_rjm H$s h¡& ^m[a~¢ Zo AnZr nm±Mdt {Û_m{gH$ g_rjm ~¡RH$ _o§ df© 2016-17 hoVw OrdrE d¥{Õ Xa 7.6 à{VeV H$mo g§emo{YV H$a Bgo H$_ H$aVo hwE 7.1 à{VeV {H$`m h¡& NRr {Û_m{gH$ g_rjm ~¡RH$ _o§ ^m[a~¢ Zo {dÚ_mZ Omo{I_mo§ H$mo XoIVo hwE OrdrE d¥{Õ Xa H$mo KQmH$a 6.9% g§emo{YV {H$`m h¡&

^maVr` [aO~© ~¢H$ grnrAmB© _wÐmpñ\${V H$mo _mM© 2017 VH$ 5 à{VeV Am¡a 4% Ho$ _Ü`md{Y bú` H$s d¥{Õ H$m g_W©Z H$aVo hwE _Ü`md{Y bú` H$mo +/ - 2 à{VeV H$s Adpñ\ {V H$s pñW{V _o§ aIZo hoVw à{V~Õ h¡&

df© 2015-16 H$s {Û_m{gH$ g_rjm ~¡RH$ _o§ Kmo{fV _w»` _m¡{ÐH$ Ed§ VabVm Cnm` {ZåZ{b{IV h¢:• g^r N {Û_m{gH$ _m¡{ÐH$ Zr{V`mo§ _o§ AZwgy{MV ~¢H$mo§ Ho$ {bE ZH$X

Ama{jV AZwnmV (grAmaAma) H$mo CZHo$ {Zdb _m±J VWm Xo`Vm Ho$ 4.0% hr aIm J`m h¡&

• ~‹TVr hwB© _wÐmpñ\ {V Ho$ n[aàoú` _o§ m[a~¢ Ûmam 5 Aà¡b 2016 H$mo aonmo aoQ _o§ 25 AmYma A§H$mo§ H$s H$Qm¡Vr VWm 4 Aº$y~a, 2016 H$mo 25 AmYma A§H$mo§ H$s H$Qm¡Vr H$aVo hwE Hw b 50 AmYma A§H$mo§ H$s H$Qm¡Vr Ho$ gmW Bgo 6.25% VH$ ZrMo bm`m J`m &

• ^m[aV Am¡gV _m±J Xa (Sãë`yEgrAma) H$m [anmo aoQ Ho$ gmW ~ohVa gm_§Oñ` H$mo gw{Z{üV H$aZo hoVw E_EgE\ Xa H$mo 75 AmYma A§H$ H$_ H$aVo hwE Am¡a [adg© [anmo aoQ H$mo 25 AmYma A§H$ ~‹TVo hwE ^m[a~¢ Zo nm°{bgr aoQ H$mo[aSmoa H$mo + \ - 100 AmYma A§H$ go KQmH$a 50 AmYma A§H$ H$a {X`m h¡&

• VXZwgma EbEE\ Ho$ A§VJ©V [adg© aonmo aoQ g_m`mo{OV hmoH$a 5.75% hmo J`r Am¡a _m{O©Zb ñQ¢qSJ gw{dYm (E_EgE\ ) Xa Am¡a ~¢H$ aoQ H$mo 6.75% na g_m`mo{OV {H$`m J`m&

• 29 {gV§~a 2015 H$mo ^m[a~¢ Zo EgEbAma H$mo Aà¡b 2016 go 31 _mM© 2017 VH$ àË`oH$ {V_mhr _o§ 0.25 à{VeV ZrMo bmZo H$s {Xem _o§ ê$naoIm H$s KmofUm H$s& VXZwgma EgEbAma 2 Aà¡b 2016 go 21.25 à{VeV, 9 OwbmB© 2016 go 21.00 à{VeV, 1 AŠVy~a 2016 go 20.75 à{VeV Am¡a 7 OZdar 2017 go 20.50 à{VeV H$a Xr JB© h¡&

• AmodaZmBQ aonmo Ho$ AÝVJ©V VabVm EbEE\ aonmo Xa na ~¢H$ ñVa na EZSrQrEb Ho$ 0.25% na Omar ahoJr, 7 {XZ Am¡a 14 {XZ H$s Ad{Y Ho$ {bE aonmo Zrbm_r Ho$ Ûmam ~¢qH$J V§Ì Ho$ EZSrQrEb H$m 0.75% aho§Jr & gwMmé VabVm Ho$ {bE X¡{ZH$ EH$ {XZ H$r Ad{Y Ho$ {bE VWm nadVr© aonmo Omar aho§Jr &

^m[a~¡ Ûmam 2015-16 _o§ CRmE JE Hw N _hËdnyU© {Z`m_H$ Am¡a {dH$mgnaH$ H$X_ {ZåZdV² h¢-• 7 Aà¡b 2016 H$mo ^m[a~¢ Zo àmW{_H$ joÌ Ho$ G$Umo§ hoVw g§emo{YV

{Xem-{ZXo©e Omar {H$E h¢ &

• ^m[a~¢ Zo 5 _B©, 2016 H$mo AnZo do~gmBQ na àmW{_H$Vm àmßV joÌ _o§

36 dm{f©H$ [anmoQ>© 2016-17

‘on tap’ Licensing of Universal Banks in the Private Sector” on its website.

• The RBI, on May 26, 2016 advised the banks in India and the White Label ATM operators to ensure that all the existing ATMs installed/operated by them are enabled for processing of EMV Chip and PIN cards by September 30, 2017. All new ATMs shall necessarily be enabled for EMV Chip and PIN processing from inception.

• The RBI on May 19, 2016, revised its directions allowing higher Foreign Direct Investment (FDI) limits in Credit Information Companies (CICs) to entities which have an established track record of running a Credit Information Bureau in a well regulated environment.

• The RBI on May 26, 2016 has advised banks to put in place their own Board approved policy on merchant acquisition to expand card acceptance infrastructure to a wider segment of merchants across all geographical locations and considering the experience gained by the banks in merchant acquiring business.

• The RBI on June 2, 2016, advised all scheduled commercial banks (excluding RRBs) to immediately put in place a cyber-security policy elucidating the strategy containing an appropriate approach to combat cyber threats.

• The RBI on June 13, 2016, issued guidelines on a ‘Scheme for Sustainable Structuring of Stressed Assets’ (S4A) in order to further strengthen the lenders’ ability to deal with stressed assets and to put real assets back on track.

• The RBI on June 23, 2016 placed the “Payment and Settlement Systems in India: Vision-2018”. The Vision-2018 aims at building best of class payment and settlement systems for a ‘less-cash’ India.

• The RBI decided that from July 1, 2016 the facility of exchanging the pre-2005 banknotes will be available only at the select few offices of the RBI.

• The Government of India on July 8, 2016 authorised the Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI) to act as, and to perform the functions of the Central KYC Records Registry (CKYCR).

• The RBI, on July 21, 2016 decided that in addition to previous limits, banks would be permitted to reckon government securities held by them up to another 1 per cent of their Net Demand and Time Liabilities (NDTL) under Facility to Avail Liquidity for Liquidity Coverage Ratio (FALLCR).

• The RBI on August 4, 2016 notified that the Government of India has approved the implementation of the Interest Subvention Scheme for the year 2016-17 for short term crop loans upto `3 lakh.

• The RBI on August 4, 2016 modified the procedure

`y{Zdg©b ~¢H$mo§ Ho$ Am°Z Qon bmBgo§qgJ na S—mâQ {Xem{ZXoemo§ H$mo Omar {H$`m h¡&

• ^m[a~¢ Zo 26 _B©, 2016 H$mo ^maV _o§ ~¢H$mo§ Am¡a ìhmBQ bo~b EQrE_ n[aMmbH$mo§ H$mo AnZo Ûmam ñWm{nV/Mm{bV {dÚ_mZ EQrE_mo§ H$mo 30 {gV§~a, 2017 VH$ B©E_dr {Mn Am¡a {nZ H$mSmoª H$mo àmogog H$aZo _o§ gj_Vm H$mo gw{Z{üV H$aZo H$mo H$hm h¡& g^r ZE EQrE_mo§ H$mo A{Zdm`© ê$n go B©E_dr {Mn Am¡a àmaå^ go {nZ àmogoqgJ _o§ A{Zdm`© ê$n go gj_ hmoZo H$mo H$hm h¡&

• 19 _B©, 2016 H$mo ^m[a~¢ Zo CZ BH$mB©`mo§ H$s G$U gyMZm H§$n{Z`mo§ _o§ CÀMÎma àË`j {dXoer {Zdoe H$mo AZw_{V XoVo hwE AnZo {Xem{ZXoemo§ H$mo g§emo{YV {H$`m h¡ {OZH$m gwT¥‹T {d{Z`{_V dmVmdaU _o§ G$U gyMZm ã`yamo H$mo MbmZo H$m ñWm{nV Q—¡H$ [aH$mS© h¡&

• 26 _B©, 2016 H$mo ^m[a~¢ Zo g_ñV ^m¡Jmo{bH$ ñWmZmo§ _o§ \¡$bo ì`mdgm{``mo§ Ho$ ì`mnH$ dJ© H$mo H$mS© ñdrH¥${V _yb^yV g§aMZm H$mo ì`mdgm{`H$ A{YJŒhU H$aZo Am¡a H$mamo~ma AO©H$ ì`dgm` _o§ ~¢H$mo§ Ûmam A{O©V AZw^d H$mo Ü`mZ _o§ aIVo hwE ì`dgm` A{YJŒhU na AnZo ~moS© Ûmam AZw_mo{XV nm°{bgr ~ZmZo H$mo H$hm h¡&

• ^m[a~¢ Zo 2 OyZ, 2016 H$mo g_ñV AZwgy{MV ì`mdgm{`H$ ~¢H$mo§ (joJŒm~¢ H$mo Nmo‹SH$a) gmB~a h_bm H$m _wµH$m~bm H$aZo hoVw g_w{MV X¥pîQH$moU go `wŠV aUZr{V H$mo gmB~a gwajm nm°{bgr Ho$ ê$n _o§ VËH$mb H$m`m©Ýd`Z H$aZo H$mo H$hm h¡&

• ^m[a~¢ Zo 13 OyZ, 2016 H$mo X~mdJŒñV AmpñV`mo§ na H$m`© H$aVo g_` CYmaXmVmAmo§ H$s `mo½`Vm H$mo Am¡a _O~yV H$aZo Am¡a _yV© AmpñV`mo§ H$mo gwì`dpñWV H$aZo hoVw X~mdJŒñV AmpñV`mo§ (Eg4E) Ho$ n`m©ßV g§aMZm hoVw `moOZm na {Xem{ZXoe Omar {H$`m h¡&

• ^m[a~¢ Zo 23 OyZ, 2016 H$mo ^maV _o§ ^wJVmZ Ed§ {ZnQmZ àUmbr: {dOZ - 2018 àñVwV {H$`m h¡& {dOZ - 2018 H$m CÔoí` ZH$Xr a{hV ^maV hoVw gdmo©ËH¥ îQ ^wJVmZ Am¡a {ZnQmZ àUmbr H$m {Z_m©U h¡&

• ^m[a~¢ Zo 1 OwbmB©, 2016 go 2005 Ho$ nyd© Ho$ ~¢H$ ZmoQmo§ H$mo ~XbZo H$s gw{dYm ^m[a~¢ Ho$ Hw N M`{ZV Ho$ÝÐmo§ _o§ CnbãY H$admZo H$m {ZU©` {b`m h¡&

• ^maV gaH$ma Zo 8 OwbmB©, 2016 H$mo maV H$s AmpñV à{V^y{V g§aMZm Am¡a à{V^y{V {hV (grB©AmaEgEAmB©) Ho$ {bE Ho§ Ðr` n§Or H$m`m©b` H$mo Ho§ Ðr` Ho$dmB©gr [aH$mS© a{OñQ—r (grHo$dmB©grAma) Ho$ ê$n _o§ H$m`© H$aZo hoVw A{YH¥ V {H$`m h¡&

• ^m[a~¢ Zo 21 OwbmB©, 2016 H$mo `h {ZU©` {b`m h¡ {H$ nyd©dVr© gr_m Ho$ A{V[aŠV VabVm H$daoO AZwnmV hoVw VabVm àmßV H$aZo H$s gw{dYm (E\ EEbEbgrAma) Ho$ A§VJ©V AnZo {Zdb _m§J Ed§ gmd{Y Xo`Vm (EZSrQrEb) Ho$ Am¡a 1% H$mo CZHo$ Ûmam Ym[aV gaH$mar à{V^y{V`mo§ Ho$ ê$n _o§ nhMmZ H$aZo H$s AZw_{V Xr h¡&

• ^m[a~¢ Zo 4 AJñV, 2016 H$mo A{Ygy{MV {H$`m h¡ {H$ ^maV gaH$ma Zo `3 bmI VH$ Ho$ Aënmd{Y \ gb G$U hoVw df© 2016-17 Ho$ {bE ã`mO NyQ `moOZm Ho$ H$m`m©Ýd`Z H$mo AZw_mo{XV {H$`m h¡&

• ^m[a~¢ Zo 4 AJñV, 2016 H$mo MoH$mo§ Ho$ AZmXaU go g§~pÝYV à{HŒ `m


concerning the dishonour of cheques. Banks would be given the discretion to determine their response to dishonour of cheques of the account holders.

• To further strengthen banks’ ability to resolve their stressed assets effectively, the RBI, on September 1, 2016, has put in place an improved Framework for Revitalising Distressed Assets in the Economy.

• The RBI of India Act, 1934 (RBI Act) was amended on September 29, 2016 to provide for a statutory and institutionalised framework for a Monetary Policy Committee (MPC). Accordingly, the monetary policy decision has been vested in a six member MPC.

• The RBI on October 6, 2016, issued ‘Operational Guidelines for Small Finance Banks’ and ‘Operational Guidelines for Payment Banks’ considering the differentiated nature of business and financial inclusion focus of these banks.

• The RBI on November 8, 2016 permitted banks to raise funds through issuance of rupee denominated bonds overseas for the various specified purposes.

• With effect from November 9, 2016, `500 and `1000 denominations of Bank Notes of the existing series issued by the RBI (Specified Bank Notes) ceased to be legal tender. A new series of Bank Notes called Mahatma Gandhi (New) Series were issued on November 10, 2016.

• The RBI on November 10, 2016 revised the Scheme for Sustainable Structuring of Stressed Assets (S4A), pertaining to the asset classification norms for loans under the Scheme.

• The RBI on December 7, 2016 has decided to withdraw the requirement of incremental CRR, effective the fortnight beginning December 10, 2016. All scheduled banks were required to maintain, incremental cash reserve ratio (CRR) of 100 per cent of the increase in NDTL between September 16, 2016 and November 11, 2016, effective the fortnight beginning November 26, 2016.

• The RBI on December 6, 2016 has decided that operation in dormant accounts with banks may be allowed after due diligence as per risk category of the customer.

• In view of the constraints faced by farmers for timely repayment of loan dues on account of withdrawal of legal tender status of Specified Bank Notes (SBNs), the RBI in consultation with the Government of India on December 26, 2016 has decided to provide an additional grace period of 60 days for prompt repayment incentive of 3 Per cent to those farmers whose crop loan dues are falling due between 1st November, 2016 and 31st December, 2016 if such farmers repay the same within 60 days from the above period.

• The RBI on December 31, 2016 introduced a facility for exchange of Specified Bank Notes (SBNs) for the resident and non-resident citizens who could not avail the facility

H$mo g§emo{YV {H$`m h¡& ~¢H$mo§ H$mo ImVmYmaH$mo§ Ho$ MoH$mo§ Ho$ AZmXaU go g§~pÝYV AnZo Xm{`Ëd H$mo {ZYm©[aV H$aZo H$m {ddoH$nyU© A{YH$ma {X`m J`m h¡&

• X~mdJŒñV AmpñV`mo§ na à^mdr T§J go H$m~y nmZo _o§ ~¢H$ H$s j_Vm H$mo geº$ H$aZo Ho$ {bE ^m[a~¢ Zo 1 {gV§~a, 2016 H$mo AW©ì`dñWm _o§ X~mdJŒñV AmpñV`mo§ H$mo RrH$ H$aZo Ho$ {bE gwYma {H$`m J`m H$m`© àUmbr H$mo àñVwV {H$`m h¡&

• ^m[a~¢ A{Y{Z`_, 1934 (Ama~rAmB© EŠQ) _| 29 {gV§~a, 2016 H$mo g§emoYZ Ho$ ~mX _m¡{ÐH$ nm°{bgr g{_{V (E_nrgr) hoVw gm§{d{YH$ Am¡a g§ñWmJV H$m`© àUmbr àXmZ {H$`m h¡& VXZwgma, _m¡{ÐH$ nm°{bgr {ZU©` H$m A{YH$ma Nh gXñ`r` E_nrgr H$mo {X`m J`m h¡&

• ^m[a~¢ Zo 6 Aº$y~a, 2016 H$mo bKw {dÎm ~¢H$mo§ Am¡a ^wJVmZ ~¢H$mo§ Ho$ {d^oXrH¥ V H$mamo~ma H$s àH¥ {V Am¡a BZ ~¢H$mo§ Ûmam {dÎmr` g_mdoeZ na Ü`mZ Ho$pÝÐV H$aZo H$s Amdí`H$Vm H$mo XoIVo hwE CZHo$ {bE n[aMmbZ {Xem {ZXoe Omar {H$`m h¡&

• ^m[a~¢ Zo 8 Zd§~a, 2016 H$mo ~¢H$mo§ H$mo {d{^Þ {d{eîQ CÔoí`mo§ hoVw énE _o§ _yë`d{J©V ~m°ÝSmo§ Ho$ {ZJ©_ Ûmam {Z{Y OwQmZo H$s AZw_{V Xr h¡&

• 9 Zd§~a, 2016 go ^m[a~¢ Ûmam Omar {dÚ_mZ e¥§Ibm Ho$ `500 Am¡a `1000 dJ© _yë` Ho$ ~¢H$ ZmoQmo§ Ho$ {d{YH$ _wÐm ñdê$n H$mo g_mßV H$a {X`m J`m h¡& 10 Zd§~a, 2016 H$mo _hmË_m Jm±Yr (ZB©) l¥§Ibm H$m ~¢H$ ZmoQ>m| H$s ZB© l¥§Ibm àma§^ H$s JB© &

• 10 Zd§~a, 2016 H$mo ^m[a~¢ Zo AmpñV dJr©H$aU _mZX§Smo§ go g§~§{YV X~mdJŒñV AmpñV`mo§ (Eg4E) H$s g§aMZm H$mo ~ZmE aIZo H$s `moOZm H$mo nwZar{jV {H$`m h¡&

• 7 {Xg§~a, 2016 H$mo ^m[a~¢ Zo 10 {Xg§~a, 2016 go àmaå^ nm{jH$ go à^mdr d¥{ÕH¥ V grAmaAma Amdí`H$Vm H$mo dmng boZo H$m {ZU©` {b`m h¡& g^r AZwgy{MV ~¢H$m| H$mo 16 {gV§~a, 2016 go 11 Zd§~a, 2016 Ho$ ~rM 26 Zd§~a, 2016 nm{jH$ go àma§^ EZS>rQ>rEb _| d¥{Õ Ho$ 100% d¥{Õerb ZH$Xr Ama{jV AZwnmV (grAmaAma) ~ZmE aIZo H$mo H$hm J`m h¡&

• 6 {Xg§~a, 2016 H$mo ^m[a~¢ Zo `h {ZU©` {b`m h¡ {H$ JŒmhH$ H$s Omo{I_ loUr Ho$ AmYma na Ano{jV gmdYmZr ~aVZo Ho$ ~mX ~¢H$mo§ _o§ pñWV CZHo$ {ZpîHŒ ` ImVmo§ _o§ n[aMmbZ H$s AZw_{V Xr Om gH$Vr h¡&

• {d{eîQ ~¢H$ ZmoQmo§ (Eg~rEZEg) Ho$ {d{YH$ _wÐm ñdê$n Ho$ AmhaU Ho$ H$maU Xo` G$U Ho$ g_` na nwZ^w©JVmZ _o§ {H$gmZmo§ Ûmam gm_Zm H$s Om ahr H${RZmB©`mo§ H$mo XoIVo hwE ^maV gaH$ma Zo ^m[a~¢ Ho$ nam_e© go 26 {Xg§~a, 2016 H$mo {OZ {H$gmZmo§ H$m \ gb G$U 1 Zd§~a, 2016 Am¡a 31 {Xg§~a, 2016 Ho$ ~rM \ gb G$U Xo` hmo ahm h¡, CÝho§ 3 à{VeV H$s Ëd[aV nwZ^w©JVmZ àmoËgmhZ hoVw 60 {XZmo§ H$s A{V[aº$ JŒog Ad{Y àXmZ H$aZo H$m {ZU©` {b`m h¡&

• 31 {Xg§~a, 2016 H$mo ^m[a~¢ Zo CZ àdmgr Am¡a J¡a àdmgr ZmJ[aH$mo§ hoVw {d{eîQ ~¢H$ ZmoQ (Eg~rEZ) Ho$ {d{Z_` hoVw gw{dYm H$s ewéAmV

38 dm{f©H$ [anmoQ>© 2016-17

from November 10 to December 30, 2016 on account of their absence from India during the aforementioned period.

• On a review of the pace of remonetisation, the RBI on January 30, 2017 decided to withdraw the Limits placed earlier on cash withdrawals from current accounts/cash credit accounts/overdraft accounts with immediate effect and effective from 13th March, 2017, there will be no limits prescribed by the RBI on cash withdrawals from Savings Bank Accounts.

• The RBI on February 2, 2017, amended the Master Circular relating to Basel III Capital Regulations - Additional Tier 1 Capital as under:Coupons must be paid out of ‘distributable items’.

In this context, coupon may be paid out of current year profits. However, if current year profits are not sufficient, coupon may be paid subject to availability of: (i) Profits brought forward from previous years, and/or (ii) Reserves representing appropriation of net profits, including statutory reserves, and excluding share premium, revaluation reserve, foreign currency translation reserve, investment reserve and reserves created on amalgamation.

• The RBI on March 20, 2017 placed the Draft Circular on “Master Directions on Issuance and Operation of Pre-paid Payment Instruments (PPIs) in India” on its website for public comments.

2. Macro-Economic Scenario in 2016-17

As per the second advance estimate of the CSO, India’s real GDP is expected to grow at 7.1% in the financial year 2016-17 compared to 7.9% growth in 2015-16.

As per advance estimates, the agricultural sector is expected to grow by 4.4% in FY17, as against a growth of 0.8% in previous year. On the other hand overall industry is expected to grow by 6.7% in FY17, down from 10.3% in FY16. The services sector including finance, insurance, real estate and business services sectors is likely to show growth of 7.2% in FY17, against 8.8% in FY16.

The Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation has revised the base year of all-India Index of Industrial Production (IIP) from 2004-05 to 2011-12 since March, 2017. As per the revised series, the IIP registered a growth of 5% during Apr-Mar 2016-17 (0.7% under the old series) over corresponding period of previous year. The index of Manufacturing, Mining and Electricity sector grew by 4.9%, 5.3% and 5.8% respectively during Apr-Mar 2016-17 over corresponding period of previous year. The index of Primary goods, Capital goods, Intermediate goods, Infrastructure/construction goods, Consumer Durables and Consumer non-durables registered growth of 4.9%, 1.9%, 3%, 3.8%, 6.2% and 9% respectively during Apr-Mar 2016-17.

H$s h¡ Omo 10 Zd§~a, 2016 go 30 {Xg§~a, 2016 Ho$ Xm¡amZ ^maV _o§ AZwnpñWV hmoZo Ho$ H$maU Cº$ gw{dYm H$mo àmßV Zht H$a nmE&

• {d_wÐrH$aU Ho$ n[aUm_ H$s g_rjm H$aZo Ho$ ~mX ^m[a~¢ Zo 30 OZdar, 2017 H$mo VËH$mb à^md go Mmby ImVm/ZH$X G$U ImVm/AmodaS—mâQ ImVm go ZH$Xr AmhaU na nyd© {ZYm©[aV gr_m H$mo dmng boZo H$m {ZU©` {b`m h¡ Am¡a `h 13 _mM©, 2017 go à^mdr hmoJm& ~MV ~¢H$ ImVm go ZH$Xr AmhaU hoVw ^m[a~¢ Zo H$moB© gr_m {ZYm©[aV Zht H$s h¡&

• ^m[a~¢ Zo 2 \$adar, 2017 H$mo ~mgbo III ny§Or {d{Z`_Z - A{V[aº$ Qm`a I ny§Or go g§~pÝYV _mñQa n[anÌ {ZåZdV h¡:

Hy$nZ H$m ^wJVmZ g§{dV[aV {H$E OmZo dmbo _Xmo§ go {H$`m OmZm Mm{hE& Bg g§X^© _o§ Hy nZ H$m ^wJVmZ Mmby df© Ho$ bm^ go {H$`m OmZm Mm{hE& VWm{n, AJa Mmby {dÎm df© H$m bm^ Hy$nZ Ho$ ^wJVmZ hoVw n`m©ßV Zht hmo Vmo ^r Hy$nZ H$m ^wJVmZ {H$`m Om gH$Vm h¡ ~eVo© {ZåZm§{H$V CnbãY hmo: (i) bm^ H$mo {dJV df© go bm`m J`m hmo Am¡a/ `m (ii) gm§{d{YH$ Ama{j{V`m± g{hV Am¡a eo`a àr{_`_, nwZ_y©ë`m§H$Z Ama{j{V`m±, {dXoer {d{Z_` A§VaU Ama{j{V`m±, {Zdoe Ama{j{V`m± Am¡a g_m_obZ Ûmam g¥{OV Ama{j{V`m± H$mo Nmo‹SH$a {Zdb bm^ Ho$ g_m`moOZ H$mo à{V{Z{YËd H$aZo dmbr Ama{j{V`m±&

• ^m[a~¢ Zo 20 _mM©, 2017 H$mo ^maV _o§ nyd©XÎm ^wJVmZ {bIVmo§ (nrnrAmB©) Ho$ {ZJ©_ Am¡a n[aMmbZ na S—mâQ gHw© ba H$mo OZ _ÝVì` Ho$ {bE AnZo do~gmBQ na àñVwV {H$`m h¡&

2. 2016-17 _o§ g_pîQ-Am{W©H n[aX¥í`

H|$Ðr` gm§p»`H$s` H$m`m©b` (grEgAmo) Ho$ A{JŒ_ àm¸ bZmo§ Ho$ AZwgma, ^maV H$s OrSrnr H$s dmñV{dH$ d¥{Õ , {dÎmr` df© 2015-16 H$s 7.9% H$s VwbZm _o§ {dÎmr` df© 2016-17 _o§ 7.1% ahZo H$s Cå_rX h¡&

A{JŒ_ AZw_mZ Ho$ AZwgma, {dÎm df© 2016 _o§ H¥ {f joÌ {nNbo df© H$s 0.8 % d¥{Õ H$s VwbZm _o§ 4.4% d¥{Õ H$s Amem h¡ & Xygar Va\ nyao CÚmoJ _o§ {dÎm df© 2016 H$s 10.3% H$s d¥{Õ {JaH$a {dÎm df© 2017 _o§ 6.7% d¥{Õ H$s Amem h¡ & {dÎm, ~r_m, ñWmda g§nXm g{hV godm joÌmo§ Am¡a H$mamo~ma godm joÌmo§ _o§ {dÎmr` df© 2016 Ho$ 8.8% Ho$ _wH$m~bo {dÎmr` df© 2017 _o§ 7.2% VH$ d¥{Õ hmoZo H$s g§^mdZm h¡&

H|$Ðr` gm§p»`H$s H$m`m©b` (grEgAmo), gm§p»`H$s Ed§ H$m`©H«$_ H$m`m©Ýd`Z _§Ìmb` Zo _mM©, 2017 go A{Ib maVr` Am¡Úmo{JH$ gyMH$m§H$ (AmB©AmB©nr) Ho$ _yb df© H$mo 2004-05 go 2011-12 g§emo{YV {H$`m h¡& g§emo{YV ûm§¥Ibm Ho$ AZwgma AmB©AmB©nr {dJV df© Ho$ VXZwê$nr Ad{Y H$s VwbZm _| (nwamZr ûm§¥Ibm Ho$ A§VJ©V 0.7%) Aà¡b-_mM© 2016-17 Ho$ Xm¡amZ 5% H$s d¥{Õ XO© H$s h¡& {Z_m©U, IOZ Am¡a {dÚwV joÌ H$m gyMH$m§H$ {dJV df© H$s VXZwê$nr Ad{Y Ho$ Xm¡amZ 4.9%, 5.3% VWm 5.8% VH$ ~T> JB©& Aà¡b _mM© 17 Ho$ Xm¡amZ ~w{Z`mXr _mb, ny§OrJV dñVw, _Ü`dVu _mb, _yb^yV g§aMZm/{Z_m©U dñVwE±, {Q>H$mD$ Cn^moŠVm dñVwAm| VWm J¡a {Q>H$mD$ Cn^moŠVm dñVwAm| _| H«$_e: 4.9%, 1.9, 3%, 38%, 6.2% VWm 9% H$s d¥{Õ XO© H$s JB©&


Retail inflation, based on Consumer Price Index (CPI), has been moderate during FY17, ended at 3.81% in Mar ’17 compared to 4.83% in the corresponding month of previous year. During 2016-17, the retail inflation based on CPI averaged 4.53%, lower than 4.91% inflation seen during 2015-16. Inflation based on Wholesale Price Index (WPI) stood at 5.70% in Mar’17 as compared to -0.45% during the corresponding month of the previous year. For the period Apr-Mar 2016-17, the inflation based on WPI averaged 3.68%, higher than the (-) 2.47% inflation seen in the corresponding period for the Apr-Mar 2015-16.

India’s cumulative value of exports during 2016-17 was $274.64 billion as against $262.29 billion during 2015-16, registering a growth of 4.71% over the previous year. The value of imports for the period Apr-Mar 2016-17 was $380.37 billion as against $381.01 billion during 2015-16, registering a negative growth of -0.17% over the same period last year. The trade deficit for Apr-Mar 2016-17 was estimated at $105.72 billion which was lower than the deficit of $118.72 billion during Apr-Mar 2015-16. India’s current account deficit (CAD) rose marginally to $7.9 billion (1.4% of GDP) in Q3’ FY17 as against $7.1 billion (1.4% of GDP) in the same period of 2015-16 and $3.4 billion (0.6% of GDP) in the preceding quarter. During Apr-Dec’16, however, the deficit halved to 0.7%, from 1.4% a year ago. During 2016-17, the country’s foreign exchange reserves rose to US $369.95 billion as on 31st Mar’17.

India’s Gross Fiscal Deficit (GFD) was contained at 3.5% in 2016-17. In the Union Budget 2017-18, the Government outlined the fiscal deficit (FD) target at 3.2% of GDP for FY18 and remain committed to achieve 3% in the following year.

As far as the overall economic outlook is concerned, the Indian economy is expected to grow at a faster rate in the financial year 2017-18. The RBI has projected the economy to grow at 7.4% in the financial year 2017-18, while Government of India, in the Economic Survey, projected the growth to be in the range of 6.75-7.5%.

3. Banking Trends in 2016-17

As per RBI data, Scheduled Commercial Banks (SCBs) credit growth decelerated to 5.08% in FY17 as against a growth of 10.7% of FY16. Outstanding credit stood at `78.81 lakh crore as on 31.03.2017. Deposits of Scheduled Commercial Banks’ (SCBs) grew by 11.75% in FY17 as against 9.1% in FY16, with outstanding deposits of `108.05 lakh crore as on 31.03.2017. Following this, the banks’ credit-to-deposit ratio had dropped to 72.9% compared to 77.6% a year ago period. The slowdown in credit growth was mainly contributed by a depressed investment cycle, persisting excess capacity in manufacturing, deleveraging on the part of corporates, stressed assets and capital constraint hindering the revival in the credit cycle.

JŒmhH$ _yë` gyMH$m§H$ (grnrAmB©) _o§ Am§H$s JB© IwXam _wÐmñ\$s{V {dÎm df© 2017 Ho$ Xm¡amZ gmYmaU ahr Am¡a {nNbo df© Ho$ g_mZ _mh H$s 4.83 % H$s VwbZm _o§ _mM© 2016 H$mo 3.81% na g_mßV hwB© & df© 2016-17 Ho$ Xm¡amZ grnrAmB© Ho$ AmYma na IwXam _wÐmñ\$s{V H$m Am¡gV 4.53% ahm Omo df© 2015-16 H$s _wÐmñ\$s{V Xa 4.91 % go H$_ h¡& WmoH$ _yë` gyMH$m§H$ na AmYm[aV _wÐmñ\$s{V {nNbo df© Ho$ g_mZ _mh Ho$ Xm¡amZ 5.70% H$s VwbZm _o§ _mM© 17 H$mo -0.45% ahr , Aà¡b-_mM© 2016-17 Ho$ Xm¡amZ SãbynrAmB© na AmYm[aV Am¡gV _wÐmñ\$s{V {nNbo df© H$s g_mZ Ad{Y Aà¡b-_mM© 2015-16 _mh Ho$ Xm¡amZ -2.47% H$s VwbZm _o§ ~‹TH$a 3.68% ahr&

Aà¡b-_mM© 2016-17 Ho$ Xm¡amZ ^maV Ho$ {Z`m©Vmo§ H$m g§M`r _yë`, 2015-16 Ho$ Xm¡amZ Ho$ 262.29 {~{b`Z H$s VwbZm _o§ 4.71% H$s d¥{Õ XO© H$aVo hwE df© 2016-17 Ho$ Xm¡amZ $274.64 {~{b`Z ahm & Am`mVmo§ H$m _yë`, Omo {nNbo df© 2015-16 H$s Bgr Ad{Y Ho$ Xm¡amZ 381.01 {~{b`Z Wm, 0.17% H$s ZH$mamË_H$ d¥{Õ A§{H$V H$aHo$ Aà¡b-_mM©, 2016-17 H$s Ad{Y Ho$ {bE 380.37 {~{b`Z ahm & Aà¡b-_mM©, 2016-17 Ho$ {bE ì`mnma KmQm, $105.72 {~{b`Z hmoZo H$m AZw_mZ h¡ Omo Aà¡b-_mM©, 2015-16 Ho$ $118.72 {~{b`Z Ho$ KmQo go H$_ h¡& ^maV H$m Mmby ImVm KmQm (grESr), {dÎm df© 2016-17 H$s Vrgar {V_mhr _o§ OrSrnr Ho$ 1.4% (7.1 {~{b`Z) VH$ gr{_V ahm& nhbr VrZ {V_m{h`mo§ Ho$ {bE Am¡gV grESr ñVa Aà¡b-{Xg§~a 2014 VH$ OrSrnr Ho$ 0.6% H$s VwbZm _o§ OrSrnr H$m H$ar~ 1.4% (3.4 {~{b`Z) h¡& VWm{n, Aà¡b - {Xg§~a 16 Ho$ Xm¡amZ KmQm KQH$a EH$ df© nhbo Ho$ 1.4% go KQH$a 0.7% hmo J`m& Xoe H$m {dXoer _wÐm ^§Sma 31 _mM©, 2017 H$mo `yEg $ 369.95 {~{b`Z VH$ nhw±M J`m&

^maV H$m gH$b {dÎmr` KmQm df© 2016-17 _o§ 3.5% na ~Zm ahm& 2016-17 Ho$ g§Kr` ~OQ _o§ gaH$ma Zo {dÎm df© 2017-18 hoVw {dÎmr` KmQo bú` H$mo OrSrnr Ho$ 3.2% VH$ bmZo H$s ê$naoIm ~ZmB© h¡ Am¡a AmJm_r df© _o§ 3% Ho$ bú` H$mo àmßV H$aZo hoVw à{V~Õ h¡&

Ohm± VH$ nyao Am{W©H$ n[aX¥í` H$m gdmb h¡, {dÎm df© 2017-18 Ho$ Xm¡amZ ^maVr` AW©ì`dñWm H$m Xw{Z`m H$s {H$gr ^r AÝ` à_wI AW©ì`dñWm go A{YH$ VrdŒ J{V go d¥{Õ H$aZo H$s g§^mdZm h¡ & ^m[a~¢ Zo {dÎm df© 2017-18 _o§ àjo{nV AW©ì`dñWm gd}jU _o§ 7.4% H$s d¥{Õ H$m AZw_mZ bJm`m h¡ O~{H$ ^maV gaH$ma Zo Am{W©H$ gdo© _o§ d¥{Õ 6.75 - 7.5% Ho$ ~rM hmoZo H$m AZw_mZ bJm`m h¡&

3. 2016-17 _o§ ~¢qH J àd¥{Îm`m±

^m[a~¢ Am§H$‹Sm Ho$ AZwgma AZwgy{MV ì`mdgm{`H$ ~¢H$mo (Eggr~r) Ho$ G$U _o§ d¥{Õ {dÎmr` df© 16 Ho$ 10.7% Ho$ _wµH$m~bo {dÎmr` df© 17 _o§ KQH$a 5.08% ahr& ~H$m`m G$U 31.03.2017 H$mo `78.81 bmI H$amo‹S hmo J`m& AZwgy{MV ì`mdgm{`H$ ~¢H$mo (Eggr~r) H$s O_m {dÎmr` df© 16 Ho$ 9.1% go ~‹TH$a {dÎmr` df© 17 _o§ 11.75% hmo J`m& 31.03.2017 H$mo eof O_m `108.05 bmI H$amo‹S hmo J`m& \ bñdê$n, ~¢H$ H$m G$U O_m AZwnmV EH$ df© nyd© Ho$ 77.6% go {JaH$a 72.9% hmo J`m h¡& G$U d¥{Õ _o§ Bg H$_r Ho$ H$maU h¢ _§X {Zdoe MHŒ , {Z_m©U _o§ A{V[aº$ j_Vm H$m ~Zo ahZm, Z¡J_mo§ Ho$ é{M _o§ H$_r hmoZm, X~mdJŒñV AmpñV`m± Am¡a G$U MHŒ H$s J{V _o§ ~mYH$ ny§Or AdamoY h¡&

40 dm{f©H$ [anmoQ>© 2016-17

As far as the interest rates are concerned, the RBI had reduced the repo rate by 50 bps in 2016-17 in two tranche i.e., 25 bps on 5th April, 2016 and again 25 bps on 4th October, 2016 bringing the Repo rate down to 6.25%. The RBI had decided to hold the policy rate in the December 2016 and February 2017 meetings of its bi-monthly schedule.

Monetary policy transmission strengthened in H2 of 2016-17, aided by the surge of liquidity post demonetisation. The median term deposit rate and the weighted average domestic term deposit rate (WADTDR) fell by 37 bps and 32 bps, respectively, during November 2016-March 2017. Combined with the sharp increase in CASA deposits, the overall cost of borrowings declined, creating space for banks to cut their marginal cost of funds based lending rates (MCLRs). The one-year median MCLR declined by a cumulative 70 bps since November 2016, even as the policy rate remained unchanged. This is significant, given that the decline during the preceding seven months (April-October 2016) – when the repo rate was cut by 50 bps – was only 15 bps.

G-sec yields moved in either direction, driven by different factors. While the announcement of a policy rate cut in October and demonetisation imparted a softening bias, portfolio outflows from the debt market following the tightening of monetary policy in the US, liquidity absorption measures of RBI post demonetization, the status quo on monetary policy by the in December and the shift in the monetary policy stance in February 2017 to neutral hardened yields.

As far as liquidity condition is concerned, the RBI injected permanent liquidity to the tune of `1.9 trillion during April-October 2016, primarily through open market purchase auctions of `1.1 trillion. Following the announcement of demonetisation on November 8, 2016, the liquidity conditions have undergone large shifts. This sudden increase in liquidity in the banking system necessitated a significant step up in the liquidity absorption operations by the Reserve Bank so that money market rates remained consistent with the policy repo rate. The peak level of liquidity absorbed reached `7,956 billion on January 4, 2017. In Q4, remonetisation progressed at an accelerated pace, with currency in circulation increasing cumulatively and this has reduced the liquidity surplus in the system to `3,141 billion by end-March 2017.

The change in the monetary policy stance from accommodative to neutral in February 2017 has altered market expectations, but the transmission of past cumulative 175 bps cut in the repo rate to lending rates remains incomplete. Resolution of stressed assets and recapitalization of public sector banks will be critical to ease risk aversion by banks. This will enhance the flow of credit to productive sectors and also improve monetary policy transmission.

Ohm± VH$ ã`mO Xa H$s ~mV h¡, ^m[a~¢ Zo df© 2016-17 _o§ [anmo aoQ _o§ 50 AmYma {~ÝXw AWm©V 5 Aà¡b 2016 _o§ 25 AmYma {~ÝXw Am¡a 4 Aº$y~a, 2016 _o§ 25 AmYma {~ÝXw H$mo H$_ H$aVo hwE [anmo aoQ H$mo KQmH$a 6.25% H$a {X`m J`m h¡& ^m[a~¢ Zo {Xg§~a, 2016 Am¡a \ adar, 2017 _o§ Am`mo{OV {Û_m{gH$ ~¡RH$mo§ _o§ nm°{bgr aoQ H$mo ~ZmE aIZo H$m {ZU©` {b`m&

_m¡{ÐH$ Zr{V g§MaU {d_wÐrH$aU Ho$ Cnam§V VabVm Ho$ àdmh Ho$ H$maU 2016-17 Ho$ Xygao N_mhr _o§ _O~yV hwAm h¡& _Ü`md{Y O_m Xa Am¡a ^m[aV Am¡gV Kaoby O_m Xa (Sãë`yESrQrSrAma) Zd§~a, 2016 Am¡a _mM©, 2017 Ho$ Xm¡amZ H«$_e: 37 AmYma {~ÝXw Am¡a 32 AmYma {~ÝXw {Ja J`m& H$mgm O_m _o§ VrdŒd¥{Õ Ho$ gmW CYma Ho$ g_JŒ bmJV _o§ {JamdQ AmB© h¡ {Oggo {Z{Y AmYm[aV CYmaH$mar Xa Ho$ AnZo gr_m§V bmJV _o§ ~¢H$mo§ Ûmam H$Qm¡Vr {H$E OmZo Ho$ H$maU [aº$ ñWmZ g¥{OV hwAm h¡& EH$ df© H$s _Ü`md{Y E_grEbAma _o§ nm°{bgr aoQ _o§ n[adV©Z Zht hmoZo Ho$ ~m~OyX ^r Zd§~a, 2016 go g§M`r 70 AmYma {~ÝXw H$s {JamdQ AmB© h¡& `h C„oIZr` h¡ {H$ {dJV gmV _mh (Aà¡b - Aº$y~a 2016) Ho$ Xm¡amZ O~ [anmo aoQ _o§ 50 AmYma {~ÝXw H$s H$Qm¡Vr H$s JB© Wr, V~ `h _mÌ 15 AmYma {~ÝXw Wm&

{d{^Þ H$maH$mo§ Ûmam à^m{dV hmoZo Ho$ H$maU gaH$mar à{V^y{V na AO©Z XmoZmo§ {XemAmo§ _o§ hmo gH$Vm h¡& Aº$y~a _o§ nm°{bgr aoQ H$Qm¡Vr H$s KmofUm Am¡a {d_wÐrH$aU, `yEg _o§ _m¡{ÐH$ Zr{V _o§ g»Vr Ho$ \$bñdê$n H$O© ~mOma _o§ g§{d^mJ A§Và©dmh, {d_wÐrH$aU Ho$ ~mX ^m[a~¢ VabVm H$mo gmoIZo H$m Cnm`, {Xg§~a _o§ _m¡{ÐH$ Zr{V _o§ `Wm pñW{V H$mo ~ZmE aIZm Am¡a \ adar 2017 _o§ _m¡{ÐH$ Zr{V _o§ VQñW T¥T AO©Z hoVw n[adV©Z &

Ohm± VH$ VabVm pñW{V H$m àý h¡, ^m[a~¢ Zo 1.1 {Q—{b`Z H$s Iwbm ~mOma IarX Zrbm_r Ho$ _mÜ`_ go àW_V: Aà¡b - Aº$y~a 2016 Ho$ Xm¡amZ 1.9 {Q—{b`Z Ho$ ~am~a ñWmB© VabVm H$mo g_m{dîQ {H$`m h¡& 8 Zd§~a, 2016 H$mo {d_wÐrH$aU H$s KmofUm Ho$ ~mX VabVm pñW{V _o§ ì`mnH$ n[adV©Z hwAm& ~¢qH$J àUmbr _o§ VabVm _o§ AmH$pñ_H$ d¥{Õ Ho$ H$maU [aOd© ~¢H$ Ûmam VabVm gmoIZo hoVw C„oIZr` H$X_ CRm`m OmZm Amdí`H$ hmo J`m Wm Vm{H$ _wÐm ~mOma Xa H$mo nm°{bgr [anmo Xa Ho$ AZwê$n aIm Om gHo$& 4 OZdar, 2017 H$mo VabVm `7,956 {~{b`Z Ho$ erf© ñVa na nhw±M J`m& 4Wr {V_mhr _o§ ZmoQmo§ Ho$ n[aMmbZ _o§ d¥{Õ Ho$ H$maU nwZ: _wÐrH$aU H$mo VoOr go bm`m J`m Am¡a _mM©, 2017 Ho$ A§V VH$ `3,141 {~{b`Z H$mo A{V[aº$VabVm H$mo H$_ {H$`m J`m&

\ adar 2017 _o§ gw{dYmË_H$ go VQñW pñW{V hoVw _m¡{ÐH$ Zr{V _o§ n[adV©Z Zo ~mOma àË`mem H$mo n[ad{V©V H$a {X`m h¡ {H$ÝVw [anmo aoQ _o§ JV g§M`r 175 AmYma {~ÝXw H$m A§VaU AYyam ahVm h¡& X~mdJŒñV AmpñV`m± Am¡a gmd©O{ZH$ ~¢H$mo§ H$m ny§OrH$aU ~¢H$mo§ Ûmam Omo{I_ {ZdmaU H$mo AmgmZ H$aZm O{Qb hmo J`m h¡& `h CËnmXH$ joÌmo§ _o§ G$U Ho$ àdmh H$mo ~‹TmEJm Am¡a _m¡{ÐH$ Zr{V g§MaU _o§ gwYma bmEJm&


4. Bank’s Operational Performance

4.1 Deposit Mobilisation

4.1.1 During the year 2016-17 emphasis was on CASA growth and also reducing the share of bulk deposits in total deposit of the Bank. With this motive 2 savings mobilisation drives namely SB Premier League and Outreach campaign were organised. The Bank has mobilised `259.53 crore from 5,91,929 new accounts through these drives.

4.1.2 The Bank had taken a conscious decision & initiated steps to reduce dependence on bulk deposits and to concentrate in mobilising retail deposits. The ratio of Bulk deposits (including CDs) to the total deposits stood at `93,394 crore (45.52%) as at the end of March’16. During the year, the ration has come down to `84,789 (38.44%) as at 31st March, 2017. In absolute terms, the Bulk deposits have come down by 8605 crore, while retail term deposits have registered a growth of `11039 crore (16.64%) from `66,358 crore to `77,397 crore during the said period.

4.2 Performance Highlights

i. The total deposits of the bank including Certificate of Deposits (CDs) and Bank Deposits reached a level of `2,20,559.62 Crore as at 31st March, 2017, registering year-on-year growth of `15,388.78 Crores at 7.50%.

ii. Current deposit stood at `18,630.76 Crore as against `14,556.83 Crore in the previous year. Average current deposit grew by 23.45% with a net accretion of `2068.97 Crore and stood at `10891.96 Crore.

iii. Saving deposit reached `39,743.60 Crore as against `30,862.88 Crs in the previous year with net accretion of `8,880.72 crores at 28.77% Y-O-Y growth. Average saving deposit grew by 28% with a net accretion of `7,445.85 crores and stood at `34,040.99 Crore.

iv. The share of CASA deposits in total deposits stood at 26.47%.

v. Average CASA Grew by 26.86% with a net accretion of `9514.82 crores and stood at `44,932.95 Crore.

vi. Term deposits (excluding CDs and interbank deposits) reached a level of `1,58,261.43 Crore as compared to `1,32,694.82 Crore in the previous year.

vii. Bulk deposits (excluding CDs and interbank deposits) stood at `80,984.51 crore as against `66,405.46 crore with an increase of 21.95%.

viii. The average deposits of the bank increased by `17,637 Crore and stood at 2,09,248 Crore as at 31st March, 2017 recording a growth of 9.20% Y-O-Y.

ix. The Bank has added 59,85,175 new deposit accounts during the year of which 32,03,801 new accounts have been added under demand deposits.

4. ~¢H H m n[aMmbZJV {ZînmXZ

4.1 O_m g§JŒhU

4.1.1 df© 2016-17 Ho$ Xm¡amZ H$mgm d¥{Õ Ed§ ~¢H$ H$s Hw b O_mAmo§ _o§ WmoH$ O_mAmo§ Ho$ {hñgo H$mo H$_ H$aZo na Omoa {X`m J`m & Bg CÔoí` go 2 ~MV g§JŒhU A{^`mZ, Eg~r àr{_`a brJ Am¡a AmD$QaoM A{^`mZ MbmE JE & BZ A{^`mZmo§ go ~¢H$ Zo 5,91,929 ZE ImVmo§ _o§ `259.53 H$amo‹S H$m g§JŒhU {H$`m &

4.1.2 ~¢H$ Zo WmoH$ O_mAmo§ na {Z^©aVm H$mo H$_ H$aZo VWm IwXam O_mAmo§ Ho$ g§JŒU hoVw H$X_ CRmZo H$m EH$ gOJ {ZU©` {b`m h¡& _mM© 2016 H$s g_mpßV na Hw b O_mAmo§ _o§ WmoH$ O_mE± (grSr g{hV) `93,546 H$amo‹S (45.5%) Wt& df© Ho$ Xm¡amZ 31 _mM© 2017 H$mo ~¢H$ Bgo KQmH$a `84,789 H$amo‹S (38.34%) VH$ H$a nm`m h¡& _yb ê$n go WmoH$ O_mE± 8,274 H$amo‹S H$_ hwB© VWm Bgr Ad{Y _o§ IwXam gmd{Y O_m 11,039 H$amo‹S (16.64%) H$s d¥{Õ Ho$ gmW 66,358 H$amo‹S go 77,397 H$amo‹S hmo JB©&

4.2 {ZînmXZ H r à_wI {d{eîQVmE§

i) O_m à_mUnÌ (grSr) g{hV ~¢H$ H$s Hw b O_mam{e`m±, 31 _mM©, 2017 H$mo `2,20,559.62 H$amo‹S VH$ nhw§Mr {Og_o§ 7.50% H$s d¥{Õ Xa go `15,388.78 H$amo‹S H$s df©-Xa-df© d¥{Õ XO© H$s JB©&

ii) Mmby O_mam{e`m± {nNbo df© Ho$ `14,556.83 H$amo‹S H$s VwbZm _o§ `18,630.76 H$amo‹S Ho$ ñVa na aht& `2068.97 H$amo‹S H$s {Zdb d¥{Õ Ho$ gmW Am¡gV Mmby O_m am{e`m± 23.45% ~‹TH$a `10891.96 H$amo‹S aht &

iii) ~MV O_mam{e`m± 28.77% H$s df©-Xa-df© d¥{Õ Xa go `8,880.72 H$amo‹S H$s {Zdb d¥{Õ Ho$ gmW {nNbo df© Ho$ `30,862.88 H$amo‹S Ho$ ñVa go `39,743.60 H$amo‹S VH$ nhw±Mt & `7,445.85 H$amo‹S H$s {Zdb d¥{Õ Ho$ gmW Am¡gV ~MV O_m am{e`m± 28% ~‹TH$a `34,040.99 H$amo‹S aht &

iv) Hw b O_m am{e`mo§ _o§ H$mgm O_m am{e`mo§ H$m {hñgm 26.47% ahm &

v) Am¡gV H$mgm 26.86% H$s d¥{Õ Xa Ho$ gmW `9514.82 H$amo‹S ~‹TVo hwE `44,932.95 H$amo‹S hmo J`m&

vi) _r`mXr O_m am{e`m± (grSr Am¡a A§Va-~¢H$ O_mam{e`mo§ H$mo Nmo‹SH$a) {nNbo df© Ho$ `1,32,694.82 H$amo‹S H$s VwbZm _o§ `1,58,261.43 H$amo‹S hmo JB©§ &

vii) WmoH$ O_m am{e`m± (grSr Am¡a A§Va-~¢H$ O_mam{e`mo§ H$mo Nmo‹SH$a) `66,490 H$amo‹S go 21.80% H$s {JamdQ Ho$ gmW `66,405.46 H$amo‹S aht &

viii) ~¢H$ H$s Am¡gV O_m 9.20% df©-Xa-df© d¥{Õ XO© H$aVo hwE `17,637 H$amo‹S H$s d¥{Õ Ho$ gmW 31 _mM©, 2017 H$mo 2,09,248 H$amo‹S hmo JB© &

ix) ~¢H$ Zo df© Ho$ Xm¡amZ 32,03,801 ZE ImVo g§JŒhrV {H$E {OZ_o§ 59,85,175 ZE ImVo _m§J O_m am{e`mo§ Ho$ AÝVJ©V Imobo JE &

42 dm{f©H$ [anmoQ>© 2016-17

x. Cost of Deposit for 2016-17 stood at 6.74% as against 7.51% during 2015-16.

4.3 Credit Growth

4.3.1 The credit portfolio of the Bank increased from the level of `1,40,322.24 crore as at 31.03.2016 to `1,40,356.79 crore as at 31.03.2017, with an absolute growth of `34.55 crore at 0.02% during the financial year ended 31.03.2017.

4.3.2. The average advances shrink by `6,762 crore from the level of `1,41,544 crore as at March 2016 to `1,34,782 crore as at March 2017, registering a degrowth of 4.78%. The CD ratio as on 31.03.2017, stood at 63.64%.

4.3.3 Infrastructure Lending

The Bank has been endeavoring to participate more in the nation building activities by extending credit to infrastructure sector. As at 31.03.2017, Bank’s credit to Infrastructure stood at `21178 crore, which constitutes 15.09% of the aggregate credit.

4.4 Priority Sector Lending

4.4.1 Sectorial Deployment

4.4.1.1 The total amount of credit deployed to Priority sectors has grown by `3050 crore from ` 57,554 crore as at 31.3.2016 to ` 60604 crore as at 31.3.2017, The Priority sector advances of the bank stood at 42.75% of the Adjusted Net Bank Credit [ANBC] as against the regulatory target of 40% of ANBC fixed by RBI.

4.4.1.2 Bank’s performance vis-à-vis regulatory target is furnished in the table below:

ParameterTargets Stipulated

by RBI (as % of ANBC)

% to ANBC

March ’17

Total Priority Sector 40% 42.75

Total Agriculture 18% 18.16

SF/MF 8% 9.03

Micro Enterprises 7.5% 7.55Credit Flow to Weaker Section

10% 11.70

4.4.1.3 Credit extended to Agriculture sector stood at ` 22303 crore as at March 2017 recording Y-O-Y growth of ` 2832 crore [14.54%]. Bank has achieved the Regulatory target of 18% of ANBC for March ending 2017. The share of total agriculture advances as percentage of ANBC increased by 1.6% reached a level of 18.16% as at 31.03.2017 from the level of 16.56% of ANBC as at March 2016. Under Special Agriculture Credit Plan (SACP), the Bank has disbursed ` 13775 crore during the year 2016-17 against the disbursement target of ` 11000 crore (125% achievement).

x) 2016-17 hoVw O_m am{e`mo§ H$s bmJV 2015-16 Ho$ Xm¡amZ 7.51% Ho$ _wH$m~bo 2016-17 _o§ 6.74% ahr &

4.3 G$U g§d¥{Õ

4.3.1 ~¢H$ H$m G$U g§{d^mJ 31.03.2016 Ho$ `1,40,356.79 H$amo‹S go 31.03.2017 H$mo `1,40,322.24 H$amo‹S VH$ KQ J`m, Am¡a 31.03.2017 H$mo g_mßV {dÎm df© Ho$ Xm¡amZ 0.02% H$s Xa go `34.55 H$amo‹S VH$ g_JŒ {JamdQ hwB© &

4.3.2 Am¡gV A{JŒ_mo§ _o§ `6,762 H$amo‹S H$s {JamdQ hwB© Omo _mM© 2016 Ho$ `1,41,544 H$amo‹S go 4.78% H$s õmg Xa Ho$ gmW _mM© 2017 H$mo `1,34,782 H$amo‹S hmo JE& 31.03.2017 H$mo G$U-O_m AZwnmV 63.64% ahm&

4.3.3 AmYma^yV g§aMZm G$U…

AmYma^yV g§aMZm joÌ H$mo G$U XoVo hwE ~¢H$, amîQ— {Z_m©U H$s J{V{d{Y`mo§ _o§ A{YH$ ^mJrXmar H$m à`mg H$aVm ahm h¡& 31.03.2017 H$mo ~¢H$ H$m AmYma^yV g§aMZm G$U `21178 H$amo‹S Wm Omo g_JŒ G$U H$m 15.09% h¡&

4.4 àmW{_H Vm àmßV joÌ G$U

4.4.1 joÌJV A{^{Z`moOZ

4.4.1.1 G$U Ho$ ê$n _o§ àmW{_H$Vm àmßV joÌ _o§ A{^{Z`mo{OV Hw b am{e `3050 H$amo‹S H$s d¥{Õ XO© H$aVo hwE 31 _mM©, 2016 Ho$ 57,554 H$amo‹S go ~‹TH$a 31 _mM©, 2017 H$mo 60604 H$amo‹S hmo JB©& ~¢H$ Ho$ àmW{_H$Vm àmßV joÌ A{JŒ_, g_m`mo{OV {Zdb ~¢H$ G$U Ho$ 40% Ho$ ^maVr` [aµOd© ~¢H$ Ho$ _mZX§S Ho$ _wH$m~bo g_m`mo{OV {Zdb ~¢H$ G$U H$m 42.75% ahm&

4.4.1.2 {Z`m_H$ bú`mo§ Ho$ gmnoj ~¢H$ H$m {ZînmXZ Vm{bH$m _o§ d{U©V h¡:

_mZX§S^m[a~§¡ Ûmam {ZYm©[aV bú` (EEZ~rgr H$m

%)

EEZ~rgr H$m %

_mM© 17Hw b àmW{_H$Vm joÌ 40% 42.75

Hw b H¥ {f 18% 18.16

EgE\ /E_E\ 8% 9.03

gyú_ CÚ_ 7.5% 7.55

H$_Omoa joÌ H$mo G$U àdmh

10% 11.70

4.4.1.3 _mM© 2017 H$mo H¥${f joÌ _o§ A{^{Z`mo{OV G$U `2832

H$amo‹S (14.54%) H$s df©-Xa-df© d¥{Õ Ho$ gmW `22303 H$amo‹S ahm&

EEZ~rgr Ho$ à{VeV Ho$ Vm¡a na H¥ {f G$Umo§ H$m {hñgm 1.6% ~‹TH$a _mM©

2016 Ho$ EEZ~rgr Ho$ 16.56% go 18.16% hmo J`m & {d{eîQ H¥${f G$U

`moOZm (EgEgrnr) Ho$ AÝVJ©V ~¢H$ Zo 11,000 H$amo‹S Ho$ g§{dVaU bú` Ho$

gmnoj `13775H$amo‹S H$m g§{dVaU {H$`m (125% CnbpãY)


4.4.1.4 Whereas, Lending to Small and Marginal farmers has shown a growth of `1776 crore (14.60%) over previous year [`12157 crore] to reach a level of `13933 crore. Bank has also achieved the regulatory target of 8% of ANBC in lending to Small and Marginal farmers by reaching a level of 9.03% of ANBC as at March 2017.

4.4.1.5 During the FY 2016-17, Micro, Small and Medium enterprises (MSME) portfolio has increased from `26987 crore as on 31.03.2016 to 27724 crore as on 31.03.2017, registering a growth of `737 crore (2.73%). The advances under Micro Enterprises increased from `10833 crore as on March 2016 to `11640 crore as on March 2017 showing a growth of `807 crore (7.45%) and has surpassed the regulatory target of 7.55% of ANBC against the regulatory target of 7.50% of ANBC.

4.4.1.6 Our Bank surpassed the target under MUDRA for Financial year 2016-17 by disbursing ` 1557.90 crore as against the target of ` 1500 crore.

4.4.1.7 Bank has enabled online loan application facility for MSME customers. Online facility is also enabled for Revival and Rehabilitation of MSME.

4.4.1.8 Bank has won “BEST SOCIAL BANKING EXCELLENCE AWARD 2016” by winning three awards instituted by The Associated Chambers of Commerce & Industry of India (ASSOCHAM) under the following categories:

1. Agricultural Banking for Large – Sized Bank – Runner up,

2. Rural Banking category for Large – Sized Bank – Runner up,

3. Social Bank category for Large – Sized Bank – Runner up.

The Awards was received by Shri. Jai Kumar Garg, Managing Director & CEO from Shri. Arjun Ram Meghwal, Hon’ble Minister of State for Finance, GoI.

4.4.1.9 Bank has also won four awards during the financial year 2016-17 under MSME lending:

1. “Best MSME Bank Award 2016” instituted by The Associated Chambers of Commerce & Industry of India (ASSOCHAM).

2. “National MSME Excellence Award 2017” organized by the Federation of Industry, Trade & Services [FITS].

And two awards for the year 2016 instituted by Chamber of Indian Micro Small & Medium Enterprises [CIMSME] under the following categories:

3. Eco-Technology Savvy Bank Award – Winner [Mid-Sized Category].

4. Best MSME Bank Award – Runner-Up (Mid-Sized Category).

4.4.1.4 bKw Am¡a gr_m§V {H$gmZmo§ H$mo G$U {nNbo df© Ho$ `12157 H$amo‹S go `1776 H$amo‹S (14.60%) ~‹TH$a ` 13933 H$amo‹S Ho$ ñVa na nhw§M J`m h¡ & ~¢H$ Zo _mM© 2017 H$mo bKw Am¡a gr_m§V {H$gmZmo§ hoVw EEZ~rgr Ho$ 9.03% H$m ñVa àmßV H$a EEZ~rgr Ho$ 8% H$m {Z`m_H$ bú` àmßV H$a {b`m h¡ &

4.4.1.5 àmW{_H$Vm joÌ Ho$ AÝVJ©V gyú_, bKw Am¡a _Ü`_ CnH«$_mo§ (E_EgE_B©) hoVw G$U 31.03.2016 Ho$ `26987 H$amo‹S `737 H$amo‹S (2.73%) ~‹TH$a 31.03.2017 H$mo `27724 H$amo‹S Ho$ ñVa na nhw§M J`m & gyú_ CnHŒ _mo§ _o§ ~¢H$ _mM© 2016 _o§ 10833 H$amo‹S Ho$ ñVa go `807 H$amo‹S (7.45%) H$s d¥{Õ H$a `11640 H$amo‹S na nhw±M J`m Am¡a EEZ~rgr Ho$ 7.50% Ho$ {Z`m_H$ bú` H$s VwbZm _o 7.55% na nhw±M J`m &

4.4.1.6 h_mao ~¢H$ Zo {dÎmr` df© 2016-17 hoVw _wÐm Ho$ A§VJ©V 1557.90 H$amo‹S g§{dV[aV H$a ` 1500 H$amo‹S Ho$ bú` H$mo àmßV H$a {b`m h¡&

4.4.1.7 ~¢H$ Zo E_EgE_B© JŒmhH$mo§ Ho$ {bE Am°Z bmBZ G$U AmdoXZ gw{dYm àmaå^ {H$`m h¡ & `h Am°Z bmBZ gw{dYm E_EgE_B© Ho$ OrUmo©Õma Ed§ nwZdm©g Ho$ {bE ^r h¡&

4.4.1.8 ~¢H$ Zo Egmo{gEQoS Moå~g© Am\ H$m_g© EÊS B§SñQ—r Am\ B§{S`m (EEgEgAmogrEMEE_) Ûmam ñWm{nV {ZåZ lo{U`mo§ _o§ VrZ nwañH$ma OrVH$a ""gd©loîR gm_m{OH$ ~¢H$ CËH¥ îRVm nwañH$ma 2016'' ^r OrVm…

1. ~¥hV AmH$ma Ho$ ~¢H$mo§ hoVw H¥ {f ~¢qH$J - Cn{dOoVm &

2. ~¥hV AmH$ma Ho$ ~¢H$mo§ hoVw JŒm_rU ~¢qH$J - Cn{dOoVm &

3. ~¥hV AmH$ma Ho$ ~¢H$mo§ hoVw gm_m{OH$ ~¢H$ - Cn{dOoVm&

`h nwañH$ma lr O` Hw _ma JJ©, à~§Y {ZXoeH$ Ed§ grB©Amo Zo lr AOw©Z am_ _oKdmb, _mZZr` {dÎm amÁ` _§Ìr , ^maV gaH$ma go àmßV {H$`m&

4.4.1.9 ~¢H$ Zo E_EgE_B© CYma Ho$ A§VJ©V {dÎmr` df© 2016-17 Ho$ Xm¡amZ {ZåZm§{H$V Mma nwañH$ma àmßV {H$`m:

1. Egmo{gEQoS Moå~g© Am\ H$m_g© EÊS B§SñQ—r Am\ B§{S`m (EEgEgAmogrEMEE_) Ûmam gñWm{nV ~oñQ E_EgE_B© ~¢H$ AdmS© 2016&

2. B§SñQ—r, Q—oS EìZ g{d©g (E\$AmB©QrEg) Ho$ \o$SaoeZ Ûmam Am`mo{OV ZoeZb E_EgE_B© CËH¥ îQVm nwañH$ma 2017&

~¢H$ Zo df© 2016 hoVw M¢~a Am°\ B§{S`Z _mBHŒ mo ñ_mb E§S _r{S`_ B§QaàmBOoµO (grAmB©E_EgE_B©) Ûmam {ZåZm§{H$V lo{U`mo§ _o§ nwañH$ma àmßV {H$`m:

3. BH$mo-QoŠZmobmoOr godr ~¢H$ AdmS© - {dOoVm (_Ü`_ AmH$ma loUr)

4. ~oñQ E_EgE_B© ~¢H$ AdmS© - Cn{dOoVm (_Ü`_ AmH$ma loUr)

44 dm{f©H$ [anmoQ>© 2016-17

4.5 Social Lending

4.5.1 Dispensation of Credit under various Government Sponsored Social Lending/Poverty Alleviation Schemes and to Weaker sections of the society was given due importance so as to fulfill the Bank's socio- economic obligations.

4.5.2 The total credit flow to Self Help Groups (SHGs) & Joint liability Groups (JLGs) has increased from ` 1789 crore as at 31.03.2016 to ` 2103 crore as at 31.03.2017 by registering a growth of ` 314 crore (17.55%). Bank encouraged direct lending to Women Self Help Groups. Credit to Women Self Help Groups (SHGs) & Joint liability Groups (JLGs) stood at ` 1879.44 crore as at 31.03.2017 compared to ` 1473.16 crore as at 31.03.2016 with a growth of ` 406.28 crore (27.57%).

4.5.3 Advances to Weaker sections stood at ` 18051 crore forming 11.70% of ANBC as at 31.03.2017 as against the target of 10% of ANBC.

4.5.4 Finance to women beneficiaries stood at ` 10425 crore as at 31.3.2017 as against ` 9290 crore as at 31.03.2016 and registered Y-o-Y growth of ` 1135 Crore (12.22%). As at 31.03.2017, out of the Total Priority Sector credit of ` 60604 Crore, the outstanding credit to Scheduled Caste/Scheduled Tribe is ` 1276 crore.

4.5.5 Credit exposure to minority Communities stood at ` 8285 crore and reached a level of 13.67% of Priority Sector advances as at March 2017.

4.6 Retail Lending

4.6.1 Retail Loans has been one of the focus areas of the Bank for the past few years and it continues to be a focus area of the Bank for the year 2016-17.

Tailor made retail loans viz. housing, vehicle, education, personal loans, small business loans, etc. are marketed under the brand name “Corp Schemes”. The portfolio under Corp Schemes as on 31.03.2017 stood at ` 29639 crore as against ` 27330 crore as on 31.03.2016. The Y-o-Y growth during FY 2016-17 is ` 2309 crore (8.4%) as against Y-o-Y growth of ` 3130 crore (12.9%) registered during FY 2015-16.

4.6.2 Special promotional campaigns/events conducted during the year are :

A promotional campaign “Corp Rental Abhiyan [CRA]” was in operation from 15.02.2016 to 15.06.2016 wherein 0.50% concession in rate of interest was offered to fresh loans sanctioned under Corp Rental Scheme.

‘Monsoon Offer – 2016’ a promotional campaign was in operation for 4 months from 01.06.2016 to 30.09.2016 with concessional processing charges under Corp Home, Corp Vehicle (Personal Segment), Corp Vyapar and Corp Doctor Plus Schemes.

4.5 gm_m{OH G$U

4.5.1 gaH$ma Ûmam àm`mo{OV {d{^Þ gm_m{OH$ G$U/Jar~r CÝ_ybZ `moOZmAmo§ VWm g_mO Ho$ H$_µOmoa dJmoª H$mo G$U Ho$ {dVaU H$mo n`m©ßV _hËd {X`m J`m Vm{H$ ~¢H$ H$s gm_m{OH$ Am{W©H$ ~mÜ`VmE± nyar hmo§&

4.5.2 ñd`§ ghm`Vm g_yh (EgEMOr) Am¡a g§`wº$ Xm{`Ëd g_yh (OoEbOr) H$mo G$U àdmh 31.03.2016 Ho$ 1789 H$amo‹S go 314 H$amo‹S (17.55%) H$s d¥{Õ XO© H$a 31.03.2017 H$mo 2103 H$amo‹S hmo J`m & ~¢H$ Zo _{hbm ñd§` ghm`Vm g_yhmo§ H$mo àmoËgm{hV {H$`m h¡ & _{hbm ñd`§ ghm`Vm g_yh (EgEMOr) Am¡a g§`wº Xm{`Ëd g_yh (OoEbOr) H$mo Hw$b G$U 31.03.2016 Ho$ `1473.16 H$amo‹S go `406.28 H$amo‹S (27.57%) H$s d¥{Õ Ho$ gmW `1879.44 H$amo‹S hmo J`m &

4.5.3 H$_Omoa dJ© H$mo G$U EEZ~rgr Ho$ 10% Ho$ bú` Ho$ gmnoj EEZ~rgr Ho$ 11.70% Ho$ ê$n _o§ 31.03.2017 H$mo `18051 H$amo‹S Wm &

4.5.4 31.03.2016 Ho$ `9290 H$amo‹S H$s VwbZm _o§ 31.03.2017 H$mo _{hbm {hVm{YH$m[a`mo§ H$mo {dÎm `1135 H$amo‹S (12.22%) go ~‹TH$a `10425 H$amo‹S ahm& 31.03.2017 H$mo àmW{_H$Vm àmßV joÌ Ho$ Hw b `60604 H$amo‹S G$U _o§ AZwgy{MV Om{V`mo§/AZwgy{MV OZOm{V`mo§ Ho$ ~H$m`m G$U ` 1276 H$amo‹S h¡&

4.5.5 _mM©, 2017 H$mo Aëng§»`H$ g_wXm` H$mo G$U EŠgnmoOa `8285 H$amo‹S Ho$ ñVa na nhw±M J`m Omo àmW{_H$Vm àmßV joÌ A{JŒ_mo§ H$m 13.67% h¡&

4.6 IwXam G$U

4.6.1 IwXam G$U {nNbo Hw N dfmoª _o§ ~¢H$ Ho$ {bE EH$ à_wI Ü`mZ H|${ÐV joÌ ahm h¡ Am¡a `h df© 2016-17 _o§ ^r ~¢H$ Ho$ {bE {deof Ü`mZ H$m joÌ ahm h¡ &

Amdí`º$m AmYm[aV IwXam G$Umo§ O¡go Amdmg, dmhZ, {ejm, ì`{º$JV G$U, bKw ì`mnma G$U Am{X H$m "H$mn© `moOZm' ~Œm§S Zm_ go {dnUZ {H$`m OmVm h¡ & 31.3.2016 Ho$ `27330 H$amo‹S Ho$ nmoQ©\$mo{b`mo H$s VwbZm _o§ 31.03.2017 H$mo H$mn© `moOZmAmo§ H$m nmoQ©\$mo{b`mo `29639 H$amo‹S ahm h¡ & {dÎm df© 2015-16 H$s `3130 H$amo‹S (12.9%) H$s df©-Xa-df© d¥{Õ H$s VwbZm _o§ {dÎm df© 2016-17 _o§ df©-Xa-df© d¥{Õ `2309 H$amo‹S (8.4%) ahr h¡ &

4.6.2 df© Ho$ Xm¡amZ Am`mo{OV {deof àmoÞV A{^`mZ / H$m`©HŒ _ h¢ :

""H$mn© ao§Qb A{^`mZ (grAmaE)'', H$mn© ao§Qb `moOZm Ho$ AÝVJ©V EH$ àmoÞV A{^`mZ 15.02.2016 go 15.06.2016 VH$ 4 _mh Ho$ {bE Mbm`m J`m {Og_o§ ã`mO Xamo§ _o§ 0.50% H$s NyQ àXÎm H$s JB© &

H$mn© hmo_, H$mn© do{hH$b (ng©Zb go½_o§Q), H$mn© ì`mnma Am¡a H$mn© Sm°ŠQa ßbg `moOZmAmo§ Ho$ A§VJ©V [a`m`Vr àmogoqgJ Ho$ ""_mZgyZ Amo\$a-2016'' A{^`mZ 01.06.2016 go 30.09.2016 VH$ 4 _mh Ho$ {bE Mbm`m J`m&


To keep up the tempo generated during the Monsoon Offer, the campaign was extended by another 4 months i.e. till 31.01.2017 under “Festival Offer-2016 [FO]”. The Interest Rate and concessions in processing charges offered under MO-2016 continued under FO-2016. In addition, 0.25% concession in interest rate was offered under Corp Vehicle (personal segment) for loans upto `50 lakhs.

Another campaign “Maha Holi Utsav-2017” was in operation for a period of 2 months from 01.02.2017 to 31.03.2017 wherein the concessions offered during Festival Offer 2016 were continued.

The various promotional campaigns/events held during the current financial year has created visibility to the retail products/schemes.

4.7 New Products introducedA new product “Corp Surya Rashmi” for financing Solar

water Heating as well as Solar Electricity System/Plants for both, On-grid as well as off-grid model has been introduced. The maximum loan amount is `5.00 lakh where the maximum project cost is `7.50 lakh or less.

4.8 Retail Loan Centres

At present 34 Retail Loan Centres are operating in the Bank at all major centres for sanction of retail loans. These Retail Loan Centres in all have sanctioned loans amounting to `6218 crore under various Corp Schemes during FY 2016-17.

4.9 Financial Inclusion

The Bank has implemented Financial Inclusion through Branchless Banking in 4727 locations as on 31.03.2017. Number of accounts under Financial inclusion increased to 40.86 lakhs (31.03.2017) from 39.71 lakhs as on 31.03.2016.

Bank has actively participated in implementation of PMJDY.

During FY 2016-17, Bank has opened 1.40 lakh accounts under PMJDY and reached a level of 27.33 lakh accounts.

The balance in the PMJDY accounts has been increased to `1051.74 Crore (31.03.2017) from `749.63 Crore as on 31.03.2016.

The average balance in non-zero balance accounts as on 31.03.2017 has been increased to `4668/- from `3663/- as on 31.03.2016.

Incentive Scheme has been formulated for Bank Mitras for getting funds in the Zero balance accounts.

Issued RuPay debit cards to 95% of the account holders and passbook to 90% of the account holders.

Aadhaar number has been seeded in 73.90% of the operative PMJDY accounts, which is one of the best.

Fixed point Bank Mitras have been engaged at all the 637 SSAs (covering 2291 villages) where bank branches are

_mZgyZ Am\ a Ho$ Xm¡amZ àmßV CËgmh H$mo ~ZmE aIZo hoVw \o pñQdb Am°\ a - 2016 (E\ Amo) Ho$ ZE Zm_ Ho$ A§VJ©V 31.01.2017 VH$ AJbo 4 _mh hoVw ~‹Tm`m J`m& E_Amo - 2016 Ho$ A§VJ©V àñVwV ã`mO Xa Am¡a NyQàmßV àg§ñH$aU à^mamo§ H$mo E\ Amo -2016 Ho$ A§VJ©V Omar aIm J`m& `50 bmI VH$ Ho$ G$U hoVw H$mn© do{hH$b (ng©Zb go½_o§Q) Ho$ A§VJ©V A{V[aº$ ã`mO Xa _o§ 0.25% [a`m`V Xr JB©&

EH$ AÝ` A{^`mZ 01.02.2017 go 31.03.2017 VH$ 2 _mh H$s Ad{Y hoVw ""_hm hmobr CËgd - 2017'' Mbm`m J`m {Og_o§ \o pñQdb Am°\ a 2016 Ho$ Xm¡amZ àñVwV [a`m`Vmo§ H$mo Omar aIm J`m&

dV©_mZ {dÎm df© Ho$ Xm¡amZ Am`mo{OV {H$E JE {d{^Þ A{^`mZmo§/H$m`©HŒ _mo§ go IwXam CËnmXmo§/`moOZmAmo§ Ho$ à{V OmJê$H$Vm ~‹Tr h¡ VWm ZE g§nH$moª go AÀNm ì`dgm` ^r àmßV hwAm h¡&

4.7 ZE ewé {H E JE IwXam G$U CËnmX…

~¢H$ Zo gm¡a {dÚwV àUmbr/`§Ì - Am°Z {JŒS Am¡a Amoµâµ\ {JŒS - XmoZmo§ Ho$ ê$n _o§ gmoba dmQa hrqQJ Ho$ {dÎmnmofZ hoVw H$mn© gy`© apí_ Zm_ go EH$ Z`m CËnmX H$s ewéAmV H$s h¡& Ohm A{YH$V_ n[a`moOZm bmJV ` 7.50 bmI `m H$_ h¡, dhm± A{YH$V_ G$U am{e ` 5.00 bmI h¡&

4.8 IwXam G$U H|$Ð…

g§à{V ~¢H$ _o§ 34 IwXam G$U H|$Ð, g^r à_wI H|$Ðmo§ _o§ G$U ñdrH¥$V H$aZo hoVw n[aMm{bV h¢ & BZ IwXam G$U Ho$ÝÐmo§ Zo df© 2016-17 Ho$ Xm¡amZ {d{^Þ H$mn© `moOZmAmo§ Ho$ A§VJ©V Hw$b {_bmH$a `6218 H$amo‹S am{e Ho$ 34617 G$U _§Oya {H$E&

4.9 {dÎmr` g_mdoeZ 31.03.2017 Ho$ AZwgma 4727 Ho$ÝÐmo§ _o§ emIma{hV ~¢qH$J Ho$ _mÜ`_

go {dÎmr` g_mdoeZ H$mo H$m`m©Ýd{`V {H$`m h¡& {dÎmr` g_mdoeZ Ho$ A§VJ©V ImVmo§ H$s g§»`m 31.03.2016 Ho$ 39.71 bmI go ~‹TH$a 31.03.2017 H$mo 40.86 bmI hmo J`m&

~¢H$ Zo nrE_OoSrdmB© Ho$ H$m`m©Ýd`Z _o§ g{HŒ ` ê$n go ^mJ {b`m&

{dÎmr` df© 2016-17 Ho$ Xm¡amZ ~¢H$ Zo nrE_OoSr Ho$ A§VJ©V 1.40 bmI ImVo Imobo Am¡a 27.33 bmI ImVm Ho$ ñVa H$mo àmßV {H$`m&

nrE_OoSrdmB© ImVm _o§ eof 31.03.2016 Ho$ `749.63 H$amo‹S go ~‹TH$a ` 1051.74 H$amo‹S _o§ nhw±M J`m&

J¡a eyÝ` ImVm _o§ Am¡gV eof 31.03.2016 Ho$ `3663/- go ~‹TH$a 31.03.2017 H$mo `4668/- hmo J`m&

eyÝ` eof ImVmo§ _o§ {Z{Y àmßV H$aZo hoVw ~¢H$ {_Ìmo§ Ho$ {bE àmoËgmhZ `moOZm H$m gyÌnmV {H$`m J`m h¡&

95% ImVmYmaH$mo§ H$mo éno So{~Q H$mS© Am¡a 90% ImVmYmaH$mo§ H$mo nmg~wH$ Omar {H$`m J`m&

AmYma g§»`m 73.90% n[aMm{bV nrE_OoSrdmB© ImVmo§ _o§ Smbm J`m h¡ Omo loîR _o§ go EH$ h¡&

ñWmB© ñWmZ ~¢H$ {_ÌmAmo§ H$mo g^r 637 EgEgE (2291 JŒm_ em{_b)

46 dm{f©H$ [anmoQ>© 2016-17

not opened. 93% of the Bank Mitras are active and carry out daily transactions. Bank Mitras get fixed minimum remuneration of `5000/- pm in addition to variable incentives and hence the attrition of Bank Mitra is one of the lowest.

Average transaction per Bank Mitra per month is 390 (March, 2017), which is one of the best.

Bank Mitras have been empowered to sanction (in principle) loans subject to approval by the Branch Manager. A separate incentive scheme has been formulated for this purpose.

Our Bank is one of the few banks who have provided robust, STQC certified, 1.5.1 version compliant Micro ATMs to all the Bank Mitra and all are functioning well. The Micro ATM along with pin pad has enabled all Bank Mitras to perform online, interoperable, Aadhaar & pin based transactions.

Our Bank is one of the leading Banks in carrying out Aadhaar based (AEPS) transactions in Micro ATMs. A few Bank Mitras have done more than 2000 AEPS transactions and UIDAI has awarded the Bank with an incentive of `9.60 lakhs during FY 2016-17 for achieving more than 2000 AEPS transactions in 64 Micro ATMs.

We have received an incentive of `17.5 lakhs from NABARD for formation and credit linking of Joint Liability Groups. The Bank has received a commission of `28.21 lakhs for processing DBTL transactions for the Financial Year 2016-17.

469 out of 615 (76.6%) Bank Mitras have completed IIBF certification examination and the remaining Bank Mitras have registered for appearing in the upcoming examination.

We have advised all our Zonal Offices to appoint Bank Mitras, wherever the unbanked areas exist in the allotted villages in order to include them under Financial Inclusion.

5. Awards & achievements

a. Chamber of Indian Micro Small & Medium Enterprises [CIMSME] award under the category: Eco-Technology Savvy Bank category for Mid-Sized Bank-Winner.

b. Our Bank conferred SKOCH Achiever Award – 2016 for National SME enablement.

c. The Bank bagged the SKOCH Silver Award for attaining the position of No.1 channel partner of LIC of India for the past three financial years.

d. Our bank bagged “Best MSME Bank Award 2016” at the 4th SMEs Excellence Award-2016 held at New Delhi on 6th December, 2016.

e. The Bank has been awarded “National MSME Excellence Award 2017” organized by the Federation of Industry, Trade & Services [FITS].

f. The Bank bagged three Runner up awards under Social Banking Excellence Awards instituted by The Associated Chambers of Commerce & Industry of India (ASSOCHAM).

H$mo CZ ñWmZmo§ na bJm`m J`m h¡ Ohm± ~¢H$ H$s emIm Zht Imobm J`m h¡& 93% go A{YH$ ~¢H$ {_Ìm g{HŒ ` h¡ Am¡a do {d{^Þ àmoËgmhZ am{e Ho$ Abmdm `5000/- à{V _mh H$s {Z{üV Ý`yZV_ à{Vny{V© nmVo h¢ Am¡a Bgr{bE ~¢H$ {_Ì H$mo godm go AbJ hmoZo H$s KQZm AË`ën h¡&

à{V _mh à{V ~¢H$ {_Ì H$m Am¡gV boZXoZ 390 h¡ Omo gd©loîR h¡& G$U H$mo g§ñdrH¥ {V ({gÕm§VV:) H$m A{YH$ma ~¢H$ {_Ìmo§ H$mo {X`m J`m

h¡ ~eVo© emIm à~ÝYH$ Ûmam CgH$m AZw_moXZ hmo& Bg CÔoí` go AbJ go EH$ ZB© àmoËgmhZ `moOZm H$m gyÌnmV {H$`m J`m h¡&

h_mam ~¢H$ h_mao g_ñV ~¢H$ {_Ìmo§ H$mo geº, EgQrŠ`ygr à_m{UV, 1.5.1 de©Z go `wº$_mBH«$mo EQrE_ àXmZ H$aZo _o§ AJŒUr ahm h¡ Am¡a `o g^r EQrE_ ~hwV AÀNm H$m_ H$a aho h¢& {nZ Ho$ gmW _mBH«$mo EQrE_ Am°Z bmBZ, AmYma AmYm[aV (EB©nrEg) Am¡a {nZ AmYm[aV éno H$mS© boZXoZmo§ H$mo g§^mbZo _o§ g_W© h¢&

h_mam ~¢H$ _mBH«$mo EQrE_ _o§ AmYma AmYm[aV boZXoZ (EB©nrEg) H$mo g§^mbZo _o§ AJŒUr ~¢H$mo§ _o§ EH$ h¡& Hw$N ~¢H$ {_Ìm 2000 go A{YH$ EB©nrEg boZXoZmo§ H$mo g§^mbVm h¡& Hw$N ~¢H$ {_Ì 2000 go A{YH$ EB©nrEg boZXoZ {H$E Am¡a `yAmB©SrEAmB© Zo 64 _mBH«$mo EQrE_mo§ _o§ 2000 go A{YH$ EB©nrEg boZXoZ H$aZo dmbmo§ H$mo `9.60 bmI go A{YH$ H$s àmoËgmhZ am{e Xr JB© h¡&

g§`wº Xo`Vm g_yhmo§ Ho$ JRZ Am¡a G$U gh~ÕVm Ho$ {bE h_o§ Zm~mS© go `17.5 bmI H$s àmoËgmhZ am{e àmßV hwB© h¡& ~¢H$ H$mo {dÎmr` df© 2016-17 Ho$ Xm¡amZ Sr~rQrEb boZXoZ H$mo àmogoqgJ Ho$ {bE `28.21 bmI H$_reZ àmßV hwAm&

615 _o§ 469 (76.6%) ~¢H$ {_Ìmo§ Zo AmB©AmB©~rE\ narjm CÎmrU© H$s h¡ Am¡a eof ~¢H$ {_Ìmo§ Zo AmJm_r narjm _o§ CnpñWV hmoZo hoVw n§OrH$aU H$adm`m h¡&

h_Zo AnZo g^r Am§M{bH$ H$m`m©b`mo§ H$mo {dÎmr` g_mdoeZ Ho$ A§VJ©V em{_b H$aZo Ho$ {bE Am~§{QV JŒm_mo§ _o§ {dÚ_mZ ~¢H$a{hV joÌmo§ _o§ ~¢H$ {_Ìmo§ H$mo {Z`wº$ H$aZo H$mo H$hm h¡&

5. àempñV`m± Am¡a CnbpãY`m§ H$) _Ü`_ AmH$ma Ho$ ~¢H$mo§ hoVw BH$mo-QoŠZmobmoOr godr ~¢H$ loUr Ho$ A§VJ©V

M¢~a Am°\ B§{S`Z _mBH«$mo ñ_mb E§S _r{S`_ B§QaàmBOoµO (grAmB©E_EgE_B©) AdmS©-{dOoVm &

I) ZoeZb EgE_B© gj_Vm hoVw h_mao ~¢H$ H$mo ñH$m°M EMrda AdmS© àmßV hwAm&

J) ~¢H$ H$mo {dJV VrZ {dÎmr` dfmoª hoVw ^maVr` OrdZ ~r_m {ZJ_ Ho$ Z§~a 1 M¡Zb nmQ©Za H$s pñW{V àmßV H$aZo Ho$ {bE ñH$m°M {gëda AdmS© àmßV hwAm&

K) h_mao ~¢H$ H$mo 6 {Xg§~a, 2016 H$mo ZB© {X„r _o§ Am`mo{OV 4Wr EgE_B© CËH¥$îQVm nwañH$ma-2016 _o§ ~oñQ E_EgE_B© ~¢H$ AdmS© àmßV hwAm&

M) \o$SaoeZ Am°\ B§SñQ—r, Q—oS E§S g{d©g (E\ AmB©QrEg) Ûmam Am`mo{OV ZoeZb E_EgE_B© EH$gb¢g AdmS© 2017 àmßV hwAm&

N) Egmo{gEQoS M¢~g© Am°\ H$m_g© E§S B§SñQ—r Am°\ B§{S`m (EEgEgAmoMEE_) Ûmam g§ñWm{nV gmoeb ~¢qH$J EŠgb¢g AdmS© Ho$ A§VJ©V VrZ Cn{dOoVm nwañH$ma àmßV hwAm&


g. 10 awards at the Annual Performance Awards for the year 2013-14 & 2014-15 under the SHG/JLG Bank Linkage Programme for Karnataka in the following categories received from NABARD:

# Category Prize FY

1. Overall Performance under SHG-Bank Linkage Programme 1st

2013-14

2. Highest share of SHG lending to Priority Sector lending 1st

3. Highest number of SHGs credit linked 1st

4. Highest number of SHGs credit linked – Branch (Pandavapura) 1st

5. Highest number of JLGs credit linked 1st

6. Highest average JLG Loan Size 1st

7. Highest number of SHGs credit linked 1st

2014-15

8. Highest Quantum of Loan Disbursed 1st

9. Highest Quantum of Loan Outstanding 2nd

10. Highest No. of JLGs linked 3rd

6. Recovery

6.1 (A) NPA LEVEL:

The Gross NPA of the Bank stood at `17045.22 crores as on 31.03.2017 as compared to `14,544.25 Crore as on 31.03.2016. The Gross NPA constituted 11.70% of the Gross Advances as on 31.03.2017 as against 9.98% at the end of the corresponding previous financial year.

The Net NPA of the Bank stood at `11692.18 Crore as on 31.03.2017 as compared to `9,160.14 Crore as on 31.03.2016. The Net NPA constituted 8.33% of the Net Advances as against 6.53% at the end of the corresponding previous financial year.

6.2 (B) CASH RECOVERY & UPGRADATION:

(` in crore)

Particulars 31.03.2016 31.03.2017

Cash Recovery (CR) 932.85 1,418.48

Up Gradation (UG) 663.19 1,930.94

TOTAL = CR + UG 1,596.04 3,349.42

The Cash Recovery & Upgradation of NPAs during the current financial year 2016-17 was `3,349.42 Crore as compared to `1,596.04 Crore in the previous year.

O) {ZåZm§{H$V lo{U`mo§ _o§ H$Zm©QH$ hoVw EgEMOr/OoEbOr ~¢H$ gh~ÕVm H$m`©HŒ _ Ho$ A§VJ©V df© 2013-14 Ed§ 2014-15 hoVw 10 nwañH$ma Zm~mS>© go àmßV hwAm:

HŒ _ g§. loUr nwañH$ma {dÎm df©

1. EgEMOr-~¢H$ g§~Õ H$m`©HŒ _ Ho$ AÝVJ©V g_JŒ {ZînmXZ

àW_

2013-14

2. àmW{_H$Vm àmßV G$U Ho$ {bE EgEMOr G$U _o§ gdm©{YH$ {hñgm

àW_

3. EgEMOr G$U g§~Õ H$s gdm©{YH$ g§»`m àW_

4. EgEMOr G$U g§~Õ H$s gdm©{YH$ g§»`m- emIm (nm§Sdnwam)

àW_

5. OoEbOr G$U g§~Õ H$s gdm©{YH$ g§»`m àW_

6. OoEbOr G$U Ho$ AmH$ma H$m gdm©{YH$ Am¡gV àW_

7. EgEMOr G$U g§~Õ H$s gdm©{YH$ g§»`m àW_ 2014-15

8. G$U g§{dVaU H$s gdm©{YH$ _mÌm àW_

9. G$U ~H$m`m H$s gdm©{YH$ _mÌm {ÛVr`

10. OoEbOr g§~Õ H$s gdm©{YH$ g§»`m V¥Vr`

6. dgybr…

6.1 (H ) EZnrE ñVa:

~¢H$ H$m gH$b EZnrE 31.03.2016 Ho$ 14,544.25 H$amo‹S H$s VwbZm _o§ 31.03.2017 H$mo 17045.22 H$amo‹S h¡ & gH$b EZnrE g§JV {nNbo {dÎm df© H$s g_mpßV na 9.98% H$s VwbZm _o§ 31.3.2017 H$mo gH$b A{JŒ_ H$m 11.70% h¡ &

~¢H$ H$m {Zdb EZnrE 31.03.2016 Ho$ 9,160.14 H$amo‹S H$s VwbZm _o§ 31.03.2017 H$mo 11692.18 H$amo‹S h¡ & {Zdb EZnrE g§JV {nNbo {dÎm df© H$s g_mpßV na 6.53% H$s VwbZm _o§ 31.3.2017 H$mo {Zdb A{JŒ_ H$m 8.33% h¡ &

6.2 (I) ZH X dgybr Am¡a CÞ`rH aU:(` H$amo‹S _o§)

{ddaU 31.03.2016 31.03.2017

ZH$X dgybr (grAma) 932.85 1,418.48

CÞ`rH$aU (`yOr) 663.19 1,930.94

Hw b = grAma + `yOr 1,596.04 3,349.42

dV©_mZ {dÎm df© 2016-17 _o§ EZnrE H$s ZH$X dgybr Am¡a CÞ`rH$aU {nNbo df© Ho$ `1,596.04 H$amo‹S H$s VwbZm _o§ `3,349.42 H$amo‹S ahr &

48 dm{f©H$ [anmoQ>© 2016-17

6.3 (C) ASSET CATEGORY WISE CLASSIFICATION OF

ADVANCES AS ON 31.03.2017:

6.4 PERFORMANCE UNDER VARIOUS RECOVERY METHODS & ACTION PLAN FOR 2016-17:

6.4.1 SARFAESI:

The bank has taken swift and time bound steps for recovery of NPAs through SARFAESI Action. During the current financial year, NPAs to the tune of `894.01 Crore have been recovered/upgraded through SARFAESI Action in 3318 accounts.

6.4.2 NATION WIDE MEGA E-AUCTION:

Conducting of Nation Wide Mega E-auction of secured assets is identified as a good strategy in putting up secured assets for sale under SARFAESI. Such auctions are conducted by the Recovery Division at the Head Office level. Bank has tied up with e-auction portals for the conducting the e-auctions. Such auctions are conducted in a highly professional and co-effective manner. During FY 2016-17, 131 properties were sold in the Mega E-auction/other auctions resulting in cash recovery/up gradation/property sale proceeds worth `92.22 Crore. Nationwide Mega E-auction is a readymade platform for the branches to put up the secured assets for e-auction under the SARFAESI Act.

6.4.3 DRT SUITS:

Simultaneously with initiating action under SARFAESI, suits have been filed in DRTs for recovery of the dues. As on 31st March, 2017, 1833 cases involving an amount of `8,610.27 Crore is pending in 34 DRTs at various stages.

6.4.4 COMPROMISE/ONE TIME SETTLEMENTS:

Compromise Settlement is encouraged. The bank has aggressively pursued Compromise/OTS settlement as a major recovery strategy in the case of hard core NPA accounts. Branches have been advised to submit as many compromise proposals as possible every month for sanction to ZO/CO/Head Office. Executives from Head Office also travelled to branches and zones for meeting NPA borrowers and source OTS proposals.

(` H$amoS> _| ` in crore)

loUr/Category`Wm/As on 31.03.2015 `Wm/As on 31.03.2016 `Wm/As on 31.03.2017

am{e Amount Hw$b AmpñV H$m % % to total assets am{e Amount Hw$b AmpñV H$m %

% to total assetsam{e

AmountHw$b AmpñV H$m %

% to total assets

_mZH Standard 1,40,601.05 95.19 1,31,162.10 90.02 128664.62 88.30

Ad_mZH Sub-Standard 2,207.26 1.49 6,379.31 4.38 5094.60 3.49

g§{X½Y Doubtful 4,660.49 3.16 7,991.82 5.49 11839.41 8.13

hm{ZJV Loss 238.93 0.16 173.12 0.12 111.21 0.08

gH b G$U AmpñV`m§ Gross Credit 1,47,707.73 100.00 145706.35 100.00 145709.84 100.00

6.3 (J) AmpñV loUr Ho$ AmYma na 31.03.2017 H$mo A{JŒ_mo§ H$m AmpñVdma dJr©H aU:

6.4 2016-17 hoVw {d{^Þ dgybr à{H«$`mAm| Ed§ H$m`© `moOZm Ho$ A§VJ©V {ZînmXZ:

6.4.1 ga\o gr… ~¢H$ Zo ga\o$gr H$m`©dmhr Ûmam EZnrE H$s dgybr hoVw VËna Am¡a g_`~Õ H$X_ CRmE h¢& dV©_mZ {dÎm df© Ho$ Xm¡amZ ga\o gr H$m`©dmhr Ûmam 3318 ImVmo§ _o§ `649.95 H$amoS Ho$ EZnrE dgyb/CÞ{`V {H$E JE &

6.4.2 amîQ— ì`mnr _oJm B©-Zrbm_r

O_mZVr AmpñV`mo§ H$m Ho$ÝÐr`H¥$V amîQ—ì`mnr _oJm B©-Zrbm_r H$mo AÀNr aUZr{V Ho$ ê$n _o§ nhMmZ H$s JB© h¡& Eogr Zrbm{_`mo§ H$mo àYmZ H$m`m©b` ñVa na dgybr à^mJ Ûmam Am`mo{OV {H$`m OmVm h¡& ~¢H$ B©-Zrbm_r hoVw B©-Zrbm_r nmoQ©b Ho$ gmW JR~§YZ {H$`m h¡& ò Zrbm_r CÀMVa ì`mdgm{`H$ Ed§ à^mdr VarHo$ go Am`mo{OV H$s OmVr h¡& {dÎmr` df© 2016-17 Ho$ Xm¡amZ 131 gån{Îm`mo§ H$s _oJm B©-Zrbm_r/AÝ` Zrbm_r _o§ {~H«$s H$s JB© Am¡a `92.22 H$amo‹S H$s {~H«$s à{HŒ `m Ûmam ZH$Xr dgybr/CÞ`Z {H$`m J`m& amîQ— ì`mnr _oJm B©-Zrbm_r ga\o gr A{Y{Z`_ Ho$ A§VJ©V emImAmo§ Ûmam àË`m^yV AmpñV`mo§ H$mo B©-Zrbm_r hoVw V¡`ma ßboQ\ m°_© h¡&

6.4.3 SrAmaQr gyQ:

ga\o gr _o§ H$m`©dmhr H$aZo Ho$ gmW hr Xo` H$s dgybr hoVw SrAmaQr _o§ ^r gyQ XO© {H$E JE& 31 _mM©, 2017 H$mo 34 SrAmaQr _o§ {d{^Þ ñVamo§ na `8,610.27 H$amo‹S Ho$ 1833 _m_bo b§{~V h¢&

6.4.4 g_Âmm¡Vm {H E JE/EH ~ma {ZnQmZ:

g_Âmm¡Vm {ZnQmZ H$mo àmoËgm{hV {H$`m Om ahm h¡& XwîH$a EZnrE ImVmo§ Ho$ {bE ~¢H$ Zo g_Âmm¡Vm/AmoQrEg H$mo EH$ à_wI dgybr `moOZm Ho$ ê$n _o§ AnZm`m h¡& emImAmo§ H$mo àËòH$ _mh `Wm g§^d A{YH$ go A{YH$ g_Âmm¡Vm àñVmdmo§ H$mo Am§H$m/_§H$m/àYmZ H$m`m©b` ôOZo H$mo H$hm h¡& àYmZ H$m`m©b` go ^r H$m`©nmbH$ EZnrE CYmaH$Vm©Amo§ Ho$ gmW ~¡RH$ H$aZo Am¡a AmoQrEg àñVmdmo§ H$mo àmßV H$aZo hoVw emImAmo§ Am¡a A§Mbmo§ H$m Xm¡am H$aVo h¢& {dÎmr` df©


During the FY 2016-17 Compromise Proposals were approved for `270.88 Crore.

6.4.5 CORP RIYAYATI-IV:Apart from settlement under normal OTS, the bank has also formulated special OTS schemes. Corp Riyayati-IV Scheme, a One Time Settlement scheme for small value NPAs with balance outstanding up to `10.00 Lakhs was formulated and launched on 01.04.2016. The scheme came to a close on 31.03.2017. Till 31.03.2017, 7659 accounts were settled under the scheme for `43.86 Crore. A sum of `42.23 Crore have been recovered out of the settled accounts.

6.4.6 LOK ADALAT:

The bank has actively participated in the National Lok Adalats conducted by NALSA by involving the Law Officers at Head Office and Zonal Offices. During the FY 2016-17 22325 accounts with aggregate outstanding balance of `360.80 Crore were referred to the Lok Adalat, of which 1643 accounts were settled for `17.08 Crore resulting in cash recovery of `2.93 Crore in the settled accounts till 31.03.2017.

6.4.7 MISSION RECOVERY – 100 DAYS’ CAMPAIGN AND STAFF RECOGNITION SCHEME: (HALLA BOL CAMPAIGN):

Bank launched MISSION RECOVERY – 100 DAYS CAMPAIGN & STAFF RECOGNITION SCHEME ON 21.12.2016. The tagline/slogan of the campaign was HALLA BOL. In the HALLA BOL CAMPAIGN, during the 100 days of campaign period from 22.12.2016 to 31.03.2017, the bank could record Cash Recovery/Up gradation to the tune of `1074.00 Crore. The entire rank and file of the bank whole heartedly involved in the campaign and made the same a grand success.

Special Recovery Task Force comprising of 5 to 10 members were formed at all Zonal Offices and also NPA concentrated branches. The task force members extensively travelled to the field for meeting the defaulters and recovering the dues through all possible recovery measures. They support the branches in holding Mega Recovery Camps and also for holding silent/peaceful dharna/demonstrations in front of the residence/office/factory premises of the defaulters for putting pressure on them. The recovery task force members wear specially designed jackets while they are on the recovery work in the field.

The MD & CEO & Executive Directors, directly interacted with the field level functionaries regarding the progress of the HALLA BOL Campaign in their zones/circles. Success stories and feedbacks campaign were obtained during the interactions. MD & CEO’s directions to the field was minuted and circulated.

Recovery Division through E Mails & WhatsApp flashed the campaign progress on a daily basis. Branch Heads who recovered

2016-17 Ho$ Xm¡amZ `270.88 H$amo‹S Ho$ g_Âmm¡Vm àñVmdmo§ H$mo AZw_mo{XV

{H$`m J`m&

6.4.5 H mn© [a`m`Vr-IV:

gm_mÝ` AmoQrEg Ho$ AÝVJ©V g_mYmZ Ho$ A{V[aº$ ~¢H$ Zo {deof AmoQrEg

`moOZm ~ZmB© h¡& H$mn© [a`m`Vr-IV `moOZm 10 bmI H$s ~H$m`m am{e dmbo

NmoQo EZnrE ImVmo§ Ho$ {bE ~ZmB© JB© h¡ Am¡a 01.04. 2016 go àmaå^ H$s JB©

h¡ & `moOZm 31.03.2017 H$mo g_mßV hwB©& 31.03.2017 VH$ Bg `moOZm Ho$

A§VJ©V `43.86 H$amo‹S Ho$ 7659 ImVmo§ H$m {ZnQmZ {H$`m J`m& BZ ImVmo§ Ho$

{ZnQmZ Ho$ Ûmam `42.23 H$amo‹S am{e H$s dgybr H$s JB©&

6.4.6 bmoH AXmbV:

Zmbgm Ûmam Am`mo{OV amîQ—r` bmoH$ AXmbV _o§ ~¢H$ àYmZ H$m`m©b` Ed§

Am§M{bH$ H$m`m©b` Ho$ {d{Y A{YH$m[a`mo§ H$mo em{_b H$aVo hwE g{HŒ ` ê$n go

^mJ boVm h¡& {dÎmr` df© 2016-17 Ho$ Xm¡amZ `360.80 H$amo‹S Ho$ 22325

ImVo bmoH$ AXmbVmo§ H$mo ^oOo JE& `17.08 H$amo‹S Ho$ 1643 _m_bo {ZnQmE

JE Am¡a `2.93 H$amo‹S H$s ZH$X dgybr àmßV H$s JB© &

6.4.7 {_eZ dgybr - 100 {Xdgr` A{^`mZ Am¡a ñQm\ _mÝ`Vm

`moOZm (h„m ~mob A{^`mZ):

dgybr {_eZ - 100 {XZmo§ H$m A{^`mZ VWm ñQm\ _mÝ`Vm `moOZm

22.12.2016 go 31.03.2017 VH$ H$s 100 {XZmo§ H$s Ad{Y Ho$ {bE ewê

H$s JB©& ~¢H$ Zo `1074.00 H$amo‹S H$s ZH$X dgybr/CÞ`Z {H$`m Om gH$m&

Q¡J bmBZ/Zmam h„m ~mob dmbo dgybr A{^`mZ Zo à{V^m{JVm hoVw ~¢H$ Ho$

g^r dJ© Ho$ ñQm\ _o§ AË`{YH$ CËgmh H$m g¥OZ {H$`m h¡&

g_ñV Am§M{bH$ H$m`m©b`mo§ _o§ Am¡a AË`{YH$ EZnrE dmbr emImAmo§ _o§ 5

go 10 gXñ`mo§ H$m EH$ {deof dgybr H$m`©Xb ~Zm`m J`m h¡& Bg H$m`©Xb

Zo g_ñV `Wm g§^d dgybr Cnm`mo§ Ûmam dgybr Ho$ {bE MyH$H$Vm©Amo§ go {_bZo

Am¡a Xo` am{e H$mo dgyb H$aZo Ho$ {bE joÌ H$m Xm¡am {H$`m& do emImAmo§ H$mo

_oJm dgybr {e{da H$m Am`moOZ H$aZo Am¡a MyH$H$Vm©Amo§ na X~md ~ZmZo Ho$

{bE CZHo$ Amdmg/H$m`m©b`/\¡ ŠQ—r n[aga Ho$ gm_Zo _m¡Z/em§{VnyU© YaZm/

àXe©Z H$aZo _o§ _XX {H$E& dgybr H$m`© Xb H$m`© H$amVo g_` {deof ê$n go

{SOmBZ {H$`m J`m O¡Ho$Q nhZVo Wo&

h_mao à~§Y {ZXoeH$ Am¡a grB©Amo Ed§ H$m`©nmbH$ {ZXoeH$ AnZo A§Mbmo§/

_§Sbmo§ _o§ h„m ~mob A{^`mZ H$s àJ{V Ho$ g§~§Y _o§ joÌ ñVa Ho$ H$m`©H$m[a`mo§ go

grYo g§nH© H$aVo h¢& ~mVMrV _o§ g\ b H$hm{Z`mo§ Am¡a à{VgyMZmAmo§ H$mo àmßV

{H$`m OmVm h¡& à~§Y {ZXoeH$ Am¡a grB©Amo Ho$ {ZXoemo§ H$mo {b{n~Õ {H$`m OmVm

h¡ Am¡a n[an{ÌV {H$`m OmVm h¡&

dgybr à^mJ B© _ob Am¡a ìhmQ²gEßn Ho$ _mÜ`_ go X¡{ZH$ AmYma na A{^`mZ H$s àJ{V H$mo àñVwV H$aVm h¡& Omo emIm à_wI `10.00 bmI go A{YH$

50 dm{f©H$ [anmoQ>© 2016-17

`10.00 Lakhs and above were identified as RECOVERY CHAMPS and their photographs were published through E-mails and WhatsApp.

These activities created competitive spirit amongst the field level functionaries which in turn contributed in the grand success of the campaign.

6.4.8 MEGA RECOVERY CAMPS:Bank has organized Mega Recovery Camps across the zones for settlement of accounts especially small value NPA accounts.

6.4.9 EXCLUSIVE VERTICALS:

Exclusive vertical for credit monitoring set up at Head Office. Verticals for credit monitoring/follow up of NPA headed by AGM/DGM also set up at all Circle Offices.

6.4.10 VIDEO CONFERENCES:Periodic Video Conference is held by the Top Management with Zonal & Circle Offices for reviewing the performance of the branches under them in the area of recovery and NPA management.

7. Treasury and Investment Operations7.1 The aggregate investment of the Bank as on 31st March, 2017 was `64,075.67 Crore with maturity mix of securities consistent with risk perceptions and investment policies of the Bank.

7.2 The average yield on investments including RIDF investments during the year under report stood at 7.68% compared to 7.94% as at the end of the previous year.

7.3 The net profit from sale of investments was `1432.16 Crore for the year ended 31.03.2017 as compared to `207.33 Crore in the previous year.

7.4. The Bank has put in place the risk management tools like Duration, Modified Duration and Value at Risk for all interest bearing securities.

8. International Banking:8.1 The Bank has 63 Designated Branches and one Forex Hub at Bangalore, which cater to the foreign exchange business. Cumulative Merchant turnover has increased by 8.87%, from `68936 crore to `75050 crore, during the year 2016-17.

8.2 Foreign Exchange Income of Treasury has increased by 4.13%, from `139.34 crore to `145.09 crore, during the year.

8.3 Forex investment/Interest Income of Treasury has increased by 83.87% from `102.38 Crore to `188.25 Crore during the year.

8.4 Total income including Fee Based Income from Designated Forex Branches has increased by 15.97% from 419.19 crore to 486.14 crore.

dgybr H$amVo h¢ , CZH$m dgybr Moån Ho$ ê$n _o§ nhMmZ {H$`m OmVm h¡ Am¡a B©-_ob Ed§ ìhmQ²gEßn Ho$ _mÜ`_ go CZHo$ \ moQmoJŒm\ H$mo àH$m{eV {H$`m OmVm h¡&

Bg {HŒ `mH$bmn go joÌ ñVa Ho$ A{YH$m[a`mo§ _o§ à{VñnYm©Ë_H$ CËgmh OmJm h¡ Omo Bg A{^`mZ H$mo ^ì` g\ b ~ZmZo _o§ `moJXmZ {X`m h¡&

6.4.8 _oJm dgybr {e{da:

~¢H$ Zo ImVmo§ {deofV: NmoQo _yë` Ho$ EZnrE ImVmo§ Ho$ {ZnQmZ hoVw A§Mbmo§ _o§ _oJm dgybr {e{da Am`mo{OV {H$`m&

6.4.9 {deof ñH§ Y

G$U {ZJamZr Ho$ {bE àYmZ H$m`m©b` _o§ {deof ñH§$Y ~Zm`m J`m h¡& g_à/C_à Ho$ ÝV¥Qdm _o§ G$U {ZJamZr/EZnrE Ho$ AZwdÎm©Z hoVw g^r _ÊSb H$m`m©b`mo§ _o§ ñH§ Y ~Zm`m J`m h¡&

6.4.10 {d{S`mo H mÝ\Œo§ g

dgybr Am¡a EZnrE à~§YZ Ho$ joÌ _o§ emImAmo§ Ho$ {ZînmXZ H$s g_rjm H$aZo hoVw A§Mb Ed§ _§Sb H$m`m©b`mo§ Ho$ gmW CÀM à~§YZ H$m Amd{YH$ {d{S`mo H$mÝ\Œo§ g H$m Am`moOZ {H$`m OmVm h¡&

7. Q—oµOar Ed§ {Zdoe n[aMmbZ

7.1 31 _mM©, 2017 H$mo ~¢H$ H$m Hw b {Zdoe, ~¢H$ Ho$ Omo{I_ Ad~moY VWm {Zdoe Zr{V g§~§Yr {Xem{ZXo©emo§ Ho$ AZwê$n à{V^y{V`mo§ Ho$ n[an¹Vm {_lU Ho$ gmW 64,075.67 H$amo‹S ahm&

7.2 [anmoQm©YrZ df© Ho$ Xm¡amZ AmaAmB©SrE\ {Zdoe g{hV {Zdoe na Am¡gV AO©Z {nNbo df© Ho$ A§V Ho$ 7.94% H$s VwbZm _o§ 7.68% ahr&

7.3 {Zdoemo§ H$s {~HŒ r go àmßV {Zdb bm^ {nNbo df© Ho$ 207.33 H$amo‹S H$s VwbZm _o§ 31.03.2017 H$mo g_mßV df© hoVw 1432.16 H$amo‹S Wm&

7.4 ~¢H$ Zo ã`mO AO©Z H$aZo dmbr g^r à{V^y{V`mo§ hoVw Ad{Y, Amemo{YV Ad{Y VWm Omo{I_ na _yë` O¡go Omo{I_ à~§YZ Cnm` bmJy {H$E h¢&

8. A§Vam©îQ—r` ~¢qH J

8.1 ~¢H$ H$s 63 Zm{_V emImE§ h¢ Am¡a ~§oJbya _o§ pñWV EH$ \ maoŠg h~ h¡ Omo {dXoer {d{Z_` H$mamo~ma g§^mbVr h¢& df© 2016-17 Ho$ Xm¡amZ g§M`r ì`mnma QZ©Amoda 68936 H$amo‹S go 8.87% ~‹TH$a 75050 H$amo‹S hmo J`m&

8.2 Q—oOar H$s {dXoer EŠgMo§O Am` df© Ho$ Xm¡amZ 139.34 H$amo‹S go 41.3% ~‹TH$a 145.09 H$amo‹S hmo JB© &

8.3 df© Ho$ Xm¡amZ Q—oOar Ho$ \ maoŠg {Zdoe/ ã`mO Am` ` 102.38 H$amo‹S go 83.87% ~‹TH$a ` 188.25 H$amo‹S hmo JB©&

8.4 Zm{_V \ moaoŠg emImAmo§ H$m ewëH$ AmYm[aV Am` g{hV Hw b Am` 419.19 H$amo‹S go 15.97% ~‹TH$a `486.14 H$amo‹S hmo J`m&


8.5 Currency future income has increased by 113.29% from `3.16 crore last year to `6.74 crore this year.

9. Merchant Banking & DP business:

9.1 Capital Market Branch had handled 107 IPO/Rights/SME Issues under ASBA process amounting to `537.68 Crore.

9.2 Capital Market Branch had handled 15 Dividend payout assignments with business turnover of `314.64 Crore.

9.3 During the year, 1117 Demat accounts were opened by the Bank.

9.4 During the FY 2016-17, the bank received an award from NSDL for having opened more number of demat accounts.

9.5 The DP branch has brought a new initiative of educating all staff members through email.

9.6 All the branches of the bank are permitted to accept the demat a/c opening form.

9.7 The bank is aggressively promoting the ASBA product which results in good growth in income from this segment.

10. Precious Metal Business:10.1 Due to restrictions imposed on import of Gold coins by RBI there is no sales under retail segment since December 2013.

10.2 Government of India introduced Gold Monetization Scheme on 05.11.2015 and our bank has mobilized 9 accounts under GMS and mobilized 9255.99 gms. Four branches have been designated to mobilize Gold under GMS.

11. Designated Branches and Treasury and Investment Department

11.1 Process Improvement

a) Straight Through Processing (STP) is in place between Designated Branches and Treasury Branch for all types of Forex Transactions. Most of the transactions of branches are auto uploaded at Treasury Branch through STP.

b) Link Branches have been enabled with “rate seeking facility” and all the FCNR transactions are brought under STP. Mirror balance at Treasury Branch is updated instantaneously and most of the FCNR transactions are under auto mode.

c) Uploading of Nostro Credits to CBS is in place, thereby enabling auto reconciliation of Nostro accounts.

d) The Processing of Nostro Credits has been fast tracked by generating and sending the Recon advices to branches by 12 noon of the same day instead of day end, thus helping branches to utilize the entries on the same day instead of next day.

8.5 _wÐm ^{dî` Am` {nNbo df© H$s 3.16 H$amo‹S go 113.29% ~‹TH$a Bg df© 6.74 H$amo‹S hmo JB© &

9. ì`mnmar ~¢qH J Am¡a Srnr H mamo~ma

9.1 H¡${nQb _mH}$Q> emIm EEg~rE àmogog Ho$ A§VJ©V `537.68 H$amo‹S H$s 107 AmB©nrAmo/amBQ²g/EgE_B© {ZJ©_ Omar {H$`m&

9.2 H¡${nQb _mH}$Q> emIm Zo ~¢H$ Zo `314.64 H$amo‹S Ho$ 15 bm^m§e no-AmD$Q g§Mm{bV {H$E&

9.3 df© Ho$ Xm¡amZ ~¢H$ Ûmam 1117 Sr-_oQ ImVo Imobo JE &

9.4 {dÎmr` df© 2016-17 Ho$ Xm¡amZ ~¢H$ Zo gdm©{YH$ {S_oQ ImVm ImobZo hoVw EZEgSrEb go nwañH$ma àmßV hwAm&

9.5 Srnr emIm Zo ñQm\ gXñ`mo§ H$mo B©_ob Ûmam à{e{jV H$aZo hoVw Z`m nhb {H$`m&

9.6 ~¢H$ H$s g^r emImAmo§ H$mo Sr_oQ ImVm ImobZo Ho$ \ moa_ H$mo ñdrH$ma H$aZo H$s AZw_{V Sr JB© h¡&

9.7 ~¢H$ EEg~rE CËnmX H$mo AmHŒ _Vmnyd©H$ àmoËgm{hV H$a ahm h¡ {Oggo Bg I§S Ho$ Am` _o§ AÀNr d¥{Õ hwB© h¡&

10. ~hw_yë` YmVw H mamo~ma

10.1 ^m[a~¡ Ûmam ñdU© {g¸ mo§ Ho$ Am`mV na à{V~§Y Amamo{nV H$aZo go IwXam loUr Ho$ AÝVJ©V {Xg§~a 2013 go H$moB© {~HŒ r Zht hwB© h¡ &

10.2 ^maV gaH$ma Zo 05.11.2015 go ñdU© _wÐrH$aU `moOZm àmaå^ H$s h¡ Am¡a h_mao ~¢H$ Zo OrE_Eg `moOZm Ho$ A§VJ©V 9 ImVmo§ H$mo g§JŒhrV {H$`m h¡ Am¡a 9255.99 JŒm_ g§JŒhrV {H$`m h¡& Mma emImAmo§ H$mo OrE_Eg Ho$ A§VJ©V ñdU© g§JŒhrV H$aZo hoVw Zm{_V {H$`m J`m h¡&

11. Zm{_V emImE± Am¡a Q—oµOar Ed§ {Zdoe à^mJ…

11.1 à{HŒ `m _o§ gwYma

H$) g^r àH$ma Ho$ \$maoŠg boZXoZmo§ Ho$ {bE Zm{_V emImAmo§ Am¡a Q—oOar emIm Ho$ _Ü` ñQ—oQ WŒy àmogoqgJ (EgQrnr) àmaå^ H$s JB© h¡ & emImAmo§ Ho$ A{YH$Va boZXoZmo§ H$m EgQrnr Ho$ Ûmam Q—oOar emIm _o§ ñd AÚVZ hmo OmVm h¡ &

I) g§~Õ emImAmo§ H$mo "Xa nhMmZZo H$s gw{dYm' Xr JB© h¡ Am¡a g^r E\ grEZAma boZXoZ EgQrnr Ho$ AÝVJ©V bmE JE h¢& Q—oOar emIm _o§ à{Vq~{~V eof Cgr g_` AÚ{VV hmoVm h¡ Am¡a A{YH$m§e E\ grEZAma boZXoZ ñdV… _moS Ho$ AÝVJ©V h¢ &

J) gr~rEg _o§ ZmoñQ—mo O_m H$m AÚVZ ñWm{nV {H$`m J`m h¡ {Oggo ZmoñQ—mo ImVmo§ H$m ñd g_mYmZ gj_ hwAm h¡ &

K) [aH$m°Z gyMZm {XZ H$s g_mpßV Ho$ ~Om` g_mZ {XZ Ho$ 12 ~Oo VH$ {Z{_©V H$aZo Am¡a ^oOZo go ZmoñQ—mo O_m H$s à{HŒ `m \ mñQ Q—oH$ hwB© h¡, Bggo emImAmo§ H$mo à{dpîQ`mo§ H$m AJbo {XZ Ho$ ~OmE g_mZ {XZ H$mo Cn`moJ H$aZo _o§ ghm`Vm {_br h¡ &

52 dm{f©H$ [anmoQ>© 2016-17

e) Uploading of Forex & Gold Positions to Risk Management Server for easy processing.

f ) Exchange Houses – Reconciliation process has been simplified and daily balancing in Foreign Currency has been made available.

g) Centralized Forex Hub has been set up at Bangalore with trained staff to cater the Forex requirement of Southern India branches and for better compliance of FEMA/RBI/ FEDAI guidelines.

h) The policy of Import payment from newly opened current accounts and the same is being undertaken only after permission for each remittance (up to one year from the date of account opening) from ‘Treasury & Investment Department – Head Office’. Satisfactory Credit Opinion report on the overseas supplier has been made mandatory for Import remittances above USD 50000 or its equivalent.

i) The ODI transactions is centralised at Forex Hub, Bengaluru. The ODI transactions are undertaken only after confirmation from the Nodal Office (HO-TID) regarding the compliance with extant guidelines.

j) EDPMS and IDPMS has been fully implemented as per RBI instructions to facilitate efficient processing, effective monitoring and regulatory reporting of all export and Import transactions.

12. Collection and Payment Services (CAPS)

The Digital India initiative from the Government of India has pushed institutions and companies to adopt digital platform for all their receivable and payables. Keeping pace with the changing environment in the collection and payment system, and as a pro-active CMS Banker, the Bank has initiated host of ‘customer centric’ initiatives during the year. Amongst them are:

IMPS has been interfaced with Cash Management System of the Bank.

Customised payment products introduced to bring Govt. organizations into our fold.

Mobile based wallet services “e-Purse” has been further finetuned to introduce merchant acquiring capabilities.

Unified Fee Collection System was introduced to provide flexible to parents in making fee payment and convenience to educational institutions in collecting the fee in time. The product enables payment of fee across any channel like RTGS/NEFT/ABB/Cheque etc.

Channel Financing without recourse was introduced to bring more flexibility in receivable financing and cover wide range industry.

Host-to-Host services has been introduced to enable auto recon facility for corporates.

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H$mnmo©aoQmo§ H$mo ñd [aH$mZ gw{dYm gj_ H$amZo hoVw hmoñQ Qy hmoñQ godmE± àmaå^ H$s JB© h¢ &


The above initiatives have not only brought speed & operational efficiency in payments and collections but also reduced the cost of operation to enable the Bank to be more competitive in the CMS Market.

The CAPS has

– Brought 246 new clients under its coverage during the year and handled a turnover of `85641 Crore and Achieved an Income of `33.04 Crore thereby showing positive growth in all the parameters.

CAPS has drawn following action plan to re-jig the CMS business in the ensuing financial year:

Bank shall come out with new product leveraging on UPI, BBPS, IMPS and AADHAR Pay services to offer cost effective collection system to corporates/institutions.

Bank shall focus on education institutions, Public utility and Govt. departments for enabling fee/bills collection and various payment needs which has good potential to generate CASA.

Considering the potential of e-Payment Gateway in generating CASA for the Bank apart from fee based income, Division proposes to enter into a partnering arrangement with merchant aggregators. This would enable the Bank to offer the online services comprehensively.

Aggressively market new products such as e-Purse, e-Mandate services etc. which offer paperless payments and collections.

Extend cross border remittance to all exchange houses with Host-to-Host implementation.

Introduce bulk payment facility through Corporate Adopter to enable seamless payment from customer’s system in automated manner.

Division proposes to expand Automated Invoice Financing to “A” rated companies to widen the dealer base and boost SME portfolio.

13. Inter-Branch Accounts Reconciliation

13.1 The Bank has put in place a Central Inter-Branch Reconciliation system for Processing of Inter-Branch Transactions, in order to maintain efficiency in this vital area of housekeeping.

13.2 During the financial year 2016-17, the Bank continued to maintain its core competence in the area of timely reconciliation of Inter-Branch transactions. The Inter-Branch transactions were generally processed and reconciled on the next day of the transaction. All Inter-Branch transactions originated up to 31.03.2017 stand reconciled and all entries up to 1st August, 2016 (other than credits in respect of unpaid Demand Drafts) stand eliminated as at 31.03.2017.

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13. A§Va emIm boIm g_mYmZ

13.1 ~¢H$ Zo aIaImd Ho$ Bg _hËdnyU© joÌ _o§ XjVm H$mo ~ZmE aIZo Ho$ {bE A§Va emIm boZXoZmo§ H$mo àmogog H$aZo hoVw H|$Ðr` A§Va emIm g_mYmZ àUmbr H$s ñWmnZm H$s h¡&

13.2 {dÎm df© 2016-17 Ho$ Xm¡amZ ~¢H$ Zo A§Va emIm boZXoZmo§ H$m g_` na g_mYmZ H$aZo Ho$ joÌ _o§ AnZr à_wI XjVm ~ZmE aIr& A§Va-emIm boZXoZmo§ H$m gm_mÝ`V… boZXoZ Ho$ AJbo {XZ hr àg§ñH¥$V H$aHo$ g_mYmZ {H$`m OmVm h¡& 31.03.2017 VH$ àd{V©V {H$E JE g^r A§Va-emIm boZ-XoZmo§ H$m g_mYmZ {H$`m Om MwH$m h¡ VWm 31.03.2017 H$mo 1 AJñV, 2016 VH$ H$s g^r à{dpîQ`mo§ H$m (AXÎm _m§J S—mâQ Ho$ g§~§Y _o§ O_m H$mo Nmo‹SH$a) {ZagZ {H$`m J`m h¡&

54 dm{f©H$ [anmoQ>© 2016-17

14. Information Technology Initiatives

14.1 New Core Banking Solution:

The coveted New CBS project of the Bank was flagged off with the opening of the new branch at Kottara – Mangalore on 23.09.2015 and migration of an existing branch at Mangalore-Kulur on 25.01.2016 to the FINACLE-based New CBS. 327 branches are on Finacle platform as on 31.03.2017. The Bank has planned to complete the entire migration at the earliest in the coming financial year.

14.2 ISO 27001:2013 Certification for IT Infrastructure of the Bank:

Corporation Bank’s digital wallet App was launched on Android and iOS platforms with a host of features like Get Money, Bill Pay, DTH and Mobile Recharge, Scan and Pay, Direct and Indirect Tax Payments, Online Shopping etc.

14.3 New Payment Interface:

In response to the new efficient, secure and user-friendly delivery channel introduced by NPCI, the Unified Payment Interface (UPI) in issuer mode, has been rolled out.

14.4 Other Digital Initiatives:

The Bank went live on Unstructured Supplementary Service Data [USSD], the text-based mobile (GSM) communication technology based payment solution from NPCI.

15. Credit Cards

15.1 Credit card facilitates the individual clients, a hassle free and risk free way of making payments for shopping, travel etc. In view of the large potential associated with it, the bank has taken steps to expand this portfolio. The bank is predominantly issuing cards to its existing customers. Bank has launched two new credit card variants Platinum and Signature. Bank is issuing only EMV chip cards.

15.2 As on 31st March, 2017, the Bank has issued 63097 credit cards with an aggregate credit limit of `402.03 crore having outstanding balance of `56.20 crore.

15.3 The Bank earned total income of `14.26 crores and Gross Profit of `10.18 crores for 2016-17 under credit card portfolio. 14.83 lakh POS transactions aggregating to 361.80 Crore were transacted using these cards during the year 2016-17.

15.4 For customer convenience, the bank has introduced tech savvy services such as instant PIN generation by the customer, SMS alerts, Hot-listing the card by sending SMS by the card holder, e-statements, online viewing of credit card details, ATM interface and verified by visa authentications for online transactions and issuance of OTP (One Time Password) for

14. gyMZm àm¡Úmo{JH r nhb

14.1 Ý`y H moa ~¢qH J gmoë`yeZ

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15. HŒo {SQ H mS©

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15.2 `Wm 31 _mM© 2017 VH$ H$s pñW{V Ho$ AZwgma ~¢H$ Ûmam `402.03 H$amo‹S H$s Hw$b gr_m Ho$ gmW Hw b 63097 HŒo {SQ H$mS© Omar {H$E JE h¢ {OZHo$ A§VJ©V `56.20 H$amo‹S ~H$m`m eof h¢&

15.3 2016-17 hoVw ~¢H$ Zo H«o${SQ H$mS© H$mo Omar H$aVo hwE `14.26 H$amo‹S H$s Hw b Am` Am¡a `10.18 H$amo‹S H$m gH$b bm^ A{O©V {H$`m h¡& df© 2016-17 Ho$ Xm¡amZ BZ H$mSmoª H$m BñVo_mb H$aVo hwE Hw b `361.80 H$amo‹S Ho$ 14.83 bmI nrAmoEg boZXoZ {H$E JE&

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all e-commerce transactions. All these facilities are expected to help the customers to use the Cards efficiently. During the year 2016-17, a total of 3416 complaints were received from the credit card customers. All these complaints were resolved to the satisfaction of Customers.

15.5 LIC Credit Cards:

15.5.1 LIC Co-Branded Credit Cards: Our Bank has entered into an agreement with LIC Cards Services LTD., (LICCSL), a wholly owned subsidiary of LIC of India, for issuance of co-branded Credit Cards by the Bank to the customers (policy holders), employees and agents of LIC of India. As per understanding, the LICCSL will source application for credit cards from the policy holders, directly and also through agents. The bank has issued 33235 cards till 31.03.2017 with aggregate limit of `200.52 crore and balance outstanding of `8.94 crore.

15.6 Delivery Channels

15.6.1 ATMs: As on 31.03.2017, Bank had installed 3,169 ATMs. Of this 1,232 ATMs are under owned model, 1,937 ATMs are installed under DFS initiated outsourced Model and one is a Mobile ATM.

15.6.2 Debit Cards: As on 31st March, 2017, the total number of outstanding debit cards (all variants) stood at 115.41 lakhs with addition of 18.87 lakh cards during the financial year 2016-17. The premium debit card variants of the bank have gained popularity and as of 31.03.2017, the number of outstanding Platinum and Signature Debit cards were 99,282 and 19,274 respectively. Bank has complied with RBI guidelines to issue EMV Debit Cards from February 2016.

15.6.3 Sponsoring Small Banks for VISA Sub Membership: Expanding the scope of plastic money, the Bank has enabled smaller banks to issue VISA branded cards to its customers through Sub-Membership. The facility has empowered the customers of such smaller banks by bringing them into the plastic money culture giving them global acceptance. As of 31.03.2017, Bank has sponsored 4 small Banks and this arrangement has augmented the fee income of the Bank.

15.6.4 24x7 e-lobby: In order to provide banking convenience to our customers, Bank is operationalising e-Lobby. The “e-Lobby” has self-service automation kiosks which include Cash Deposit Machine, Cheque Deposit Machine. Self-Service passbook printer and an ATM. The machines are user-friendly and can be used at ease by the customers. As on 31.03.2017, Bank has operationalized 335 e-Lobbies.

15.6.5 POS Terminals: As of 31.03.2017, the Bank has installed 2,13,454 POS terminals (including Mobile POS) at

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15.6 So{bdar M¡Zb

15.6.1 EQrE_… 31.03.2017 VH$ ~¢H$ Zo 3169 EQrE_ g§ñWm{nV {H$E h¢& BZ_o§ 1232 EQrE_ ñdm{_Ëd _m°Sb Ho$ AYrZ h¢, 1937 EQrE_ SrE\$Eg H$s nhb _o§ AmCQgmoñS© _m°Sb Ho$ AYrZ g§ñWm{nV h¢ Am¡a 1 _mo~mBb EQrE_ h¡ &

15.6.2 So{~Q H mS©… 31 _mM© 2017 VH$ H$s pñW{V Ho$ AZwgma Hw b So{~Q H$mSmoª (g^r àH$ma Ho$) H$s g§»`m 115.41 bmI h¡, Bg_o§ 18.87 bmI H$mS© {dÎm df© 2016-17 Ho$ Xm¡amZ Omo‹So JE& ~¢H$ Ho$ àr{_`_ So{~Q H$mSmoª H$s bmoH${à`Vm ~‹Tr h¡ Am¡a 31.03.2017 VH$ H$s pñW{V Ho$ AZwgma ßb¡{QZ_ Am¡a {g¾oMa So{~Q H$mSmoª H$s g§»`m HŒ _e… 99,282 Am¡a 19,274 ahr& ~¢H$ Zo \$adar 2016 go B©E_dr So{~Q H$mS© Omar H$aZo _o§ ^m[a~¡ Ho$ {Xem-{ZXo©emo§ H$m nmbZ {H$`m h¡ &

15.6.3 drµOm Cn gXñ`Vm hoVw NmoQo ~¢H$mo§ H$mo àm`mo{OV H$aZm… ßbmpñQH$ _Zr Ho$ Xm`ao H$mo ~‹TmVo hwE ~¢H$ Zo NmoQo ~¢H$mo§ H$mo Cn gXñ`Vm Ho$ µO[aE AnZo JŒmhH$mo§ H$mo drµOm ~Œ¢S Ho$ H$mS© Omar H$aZo _o§ g_W© {H$`m h¡& Cº gw{dYm go NmoQo ~¢H$mo§ Ho$ JŒmhH$ geº$ hwE h¢ Am¡a CÝho§ d¡{œH$ ñdrH¥ {V XoVo hwE ßbmpñQH$ _Zr g§ñH¥ {V _o§ bm`m J`m& 31.03.2017 VH$ ~¢H$ Zo 4 NmoQo ~¢H$mo§ H$mo àm`mo{OV {H$`m Am¡a Bg ì`dñWm go ~¢H$ H$s ewëH$ Am` _o§ d¥{Õ hwB© h¡&

15.6.4 24x7 B©-bm°~r… AnZo JŒmhH$mo§ H$mo ~¢qH$J gw{dYm àXmZ H$aZo Ho$ HŒ _ _o§, ~¢H$ B©-bm°~r n[aMm{bV H$a ahm h¡& ""B©-bm°~r'' EH$ ñd`§ godm ñdMm{bV {H$`moñH$ h¡, {Og_o§ ZH$X O_m _erZ, MoH$ O_m _erZ, ñd` godm nmg~wH$ qàQa Am¡a EH$ EQrE_ em{_b h¡& _erZo§ à`moº$mZwHy b h¢ Am¡a JŒmhH$ Ûmam AmgmZr go Cn`moJ {H$`m Om gH$Vm h¡& `Wm 31.03.2017 H$mo ~¢H$ _o§ 335 B©-bm°{~`m§ n[aMm{bV h¢&

15.6.5 nrAmoEg _erZo§: Wm 31.03.2017 VH$ ~¢H$ Zo {d{^Þ ì`mnm[aH$ à{VîRmZmo§ _o§ 2,13,454 nrAmoEg _erZo§ (_mo~mB©b nrAmoEg g{hV) bJmB©

56 dm{f©H$ [anmoQ>© 2016-17

various Merchant Establishments. This value added service has enabled the Bank to not only enroll new customers but also retain existing customers. The Bank is also sponsoring smaller Banks for POS acquisition by acting as settlement Bank. Bank has introduced Digital POS machine without receipt printer thereby contributing to ‘GO Green’ Initiative.

16. Marketing InitiativesA marketing set up is in place at Head office and at all Zonal Offices of the Bank to support the efforts of the field level staff in reaching out to the customers for business development.

16.1 New Relationship:On 08 Nov., 2016 a Memorandum of Understanding (MOU) was signed between the Indian Army and Corporation Bank on the Defense Salary Package at Indian Army headquarters New Delhi. The signing ceremony was chaired by the Adjutant General, Lt Gen Rakesh Sharma, UYSM, AVSM, and VSM and was attended by top dignitaries of Corporation Bank headed by Shri Gopal Murli Bhagat, Executive Director. Bank has agreed to extend its existing product line under Payroll category namely Corp Pay Elite & Corp Pay Delite to Indian Army Officials with exclusive benefits. The New product Line is branded as Corp Pay Army Elite & Corp Pay Army Delite.

Bank has revamped his existing strategic relationship with Maruti Suzuki. It has worked out a specific Marketing plan with an intention to provide additional thrust to its existing Vehicle Loan portfolio during the coming days.

16.2 Campaigns The Division has launched 2 exclusive campaigns during the fiscal year 2016-17 with an aspiration of improving the affluent clientele base under CASA.

16.3 SB Premier League: Division conducted a campaign from 15th July 2016 till 31st August 2016 with a specific objective of garnering affluent clientele base under CASA. The Campaign was branded as SB Premier League and exclusive focus was given to premium SB accounts of the bank. During the campaign period Bank was successful in acquiring 35,192 new relationships.

16.4 Outreach campaign: A mega Outreach Campaign was conducted for one week from 24th October 2016 till 28th October 2016 with an objective to reach out to 4850 New Customers and 23250 existing customers. Outreach Campaign helped in producing a lot of visibility for the Bank. Active participation of Circle General Manager, Zonal Head and Branch Staff made the campaign a grand success.

Payroll Segment:In total Bank has mobilized 5,91,929 Payroll accounts during the Fiscal year 2016-17 comprising of all the variants of Corp Payroll Accounts. Bank achieved a year-on-year growth of 48.64% in mobilizing Corp Payroll accounts and 259.53 Crore balance outstanding as on 31.03.2017.

h¢& Bg _yë` d{Y©V godm go ~¢H$ H$mo Z Ho$db ZE JŒmhH$mo§ H$mo bmZo _o§ ~pëH$ dV©_mZ JŒmhH$mo§ H$mo amoHo$ aIZo _o§ ^r _XX {_br& ~¢H$ {ZnQmZ ~¢H$ Ho$ ê$n _o§ H$m`© H$aVo hwE nrAmoEg A{^JŒhrV H$aZo Ho$ {bE NmoQo ~¢H$mo§ H$mo àm`mo{OV ^r H$a ahm h¡& ~¢H$ Zo {~Zm agrX qàQa Ho$ gmW {S{OQb nrAmoEg _erZ ewé H$s h¡ Am¡a Bg àH$ma "Jmo JŒrZ' nhb _o§ gh`moJ {X`m h¡ &

16. {dnUZ nhb

H$mamo~ma {dH$mg Ho$ {bE JŒmhH$mo§ VH$ nhw±MZo Ho$ joÌ ñVar` ñQm\ H$mo ~¢H$ Ho$ à`mgmo§ _o§ _XX XoZo Ho$ {bE àYmZ H$m`m©b` Am¡a Am§M{bH$ H$m`m©b`mo§ _o§ {dnUZ Tm±Mm ~Zm`m J`m h¡&

16.1 ZE g§~§Y 8 Zd§~a, 2016 H$mo ^maVr` goZm _w»`mb`, ZB© {X„r _o§ g¡Ý` doVZ n¡Ho$O na ^maVr` goZm Am¡a H$mnmo©aoeZ ~¢H$ Ho$ ~rM EH$ g_Âmm¡Vm kmnZ na hñVmja hwAm& hñVmja g_mamoh H$s AÜ`jVm ghm`H$ OZab bopâQZo§Q amHo$e e_m© Ûmam {H$`m J`m Am¡a `ydmB©EgE_, EdrEgE_ Ed§ drEgE_ VWm lr Jmonmb _wabr ^JV, H$m`©nmbH$ {ZXoeH$ Ho$ ZoV¥Ëd _o§ H$mnmo©aoeZ ~¢H$ Ho$ CÀM A{YH$m[a`mo§ Zo ^mJ {b`m& ~¢H$ {deof bm^mo§ Ho$ gmW ^maVr` goZm Ho$ A{YH$m[a`mo§ H$mo H$mn© no BbmEQ Am¡a H$mn© no {SbmBQ Zm_ go noamob loUr Ho$ A§VJ©V {dÚ_mZ CËnmX H$mo ~‹TmZo hoVw gh_V hmo J`m h¡& ZB© CËnmX e¥§Ibm H$mo H$mn© no Am_r© BbmBQ Am¡a H$mn© no Am_r© {SbmBQ Ho$ ê$n _o§ ~ŒmÊS Zm_ {X`m J`m&

~¢H$ Zo _mé{V gwOwH$s Ho$ gmW AnZr aUZr{VH$ g§~§Y H$mo nwZn©[a^m{fV {H$`m J`m& AmZo dmbo dfmoª _o§ {dÚ_mZ dmhZ G$U g§{d^mJ na {deof µOmoa XoZo Ho$ CÔoí` go {d{eîQ {dnUZ `moOZm V`ma {H$`m J`m&

16.2 A{^`mZ Bg à^mJ Zo H$mgm Ho$ A§VJ©V {dnwb JŒmhH$mYma _o§ gwYma H$s ^mdZm go {dÎmr` df© 2016-17 Ho$ Xm¡amZ 2 {deof A{^`mZmo§ H$s ewéAmV H$s h¡&

16.3 Eg~r àr{_`a brJ: à^mJ H$mgm Ho$ A§VJ©V {dnwb JŒmhH$ AmYma H$mo àmßV H$aZo Ho$ {deof CÔoí` go 15 OwbmB©, 2016 go 31 AJñV, 2016 VH$ EH$ A{^`mZ Mbm`m& Bg A{^`mZ H$m Zm_ Eg~r àr{_`a brJ {X`m J`m& Cº A{^`mZ Ad{Y Ho$ Xm¡amZ ~¢H$ 35,192 ZE g§~§Y H$mo àmßV H$aZo _o§ g\ b ahm&

16.4 AmD$QarM A{^`mZ: 4850 ZB© JŒmhH$ Am¡a 23250 {dÚ_mZ JŒmhH$ VH$ nhw±MZo Ho$ CÔoí` go 24 AŠVy~a, 2016 go 28 AŠVy~a, 2016 VH$ EH$ gßVmh hoVw EH$ _oJm AmD$QarM A{^`mZ Mbm`m J`m& AmD$QarM A{^`mZ ~¢H$ hoVw AË`{YH$ X¥í`Vm H$mo CËnÞ H$aZo _o§ _XX {H$`m& _§Sb _hm à~§YH$, A§Mb à_wI Am¡a emIm ñQm\ H$s g{H«$` à{V^m{JVm Zo Cº A{^`mZ H$mo ^ì` g\ b ~Zm`m&

noamob I§S ~¢H$ Zo {dÎm df© 2016-17 Ho$ Xm¡amZ 5,91,929 no amob ImVmo§ H$m g§JŒhU {H$`m ~¢H$ Zo H$mn© no amob g§JŒhU _o§ df©-Xa df© 48.64 % H$s d¥{Õ XO© H$s Am¡a ~H$m`m am{e _o§ 31.03.2017 H$mo 259.53 H$amo‹S eof Wm&


17. Customer Service

17.1 Findings of the Survey conducted by BCSBI at select branches of our Bank

Highlight of the findings in the survey:

A) Our Bank improved in overall rating by securing 18th position among all the Banks (51) during the present survey as against 38th position among all the Bank (47) during the previous survey conducted in Sept. 2015. It may be mentioned here that the 17 Banks which are ranked above our Bank consists of 16 Private Sector & Foreign Banks. Since 2 – 2.5% of total network of branches are subjected to survey, the number of Branches surveyed among Private and Foreign Banks are relatively very small. Further, being small in number, ensuring implementation of various centric measures is easy in these Banks.

B) Our Bank secured 2nd position among PSBs during the present survey as compared to 18th position during the previous survey of September 2015 indicating substantial improvement in implementation of customer centric measures by our Bank branches.

C) BCSBI has appreciated the Customer Guide brought out by our Bank both for its contents, coverage and quality.

17.2 CPGRAMS Complaints

During the Financial year ending 31.3.2017, 688 Complaints were disposed of in CPGRAMS Web Portal of the Ministry and there were no CPGRAMS Complaint pending against our Bank as on 31.03.2017. The list sent by Ministry on 24.04.2017 showed no complaint pending against our Bank on while other banks had large number of complaints pending for more than 60 days.

17.3 Banking Ombudsman casesDuring the Financial year ending 31.03.2017, 233 Banking Ombudsman cases were filed and 239 Banking Ombudsman cases were disposed. During the Financial year there was no award against Our Bank.

17.4 PGRS

During the Financial year ending 31.03.2017 1123 complaints were received through PGRS and there were only 5 complaints pending as on 31.03.2017. All 5 complaints has since been resolved.

17.5 RBI Complaints

During the Financial year ending 31.03.2017, 59 Complaints were received and all the complaints were disposed of. There were no pending complaints received through Reserve Bank of India as on 31.03.2017.

17. JŒmhH godm

17.1 h_mao ~¢H H$s M`{ZV emImAmo§ _o§ ~rgrEg~rAmB© Ûmam g§Mm{bV gdo©jU H$m {ZîH f©

Cº gdo©jU Ho$ à_wI {ZîH$f©:

H$) h_mam ~¢H$ {gV§~a, 2015 _o§ g§Mm{bV nyd© gdo©jU Ho$ Xm¡amZ g_ñV ~¢H$mo (47) H$s 38dt pñW{V go dV©_mZ gdo©jU Ho$ Xm¡amZ g_ñV ~¢H$mo§ (51) Ho$ H$s 18dt pñW{V na Am J`m& `hm± `h C„oIZr` h¡ {H$ {OZ 17 ~¢H$mo§ H$mo loUr _o§ h_mao ~¢H$ go D$na aIm J`m , CZ_o§ 16 {ZOr ~¢H$ Am¡a 2 {dXoer ~¢H$ h¡& My§{H$ ~¢H$mo§ H$s 2-2.5% emImAmo§ H$m hr gdo©jU {H$`m J`m, gdo©jU Ho$ {bE {ZOr Am¡a {dXoer ~¢H$mo§ H$s emImE± AnojmH¥$V H$_ Wr AmJo, g§»`m _o§ H$_ hmoZo Ho$ H$maU BZ ~¢H$mo§ _o§ {d{^Þ Ho$pÝÐV Cnm`mo§ H$m H$m`m©Ýd`Z A{YH$ AmgmZ h¡&

I) h_mam ~¢H$ {gV§~a 2015 Ho$ nyd© gdo©jU Ho$ Xm¡amZ 18dt pñW{V H$s VwbZm _o§ dV©_mZ gdo©jU Ho$ Xm¡amZ gmd©O{ZH$ ~¢H$mo§ Ho$ ~rM Xygao ñWmZ H$mo àmßV {H$`m Omo h_mar ~¢H$ emImAmo§ Ûmam JŒmhH$ Ho$pÝÐV Cnm`mo§ Ho$ H$m`m©Ýd`Z _o§ HŒ {_H$ gwYma H$m Úm¡VH$ h¡&

J) ~rgrEg~rAmB© h_mao ~¢H$ Ûmam àH$m{eV JmBS _o§ BgH$s gm_mJŒr, ì`mpßV Ed§ JwUdÎmm H$s àe§gm H$s h¡&

17.2 H|$ÐrH¥$V bmoH {eH$m`V {ZdmaU Am¡a {ZJamZr àUmbr (grnrOrAmaEE_Eg)

31.03.2017 H$mo g_mßV hmoZo dmbr Ad{Y _o§ _§Ìmb` Ho$ grnrOrAmaEE_Eg do~ nmoQ©b _o§ 688 {eH$m`Vmo§ H$m g_mYmZ {H$`m J`m Am¡a Wm 31.03.2017 H$mo grnrOrAmaEE_Eg Ho$ VhV b§{~V {eH$m`Vo§ eyÝ` h¡& 24.04.2017 H$mo h_mao ~¢H$ Ho$ {déÕ {H$gr {eH$m`V H$mo b§{~V Zht {XIbm`m J`m h¡ O~ {H$ Xygao ~¢H$mo§ _o§ 60 {XZmo§ go A{YH$ b§{~V {eH$m`Vo§ ~hwV A{YH$ h¡&

17.3 ~¢qH J bmoH nmb _m_bo:

31.03.2017 H$mo g_mßV {dÎmr` df© Ho$ Xm¡amZ 233 ~¢qH$J bmoH$nmb _m_bo XO© {H$E JE Am¡a 239 ~¢qH$J bmoH$nmb _m_bmo§ H$m g_mYmZ {H$`m J`m & Bg {dÎmr` df© Ho$ Xm¡amZ h_mao ~¢H$ Ho$ {déÕ H$moB© {ZU©` Zht hwAm&

17.4 bmoH {eH m`V {ZdmaU ì`dñWm:

31.03.2017 H$mo g_mßV hmoZo dmbr Ad{Y _o§ nrOrAmaEg _mS²æyb Ûmam 1123 {eH$m`Vo§ àmßV hwB©§ Am¡a 31.03.2017 Ho$ AZwgma Ho$db 5 {eH$m`Vo§ b§{~V h¡& g^r 5 {eH$m`Vmo§ H$m g_mYmZ H$a {b`m J`m h¡ &

17.5 ^m[a~¡ {eH m`Vo§:

31.03.2017 H$mo g_mßV Ad{Y Ho$ Xm¡amZ 59 {eH$m`Vo§ àmßV hwB©§ Am¡a g^r {eH$m`Vmo§ H$mo {ZnQm`m J`m& 31.03.2017 H$mo ^maVr` [aOd© ~¢H$ Ûmam àmßV {eH$m`Vmo§ _o§ H$moB© ^r b§{~V {eH$m`V Zht h¡ &

58 dm{f©H$ [anmoQ>© 2016-17

17.6 Ministry Complaints

During the Financial year ending 31.03.2017 there were no pending complaints received through Ministry.

17.7 RTI Application and Appeals

During the Financial year ending 31.03.2017, 89 RTI Applications were disposed of and 36 Appeals were disposed of. There were no pending RTI Applications and RTI Appeals as on 31.03.2017.

18. Integrated Risk Management System

18.1 Basel-II/ Basel-III Compliance

18.1.1 Banks and other financial institutions all over the world have become more interconnected than ever as the time zones separating the financial world has shrunk and truly world has become a smaller place. This integration however also means that geo-political risks arising in one part of the globe also affects other part of the world. Thus, with each passing day newer and more complex risks are arising and financial institutions across the world have to continuously enhance and improve their risk management techniques and architecture to address the growing risks. Basel-II and Basel-III accord are aimed at harmonizing the practices adopted by various banks operating across jurisdictions and countries, under a common supervisory framework, thus bringing uniformity in the Risk management practices.

18.1.2 Risk Management is an integral part of Bank’s organizational structure and business strategy. Identification, measurement, monitoring and controlling the risks enables the Bank to minimize losses and maximize profits. The major risks faced by the Bank are Credit Risk, Market Risk and Operational Risk.

18.1.3 Our Bank has constituted three internal committees of executives, namely, Credit Risk Management Committee, Market Risk Management Committee/Asset Liability Management Committee and Operational Risk Management Committee – for looking after the implementation of Integrated Risk Management system. The Board oversights on Risk Management activities in the Bank is managed through Risk Management Committee of the Board.

18.1.4 The Bank has put in place Internal Capital Adequacy Assessment Process (ICAAP) to assess the risks to which it is exposed and has put risk management process in place to manage and mitigate those risks and evaluate the capital adequacy relative to these risks. To enhance risk assessment and to have a better understanding of the likely impact in extreme circumstances, stress testing process is conducted. Stress Testing enables the Banks to identify the vulnerable areas, if any, and to prepare for the same by developing appropriate contingency plans.

17.6 _§Ìmb` {eH m`Vo§:

31.03.2017 H$mo g_mßV df© Ho$ Xm¡amZ _§Ìmb` Ûmam H$moB© ^r b§{~V {eH$m`V àmßV Zht hwB© &

17.7 AmaQrAmB© {eH m`Vo§ Am¡a Anrb:

31.03.2017 H$mo g_mßV {dÎmr` df© Ho$ Xm¡amZ 89 AmaQrAmB© Am¡a 36 Anrb {ZnQmB© JB©§ & 31.03.2017 H$mo H$moB© ^r b§{~V AmaQrAmB© AmdoXZ Am¡a AmaQrAmB© Anrb Zht Wr &

18. EH$sH¥$V Omo{I_ à~§YZ àUmbr

18.1 ~ogb II/~ogb III AZwnmbZ

18.1.1 d¡œrH$aU Ho$ n[aUm_ñdê$n {dœ Ho$ {d{^Þ Xoemo§ Ho$ ~rM Amngr g§nH© _o§ H$m\ r gwYma hwAm h¡& Xw{Z`m â Ho$ ~¢H$ Am¡a {dÎmr` g§ñWmE§ BVZm nañna Ow‹S JB© h¢ {H$ {dÎmr` OJV H$m g_`-joÌ {gHw$‹S J`m h¡ Am¡a h {díd gM_wM EH$ NmoQr OJh ~Z J`m h¡& bo{H$Z Bg EH$sH$aU H$m `h ^r _Vb~ hmoVm h¡ {H$ {dœ Ho$ EH$ {hñgo H$m ^y-amOZ¡{VH$ Omo{I_ {dœ Ho$ Xygao {hñgo H$mo ^r à^m{dV H$aVm h¡& Bg àH$ma, EH$-EH$ {XZ JwµOaVo-JwµOaVo ZE Am¡a A{YH$ O{Qb Omo{I_ CËnÞ hmo aho h¢ Am¡a {dœ â H$s {dÎmr` g§ñWmAmo§ H$mo ~‹TVo Omo{I_mo§ H$m gm_Zm H$aZo Ho$ {bE AnZr Omo{I_ à~§YZ VH$ZrH$mo§ Am¡a g§aMZm H$mo {Za§Va ê$n go ~‹TmZm Am¡a gwYmaZm n‹SVm h¡& ~ogb II Am¡a ~ogb III g_Âmm¡Vo H$m CÔoí` {d{^Þ A{YH$ma joÌmo§ Am¡a {d{^Þ Xoemo§ _o§ n[aMmbZaV {d{^Þ ~¢H$mo§ Ûmam AnZmB© OmZo dmbr àWmAmo§ H$mo EH$ gmÂmo n`©dojr Tm±Mo Ho$ AYrZ bmVo hwE Omo{I_ à~§YZ àWmAmo§ _o§ EH$ê$nVm bmZm h¡&

18.1.2 Omo{I_ à~§YZ ~¢H$ H$s g§JRZmË_H$ g§aMZm Am¡a H$mamo~ma aUZr{V H$m EH$ A{^Þ A§J h¡& Omo{I_mo§ H$mo nhMmZZo, _mnZo, {ZJamZr H$aZo Am¡a {Z`§{ÌV H$aZo go ~¢H$ H$mo hm{Z`mo§ H$mo H$_ H$aZo Am¡a bm^ A{YH$V_ H$aZo _o§ _XX {_bVr h¡& ~¢H$ Ûmam gm_Zm {H$E Om aho _w»` Omo{I_ h¢ G$U Omo{I_, ~mµOma Omo{I_ Am¡a n[aMmbZJV Omo{I_&

18.1.3 h_mao ~¢H$ _o§ G$U Omo{I_ à~§YZ g{_{V, ~mµOma Omo{I_ à~§YZ g{_{V/AmpñV Xo`Vm à~§YZ g{_{V Am¡a n[aMmbZJV Omo{I_ à~§YZ g{_{V - H$m`©nmbH$mo§ H$s VrZ Omo{I_ à~§YZ g{_{V`m± VWm ~moS© H$s Omo{I_ à~§YZ g{_{V Ho$ gmW ~¢H$ _o§ EH$sH¥ V Omo{I_ à~§YZ àUmbr H$m H$m`m©Ýd`Z XoI ahr h¢& ~¢H$ _o§ Omo{I_ à~§YZ {H«$`mH$bmn na ~moS© H$s {ZJamZr ~moS© H$s Omo{I_ à~§YZ g{_{V Ûmam à~§Y {H$`m OmVm h¡&

18.1.4 ~¢H$ Zo g§^mì` Omo{I_mo§ Ho$ _yë`m§H$Z Ho$ {bE Am§V[aH$ ny±Or n`m©ßVVm {ZYm©aU à{HŒ `m (AmB©grEEnr) bmJy H$s h¡ Vm{H$ BZ Omo{I_mo§ H$m à~§YZ d H$_r H$s Om gHo$ VWm Omo{I_ go g§~§{YV CgH$s ny±Or n`m©ßVVm H$m _yë`m§H$Z {H$`m Om gHo$& AË`§V Xyâ n[apñW{V`mo§ _o§ ^r g§^mì` à^md Ho$ g§~§Y _o§ ~¢H$ H$mo ~ohVa g_Âm àXmZ H$aVo hwE Omo{I_ {ZYm©aU H$m ñVa ~‹TmZo Ho$ {bE X~md narjU à{HŒ `m bmJy H$s JB© h¡& X~md narjU ~¢H$mo§ H$mo ZmµOwH$ joÌ, `{X H$moB© h¡ Vmo Cgo nhMmZZo Am¡a Cn`wº AmH$pñ_H$ `moOZmE§ {dH${gV H$aHo$ CgHo$ {bE V¡`ma hmoZo _o§ g_W© H$aVr h¡&


18.2. Credit Risk

18.2.1 In the area of credit risk, the Bank has in the year 2006 implemented the rating models applicable for borrowers under commercial loan segment. The rating models are working on web based enterprise wide solution called Risk Assessment Module (RAM). This software, which is currently being used to appraise the borrowers with exposure of `25 lakh and above, enables the Bank to assess the ratings while preparing the appraisal notes. It will also help in creating database for moving over to the IRB approaches of Basel – III.

18.2.2 The Bank has procured Capital Assessment Module (CAM), used for capital computation of credit risk under standardized approach of Basel-III as prescribed by RBI. The Bank has applied to RBI for migrating to Foundation Internal Rating Based approach (FIRB) under Credit Risk. Presently bank is following Standardised approach for computing capital charge on Credit Risk.

18.2.3 Bank has formulated a Group Credit Policy, which lays down policy guidelines for credit management covering all areas of operations, where credit risk is involved. The policy enables the Bank to enhance its risk management capabilities and thereby improve the performance through steady and healthy growth in credit portfolio. This policy has set prudential limits to individual borrowers, non-corporate borrowers, entity level exposure norms, substantial exposure limits, benchmark financial ratios, borrower standards, exposure limits/ceilings to industries, sensitive sectors, rating category etc. The Board reviews the prudential limits periodically. The Bank has implemented a multi-tier credit approval system wherein the loan proposals are cleared by an “Approval Grid” before being placed to the respective sanctioning authorities.

18.2.4 On-site Credit Audit of borrowal accounts with limit of `5 crore and above is in place. Credit Audit of borrowal accounts with less than 5 crore are conducted on random basis. All takeover proposals with exposure of `2 crore and above are subjected to credit audit.

18.2.5 Bank has created a separate division for monitoring Stressed assets. The division has two verticals, one for monitoring large exposure of `1 crore and above, another for monitoring exposure below `1 crore. The division is guiding and supporting the branches and zonal offices for ensuring close follow up of stressed loan accounts under standard category to avoid fresh slippages. A system driven advance warning system for early identification of probable NPAs with probable reasons for slippages is put in place which is an ideal tool for effective monitoring of standard assets/containing fresh slippages.

18.2 G$U Omo{I_

18.2.1 G$U Omo{I_ Ho$ joÌ _o§ ~¢H$ Zo df© 2006 _o§ dm{UpÁ`H$ G$U go½_o§Q Ho$ A§VJ©V CYmaH$Vm©Amo§ Ho$ {bE bmJy aoqQJ _m°Sb {HŒ `mpÝdV {H$E Wo& `o aoqQJ _m°Sb Omo{I_ {ZYm©aU _m°Sçyb (a¡_) Zm_ Ho$ do~ AmYm[aV B§QaàmBµO dmBS goë`yeZ na H$m_ H$aVm h¡& dV©_mZ _o§ `25 bmI Am¡a Cggo A{YH$ Ho$ EŠgnmoµOa dmbo CYmaH$Vm© H$m _yë`m§H$Z H$aZo Ho$ {bE BñVo_mb {H$`m OmVm h¡ Am¡a _yë`m§H$Z {Qßn{U`m± V¡`ma H$aVo g_` aoqQJ H$m AmH$bZ H$aZo _o§ ~¢H$ H$mo g_W© H$aVm h¡& ~ogb-III Ho$ AmB©Ama~r X¥pîQH$moU _o§ n[ad{V©V hmoZo hoVw SmQm~og H$m g¥OZ H$aZo Ho$ {bE a¡_ gm°âQdo`a _XX H$aoJm&

18.2.2 ~¢H$ Zo ny±Or AmH$bZ _m°S`yb (H¡ _) ^r àmßV {H$`m h¡, {Ogo ^m[a~¢ Ûmam {ZYm©[aV AZwgma ~ogb-III Ho$ _mZH$sH¥$V X¥pîQH$moU Ho$ A§VJ©V G$U Omo{I_ Ho$ ny±OrJV n[aH$bZ Ho$ à`moOZmW© BñVo_mb {H$`m OmVm h¡& ~¢H$ G$U Omo{I_ Ho$ A§VJ©V E\$AmB©Ama~r (AmYma^yV Am§V[aH$ loUrH$aU na AmYm[aV X¥pîQH$moU) _o§ _mBJŒoQ hmoZo Ho$ {bE ^maVr` [aµOd© ~¢H$ H$mo AmdoXZ H$a MwH$m h¡& dV©_mZ _o§ ~¢H$ G$U Omo{I_ Ho$ {bE _mZH$sH¥ V X¥pîQH$moU AnZm ahm h¡&

18.2.3 ~¢H$ Zo JŒwn G$U Zr{V gyÌ~Õ H$s h¡, Omo n[aMmbZ Ho$ CZ g^r joÌmo§ H$mo em{_b H$aVo hwE Ohm± G$U Omo{I_ em{_b h¡, G$U à~§YZ hoVw Zr{VJV {Xem-{ZXo©e {ZYm©[aV H$aVr h¡& Bg Zr{V go ~¢H$ Omo{I_ à~§YZ j_VmAmo§ _o§ d¥{Õ H$a gH$Vm h¡ {Oggo ~¢H$ AnZo G$U g§{d^mJ _o§ pñWa VWm ñdñW g§d¥{Õ Xem© gH$Vm h¡ {OgHo$ n[aUm_ñdê$n {ZînmXZ g_JŒ ê$n go gwYaoJm& Zr{V Ho$ AZwgma ~¢H$ Zo d¡`{º$H$ CYmaH$Vm©Amo§, J¡a-H$mnmo©aoQ CYmaH$Vm©Amo§ hoVw {ddoH$nyU© gr_mE§, BH$mB© ñVar` EŠgnmoµOa _mZX§S, ~‹Sr EŠgnmoµOa gr_mE±, _mZH$ {dÎmr` AZwnmV, CYmaH$Vm© _mZH$, CÚmoJmo§, g§doXZerb joÌmo§ hoVw EŠgnmoµOa gr_mE±/CÀMV_ gr_m, aoqQJ loUr Am{X {ZYm©[aV {H$E h¢& {ZXoeH$ _§Sb {Z`{_V ê$n go {ddoH$nyU© gr_mAmo§ H$s g_rjm H$aVm h¡& ~¢H$ Zo ~hwñVar` G$U AZw_moXZ H$s ì`dñWm ^r bmJy H$s h¡ {Og_o§ G$U àñVmd g§~§Yr _§Oyar àm{YH$m[a`mo§ Ho$ g_j àñVwV H$aZo go nhbo ""AZw_moXZ {JŒS'' Ûmam _§Oya {H$E OmVo h¢&

18.2.4 `5 H$amo‹S Am¡a Cggo A{YH$ Ho$ G$U EŠgnmoOa dmbo g^r àñVmdmo§ hoVw CYma ImVmo§ H$s Am°Z-gmBQ G$U boIm narjm ewê H$s JB© h¡& 5 H$amo‹S go H$_ Ho$ CYmaH$Vm© ImVmo§ H$s G$U boIm narjm `mX¥pÀNH$ AmYma na H$s OmVr h¡& A{YJŒhU àñVmdmo§ _o§ G$U boIm narjm 2 H$amo‹S Am¡a A{YH$ EŠgnmoOa dmbo G${U`mo§ hoVw {H$`m OmVm h¡ &

18.2.5 ~¢H$ Zo X~mdJŒñV AmpñV`mo§ H$s {ZJamZr Ho$ {bE ñdV§Ì à^mJ ñWm{nV {H$`m h¡& à^mJ Ho$ Xmo dQr©H$b h¢ EH$- `1 H$amo‹S Am¡a A{YH$ Ho$ AË`{YH$ EŠgnmoOa H$s {ZJamZr Am¡a Xygam- `1 H$amo‹S go H$_ EŠgnmoOa H$s {ZJamZr& `h à^mJ _mZH$ loUr Ho$ VhV ZE pñbnoO H$mo amoH$Zo Ho$ {bE X~mdJŒñV G$U ImVmo§ H$m gyú_ AZwdV©Z gw{Z{üV H$aZo Ho$ {bE emImAmo§ Am¡a Am§M{bH$$ H$m`m©b`mo§ H$mo _mJ©Xe©Z Am¡a gh`moJ àXmZ H$aVm h¡& pñbnoO Ho$ {bE g§^m{dV H$maUmo§ Ho$ gmW g§^m{dV EZnrE H$s g_`nyd© nhMmZ Ho$ {bE n[aMm{bV EH$ A{JŒ_ MoVmdZr àUmbr _mZH$ AmpñV`mo§/ZE pñbnoO H$s {ZJamZr Ho$ {bE EH$ AmXe© gmYZ h¡&

60 dm{f©H$ [anmoQ>© 2016-17

18.2.6 The Bank has also undertaken Industry Risk Assessment and Portfolio Studies in order to assess the credit risk at the portfolio level, adopt strategies to improve the quality of portfolio and reduce adverse impact of concentration of exposures to certain borrowers or industries.

18.2.7 Study on rating migration of borrowal accounts is undertaken and appropriate corrective actions are initiated to protect the portfolio quality.

18.2.8 Rating assigned by the credit officers is vetted by the Risk-Managers at various locations.

18.2.9 All the issues related to Credit Risk are deliberated in the Credit Risk Management Committee meeting.

18.3 Market Risk

18.3.1 Market Risk is the risk of losses in on-balance sheet and off-balance sheet positions arising from movements in market prices/variables. The changes will have direct impact on the Bank’s earnings and its capital. These changes can have ramifications on Bank’s liquidity and profitability.

18.3.2 The Bank has implemented Market Risk Policy for managing the Market Risk in domestic treasury, country risk management and precious metal operations. The policy emphasizes effective measurement, monitoring and management of liquidity, interest rates, domestic treasury operations, foreign exchange and equity as well as commodity price risk of the Bank. The Market Risk in trading book is monitored and managed as per appropriate control mechanism in place. Market position, funding patterns, duration, counterparty limits and various sensitive parameters are closely monitored. Advanced risk management tools such as Value at Risk (VaR), Net Overnight Open Position Limits (NOOPL) and modified duration limits are used in managing Market Risk.

18.3.3 Bank has upgraded its existing system/process and is ready to migrate to advanced approaches of Basel-III for Market Risk. However, for regulatory purpose Bank is following Standardized Duration Approach.

18.4 Operational Risk 18.4.1 Operational Risk is embedded in all business operations and the management of operational risk is an important part of the sound Integrated Risk Management Structure. Due to size, complexity of business and risk philosophy of the Bank, emphasis is being given to impart knowledge at the field level through continuous training process.

18.2.6 ~¢H$ Zo nmoQ©\$mo{b`mo ñVa na G$U Omo{I_ Ho$ _yë`m§H$Z hoVw VWm g§{d^mJ H$s JwUdÎmm gwYmaZo Ho$ {bE aUZr{V`m± AnZmZo VWm Hw$N CYmaH$Vm©Amo§ `m CÚmoJmo§ H$mo EŠgnmoµOa Ho$ gH|$ÐZ Ho$ g§^mì` à{VHy b à^md H$mo H$_ H$aZo Ho$ {bE CÚmoJ Omo{I_ {ZYm©aU d g§{d^mJ {ddoMZ Ho$ H$m`© H$s {µOå_oXmar ^r br h¡&

18.2.7 CYma ImVmo§ Ho$ aoqQJ _mBJŒoeZ na {Ûdm{f©H$ AmYma na AÜ``Z r {H$`m OmVm h¡ VWm g§{d^mJ JwUdÎmm H$s gwajm Ho$ {bE g_w{MV CnMmamË_H$ H$ma©dmB© ^r H$s OmVr h¡&

18.2.8 G$U à^mJ Ûmam Xr JB© aoqQJ H$s nwîQrH$aU H$s ì`dñWm {d{^Þ OJhmo§ na Omo{I_ à~§YH$mo§ Ûmam H$s OmVr h¡ &

18.2.9 G$U Omo{I_ go g§~pÝYV g^r _m_bmo§ na {dMma G$U Omo{I_ à~§YZ g{_{V H$s ~¡RH$mo§ _o§ hmoVr h¡&

18.3 ~mµOma Omo{I_18.3.1 ~mOma Omo{I_ dh Omo{I_ h¡, Omo ~mOma _yë` {dMbZ _o§ CVma-M‹Tmd, Ho$ H$maU VwbmZ nÌ _| Am¡a VwbZ nÌ Ho$ ~mha hm{Z Ho$ Omo{I_ go CËnÞ hmoVm h¡& Bg n[adV©Z H$m ~¢H$ Ho$ AO©Z Am¡a ny±Or na grYm à^md n‹S>Vm h¡& BZ n[adV©Zmo§ H$m ~¢H$ H$s Mb{Z{Y Am¡a bm^àXVm na ^r Aga nS gH$Vm h¡&

18.3.2 ~¢H$ Zo {dXoer _wÐm, Xoer Q—oOar, Xoe Omo{I_ à~§YZ Am¡a H$s_Vr YmVw n[aMmbZ _o§ ~mOma Omo{I_ Ho$ à~§YZ hoVw ~mOma Omo{I_ Zr{V H$m`m©pÝdV H$s h¡& Zr{V _o§ Mb{Z{Y H$m à^mdr _mnX§S, {ZJamZr Am¡a à~§YZ, ã`mO Xa, Xoer Q—oOar boZXoZ, {dXoer {d{Z_` B©p¹Qr Ho$ gmW ~¢H$ Ho$ Bp¹Qr Am¡a nÊ` _yë` Omo{I_ na Omoa {X`m OmVm h¡& ì`mnma ~hr _o§ ~mµOma Omo{I_ H$s Cn`wº$ {Z`§ÌU ì`dñWm Ho$ AZwgma {ZJamZr H$s OmVr h¡& ~mµOma pñW{V, {Z{Y`Z ñdê$n, Ad{Y, à{Vnj gr_mE± VWm {d{^Þ g§doXZerb _mZX§Smo§ na {ZJamZr aIr OmVr h¡& àmoÞV Omo{I_ à~§YZ Cnm`, O¡go Omo{I_ na _yë` (drEAma), {Zdb EH$ {Xdgr` Iwbr pñW{V gr_m (EZAmoAmonrEb) VWm g§emo{YV g_`md{Y gr_m ~mµOma Omo{I_ Ho$ à~§YZ _o§ à`wº$ hmoVo h¢&

18.3.3 ~mOma Omo{I_ Ho$ {bE ~mgob-III Ho$ CÞV X¥pîQH$moU _o§ ñWmZm§Va hoVw ~¢H$ Zo AnZr dV©_mZ àUmbr/à{H«$`m H$mo CÞV {H$`m h¡ & ~¢H$ Am§V[aH$ Vm¡a na ny±OrJV à^ma Am§V[aH$ _mSb X¥pîQH$moU Ho$ AmYma na n[aH${bV H$a ahm h¡ hmbm§{H$ {d{Z`m_H$ CÔoí` Ho$ {bE ~¢H$ _mZH$ Ad{Y X¥pîQH$moU AnZm ahm h¡ &

18.4 n[aMmbZmË_H Omo{I_

18.4.1 n[aMmbZJV Omo{I_ g^r H$mamo~ma n[aMmbZmo§ _o§ A§V{Z©{hV h¡ VWm n[aMmbZJV Omo{I_ H$m à~§YZ gwX¥T EH$sH¥$V Omo{I_ à~§YZ àUmbr H$m _hËdnyU© A§J h¡& H$mamo~ma H$m AmH$ma VWm O{QbVm VWm ~¢H$ Ho$ Omo{I_ Xe©Z Ho$ n[aàoú` _o§ {Za§Va à{ejU à{HŒ `m Ho$ _mÜ`_ go joÌ ñVa Ho$ H$m{_©H$mo§ H$mo kmZ XoZo na Omoa {X`m OmVm h¡&


18.4.2 The Bank has implemented Operational Risk Management Policy for managing the operational risk in an effective manner. The Bank has also implemented framework documents for Business Line Mapping, Loss Data Capture, Risk Control Self-Assessment (RCSA), Key Risk Indicator (KRI), Loss Data Modelling and Scenario Analysis. At present Bank is calculating capital charge for operational risk under Basic Indicator Approach. The Bank has received approval from RBI to migrate to The Standardized Approach (TSA) for calculating operational risk capital charge on parallel run basis.

18.4.3 The Bank has submitted its Letter of Intent to RBI for moving over to Advanced Measurement Approach (AMA) and approval is awaited.

18.4.4 The Bank has rolled out Incident Reporting module in intranet portal where any operational risk incident can be reported by the branches/offices as and when the incident is detected.

18.4.5 The Bank has also rolled out Risk & Control Self-Assessment (RCSA) module in intranet portal where employees can suggest controls to improve systems and procedures in the Bank.

18.4.6 All the issues related to operational Risk are deliberated in the Operational Risk Management Committee meeting.

18.5 Asset Liability Management (ALM)

18.5.1 The ALM function involves planning, directing and controlling the flow, level, mix, cost and yield of various assets and liabilities of the Bank. The primary objective of ALM is not only to eliminate the risk, but to manage it in such a way that the decrease in earnings due to Repricing risk, Yield curve risk and Basis risk is minimal.

18.5.2 As a part of Risk Management and control, the Bank is using ALM system for studying and analyzing the interest rate sensitivity (GAP Analysis), Maturity and Liquidity analysis of Assets and Liabilities. The Bank is measuring the liquidity using the stock and flow approach. Further, models like Earning at Risk and Duration are used for Interest rate risk management. Stress testing of liquidity risk and interest rate risk is conducted on quarterly basis. The Bank applies Value-at-Risk (VaR) to measure the risk in the Trading Book. Asset Liability Management Committee (ALCO) monitors the Liquidity Coverage Ratio (LCR) which promotes short term resilience of Banks to potential liquidity disruptions by ensuring that they have sufficient High Quality Liquid Assets (HQLA) to survive an acute stress scenario over a time horizon of 30 days. The Bank has also implemented a scientifically evolved Internal Transfer

18.4.2 ~¢H$ Zo n[aMmbZmË_H$ Omo{I_ à~§YZ Zr{V H$m`m©pÝdV H$s h¡ Omo Cgo n[aMmbZmË_H$ Omo{I_ H$mo H$maJa ê$n go à~§Y H$aZo _o§ _XX XoVm h¡& ~¢H$ Zo n[aMmbZ Omo{I_ boZo H$s j_Vm, ~r_m Omo{I_ Am¡a n[aX¥í` {díbofU Ho$ {bE {~OZog bmBZ _¡qnJ, bm°g SmQm H¡ ßMa, Omo{I_ {Z`§ÌU ñd-AmH$bZ (AmagrEgE), _w»` Omo{I_ g§Ho$VH$ (Ho$AmaAmB©), bm°g SmQm _m°SqbJ, ZrMo go D$na VH$ Ho$ X¥pîQH$moU hoVw Tm±Mo H$mo ^r {HŒ `mpÝdV {H$`m h¡& dV©_mZ _o§ ~¢H$ _yb g§Ho$VH$ X¥pîQH$moU Ho$ VhV n[aMmbZ Omo{I_ Ho$ {bE ny§Or à^ma n[aH${bV H$a ahm h¡& ~¢H$ Zo g_m§Va J{V_mZ AmYma na n[aMmbZJV Omo{I_ ny§Or à^ma n[aH$bZ hoVw _mZH$sH¥ V X¥pîQH$moU (QrEgE) _o§ ñWmZm§V[aV hmoZo Ho$ {bE ^m[a~¢ go AZw_moXZ àmßV {H$`m h¡| &

18.4.3 ~¢H$ Zo CÞV _mn X¥pîQH$moU (EE_E) _o§ ñWmZm§V[aV hmoZo hoVw ^m[a~¢ H$mo AnZm _m±J nÌ àñVwV {H$`m h¡ Am¡a AZw_moXZ H$s àVrjm H$s Om ahr h¡&

18.4.4 ~¢H$ Zo B§Q—mZoQ nmoQ©b _o§ B§{gSo§Q [anmo{Q>ªJ _m°S²æyb H$mo g_m{dîQ {H$`m h¡ {Og_o§ H$moB© ^r emIm/H$m`m©b` {H$gr ^r àH$ma H$s KQZm Ho$ ~mao _o§ nVm bJVo hr CgH$m [anmoQ© H$a gH$Vo h¢&

18.4.5 ~¢H$ Zo B§Q—mZoQ nmoQ©b _o§ [añH$ E§S H§ Q—mob goë\ Agoñ_o§Q (AmagrEgE) _m°S²æyb H$mo g_m{dîQ {H$`m h¡ {Og_o§ H$_©Mmar ~¢H$ H$s àUmbr Ed§ {HŒ `m{d{Y _o§ gwYma hoVw gwÂmmd Xo gH$Vm h¡&

18.4.6. n[aMmbZ Omo{I_ go g§~§{YV g^r _Xm| H$mo n[aMmbZ Omo{I_ à~§YZ g{_{V H$s ~¡R>H$ _| aIm J`m&

18.5 AmpñV Xo`Vm à~§YZ (EEbE_)

18.5.1 AmpñV Xo`Vm à~§YZ H$m`© _o§ ~¢H$ H$s {d{dY AmpñV`mo§ Am¡a Xo`VmAmo§ H$m àdmh, ñVa, {_lU, bmJV VWm à{V\ b H$s Am`moOZm H$aZm, {Z{X©îQ H$aZm d {Z`§{ÌV H$aZm em{_b h¡& AmpñV Xo`Vm à~§YZ H$m àmW{_H$ CÔoí` Omo{I_ {_QmZm Zht h¡, ~pëH$ CgH$m à~§YZ Bg àH$ma H$aZm h¡ {H$ nwZ_w©ë`m§H$Z Omo{I_ Ho$ H$maU AO©Z _o§ H$_r, AO©Z Omo{I_ Am¡a AmYma Omo{I_ Ý`yZV_ hmo&

18.5.2 Omo{I_ à~§YZ Ed§ {Z`§ÌU Ho$ EH$ A§J Ho$ ê$n _o§ ~¢H$ ã`mO Xa g§doXZerbVm (J¡n {díbofU), AmpñV`mo§ Ed§ Xo`VmAmo§ H$s n[an¹Vm Am¡a VabVm H$m {díbofU H$aZo Ho$ {bE AmpñV Xo`Vm à~§YZ àUmbr H$m BñVo_mb H$a ahm h¡& ~¢H$, VabVm H$m _mnZ ñQm°H$ EÊS âbmo X¥pîQH$moU Ho$ Cn`moJ Ûmam {H$`m OmVm h¡ BgHo$ Abmdm, ã`mO Xa Omo{I_ à~§YZ Ho$ {bE Omo{I_ na AO©Z Ed§ Ad{Y O¡go _m°Sb H$m BñVo_mb {H$`m OmVm h¡& {V_mhr AmYma na VabVm Omo{I_ VWm ã`mO Xa Omo{I_ Ho$ X~md H$m narjU {H$`m OmVm h¡& ~¢H$ ì`mnma ~hr _o§ Omo{I_ _mnZo Ho$ {bE Omo{I_ na _yë` (drEAma) bmJy H$aVm h¡& AmpñV Xo`Vm à~§YZ g{_{V (EEbgrAmo) VabVm Mb{Z{Y (EbgrAma) AZwnmV H$s {ZJamZr H$aVr h¡, Omo ~¢H$ H$s g§^m{dV Mb{Z{Y H${RZmB©`mo§ Ho$ à{V bKw Ad{Y à{VamoY j_Vm H$mo `h gw{Z{üV H$aVo hwE ~‹Tmdm XoVr h¡ {H$ CZHo$ nmg 30 {XZ VH$ MbZodmbr ^mar VZmd H$s pñW{V

62 dm{f©H$ [anmoQ>© 2016-17

Pricing Mechanism by assigning values on basis of current market rates to funds provided and funds used by various Branches/units of the Bank. The Market Risk Management Committee/Asset Liability Management Committee meets at regular intervals to review the interest rate scenario, product pricing for both deposits and advances, desired maturity profile of the incremental assets and liabilities, demand for Bank funds, cash flows of the Bank, profit planning and overall Balance Sheet Management.

18.5.3 Bucketing of outflows and inflows of deposits, advances and investments: The Bank is bucketing various assets and liabilities in various buckets of Structural Liquidity Statements. The residual maturity breakdown of deposits and various nature of advances, investments are bucketed in terms of RBI guidelines on Asset liability management issued from time to time i.e. Bills Purchased and Discounted are bucketed as per their respective maturities, Cash Credit/Overdraft are bucketed as per the behavioural pattern i.e. the volatile portions in Day 1, 2-7 days and 8-14 days and core portion in over 1-3 years bucket, term Loans under respective maturity buckets, NPA Substandard over 3-5 years, Doubtful and loss over 5 years bucket. Investments are bucketed as per respective maturity buckets/according to defeasance periods and in terms of ALM guidelines issued by RBI.

18.6. Implementation of Benchmark rates like Base Rate and Marginal Cost of fund based Lending Rates (MCLR)

18.6.1 Bank is computing the Marginal cost of fund based lending rates, which are tenor based, with effect from April 1, 2016. This enables faster transmission of policy rate changes to the Bank’s borrowers. These rates are reviewed every month.

18.6.2 Bank is reviewing the base rate on quarterly basis taking into account factors like, estimated cost of deposits, Negative carry on CRR/SLR, Return on net worth and unallocated overhead costs.

18.7 Information/Cyber Security

18.7.1 Bank is committed to provide safe and secure digital banking experience to its customers. In order to achieve Confidentiality, Integrity and Availability of all Information Assets of the Bank and to ensure that regulatory, operational and contractual requirements are fulfilled, bank has put in place robust systems and procedure which are well defined in bank’s Information Security Policy and Information Security Guidelines.

18.7.2 In line with RBI notification dated 02.06.2016 on Cyber Security Framework in Banks, our bank has formulated

H$m gm_Zm H$aZo Ho$ {bE n`m©ßV _mÌm _o§ CÀM JwUdÎmm Mb{Z{Y AmpñV`m§ h¡& BgHo$ gmW hr ~¢H$ Zo ~¢H$ H$s {d{dY emImAmo§ Ûmam àXmZ {H$E JE {Z{Y Am¡a à`wº$ H$s JB© {Z{Y Ho$ {bE Mmby ~mOma Xa Ho$ AmYma na _yë` {ZYm©[aV H$aVo hwE EH$ d¡km{ZH$ X¥pîQ go {dH${gV Am§V[aH$ _yë` A§VaU ì`dñWm H$m`m©pÝdV H$s h¡& à^mdr Mb{Z{Y Omo{I_ à§~§YZ Ho$ {bE `h AË`mdí`H$ KQH$ h¡& ~mOma Omo{I_ à~§YZ g{_{V/AmpñV Xo`Vm à~§YZ g{_{V ã`mO Xa n[aX¥í`, O_mam{e`mo§ Ed§ A{JŒ_o§ hoVw CËnmX _yë`-{ZYm©aU, d¥{Õerb AmpñV`mo§ Ed§ Xo`VmAmo§ H$m dm±{NV n[an¹Vm àmo\ mBb, ~¢H$ {Z{Y`mo§ hoVw _m±J, ~¢H$ H$m ZH$X àdmh, bm^àXVm Am`moOZm Ed§ g_JŒ VwbZ nÌ à~§YZ H$s g_rjm hoVw {Z`{_V A§Vamb _o§ ~¡RH$ H$aVr h¡&

18.5.3 O_m, A{JŒ_ Ed§ {Zdoe Ho$ ~{hà©dmh Am¡a A§V:àdmh H$mo dJr©H¥$V H$aZm: ~¢H$ g§aMZmJV VabVm {ddaUmo§ Ho$ {d{^Þ dJmoª _o§ {d{^Þ AmpñV`mo§ Am¡a Xo`VmAmo§ H$mo aIVm h¡& g_`-g_` na AmpñV Xo`Vm à~§YZ na m[a~¢ Ho$ {Xem {ZXoemo§ Ho$ AmbmoH$ _o§ O_mAmo§ H$mo I§SrH$aU H$a CgH$m n[an¹Vm _yë` Am¡a A{JŒ_mo§ H$s {d{^Þ àH¥ {V, {Zdoe H$mo dJmoª _o§ aIm OmVm h¡ AWm©V IarXo JE Am¡a ~ÅmH¥$V {H$E JE {~bmo§ H$mo CZH$s n[an¹Vm Ho$ AmYma na dJr©H¥$V {H$`m OmVm h¡, H¡ e HŒo {SQ/AmodaS—mâQ H$mo CZHo$ boZXoZ H$s nÕ{V AWm©V 1, 2-7 {XZmo§ Am¡a 8-14 {XZmo§ VWm 1-3 dfmoª Ho$ dJ© _o§ CgHo$ H$moa mJ H$mo aIm OmVm h¡, gmd{Y G$U H$mo CZHo$ n[an¹Vm Ho$ AmYma na {d{^Þ dJ©, EZnrE 3-5 df© go A{YH$ Ad_mZH$, g§{X½Y Am¡a j{VJŒñV H$mo 5 df© go A{YH$ Ho$ dJ© _o§ ^m[a~¢ Ûmam Omar EEbE_ {Xem {ZXoemo§ Ho$ AmbmoH$ _o§ VËg§~§{YV n[an¹Vm dJ©/{d\ brH$aU Ad{Y Ho$ AZwgma dJr©H¥ V {H$`m OmVm h¡&

18.6 ~o§M_mH© Xamo§ O¡go AmYma Xa Am¡a {Z{Y H$s gr_m§V bmJV na AmYm[aV Xa H mo bmJy H aZm

18.6.1 ~¢H$ {Z{Y H$s gr_m§V bmJV na AmYm[aV Xa, Omo {H$ Ad{Y AmYm[aV hmoVr h¢, H$s g§JUZm 1 Aà¡b, 2016 go H$aVm h¡ & `h Zr{V Xamo§ _o§ n[adV©Z H$mo ~¢H$ Ho$ JŒmhH$mo§ VH$ erKŒVm go nhw±MmVr h¡ & BZ Xamo§ H$s g_rjm àË`oH$ _mh H$s OmVr h¡&

18.6.2 {d{^Þ H$maH$ O¡go O_m H$s AZw_m{ZV bmJV, grAmaAma/EgEbAma H$m ZH$mamË_H$ Mbm AmZm, {Zdb _m{b`V na Am` Am¡a A{ZYm©[aV A{V[aº bmJV H$mo Ü`mZ _o§ aI H$a ~¢H$ {V_mhr AmYma na AmYma Xa H$s g_rjm H$aVm h¡ &

18.7 gyMZm/ gmB~a gwajm

18.7.1 ~¢H$ AnZo JŒmhH$mo§ H$mo gwa{jV Am¡a {dœñV {S{OQb ~¢qH$J AZw^d àXmZ H$aZo hoVw à{V~Õ h¡& ~¢H$ H$s g_ñV gyMZm AmpñV`mo§ H$s JmonZr`Vm, AI§SVm Am¡a CnbãYVm H$mo àmßV H$aZo hoVw Am¡a {d{Z`m_H$, n[aMmbZmË_H$ VWm g§{dXmJV Amdí`H$VmAmo§ H$mo nyam H$aZo H$mo gw{Z{üV H$aZo hoVw ~¢H$ Zo geº àUmbr Am¡a à{HŒ `m H$m H$m`m©Ýd`Z {H$`m h¡ {Og_o§ ~¢H$ H$s gyMZm gwajm Zr{V Ed§ gyMZm gwajm {Xem {ZXoemo§ H$mo gwn[a^m{fV {H$`m J`m h¡&

18.7.2 ~¢H$mo§ _o§ H$m`©aV gmB~a gwajm na ^m[a~¢ Ho$ A{YgyMZm {XZm§H$ 02.06.2016 Ho$ AZwê$n h_mao ~¢H$ Zo gmB~a gwajm Zr{V H$m gyÌnmV {H$`m


Cyber Security Policy, which outlines the directives designed to maintain cyber security and put in place Cyber Crisis Management plan, a coordinated approach towards preparation for rapid identification, information exchange, response and remediation - to mitigate and recover from malicious cyber related incidents impacting critical business functions and processes of the bank.

18.7.3 Taking into account the present cyber threat landscape, bank is in the process of enhancing the capabilities of existing Security Operation Centre (SOC) through which bank’s critical IT assets are monitored, assessed and defended on 365*24*7 basis.

18.7.4 While the bank is complying with the directives issued by Reserve Bank of India, from time to time in the area of Information/Cyber security standards, bank is also implementing the best practices suggested by organizations like, Indian Computer Emergency Response team (CERT-In), National Critical Information Infrastructure Protection Centre (NCIIPC) and Institute for Development and Research in Banking Technology (IDRBT).

18.7.5 Bank is actively participating in various meetings and fora organised by CERT-In, RBI and IDRBT to remain updated in latest security technologies and to continuously upgrade the security posture of the bank.

19. Human Resources Management

Manpower Planning & Recruitment

The main objective of Human Resources Management is to ensure high performance of employees for achievement of organizational goals along with their personal growth. The growth of the Bank depends on the efficiency and effectiveness of its human resources. It has been the endeavor of the Bank that optimum work force is available to all field and functional outlets of the Bank at all times.

19.1 The Bank has been reviewing the requirement of staff in various cadres every year and an analysis of the vacancies in various cadres is being made having regard to growth of business, future branch expansion, attrition on account of resignations, retirements on superannuation/VRS, changes in systems procedures etc. At the end of 31.03.2017, total staff strength of the Bank stood at 19667 (19569 as on 31.03.2016).

19.2 The guidelines for reservation in employment for specified categories are strictly followed by the Bank as per Govt. policy on reservations and the indents are placed to Institute of Banking Personnel Selection (IBPS), Mumbai accordingly. The overall representation of Scheduled Casts/Scheduled Tribe employees in the total staff strength was 27.93% (5493) as on 31.03.2017. The Bank has also a fair representation of other

{Oggo gmB~a gwajm Ho$ AZwajU H$m {dÝ`mg V¡`ma {H$`m J`m Am¡a ~¢H$ Ho$ O{Qb H$mamo~ma {H«$`mAmo§ VWm à{H«$`m H$mo à^m{dV H$aZo dmbo Xw^m©dZmnyU© gmB~a go gå~pÝYV XwK©QZm H$s Vwa§V nhMmZ, gyMZm {d{Z_`, à{V{HŒ `m Am¡a gwYma - Cgo H$_ H$aZo VWm Cggo C~aZo Ho$ {bE V¡`mar Ho$ ê$n _o§ EH$ g_pÝdV X¥pîQH$moU Ho$ ê$n _o§ gmB~a AmnXm à~ÝYZ `moOZm V¡`ma {H$`m J`m h¡ &

18.7.3 dV©_mZ gmB~a MoVmdZr go ao _mhm¡b H$mo Ü`mZ _o§ aIVo hwE {dÚ_mZ gwajm n[aMmbZ Ho$ÝÐ (EgAmogr) H$s Cg j_Vm H$mo ~TmZo H$s à{H«$`m _o§ h¡ {Oggo ~¢H$ H$s O{Qb AmpñV`mo§ H$s {ZJamZr {H$`m Om gHo$, CgH$m _yë`m§H$Z {H$`m Om gHo$ Am¡a 365*24*7 AmYma na CgH$s ajm {H$`m Om gHo$&

18.7.4 gyMZm/gmB~a gwajm _mZH$ Ho$ joÌ _o§ g_`-g_` na ^maVr` [aOd© ~¢H$ Ûmam Omar {Xem{ZXoemo§ H$m AZwnmbZ H$aVo hwE ~¢H$ Zo ^r g§JRZmo§ `Wm B§{S`Z H$åß`yQa aoñnmo§g Qr_ (grB©AmaQr-BZ), ZoeZb {H«${QH$b B§\$mo_o©eZ B§\Œ mñQ´>ŠMa àmoQoŠeZ go§Qa (EZgrAmB©AmB©nrgr) Am¡a B§ñQrQ>çyQ \$moa Sodbn_o§Q E§S argM© QoŠZmobmoOr (AmB©SrAma~rQr) Ûmam gwÂmmE JE loîR Cnm`mo§ H$m H$m`m©Ýd`Z {H$`m h¡&

18.7.5 ~¢H$ grB©AmaQr-BZ, ^m[a~¢ Am¡a AmB©Sr~rAmaQr Ûmam Am`mo{OV {d{^Þ ~¡RH$mo§ Ed§ _§Mmo§ _o§ g{HŒ ê$n go ^mJ boVm h¡ Vm{H$ ZdrZV_ àm¡Ymo{JH$s Ho$ ~mao _o§ AÚVZ OmZH$mar àmßV hmoVr aho Am¡a ~¢H$ H$s gwajm ì`dñWm H$m AZdaV CÞ`Z {H$`m Om gHo$&

19. _mZd g§gmYZ à~§YZOZepŠV Am`moOZm Ed§ ^Vu{H$gr ^r g§ñWm _o§ _mZd g§gmYZ à~§YZ H$m à_wI CÔoí` H$_©Mm[a`mo§ H$m CÀM H$m`© {ZînmXZ gw{Z{üV H$aZm h¡ {Oggo CZH$s ì`{º$JV àJ{V Am¡a gmW hr g§ñWm Ho$ bú`mo§ H$s àmpßV H$s Om gHo$ & _mZd g§gmYZ àmW{_H$ Vm¡a na g§ñWm Ho$ ì`{º$`mo§ na Ü`mZ XoVm h¡, Zr{V`mo§ Am¡a àUmbr na g§Ho$pÝÐV hmoVm h¡ & ~¢H$ H$s àJ{V BgHo$ _mZd g§gmYZmo§ Ho$ H$m¡eb Am¡a à^mderbVm na {Z^©a H$aVr h¡ & ~¢H$ H$m `h à`mg ahm h¡ {H$ g^r joÌmo§ Am¡a {H«$`mË_H$ BH$mB©`mo§ _o§ ha g_` g_w{MV _mZd-e{º CnbãY aho &

19.1 ~¢H$ {d{^Þ g§dJmoª _o§ ñQm\ H$s Amdí`º$m H$s g_rjm àË`oH$ df© H$aVm h¡ Am¡a {d{^Þ ñVamo§ na H$mamo~ma d¥{Õ, ^{dî` _o§ emIm {dñVma Am¡a BñVr\$m, A{Yd{f©Vm/drAmaEg Ho$ H$maU godm{Zd¥{Îm àUmbr à{H«$`m _| n[adV©Z BË`m{X Ho$ H$maU {d{^Þ g§dJmoª _o§ hmoZo dmbr [a{º$`moo§ H$m {díbofU H$aVm h¡ & 31 _mM©, 2017 H$mo H$_©M[a`mo§ H$s Hw$b g§»`m 19667 ahr (31.03.2016 H$mo 19569 Wr)&

19.2 {d{eîQ lo{U`mo§ hoVw amoOJma Ho$ {bE ~¢H$ AmajU g§~§Yr gaH$mar Zr{V Ho$ AZwgma AmajU g§~§Yr {Xem{ZXo©emo§ H$m g»V AZwnmbZ H$aVm h¡ Am¡a VXZwgma ~¢qH$J H$m{_©H$ M`Z g§ñWmZ (AmB©~rnrEg) H$mo _m§J àñVwV H$aVm h¡& 31 _mM©, 2017 H$mo Hw$b H$_©Mm[a`mo§ H$s g§»`m _o§ AZwgy{MV Om{V/AZwgy{MV OZOm{V H$m à{V{Z{YËd 27.93% (5493) h¡& ~¢H$ _o§ AÝ`

64 dm{f©H$ [anmoQ>© 2016-17

reserved categories. As on 31.03.2017, overall 24.84% (4887) belong to Other Backward Communities, 2.07% (408) belong to differently abled and 6.55 % (1289) belong to Ex-Servicemen category.

20. Human Resources Development and Training

20.1 Training and development of all Staff Members is a key focus area for the Bank. Training is a major facilitator for the Human Resources of the Bank in achieving the desired business goals of the Bank. Trainings focus on developing key competencies, which are required by individuals to perform their functions effectively. With the banking industry changing dynamically, the role and responsibility of the Bank increases to prepare the work force in tackling the challenged, especially in a situation when the senior experienced Bankers are at the verge of retirement and the new-age young professionals are getting ready to accept the responsibility. The Bank not only has to welcome the new recruits by giving them the basic knowledge about the functioning of industry but also to train them regularly to compensate the difference in experience that the outgoing senior staff members had gained with their long & challenging service records.

20.2 During the Financial Year 2016-17, the Bank concentrated on improving the skills of the Human Resources of the Bank based upon their present role and Bank’s requirement. Accordingly, a total of 17423 Staff Members were imparted different types of trainings involving 50,999 Man-days.

20.3 During 2016-17, 618 Programmes under 46 Courses were held internally. These 618 programmes were attended by 16936 Staff Members. The duration of these programmes ranged from 1 to 15 Days involving 49,177 Man-days.

20.4 In order to improve the specialised skills, 487 Staff Members attended External Training Programmes of on various topics at various reputed training institutes like NIBM, CAB (RBI), CAFRAL, CRISIL, IDRBT etc., on various topics during the FY 2016-17 involving 1822 Man-days.

20.5 During the FY 2016-17, training programmes were arranged under 29 different Skill Sets. IT Programmes, Credit Programmes and Induction Programmes had a major share of the trainees recording a percentage of 47.7, 19.7 & 6.3 respectively.

20.6 Out of the total 17423 Staff Members trained by the Bank, 4407 Staff Members belonged to SC/STC community and 4748 Staff Members belong to OBC community.

21. Promotions:

Promotion is a big milestone in the carrier of every employee. To take care of the aspiration for growth of employees, Bank has

Ama{jV àdJmo© H$m ^r `Wmo{MV à{V{Z{YËd h¡& `Wm 31 _mM©, 2017 H$mo 24.84% (4887) ñQm\ AÝ` {nN‹So dJ© Ho$ H$_©Mmar, 2.07% (408) emar[aH$ ê$n go {dH$bm§J Am¡a 6.55% (1289) ^yVnyd© g¡{ZH$ ~¢H$ H$s ñQm\ gyMr _o§ h¢&

20. _mZd g§gmYZ {dH mg Ed§ à{ejU

20.1 g^r H$_©Mm[a`mo§ H$m à{ejU Am¡a {dH$mg ~¢H$ Ho$ {bE Ü`mZ XoZo hoVw EH$ à_wI joÌ h¡ & ~¢H$ Ho$ _mZd g§gmYZmo§ hoVw dm§NZr` bú` àmßV H$aZo hoVw ghm`Vm H$aZo _o§ à{ejU à_wI H$maH$ h¡ & à{ejU ì`{º$`mo§ H$mo _w»` `mo½`VmE± àXmZ H$aZo na {deof Ü`mZ XoVm h¡ {Oggo dh AnZm H$m`© H$m {ZînmXZ à^mdr ê$n go H$a gHo§ & `h `mo½`VmE± H$_©Mmar Ho$ {bE H$m`m©Ë_H$ {ZnwUVm àXmZ H$aZo hoVw AWdm ZoV¥Ëd, g§àofU Am¡a ì`{º à~§YZ g§~§Yr ñWm`r H$m¡eb hmo gH$Vr h¢& ~¢qH$J CÚmoJ ~hwV VoOr go ~Xb ahm h¡ {deofV: Eogr n[apñW{V _o§ O~ d[aîR Am¡a AZw^dr ~¢H$g© godm{Zd¥V hmo aho h¢ Am¡a ZE C_Œ Ho$ `wdm noeoda {Oå_odmar H$mo boZo Ho$ {bE AmJo Am aho h¢, MwZm¡{V`mo§ H$m gm_Zm H$aZo Ho$ {bE H$m`© Xb H$mo V¡`ma H$aZo hoVw ~¢H$ H$s y{_H$m Am¡a Xm{`Ëd ~T J`m h¡& ~¢H$ Z Ho$db ZE gXñ`mo§ H$m CÚmoJ Ho$ {H«$`mH$bmn Ho$ ~mao _o§ _yb kmZ XoH$a ñdmJV H$aVm h¡ A{nVw CÝho§ {Z`{_V Vm¡a na à{e{jV ^r H$aVm h¡ {Oggo OmZo dmbo d[aîR A{YH$m[a`mo§ Ho$ bå~o MwZm¡VrnyU© godm [aH$mS© Ûmam àmßV AZw^d H$s ânmB© H$s Om gHo$ &

20.2 {dÎm df© 2016-17 Ho$ Xm¡amZ ~¢H$ Zo ~¢H$ Ho$ _mZd g§gmYZmo§ Ho$ CZH$s dV©_mZ ^y{_H$m Am¡a ~¢H$ H$s Amdí`º$mAmo§ na AmYm[aV H$m¡eb {dH$mg na Ü`mZ {X`m h¡ & VXZwgma Hw b 17423 ñQm\ gXñ`mo§ H$mo 50,999 H$m`©{Xdgmo§ _o§ {d{^Þ àH$ma H$m à{ejU {X`m J`m&

20.3 df© 2016-17 Ho$ Xm¡amZ 46 nmR²`H«$_mo§ Ho$ AÝVJ©V 618 H$m`©H«$_ Am§V[aH$ Vm¡a na Am`mo{OV {H$E JE {OÝ_o§ 16936 ñQm\ gXñ`mo§ Zo ^mJ {b`m & BZ H$m`©HŒ _mo§ H$s Ad{Y 1 go 15 {Xdg Ho$ ~rM Am¡a Hw b 49,177 _mZd {Xdg Wr &

20.4 {deofk H$m¡eb Ho$ {dH$mg hoVw 487 ñQm\ gXñ`mo§ H$mo {d{^Þ à{VpîRV g§ñWmAmo§ O¡go EZAmB©~rE_, grE~r (Ama~rAmB©), grEE\ AmaEEb, grAmaAmB©EgAmB©Eb, AmB©SrAma~rQr Am{X _o§ {d{^Þ {df`mo§ na df© 2016-17 _o§ 1822 H$m`© {Xdgmo§ _o§ dmh` à{ejU H$m`©HŒ _mo§ hoVw à{V{Z`wº$ {H$`m J`m &

20.5 {dÎm df© 2016-17 Ho$ Xm¡amZ 29 {d{^Þ H$m¡eb goQ, AmB©Qr à{ejU, G$U H$m`©HŒ _ Am¡a àdoe H$m`©HŒ _ _o§ HŒ _e: 47.7, 19.7 Am¡a 6.3 à{VeV Ho$ gmW à{ejwAmo§ H$s {hñgoXmar Wr&

20.6 ~¢H$ Ûmam à{e{jV Hw b 17423 ñQm\ gXñ`mo§ _o§ 4407 ñQm\ gXñ` AOm/AOOm go g§~§Y aIVo h¢ Am¡a 4748 ñQm\ gXñ` A{nd go g§~§Y aIVo h¢ &

21 nXmoÞ{V`m±:

nXmoÞ{V àËòH$ H$_©Mmar Ho$ H¡$[aà _o§ EH$ ~‹Sm _rb H$m nËWa h¡& àJ{V Ho$ {bE H$_©Mm[a`mo§ H$s AmemAmo§ H$m Ü`mZ aIVo hwE ~¢H$ Zo CÀM Xm{`Ëd


been providing optimum opportunities and career progression to the employees to shoulder higher responsibilities. Bank has promoted 1914 employees in FY 2016-17, comprising 7 to the post General Managers, 23 to Deputy General Managers, 55 to Assistant General Managers, 170 to Chief Managers, 376 to Senior Managers, 549 to Managers, 692 to Assistant Managers and 42 to Clerks.

22. Inspection & Audit

22.1 As per the guidelines of the Government of India and RBI, the Bank has adopted the policy of Risk Based Internal Audit (RBIA). Risk based internal audit lays focus on proper risk identification and assessment, effective risk containment and management measures, adequacy of control systems and procedures as well as optimum use of resources. It aims at giving an assurance to the Management on the level of regulatory and systemic compliance, besides assisting in accomplishment of corporate governance objectives.

22.2 In order to have focused attention on internal audit of branches and follow up functions adequately and efficiently, the CAOs, located at important centers across the Country, conduct audit and close the audit reports in terms of the Annual Audit Plans & Audit Policy. Monthly Circle Audit Committee meetings are held to discuss the critical findings/observations of the audit reports and lodgment of reports.

22.3 All the Branches of the Bank are subjected to internal inspection so as to contain risk, have effective control mechanism and improve efficiency of operations. Risk based internal branch inspection is conducted once in 12 to 18 months depending upon the risk perception of each Branch. The periodicity of branch inspection is decided based on category of the Branch as well as the risk rating allotted, in the previous inspection of the branch. Newly opened branches are subjected to first inspection within 6 months from the date of starting the operations. Risk Based Internal Audit of 1854 Branches conducted during the FY 2016-17.

22.4 Risk Based Snap Audits (RBSA) are conducted for all High Risk rated branches. Special Snap audits of 52 branches & 24 Currency Chests in connection with Demonetization of Specified Bank Notes were conducted by our Division.

22.5 Management Audit of all the functional Divisions at Head Office, Circle Offices, Zonal Offices & Circle Audit Offices are conducted once in a year. Other Offices such as Capital Market Branch, COBSETI at Chikmagalur, STCs, Lead Bank Offices, CMS Core Centres, ATM Centres, Credit Card Division, Museum, etc. are also subjected to regular inspection once in a year. Further, Treasury Branch, Mumbai, Forex DBs, CAPS Branches, Currency Chests, Service Branches, ARMBs, Retail Hubs, LIC Hubs etc. are subjected to annual inspection.

{Z^mZo hoVw H$_©Mm[a`mo§ H$mo g_w{MV Adga VWm H¡$[aà àJ{V àXmZ H$s h¡& ~¢H$ Zo df© 2016-17 Ho$ Xm¡amZ 1914 H$_©Mm[a`mo§ H$mo nXmoÞV {H$`m, {Og_o§ 7 _hm à~§YH$, 23 Cn _hm à~§YH$, 55 ghm`H$ _hm à~§YH$, 170 _w»` à~§YH$, 376 d[aîR à~§YH$, 549 à~§YH$ Am¡a 692 ghm`H$ à~§YH$ Am¡a 42 {b{nH$ Ho$ nX em{_b h¢ &

22. {ZarjU Ed§ boIm narjm

22.1 gaH ma Am¡a ^maVr` [aµOd© ~¢H Ûmam Omar {Xem{ZXo©emo§ Ho$ AZwgma, ~¢H Zo Omo{I_ AmYm[aV Am§V[aH boImnarjm (Ama~rAmB©E) H$s Zr{V AnZmB© h¡& Omo{I_ AmYm[aV Am§V[aH boImnarjm C{MV Omo{I_ {ZYm©aU Am¡a AmH$bZ, H$maJa Omo{I_ {Z`§ÌU Am¡a à~§YZ Cnm`, {Z`§ÌU àUmbr Ed§ à{HŒ `m VWm g§gmYZmo§ Ho$ BîQV_ Cn`moJ na Ü`mZ Ho${ÐV H aVr h¡& BgH m bú` H$mnmo©aoQ A{êmgZ CÔoí`mo§ H$s àmpßV _o§ ghm`H hmoZo Ho$ gmW-gmW {d{Z`m_H VWm àUmbrJV AZwnmbZ ñVa Ho$ ~mao _o§ à~§YZ dJ© H mo AmœmgZ XoZm h¡&

22.2 emImAmo§ H$s Am§V[aH boIm-narjm na Ü`mZ H|${ÐV H aVo hwE Am¡a H maJa ê$n go H aZo Ho$ {bE Xoe â _o§ _hËdnyU© Ho$Ðmo§ _o§ _§Sb boIm-narjm H$m`m©b` pñWV h¢ Omo dm{f©H boIm-narjm `moOZm Am¡a boIm narjm Zr{V Ho$ AZwgma boIm-narjm H aVo h¢ Am¡a boIm-narjm [anmoQmoª H$mo g_mßV H$aVo h¢& boIm narjm [anmoQmoª _o§ nm`r JB© H {_`mo§/n`©dojUm| Am¡a [anmoQ© H$s g_mpßV na MMm© H aZo hoVw _§Sb boIm narjm g{_{V H$s _m{gH$ ~¡RH Am`mo{OV H$s OmVr h¡&

22.3 ~¢H H$s g^r emImAmo§ H$m Am§V[aH {ZarjU {H$`m OmVm h¡ Vm{H$ Omo{I_ na A§Hw$e hmo, H maJa {Z`§ÌU V§Ì hmo Am¡a n[aMmbZmo§ _o§ XjVm gwYao& àËòH emIm H r Omo{I_ Ad~moY Ho$ AmYma na Omo{I_ AmYm[aV Am§V[aH emIm {ZarjU 12 go 18 _hrZmo§ _o§ EH ~ma {H `m OmVm h¡& emIm {ZarjU H$s Amd{YH$Vm emIm loUr Ho$ gmW-gmW emIm Ho$ {nNbo {ZarjU _o§ Am~§{QV Omo{I_ loUrH$aU Ho$ AmYma na V` H$s OmVr h¡& ZB© Imobr JB© emImAmo§ H m nhbm {ZarjU n[aMmbZmo§ H mo ewê$ H$aZo Ho$ 6 _hrZmo§ Ho$ ^rVa {H$`m OmVm h¡& df© 2016-17 Ho$ Xm¡amZ 1854 emImAmo§ H$s Omo{I_ AmYm[aV Am§V[aH boIm-narjm H$s JB©&

22.4 CÀM Omo{I_ loUrH¥$V emImAmo§ _o§ Xmo {Z`{_V {ZarjUmo§ Ho$ ~rM Omo{I_ AmYm[aV ñZ¡n boIm-narjm ^r Am`mo{OV H$s OmVr h¡& h_mao à^mJ Ûmam {d{eîQ ~¢H ZmoQmo§ H$s {d_wÐrH$aU Ho$ gå~ÝY _o§ 52 emImAmo§ Am¡a 24 _wÐm {VOm¡[a`mo§ H m {deof ñZ¡n Am°{SQ {H `m J`m&

22.5 àYmZ H m`m©b`, _§Sb H m`m©b` Am¡a Am§M{bH H m`m©b`mo§ Ho$ g^r H$m`m©Ë_H à^mJmo§ H$s à~§YZ boIm-narjm df© _o§ EH ~ma H r OmVr h¡& AÝ` H$m`m©b`mo§ O¡go ny§Or ~mOma emIm, {MH$_Jbya _o§ H$m°~goQr, EgQrgr, AJŒUr ~¢H H m`m©b`, grE_Eg H$moa Ho$Ð, EQrE_ Ho$Ð, H«o${SQ H$mS© à^mJ, å`y{O`_ Am{X H$s ^r df© _o§ EH ~ma {Z`{_V {ZarjU H$s OmVr h¡& BgHo$ Abmdm Q—oOar emIm, _w§~B©, \$m°aoŠg Sr~r, H¡$ßg emImE§, H$ao§gr MoñQ, godm emImE§, EAmaE_~r, IwXam h~, EbAmB©gr h~ Am{X H$m ^r dm{f©H {ZarjU {H `m OmVm h¡&

66 dm{f©H$ [anmoQ>© 2016-17

22.6 In terms of RBI guidelines, Concurrent Audit is carried out at the Branches/Offices identified based on risk perception and volume of business handled. 433 branches covering 70% of total business of the Bank as against RBI’s stipulation for coverage at minimum of 50% of deposits and 50% advances, were subjected to Concurrent Audit during the year 2016-17, by engaging the services of external firms of Chartered Accountants. Further, identified HO functional Divisions, FTS Centre, Bangalore, Treasury Branch at Mumbai which includes Investments, Precious Metal Cell and Forex Cell, are also subjected to Concurrent Audit apart from regular inspection. Concurrent Auditors’ meet is held every quarter by each Zonal Office and is attended by the Chief of CAO and/or an executive from HO.

22.7 During 2016-17, Off-Site Audit for 1746 branches were conducted. On-Site Branch Information Security Audit (BISA) of branches which has been carried out along with RBIA to identify security and processing risks in the computerized environment, evaluate related controls to ensure security, functionality and reliability of hardware, operating system and application software and to ensure data availability, integrity as well as confidentiality. Audit of ATM Vaults and Audit of Service Provider Units are conducted once in a year. The lodgement of Off-site Audit reports are synchronized with the RBIA reports & are closed along with RBIA reports at respective CAO’s except that of ELB’s which are being closed at HO.

22.8 Credit audit of 126 accounts with limits sanctioned/enhanced to the borrowers above `25 crore is carried out and necessary directions for rectification of pending irregularities, if any, are given to the respective branches.

22.9 Data Migration Assurance:The Data Migration Assurance process of New Core Banking Solution is being conducted by external auditors empanelled under CERT-IN. As on 31.03.2017, the auditors have completed migration audit of all the 311 branches that have migrated to Finacle.

22.10 The Division has initiated a scheme of recognizing good work of branches in getting the reports lodged well before the stipulated internal time norms. In this regard 141 Certificates of Commendation signed by Executive Director & 492 Certificates signed by General Manager, IAD, have been awarded to Branch Heads. This measure has substantially reduced the number of overdue inspection reports and also timely rectification of irregularities in order to safeguard the interest of the Bank.

22.11 The Division is placing Agenda, as per calendar of reviews, viz., Audit Plan vs. Performance, Major observations of Concurrent Audit Reports, Major inspection and audit findings of ELB’s, Seepage of income, Major Audit findings in respect of SMA-02 a/c’s of `25 crores & above, inter-alia, are being placed before the Audit Committee of the Executives & Audit Committee of Board for information & for compliance of directions.

22.12 Workshop/training for all the inspectors/field officials are being conducted from time to time. The inspectors/field

22.6 ^maVr` [aµOd© ~¢H Ho$ {Xem{ZXo©emo§ Ho$ AZwgma Omo{I_ Ad~moY Am¡a H mamo~ma H r _mÌm Ho$ AYma na A{^{ZYm©[aV emImAmo§/H m`m©b`mo§ _o§ {Z`{_V g§Jm_r boIm-narjm H$s OmVr h¡& 2016-17 Ho$ Xm¡amZ 50% O_mam{e`m§ Am¡a 50% A{JŒ_ Ho$ Ý`yZV_ H$daoO Ho$ {bE ^m[a~¢ Ho$ {ZYm©aU Ho$ nj _o§ ~¢H Ho$ Hw$b H$mamo~ma H$m 70% g§^mbZo dmbr 433 emImAmo§ H$s gZXr boImH mamo§ H r ~mhar \ _© H$s godmE§ boVo hwE g§Jm_r boIm narjm H$madmB© JB©& BgHo$ A{V[aº {Mp•V àYmZ H$m`m©b` {H«$`mË_H à^mJ, E\$QrEg go§Qa, ~o§Jbya, {Zdoe H$j, ~hw_yë` YmVw H j Am¡a \ m°aoŠg H$j g{hV _w§~B© _o§ Q—oµOar Ed§ {Zdoe {d^mJ H$m {Z`{_V {ZarjU Ho$ Abmdm g§Jm_r boImnarjm H$s OmVr h¡& àËòH Am§M{bH H$m`m©b` Ûmam àËòH {V_mhr _o§ g§Jm_r boIm narjH mo§ H$s ~¡RH Am`mo{OV H$s OmVr h¡ Am¡a Bg_o§ grEAmo Ho$ à_wI Am¡a/ AWdm à.H$m. H$m H moB© H m`©nmbH Adí` CnpñWV hmoVo h¢&

22.7 df© 2016-17 Ho$ Xm¡amZ 1746 emImAmo§ H$m Am°\ -gmBQ {ZJamZr Am°{SQ {H$`m J`m& H§ ß`yQarH¥ V dmVmdaU _o§ gwajm Am¡a à{HŒ `mJV Omo{I_mo§ H$mo {ZYm©[aV H$aZo, hmS©doà, Am°naoqQJ {gñQ_ Am¡a EpßbHo$eZ gm°âQdoà H$s gwajm, H$m`©j_Vm Am¡a {dœgZr`Vm gw{Z{üV H$aZo VWm SmQm H$s CnbãYVm, `WmVÏ`Vm Am¡a JmonZr`Vm gw{Z{üV H$aZo Ho$ {bE A{^{ZYm©[aV emImAmo§ H$m Ama~rAmB©E Ho$ gmW Am°Z-gmBQ emIm gyMZm gwajm boIm-narjm (~rAmB©EgE) ^r H$s JB© h¡& EQrE_ dm°ëQmo§ H$s boIm narjm Am¡a godm àXmVm BH$mB`mo§ H$s boIm narjm gmb _o§ EH$ ~ma H$s OmVr h¡& Am°\ -gmBQ Am°{SQ [anmoQ© H$s g_mpßV H$mo Ama~rAmB©E [anmoQ© Ho$ g_H«${_H$ ~Zm`m J`m h¡ Am¡a `h, B©Eb~r Ho$ A{V[aº$ àYmZ H$m`m©b` _o§ ~§X {H$`m OmVm h¢, g§~§{YV _§Sb boIm-narjm H$m`m©b` _o§ Ama~rAmB©E [anmoQ© Ho$ gmW hr g_mßV hmoVr h¢ &

22.8 `25 H$amo‹S go A{YH$ H$s ñdrH¥$V/~‹TmB© JB© gr_mAmo§ dmbo 126 ImVmo§ H$m Am{SQ {H$`m J`m Am¡a g§~§{YV emImAmo§ H$mo b§{~V A{Z`{_VVmAmo§ Ho$ gwYma hoVw Amdí`H$ {ZXo©e {XE JE &

22.9 SmQm _mBJŒoeZ Eí`moao§e Ý`y H$moa ~¢qH$J gmoë`yeZ H$s SmQm _mBJŒoeZ Eí`moao§e à{H«$`m H$mo grB©AmaQr-BZ Ho$ A§VJ©V n¡Zë~Õ ~mø boIm narjH mo§ Ûmam H$s OmVr h¡& 31.03.2017 H mo {\$ZoH b _o§ n[ad{V©V g_ñV 311 emImAmo§ H$m _mBJŒoeZ Am{SQ nyam H$a {b`m J`m h¡&

22.10 à^mJ Zo emImAmo§ Ûmam [anmoQmoª H r {ZYm©[aV Am§V[aH g_` _mZX§Smo§ go nyd© g_mpßV g§~§Yr CËH¥ îQ H m`© H mo _mÝ`Vm XoZo hoVw EH `moOZm àmaå^ H$s h¡ & Bg g§~§Y _o§ nmÌ emIm à_wI H mo H m`©nmbH {ZXoeH Ûmam hñVmj[aV 141 àe§gm à_mU VWm _hm à~§YH , AmB©ESr Ûmam hñVmj[aV 492 àe§gm à_mU nÌ Ûmam gå_m{ZV {H m OmVm h¡ & Bg _mnX§S Ûmam ~¢H Ho$ {hV gwa{jV aIZo H$s {Xem _o§ A{VXo` boIm narjm [anmoQmoª _o§ H$m\$s H _r AmB© h¡ VWm A{Z`{_VVmAmo§ H m g_` na gwYma ^r hwAm h¡ &

22.11 `h à^mJ g_rjm hoVw dm{f©H `moOZm AWm©V Am{SQ `moOZm AÝ` ~mVmo§ Ho$ gmW hr gmW AË`{YH ~Sr emImAmo§ Ho$ {ZînmXZ, g_dVr© boIm narjm [anmoQmoª Ho$ _hËdnyU© àojU, _hËdnyU© {ZarjU Am¡a {ZîH$f©, Am` H$m [agmd, `25 H$amo‹S Am¡a A{YH Ho$ EgE_E-02 ImVm Ho$ gå~ÝY _o§ _hËdnyU© boIm-narjm H {_`mo§ H mo H m`©nmbH mo§ H r boIm narjm g{_{V Am¡a {ZXoeH -_§Sb H$s boIm narjm g{_{V Ho$ g_j g_`-g_` na OmZH mar d C{MV {Xem{ZXo©emo§ Ho$ {bE àñVwV H aVm h¡ &

22.12 g^r {ZarjH$m|/joÌ ñVar` A{YH$m[a`mo§ hoVw H$m`©embm/à{ejU g_`-g_` na Am`mo{OV {H m OmVm h¡ & {ZarjH mo§/joÌ ñVar` A{YH m[a`mo§


officials have been educated through internal circulars to undertake effective auditing of branches. During the financial year 2016-17, the field auditors have undergone workshop at STC, Mangalore.

23. Migration to Risk Based Supervision23.1 The Department of Banking Supervision (DBS) at Reserve Bank of India (RBI) has adopted a Risk Based Supervisory (RBS) approach, based on the recommendations of the High Level Steering Committee (HLSC), setup by RBI, for Review of Supervisory Processes of Commercial Banks. RBI’s revised supervisory approach is called Supervisory Program for Assessment of Risk and Capital – (SPARC). Bank was advised by RBI to migrate to RBS under cycle 2016-17.

23.2 Bank has formed a RBS Cell headed by Deputy General Manager to ensure timely submission of required data to RBI in coordination with various Functional Divisions.

23.3 RBS Portal: The Bank has developed and deployed Web Portal to meet the requirement of RBI to ensure accuracy, integrity and consistency of data.

24. Credit Monitoring24.1 The Bank has created a separate division for monitoring Standard Assets under the independent charge of General Manager. This division has two verticals, one for monitoring large exposures of above Rupees one crore and another for monitoring exposure below Rupees one crore. This division is guide to the branches and zonal offices by way of various inputs for ensuring close follow up of stressed loan accounts under standard category to avoid fresh slippages. A system driven advance warning software tool for early identification of probable NPAs with reasons for slippages is put in place which is quite ideal utility for effective monitoring of standard assets/containing fresh slippages. The division also maintains close liaison with credit division for ensuring timely communication/implementation of corrective action plan (CAP) in respect of stressed assets for up-gradation.

25. Legal ServicesLegal Services Division of the Bank plays a significant role in the various commercial activities undertaken by the Bank. It has been performing diversified activities such as Scrutiny and approval of legal opinions regarding immovable properties taken as security, Drafting/approval of Bank Guarantees and Counter Guarantees, Advising on invocation of Bank Guarantees and other connected matters, Preparation of case specific documents, Drafting/approval of Plaint/pleadings and other applications to be filed before various courts, Tribunals/Authorities etc. Advising on the matter relating to various High Court of different States and also on matters relating to Supreme Court, Approval of MOUs/Agreements referred by various Divisions in the Head Office; Advising Branches as to the initiation of necessary steps to recover the dues of the Bank, Advising on SARFAESI matters & advising on Suit filed Accounts, Advising on Legal Audit of loan documents and Periodical Legal Audit of title deeds, Examination & Advising on matters relating to Right to Information Act and disposal of Appeals received from Citizens under the Right to Information Act, Advising on the matters

H mo à^mdr boIm-narjm H m`©^ma g§^mbZo hoVw Am§V[aH n[anÌmo§ Ûmam {e{jV {H$`m OmVm h¡& {dÎmr` df© 2016-17 Ho$ Xm¡amZ joÌ boIm-narjH$mo§ H$mo EgQrgr, _§Jbyé _o§ Am`mo{OV H m`©embm _o§ CnpñWV hwE&

23. Omo{I_ AmYm[aV n`©dojU _o§ ñWmZm§VaU

23.1 dm{UpÁ`H ~¢H$mo§ H$s n`©dojU à{H«$`m H$s g_rjm hoVw ^m[a~¡ Ûmam ñWm{nV CÀM ñVar` g§MmbZ g{_{V (EMEbEggr) H$s {g\$m[aemo§ Ho$ AmYma na ^m[a~¡ Ho$ ~¢qH J n`©dojU {d^mJ (Sr~rEg) Zo Omo{I_ AmYm[aV n`©dojU nÕ{V (Ama~rEg) AnZmB© h¡ & ^m[a~¡ H$s g§emo{YV Omo{I_ Am¡a ny±Or Ho$ Am§H bZ hoVw n`©dojU H m`©H«$_ (EgnrEAmagr) H hbmVm h¡& h_mao ~¢H H mo n`©dojU MHŒ (2016-17) go Ama~rEg _o§ ñWmZm§V[aV hmoZm h¡ &

23.2 ~¢H Zo Amdí`H Am§H ‹Smo§ H$m ^m[a~¡ H$mo g_` na àofU gw{Z{üV H aZo hoVw {d{^Þ {HŒ mË_H BH mB©`mo§ H$m g_Ýd` H$a Cn _hm à~§YH H$s AÜ`jVm _o§ EH Ama~rEg H j ~Zm`m h¡ &

23.3 Ama~rEg nmoQ©b: h_mao ~¢H$ Zo Am§H$Smo§ H$s gË`Vm, EH$mË_H Vm Am¡a AZwê$nVm H$mo gw{Z{üV H$aZo hoVw ^m[a~¢ H$mo Ano{jV Am§H$SmH$ g_` na àñVwVrH$aU gw{Z{üV H$aZo hoVw do~ nmoQ©b H$mo {dH${gV Am¡a {d{Z`mo{OV {H `m h¡&

24. G$U {ZJamZr

24.1 ~¢H Zo _hm à~§YH Ho$ ñdV§Ì à^ma Ho$ AÝVJ©V _mZH AmpñV`mo§ H r {ZJamZr hoVw EH AbJ {d^mJ ~Zm`m h¡ & à^mJ Ho$ Xmo d{Q©H b h¢ EH EH H amo‹S Ho$ D$na Ho$ ~‹So EŠgnmoOa H r {ZJamZr Am¡a Xygam EH H amo‹S go H _ Ho$ EŠgnmoOa H r {ZJamZr & `h à^mJ emImAmo§ Am¡a Am§M{bH H m`m©b`mo§ H$mo {d{^Þ OmZH$mar XoVm h¡ {Oggo _mZH loUr Ho$ X~mdJŒñV G$U ImVmo§ H$mo ZB© pñbnoO ~ZZo go amoHo$ OmZo hoVw H ‹Sr {ZJamZr gw{Z{üV H$s Om gHo$ & pñbnoO Ho$ H$maU g{hV g§^mì` EZnrE H$s erKŒ nhMmZ hoVw EH {gñQ_ g§Mm{bV G$U MoVmdZr gmâQdo`a _mÜ`_ ñWm{nV {H `m J`m h¡ Omo _mZH AmpñV`mo§ H$s à^mdr {ZJamZr/ZB© pñbnoO amoH Zo hoVw EH ~hwV AmXe© _mÜ`_ h¡ & X~mdJŒñV ImVmo§ H$mo CÞ{`V H aZo Ho$ {bE gwYmamË_H H$m`© `moOZm (grEnr) Ho$ g_`~Õ g§gyMZm/bmJy H$aZo H$mo gw{Z{üV H$aZo hoVw à^mJ G$U à^mJ Ho$ gmW {ZH Q g§~§Y ~ZmE aIVm h¡ &

25. {d{Y godm~¢H$ Ho$ {d{Y godm à^mJ H$s ~¢H$ Ûmam {H$E JE {d{^Þ dm{UÁ`H$ {HŒ mH$bmnmo§ _o§ _hËdnyU© ^y{_H$m h¡& `h ~hw{dY H$m`© H$aVm ahm h¡ O¡go AMb g§n{Îm`mo§ Ho$ g§~§Y _o§ H$mZyZr am` H$s g§drjm, ~¢H$ Jma§{Q`mo§/à{V Jma§{Q`mo§ H$m _gm¡Xm V¡`ma H$aZm/AZw_moXZ H$aZm, ~¢H$ Jma§{Q`m± bmJy {H$E OmZo Ho$ g§~§Y _o§ gbmh XoZm, {d{^Þ Ý`m`mb`mo§/{Q—ã`wZbmo§/àm{YH$m[a`mo§ Ho$ g_j XO© H$s OmZo dmbr {eH$m`Vmo§ Am¡a AÝ` AmdoXZmo§ H$m _gm¡Xm V¡`ma H$aZm/AZw_moXZ H$aZm, {d{^Þ CÀM Ý`m`mb`mo§ Am¡a CÀMV_ Ý`m`mb` go g§~§{YV _m_bmo§ _o§ nam_e© XoZm, àYmZ H$m`m©b` Ho$ {d{^Þ à^mJmo§ Ûmam g§X{^©V g_Âmm¡Vm kmnZmo§/H$amamo§ H$m AZw_moXZ H$aZm, àYmZ H$m`m©b` Ho$ {d{^Þ à^mJmo§ Ûmam g§X{^©V g_Âmm¡Vm ½`mnZ/H$ama H$m AZw_moXZ, ~¢H$ H$s ~H$m`m H$mo dgyb H$aZo hoVw Amdí`H$ H$X_ CRmZo Ho$ {bE emImAmo§ H$mo gy{MV H$aZm ga\o gr A{Y{Z`_ Ed§ _wH$X_m Xm`a ImVmo§ Ho$ g§~§Y _o§ emImAmo§ H$mo nam_e© XoZm, G$U àboImo§ H$s {d{YH$ boImnarjm Ed§ ñdËd {dboI na Amd{YH$ {d{YH$ boImnarjm na nam_e©, gyMZm H$m A{YH$ma A{Y{Z`_ Ho$ g§~§Y _o§ VWm AmaQrAmB© Ho$ VhV ZmJ[aH$mo§ go àmßV Anrbmo§ H$mo {ZnQmZo _o§ nam_e© XoZm, Cn^moºm \ moa_mo§ Ed§

68 dm{f©H$ [anmoQ>© 2016-17

relating to Consumer Forums and various other statutory authorities. Matters pertaining to orders of attachments from Income tax, Sales tax or other authorities are effectively handled. The Division has devised a simplified procedure for settlement of claims relating to deceased depositors. Division also advises Organisation and Methods Division on various documentation aspects and revision/Updating of Manuals. The Law Officers are regularly and continuously handling various legal matters and offering legal guidance/clarifications to branches/Zonal Offices/and Administrative Offices in a time bound manner and take steps to safeguard the interest of the Bank in all its spheres of activities. Division is also handling Empanelment/deletion/Review of performance of Advocates.

26. Lok AdalatLegal Services Division is co-ordinating Lok Adalats in different parts of the Country. During the year, the division was able to conduct two National Lok Adalats in different Zones. In the Lok Adatalats we have referred 12095 accounts involving `221.60 crore, out of which 943 accounts settled for a total amount of `10.95 crore. An instant cash recovery of `1.94 crore was made during said lok adalats.

27. PRE-DISBURSEMENT LEGAL AUDITAs per HO Circular No.23/2015 dated 07.01.2015 the cut off limit for conducting Pre-disbursement legal audit is revised upwards to `50.00 lakh. All borrowal accounts, both fund based and non-fund based, of the limit of `50.00 lakh and above shall be subjected to Pre-disbursement Legal Audit. Pre-disbursement Legal Audit shall be conducted by the empanelled advocates of the Bank. In specific cases, where required, Legal Audit shall be conducted by the Law Officers of the Bank. Branches should ensure that irregularities, if any, pointed out in the Legal Audit Report are rectified before disbursement of loan.

28. The Right to Information Act, 2005

Bank is in compliance of Right to Information Act, 2005 has designated Assistant Public Information Officer (APIO), Public Information Officer (PIO) and Appellate Authorities (AA) at Head Office and Public Information Officer and Appellate Authority at each Zonal Office and Circle Office. Name of APIO, PIO and AA are displayed in the Bank’s Website with other relevant information as required under RTI Act by Customer Services Division, Head Office. Bank is complying with the provisions of the said Act at all levels and disposing of all the application and appeals within the stipulated time.

29. e-Newsletter – THEMIS & Subka NyayLegal Services Division has launched its first ever e-News. letter by name "THEMIS" on 21.09.2016. The coveted idea behind launching of the newsletter is to equip the field level functionaries with requisite knowledge on various aspects of law relating to banking and the judgments of the Supreme Court and the High court relating to banking. The Newsletter is being issued fortnightly and has covered issues relating to Hindu Undivided Family, Partnership, Limited Liability Partnership,

AÝ` gm§{d{YH$ àm{YH$m[a`mo§ go g§~§{YV _m_bmo§, Am`H$a, {~H«$s H$a d AÝ` àm{YH$m[a`mo§ go Hw$H$s© AmXoemo§ go g§~§{YV _m_bmo§ na nam_e© XoZo H$s {Xem _o§ ^r H$m`© H$aVm ahm h¡& `h à^mJ _¥VH$ O_mH$Vm©Amo§ go g§~§{YV Xmdmo§ Ho$ {ZnQmZ hoVw gabrH¥ V à{HŒ `m H$mo {dH${gV {H$`m h¡& {d{Y godm à^mJ à^mJ àboIrH$aU g§~§Yr {d{^Þ nhbwAmo§ na Am¡a _¡Ý`wAbmo§ H$mo g§emo{YV H$aZo/AÚVZ H$aZo _o§ g§JRZ Ed§ nÕ{V à^mJ H$mo nam_e© ^r XoVm h¡& {d{Y godm à^mJ {d{^Þ H$mZyZr _m_bmo§ H$mo ^r g§^mbVm h¡ Am¡a emImAmo§/Am§M{bH$ H$m`m©b`mo§/VWm àemg{ZH$ H$m`m©b`mo§ H$mo g_` gr_m Ho$ ^rVa H$mZyZr _mJ©Xe©Z/ñnîQrH$aU XoVm h¡ VWm ~¢H$ Ho$ {H«$`mH$bmn Ho$ g_ñV nhbyAmo§ _o§ ~¢H$ H$s {hV H$s ajm Ho$ {bE H$X_ CRmVm h¡& {d{Y godm à^mJ A{Ydº$mAmo§ H$m n¡Zb ~ZmZo/n¡Zb go {ZH$mbZo/{ZînmXZ H$s g_rjm H$aZo H$m ^r H$m`© H$aVm h¡&

26. bmoH AXmbV {d{Y godm à^mJ Xoe Ho$ {d{^Þ ^mJmo§ _o§ bmoH AXmbV Ho$ gmW g_Ýd` H aVm h¡& df© Ho$ Xm¡amZ `h à^mJ {d{^Þ A§Mbmo§ _o§ Xmo amîQ—r` bmoH AXmbV Am`mo{OV H aZo _o§ g\ b ahm h¡& BZ bmoH AXmbVmo§ _o§ h_Zo `221.60 H$am‹oS Ho$ 12095 IVmo§ H mo gÝX{^©V H aZo _o§ g\ b aho {OÝ_o§ `10.95 H$amo‹S Ho$ 943 ImVmo§ H {ZnQmZ H aZo _o§ g\ b ahm& Cº$ bmoH AXmbVmo§ _o§ `1.94 H$amoS H$s VËH$mb dgybr hwB©&

27. G$U g§{dVaU nyd© {d{YH boImnarjm à.H$m. n[anÌ g§ 23/2015 {XZm§{H$V 07.01.2015 Ho$ AZwgma G$U g§{dVaU nyd© {d{YH$ boIm narjm H$aZo H$s {ZåZV_ gr_m H$mo ~TmH$a `50.00 bmI H$a {X`m J`m h¡& `50.00 bmI go go A{YH$ Ho$ g^r {Z{Y AmYm[aV Am¡a J¡a {Z{Y AmYm[aV ImVmo§ H$m G$U g§{dVaU nyd© {d{YH$ boIm- narjm H$s OmVr h¡& G$U g§{dVaU nyd© {d{YH$ boImnarjm ~¢H$ Ho$ n¡Zb~Õ A{Ydº$mAmo§ Ûmam H$admB© OmVr h¡& {deof _m_bmo§ _o§ Amdí`H$ hmoZo na ~¢H$ Ho$ {d{Y A{YH$m[a`mo§ Ûmam {d{YH$ boImnarjm H$s OmVr h¡& emImAmo§ H$mo `h gw{Z{üV H$aZm Mm{hE {H$ {d{YH$ boImnarjm _o§ AJa H$moB© H$_r {ZH$mbm J`m h¡ Vmo G$U g§{dVaU Ho$ nyd© Cgo Xya H$a {b`m OmZm Mm{hE&

28. gyMZm H m A{YH ma A{Y{Z`_, 2005~¢H$ Zo gyMZm H$m A{YH$ma A{Y{Z`_, 2005 Ho$ AZwnmbZ _o§ àYmZ H$m`m©b` _o§ ghm`H$ OZ gyMZm A{YH$mar (EnrAmB©Amo), OZ gyMZm A{YH$mar (nrAmB©Amo) Am¡a Anrb àm{YH$mar (EE) Zm{_V {H$E h¢ Am¡a àË`oH$ Am§M{bH$ H$m`m©b` Am¡a _§Sb H$m`m©b` _o§ OZ gyMZm A{YH$mar Am¡a Anrb A{YH$mar Zm{_V {H$E h¢& JŒmhH$ godm à^mJ, àYmZ H$m`m©b` Zo gyMZm H$m A{YH$ma A{Y{Z`_ Ho$ A§VJ©V Ano{jV AÝ` g§~§{YV OmZH$mar Ho$ gmW EnrAmB©Amo, nrAmB©Amo Am¡a EE Ho$ Zm_ ~¢H$ H$s do~gmBQ na àX{e©V {H$E JE h¢& ~¢H$ Cº A{Y{Z`_ Ho$ àmdYmZmo§ H$m g^r ñVamo§ na AZwnmbZ H$a ahm h¡ Am¡a OZVm go àmßV g^r AmdoXZmo§ Am¡a Anrbmo§ H$mo {ZYm©[aV g_`md{Y Ho$ A§VJ©V {ZnQm ahm h¡&

29. B©-g_mMma nÌ - Wr{_g Am¡a g~H$m Ý`m`

{d{YH godm à^mJ Zo 21.09.2016 H$mo Wr{_g Zm_ go AnZm àW_ B© ""Wr{_g'' g_mMma nÌ H$s ewéAmV H$s h¡& Bg g_mMma nÌ H$s ewéAmV Ho$ nrNo _yb CÔoí` joÌ ñVa Ho$ A{YH m[a`mo§ H mo ~¢qH J go g§~§{YV {d{Y Ho$ {d{dY nhbyAmo§ VWm ~¢qH J go g§~§{YV gdmo©ÀM Ý`m`mb` Am¡a CÀM Ý`m`mb` Ho$ {ZU©`mo§ Ho$ ~mao _o§ Amdí`H OmZH$mar XoZm h¡& Bg g_mMma nÌ H$mo nm{jH àH$m{eV {H$`m OmVm h¡ Am¡a Bg_o§ {hÝXy A{d^º n[adma, gmÂmoXmar,


One Person Company, Corporate Guarantee, stamping of documents, Demonetisation, General Lien, Association of Persons, Mortgages, Charge creation by Company, Attachment under Income Tax Act, Insolvency & Bankruptcy and Acknowledgment of Debt.

The Division has also launched another e-Newsletter by name “SABKA NYAY”, which is an educative series on Lok Adalat which aims at familiarizing the field level functionaries with various aspects of Lok Adalat. We have issued 4 series of Sabka Nyay during the year.

30. National Law DayLaw Day is observed throughout the country on 26th November 2016 to commemorate the adaptation of the Constitution of India. The Central Government has notified 26th November as Constitution Day. We have observed the Constitution Day in a befitting matter. The Division has organized an Essay Competition and Debate Competition for all the staff members. The Legal Department of all the Zonal Offices has also observed the National Law Day.

31. Security 31.1 Bank has taken necessary steps in ensuring all Branches and ATMs are 100% compliant on security fixtures. Initiatives taken by the Bank has resulted in coverage of ATMs and all Branches under electronic surveillance. Regular monitoring of health of the CCTV/DVRs installed in branches/ATMs is done through Facility Management Service established at FTS, Bangalore to reduce the down time. By roster, the DVRs are checked for proper recording etc. and corrective action is taken by service engineers at FTS.

31.2 In an incident of dacoity at our Saharanpur branch on 29.08.2016, the Bank’s armed guard, went beyond the call of duty and physically resisted the armed dacoits which averted a major loss to the Bank. He later on succumbed to bullet injuries. Thus, displaying high level of motivation, training & dedication to duty.

32. Compliance

32.1 The Bank has a Compliance Division headed by an Executive of the Rank of Deputy General Manager who represents as the Chief Compliance Officer (CCO) of the Bank, as per the directions of the Reserve Bank of India.

32.2 The Compliance Division ensures that the relevant instructions and guidelines from RBI/IBA/NABARD/SEBI/IRDA/CVC/BCSBI etc. are complied with in spirit and substance so as to assist the top management in managing effectively the Compliance risks faced by the bank. The Compliance Division also ensures dissemination of instructions to the operational departments, assisting them in designing of suitable internal instructions and controls, maintaining liaison with internal and external auditors, etc. Bank is covered under Risk Based Supervision since 2015-16 under Supervisory Programme for Assessment of Risk and Capital (SPARC). The Compliance Division monitors and test compliance by performing sufficient and representative compliance testing.

{b{_QoS Xo`Vm ^mJrXmar, EH ì`{º H§$nZr, H$mnmo©aoQ Jma§Qr, àboImo§ H$m _wharH aU, gm_mÝ` nwZJŒ©hUm{YH$ma, ì`{º$`mo§ Ho$ g§K, ~ÝYH , H§$nZr Ûmam à^ma H m g¥OZ, Am` H a A{Y{Z`_ Ho$ A§VJ©V Hw$H$s©, {Xdm{b`nZ Am¡a H O© H$s nmdVr go g§~§{YV _m_bmo§ H mo e{_b {H `m OmVm h¡&

Bg à^mJ Zo "g~H$m Ý`m`' Ho$ Zm_ go EH$ AbJ B©-AI~ma àma§^ {H$`m h¡ Omo bmoH$ AXmbV na {ejmàX l§¥Ibm h¡ {OgH$m CÔoí` bmoH$ AXmbV Ho$ {d{^Þ nhbyAm| na joÌ ñVa Ho$ A{YH$m[a`m| H$mo OmZH$mar XoZm h¡ & df© Ho$ Xm¡amZ h_Zo g~H$m Ý`m` Ho$ 4 A§H$ {ZH$mb MwHo$ h¢ &

30. amîQ—r` {d{Y {Xdg

^maVr` g§{dYmZ H mo AnZmE OmZo Ho$ Cnbú` _o§ 26 Zdå~a H mo Xoe ^a _o§ {d{Y {Xdg _Zm`m OmVm h¡& Ho$ÝÐ gaH ma Zo 26 Zdå~a H mo g§{dYmZ {Xdg Ho$ ê$n _o§ A{Ygy{MV {H `m& h_Zo r g§{dYmZ {Xdg H mo ì` T§J go _Zm`m& Bg à^mJ Zo g_ñV ñQm\ gXñ`mo§ Ho$ {bE {Z~§Y à{V`mo{JVm Ed§ dmX - {ddmX à{V`mo{JVm H m Am`moOZ {H `m& g^r Am§M{bH H$m`m©b`mo§ _o§ ^r amîQ—r` {d{Y {Xdg H mo _Zm`m J`m&

31. gwajm

31.1 g^r emImAmo§ Am¡a EQrE_ H$mo gwajm CnñH$amo§ H$s X¥pîQ _o§ 100% AZwnmbZ gw{Z{üV H$aZo hoVw ~¢H$ Zo Amdí`H$ H$X_ CRmE h¢& ~¢H$ Ûmam CRmE JE H$X_mo§ go g^r emImE± Am¡a EQrE_o§ BboŠËQ—m{ZH$ {ZJamZr _o§ AmJE h¢& emImAmo§/EQrE_mo§ _o§ bJmE JE grgrQrdr/SrdrAma Ho$ H$m`©Hw ebVm H$s {Z`{_V {ZJamZr E\ QrEg, ~o§Jbwé _o§ ñWm{nV \¡ {g{bQr _¡ZoO_o§Q g{d©g Ûmam {H$`m OmVm h¡ Vm{H$ CZHo$ j` g_` H$mo H$_ {H$`m Om gHo$& g_w{MV [aH$mS© aIZo hoVw amoñQa Ûmam SrdrAma H$s Om§M H$s OmVr h¡ Am¡a E\ QrEg _o§ g{d©g B§Or{Z`amo§ Ûmam CnMmamË_H$ H$ma©dmB© H$s OmVr h¡&

31.2 29.08.2016 H$mo ghmaZnwa _o§ SH¡ Vr H$s EH$ KQZm _o§ ~¢H$ Ho$ geó JmS© Zo AnZo H$V©ì` go ~TH$a H$m`© {H$`m Am¡a emar[aH$ ê$n go CgH$m {damoY H$aVo ~¢H$ H$mo hmoZo dmbr ~Sr j{V go ~Mm {b`m& ~mX _o§ Jmobr bJZo go CgH$s _¥Ë`w hmo JB©& `h CÀM ñVa H$s àoaUm, à{ejZ Am¡a H$V©ì` Ho$ à{V g_n©U H$mo Xem©Vm h¡&

32. AZwnmbZ

32.1 ^maVr` [aOd© ~¢H$ Ho$ {ZXo©emo§ Ho$ AZwê$n ~¢H$ Zo Cn _hm à~§YH$ Ho$ ñVa Ho$ H$m`©nmbH$ Ho$ AYrZ AZwnmbZ à^mJ ñWm{nV {H$`m J`m h¡, Omo ^maVr` [aµOd© ~¢H$ Ho$ {ZXoemo§ Ho$ AZwgma ~¢H$ Ho$ _w»` AZwnmbZ A{YH$mar (grgrAmo) Ho$ Vm¡a na à{V{Z{YËd H$aVo h¢&32.2 AZwnmbZ à^mJ ^m[a~¢/^m~¢g§/Zm~mS©/go~r/AmB©AmaSrE/grdrgr/~rgrEg~rAmB© Am{X go àmßV g§~§{YV AZwXoemo§ Am¡a {Xem{ZXo©emo§ H$m CËgmh Am¡a dmñV{dH$ ê$n go AZwnmbZ gw{Z{üV H$aVm h¡ Vm{H$, ~¢H$ Ûmam gm_Zm H$s OmZodmbr AZwnmbZ Omo{I_ Ho$ à^mdr à~§YZ _o§ CÀM à~§YZ H$mo ghm`Vm hmo gHo$& BgHo$ gmW hr AZwnmbZ à^mJ H$m`m©Ë_H$ à^mJmo§ _o§ AZwXoemo§ H$m àgma gw{Z{üV H$aVm h¡, C{MV Am§V[aH$ AZwXoe Am¡a {Z`§ÌU _o§ ghm`Vm H$aVm h¡, Am§V[aH$ Am¡a ~mø boImnarjH$mo§ Ho$ gmW g§nH© aIVm h¡& Omo{I_ Am¡a ny±Or Ho$ Am§H$bZ hoVw n`©dojU H$m`©HŒ _ (EgnrEAmagr) Ho$ AÝVJ©V df© 2015-16 hoVw ~¢H$ H$mo Omo{I_ AmYm[aV n`©dojU hoVw H$da {H$`m J`m h¡ & AZwnmbZ à^mJ ~hwV go Am¡a à{V{Z{Y AZwnmbZ narjU {Zînm{XV H$a {ZJamZr Am¡a narjU AZwnmbZ H$aVm h¡ &

70 dm{f©H$ [anmoQ>© 2016-17

33. IND AS IMPLEMENTATIONBanks in India currently prepare their financial statements as per the guidelines issued by RBI and generally accepted accounting principles in India (Indian GAAP). In January 2016, the Ministry of Corporate Affairs issued the roadmap for implementation of new Indian Accounting Standards (Ind AS), converged with International Financial Reporting Standards (IFRS), for scheduled commercial banks, insurance companies and non-banking financial companies (NBFCs). Reserve Bank of India (RBI) has advised vide their circular letter dt. 11.02.2016 that Banks shall comply with the Indian Accounting Standards (Ind AS) for financial statements for accounting periods beginning from April 1, 2018 onwards, with comparatives for the periods ending March 31, 2018 or thereafter. This roadmap is applicable for the holding, subsidiary, joint venture and associate companies of banks also.

As per RBI directions, Bank has taken following steps so far: Bank has accordingly started the process of migrating to Ind AS based financial statements. Bank has Submitted Proforma Ind AS financial statements to the RBI for the half-year ended September 30, 2016 on November 30, 2016, as required.

Bank has formed Steering Committee for Ind AS implementation.

The Steering Committee comprises Executive Director (Head of the Steering Committee) and General Managers from Financial Management Division, Credit Division, Integrated Risk Management Division, Information Technology Division, Recovery Division, Inspection & Audit Division & Treasury & Investment Division. The Committee oversees the progress of Ind AS implementation in the Bank, and provides guidance on critical aspects of the implementation such as Ind AS technical requirements, systems and processes, business impact, people and project management. The Committee closely reviews progress of the implementation.

Bank will continue to liaise with RBI and IBA on various aspects pertaining to Ind AS implementation.

34. Vigilance Machinery34.1 As custodians of public funds, we are expected to maintain highest standards of honesty, integrity, transparency and probity. Banking Organizations essentially work on the philosophy of mutual trust and confidence. The important factors to-day is “effective employee engagement & Organizational growth”. Vigilance is a vital management tool to increase efficiency and effectiveness of the Organisation by preventing leakages that adversely affects productivity and profitability. The roles and responsibilities of each functional division our Bank is well defined and documented for better clarity and effectiveness. The vigilance functions in the Bank are primarily in the nature of prevention and detection rather than taking punitive action. The vigilance machinery plays the role of a watchdog so as to ensure that the laid down systems and procedures are not tampered with for any personal gain or benefit. It believes in the principles of natural justice, punishing the guilty irrespective of rank and position.

33. B§S> EEg H$m`m©Ýd`Z

^m{a~¢ Ûmam Omar {Xem {ZXoemo§ Am¡a ^maV _o§ gm_mÝ`V: ñdrH¥$V boIm§H$Z {gÕm§Vmo§ (B§{S`Z OrEEnr) Ho AZwgma ^maV _o§ ~¢H$mo§ Ûmam AnZm {dÎmr` {ddaU V¡`ma {H$`m Om ahm h¡& OZdar, 2016 _o§ H$mnmo©aoQ _m_bmo§ Ho _§Ìmb` Zo AZwgy{MV ì`mdgm{`H$ ~¢H$mo§, ~r_m H§$n{Z`mo§ Am¡a J¡a ~¢qH$J {dÎmr` H§$n{Z`mo§ (EZ~rE\$gr) hoVw A§Vam©îQ—r` {dÎmr` [anmoqQ©J _mZH$ (AmB©E\ AmaEg) Ho AZwgaU _o§ ZB© maVr` boIm§H$Z _mZH$ (B§S EEg) Ho H$m`m©Ýd`Z hoVw amoS_on Omar {H$`m h¡& ^maVr` {aOd© ~¢H$ (Ama~rAmB©) Zo AnZo n{anÌ nÌ {XZm§{H$V 11.02.2016 Ho Ûmam gy{MV {H$`m h¡ {H$ ~¢H$mo§ H$mo 31 _mM©, 2018 H$mo g_mßV Ad{Y Am¡a CgHo ~mX hoVw VwbZm H$aVo hwE 1 Aà¡b, 2018 go àmaå^ boIm§H$Z Ad{Y hoVw {dÎmr` {ddaUmo§ Ho {bE ^maVr` boIm§H$Z _mZH$ (B§S EEg) H$m AZwnmbZ H$aZm hmoJm& `h amoS_on ~¢H$mo§ H$s Ym[aVm, AZwf§Jr, g§`wº$ CÚ_ Am¡a ghm`H$ H§$n{Z`mo§ Ho {bE ^r bmJy hmoJm&

^m[a~¢ Ho {Xem {ZXoemo§ Ho AZwgma ~¢H$ Zo A~ VH$ {ZåZm§{H$V H$X_ CRm`m h¡: ~¢H$ Zo B§S EEg AmYm[aV {dÎmr` {ddaUmo§ Ho Ûmam à{VñWmnZ H$s à{H«$`m àmaå^ {H$`m h¡& ~¢H Zo `Wm Ano{jV 30 Zd§~a, 2016 H$mo 30 {gV§~a, 2016 Ho {bE g_mßV AY© df© hoVw B§S EEg {dÎmr` {ddaU Ho àmo\$mo_m© ^m[a~¢ H$mo àñVwV {H$`m h¡& Cº n[aMmbZ g{_{V _o§ H$m`©nmbH$ {ZXoeH$ (n[aMmbZ g{_{V Ho à_wI) Am¡a {dÎmr` à~§YZ à^mJ, G$U à^mJ, g_o{H$V Omo{I_ à~§YZ à^mJ, gyMZm àm¡Úmo{JH$s à^mJ, dgybr à^mJ, {ZarjU Ed§ boIm narjm à^mJ VWm Q—oOar Am¡a {Zdoe à^mJ Ho _hm à~§YH em{_b hmoVm h¡& Cº$ g{_{V ~¢H _o§ B§S EEg H$m`m©Ýd`Z H$s àJ{V H$s {ZJamZr H$aVm h¡ Am¡a Cº$ H$m`m©Ýd`Z Ho O{Qb nhbyAmo§ `Wm: B§S EEg VH$ZrH$s Amdí`H$Vm, àUmbr Am¡a à{H«$`m, dm{UpÁ`H à^md, bmoJ Am¡a n[a`moOZm à~§YZ na _mJ©Xe©Z àXmZ H$aVm h¡&

~¢H B§S EEg H$m`m©Ýd`Z go g§~§{YV {d{^Þ nhbyAmo§ na ^m{a~¢ Am¡a ^m~¢g§ Ho bJmVma g§nH© _o§ ~Zm hwAm h¡&

34. gVH© Vm V§Ì

34.1 gmd©O{ZH$ {Z{Y`mo§ Ho$ A{âjH$ Ho$ ê$n _o§ ~¢H$ go B©_mZXmar, {ZîRm, nmaX{e©Vm Ed§ gË`{ZîRm Ho$ CÀMV_ _mZH$ H$s Anojm hmoVr h¡& ~¢qH$J g§JRZ {deof ê$n go Amngr {dœmg VWm âmogo Ho$ {gÕm§V na H$m`© H$aVo h¢& AmO Ho$ _hËdnyU© KQH$ h¢, à^mdembr H$_©Mmar {Z`moOZ Am¡a g§JRZmË_H$ d¥{Õ& gVH© Vm CËnmXH$Vm Am¡a bm^àXVm H$mo à{VHy b ê$n go à^m{dV H$aZo dmbo [agmdmo§ H$mo amoH$Vo hwE g§JRZ H$s XjVm Ed§ à^mdH$m[aVm ~‹TmZo H$m EH$ _hËdnyU© à~§YZ gmYZ h¡& ~ohVa ñnîQVm Ed§ à^mdH$m[aVm Ho$ {bE àËòH$ H$m`m©Ë_H$ à^mJ H$s ^y{_H$m Ed§ Xm{`Ëdmo§ H$mo ^br-^m±{V n[a^m{fV Ed§ àbo{IV {H$`m J`m h¡& ~¢H$ Ho$ gVH© Vm H$m`© XÊSmË_H$ H$ma©dmB© H$aZo Ho$ ~Om` _w»`V… {ZdmaH$ Am¡a ImoO àH¥ {V Ho$ h¢& gVH© Vm V§Ì àhar H$s ^y{_H$m {Z^mVm h¡ Vm{H$ `h gw{Z{üV {H$`m Om gHo$ {H$ {H$gr ì`{º$JV bm^ `m \ m`Xm àmßV H$aZo hoVw {d{ZYm©[aV àUm{b`mo§ Ed§ nÕ{V`mo§ _o§ H$moB© No‹SNm‹S Zht H$s OmVr h¡& h AmohXo Am¡a h¡{g`V H$m {bhmµO {H$E {~Zm Z¡g{J©H$ Ý`m` VWm AnamYr H$mo X§{SV H$aZo Ho$ {gÕm§V _o§ {dœmg aIVm h¡&


34.2 Wherever instances of serious violation in the systems and procedures are reported or complaints received against the Bank officials, which primarily reflects on the integrity of the Official, an investigation is ordered and preventive measures are taken including taking punitive action against the erring officials wherever required. As a pro-active measure, the Vigilance Division also conducts preventive checks and reports on the deviations observed. It also suggests how such violations can be avoided with the collective effort of all.

34.3 The Bank has framed its own “Whistle Blower Policy”, the objective of which is to identify any untoward events with the help of the employees and to take timely corrective measures so as to prevent/protect the Bank at the initial stage itself. This mechanism also provides adequate safeguards against victimization of employees who avail of this mechanism.

34.4 ‘Jaagrithi’ a quarterly newsletter on preventive vigilance is being published and circulated amongst all branches/offices of the Bank regularly. In the said letter, gist of the latest cases of fraud and the modus operandi adopted by the fraudsters are published, with an intention to alert our staff members.

34.5 The Bank has a Preventive Vigilance Mechanism in place wherein:Branches have been directed to convene Preventive

Vigilance Meetings every quarter. In the said meetings, staff members have to discuss, share information and their work experiences so that alertness and awareness is generated throughout the Bank. Minutes of such meeting have to be submitted to Zonal Office concerned.

Preventive Vigilance Visits are being conducted by Vigilance Officers at the branches.

A dedicated hotline has been installed at GM & CVO’s Secretariat for enabling public/staff to report incidence of corruption/malpractices/fraud at Branches to take timely action by the Division.

Preventive Vigilance Audit covering high risk prone areas is being conducted at branches by Zonal Office wherein each branch is subjected to audit twice in a year and report should be submitted to Vigilance Division quarterly.

Conducting investigation into high value early mortality cases and Top NPA accounts of the Bank.

34.6 The Division gives suggestions for process changes based on the findings during the conduct of investigations as well as based on the industry best practices, in order to strengthen the vigilance administration in the Bank.

34.7 An improved vigilance consultation mechanism is in place by arranging an Interactive Session, once in a quarter, chaired by Executive Director along with Chief Vigilance Officer and GM-HRM [PAD] team for initiating quicker enquiry proceedings/reducing the waiting [action] period to improve the industrial relation climate. This forum acts as a preventive session identifying incipient problems and facilitating prompt intervention/early corrective action.

35. Opportunities • The bank has pan-India presence with 10,413 functional

units comprising of 2,517 Branches, 3,169 ATMs & 4,724 Branchless Banking units spread across the length and

34.2 Ohm± nÕ{V`mo§ Ed§ àUm{b`mo§ Ho$ Kmoa C„§KZ Ho$ àg§J H$s [anmoQ© H$s OmVr h¡ m ~¢H$ A{YH$m[a`mo§ Ho$ {déÕ Eogr {eH$m`Vo§ àmßV hmoVr h¢ Omo g§~§{YV A{YH$mar H$s B©_mZXmar na àý {M• bJmVm h¡, dhm± Om±M Ho$ AmXoe {XE OmVo h¢ Am¡a Ohm± Ano{jV h¡ JbVr H$aZodmbo A{YH$mar Ho$ {déÕ Xm§{SH$ H$ma©dmB© g{hV {ZdmaH$ Cnm` {H$E OmVo h¢& EH$ AJŒg{H«$` Cnm` Ho$ Vm¡a na gVH© Vm à^mJ {ZdmaH$ Om±M H$aHo$ nmE JE C„§KZmo§ H$mo [anmoQ© H$aVm h¡& dh `h gwÂmmd ^r XoVm h¡ {H$ g^r Ho$ EH$OwQ à`mg go Eogo C„§KZmo§ go H¡ go ~Mm Om gH$Vm h¡&

34.3 ~¢H$ Zo AnZr ""pìhgb ãbmoAa nm°{bgr'' ~ZmB© h¡ {OgH$m CÔoí` H$_©Mm[a`mo§ H$s ghm`Vm go A{à` KQZmAmo§ H$mo nhMmZZm h¡ Am¡a g_` na gwYmamË_H$ H$X_ CRmVo hwE àma§{^H$ MaU _o§ hr Cgo amoH$Zm/~¢H$ H$s ajm H$aZm h¡& Bg Zr{V _o§ Bg V§Ì H$m BñVo_mb H$aZodmbo H$_©Mm[a`mo§ H$mo naoemZ {H$E OmZo Ho$ {déÕ n`m©ßV nydmo©nm` ^r h¢&

34.4 {ZdmaH$ gVH© Vm na {V_mhr Ý`yµOboQa ""OmJ¥{V'' {Z`{_V ê$n go àH$m{eV H$aHo$ ~¢H$ H$s g^r emImAmo§/H$m`m©b`mo§ Ho$ ~rM n[aMm{bV H$s Om ahr h¡& Cº$ Ý`yµOboQa _o§ h_mao ñQm\ gXñ`mo§ H$mo gOJ H$aZo Ho$ CÔoí` go H$nQ Ho$ ZdrZV_ _m_bmo§ H$m gmam§e VWm H$n{Q`mo§ Ûmam AnZmB© JB© H$m`©nÕ{V H$mo àH$m{eV {H$`m OmVm h¡&

34.5 ~¢H$ Zo {ZdmaH$ gVH© Vm V§Ì ñWm{nV {H$`m h¡ {Og_o§:emImAmo§ H$mo àËòH$ {V_mhr _o§ {ZdmaH$ gVH©$Vm ~¡RHo§ Am`mo{OV H$aZo

hoVw {ZXo{eV {H$`m J`m h¡ & BZ ~¡RH$mo§ _o§ ñQm\ gXñ`mo§ H$mo MMm© H$aZr h¡ Am¡a CZHo$ H$m`© AZw^d VWm gyMZm H$mo ~m±QZm h¡ {Oggo nyao ~¢H$ _o§ Mm¡H$gr Am¡a OmJê$H$Vm g¥{OV hmo gHo$ & ~¡RH$mo§ H$m H$m`©d¥Îm g§~§{YV Am§M{bH$ H$m`m©b`mo§ H$mo ào{fV {H$`m OmZm h¡ &

gVH©$Vm A{YH$m[a`mo§ Ûmam emImAmo§ _o§ {ZdmaH$ gVH©$Vm ~¡RHo§ Am`mo{OV H$s OmVr h¢ &

_hm à~§YH$ Am¡a _w»` H$m`©nmbH$ A{YH$mar Ho$ g{Mdmb` _o§ EH$ g_{n©V hmQbmB©Z ñWm{nV H$s JB© h¡ {Oggo emIAmAmo§ _o§ ^ŒîQmMma/ Hw àWm/H$nQ Ho$ _m_bo OZVm/ñQm\ Ûmam [anmoQ© H$s Om gHo$ {Oggo à^mJ Ûmam g_` na H$ma©dmB© H$s Om gHo$ &

Am§M{bH$ H$m`m©b` Ûmam emImAmo§ _o§ CÀM Omo{I_ joÌmo§ H$mo em{_b H$aVo hwE {ZdmaH$ gVH© Vm boImnarjm H$s OmZr h¡ {Og_o§ àËòH$ emIm H$s df© _o§ Xmo ~ma boImnarjm H$s OmZr h¡ Am¡a [anmoQ© gVH© Vm à^mJ H$mo Ì¡_m{gH$ ôOZr Mm{hE &

~¢H$ Ho$ CÀM _yë` dmbo g_` nyd© EZnrE VWm erf© EZnrE ImVmo§ H$s Om±M H$aZm &

34.6 `h à^mJ AÝdofU Ho$ Xm¡amZ nmB© JB© H${_`mo§ Ho$ AmYma na Am¡a ~¢qH$J OJV Ho$ loîR àWmAmo§ Ho$ AmYma à{HŒ `m _o§ n[adV©Z hoVw gwÂmmd XoVm h¡ Vm{H$ ~¢H$ H$s gVH© Vm àemgZ H$mo _O~yV {H$`m Om gHo$& na Zo {H«$`mË_H$ à^mJmo§ {d^mJ Ûmam n[aUm_ Am¡a à{VgyMZm na AmYm[aV à{H«$`m n[adV©Z hoVw &34.7 EH$ CÞV gVH© Vm gbmhH$ma V§Ì ~Zm`m J`m h¡ {Og_o§ H$m`©nmbH$ {ZXoeH$ H$s AÜ`jVm _o§ _hm à~§YH$ Ed§ _w»` gVH© Vm A{YH$mar Am¡a _hm à~§YH$, _mZd g§gmYZ à~§YZ (H$màà) H$m Xb {V_mhr _o§ EH$ ~ma erKŒ nyNVmN à{H«$`m/àVrjm Ho$ g_` (H$ma©dmB©) _o§ H$_r H$a Am¡Úmo{JH$ g§~§Y dmVmdaU H$mo gwYmaZo hoVw MMm© gÌ Am`mo{OV H$aVm h¡ & `h \ moa_ {ZdmaH$ gÌ Ho$ ê$n _o§ H$m`© H$a Ama§{^H$ g_ñ`mAmo§ H$mo nhMmZoJm VWm A{db§~ hñVjon/erKŒ gwYmamË_H$ H$ma©dmB© H$aVm h¡&

35. Adga

· 2,517 emImAmo§, 3,169 EQrE_mo§ d 4,727 emIm-a{hV ~¢qH$J BH$mB`mo§ Ho$ gmW ~¢H$ H$s Xoe â _o§ 10,413 H$m`m©Ë_H$ BH$mB`mo§

72 dm{f©H$ [anmoQ>© 2016-17

breadth of the country with 34 zonal offices and 6 circle offices to oversee its operations. The Bank has registered its global presence through its foreign representative offices at Dubai and Hong Kong.

• The increased presence of the Bank’s branches in rural and semi-urban areas provides a great opportunity for the Bank for improving its exposure to Agriculture and Priority sector, SME and Retail segment, to register a balanced growth in retail portfolio in tandem with the wholesale business.

A trendsetter in the IT based innovations, launching of customer centric products and services, bank has been utilizing every opportunity to be in the forefront in enhancing customer convenience.

Digitalisation of several processes to bring down the operating expenses and improve efficiency, including, Mobile Banking, SMS Banking, e-Pass book, Tablet banking, e-lobby, e-wallet etc., and other facilities have been instrumental in attracting next-gen customers.

Large presence of its branches in coastal areas of Kerala, Karnataka, Goa and Maharashtra also provides greater opportunity for it to tap the NRI potential of the area. Opening representative offices at important locations abroad is also on the card for the Bank to improve its business and its business relations with NRIs abroad.

A high calibre workforce, better spread of network of branches and ATMs, better infrastructure facilities, a competitive customer service and an advanced tech savvy environment helped the bank to get a prime slot in the minds of the people.

The various Social Securities Scheme launched at centre, has opened up plenty of opportunities for the Bank to financially include every individual deprived of a banking facility, opening their accounts, offering them benefits of finance related to government schemes, credit, Insurance, remittance, Pension etc. All this provide a great opportunity for cross selling of its products and services for the overall growth of the Bank’s business. The Bank is a pioneer in Financial Inclusion with 4,727 branchless banking units spread across the country.

Rolling out of new Core Banking Solution, which will be running on the latest version of Finacle Banking Software will help the Bank to meet the ever increasing needs of the customers, expand its business, introduce techno-savvy products & services and secure business of new customers.

A wide range of Delivery Channels, strong presence in the metro centers, comparatively younger workforce, provide a great potential for the Bank to fully exploit the techno savvy products to its advantage.

36. Threats The rapid changes in the Indian economy has had its effect on the banking industry and our bank being a part of the system also had to face challenges on asset quality, capital adequacy and profitability.

The banking sector experienced a slowdown in balance sheet growth. The profits and profitability of the banking sector affected mainly on account of the deterioration in the asset

H$s CnpñW{V h¡ Am¡a Xoeâ _o§ 34 Am§M{bH$ H$m`m©b` Am¡a 6 _§Sb H$m`©Ab` n[aMmbZ XoIVo h¡& ~¢H$ Zo Xw~B© Am¡a hm±JH$m§J _o§ {dXoer à{V{Z{Y H$m`m©b`mo§ Ho$ µO[aE {dœ ñVa na ^r AnZr CnpñW{V XO© H$s h¡&

· JŒm_rU Ed§ AY©-ehar joÌmo§ _o§ ~¢H$ H$s ~‹Sr CnpñW{V ~¢H$ H$mo H¥${f Ed§ àmW{_H$Vm-àmßV joÌ, EgE_B© Am¡a IwXam H$mamo~ma H$mo G$U _o§ d¥{Õ H$aZo, WmoH$ H$mamo~ma Ho$ AZwê$n IwXam g§{d^mJ _o§ g§Vw{bV d¥{Õ XO© H$aZo Ho$ {bE n`m©ßV Adga XoVr h¡&

~¢H$ AmB©Qr AmYm[aV ZdrZ CËnmXmo§ H$mo noe H$aZo, JŒmhH$ Ho§ {ÐV CËnmXmo§ Am¡a godmAmo§ H$mo ewê$ H$aZo _o§ AJŒUr h¡, ~¢H$ JŒmhH$ gw{dYm ~TmZo _o§ g~go AmJo ahZo hoVw ha Adga H$m Cn`moJ H$aVm h¡&

n[aMmbmZmË_H$ ì`` H$mo H$_ H$aZo Am¡a XjVm ~‹TmZo hoVw Hw N à{HŒ `mAmo§ H$m {SOrQbrH$aU Am¡a _mo~mBb ~¢qH$J, EgE_Eg ~¢qH$J, B©-nmg ~wH$, Q¡ãboQ ~¢qH$J, B©-bm~r, B©-dmboQ BË`m{X d AÝ` gw{dYmE§ AJbr nr‹Tr Ho$ JŒmhH$mo§ H$mo AmH${f©V H$aZo _o§ ghm`H$ ahr h¢&

Ho$ab, H$Zm©QH$, Jmodm Ed§ _hmamîQ— Ho$ VQr` joÌ _o§ BgH$s emImAmo§ H$s ~‹Sr _m¡OyXJr EZAmaAmB© g§{d^mJ H$mo gwYmaZo _o§ Bgo A{YH$ Adga XoVr h¡& {dXoe _o§ A{Zdmgr ^maVr`mo§ Ho$ gmW ~¢H$ H$m H$mamo~ma _o§ Am¡a H$mamo~ma g§~§Y _o§ d¥{Õ H$aZo {dXoe _o§ _hËdnyU© ñWmZmo§ na à{V{Z{Y H$m`m©b` ImobZo H$m ~¢H$ H$m {dMma h¡&

Xj H$m`©~b, emImAmo§ H$m ì`mnH$ ZoQdH©$, ~ohVa AmYma^yV g§aMZm gw{dYmE§, ñnYm©Ë_H$ JŒmhH$ godm Am¡a CÞV àm¡Úmo{JH$s `wº dmVmdaU Ho$ Ûmam ~¢H$ OZ_mZg Ho$ _Z _o§ Ah_ ñWmZ ~Zm gH$m h¡&

Ho$ÝÐ gaH$ma Ûmam ewê$ H$s JB© ~hwVgr gm_m{OH$ gwajm `moOZmAmo§ go ~¢H$ Ho$ {bE AZoH$ Adga CËnÞ hwE h¡, O¡go ~¢{H$J gw{dYm go d§{MV àËòH$ ì`{º$`mo§ Ho$ ImVo ImobZm, gaH$mar `moOZmAmo§ go g~§{YV {dÎm Ho$ bm^, G$U, ~r_m, {dàofU Am¡a no§eZ BË`m{X àXmZ H$aZm& Bggo ~¢H$ H$mamo~ma Ho$ g_JŒ {dH$mg Ho$ {bE AnZo CËnmXmo§ Am¡a godmAmo§ H$s gh {~H«$s Ho$ {bE {dnwb Adga àXmZ H$aVm h¡& ~¢H$ Xoe â _o§ 4,727 emIm a{hV ~¢qH$J BH$mB`mo§ g{hV {dÎmr` g_mdoeZ _o§ AJŒUr h¡&

ZE H$moa ~¢qH$J g_mYmZ H$s ñWmnZm Omo {\$ZoH$b ~¢qH$J gmâQdoà Ho$ ZdrZV_ ê$nm§Va Ûmam g§Mm{bV hmoJm, ~¢H$ H$mo JŒmhH$mo§ H$s gX¡d ~‹TZo dmbr Amdí`º$mAmo§ H$mo nyam H$aZo, ì`mnma ~‹TmZo, VH$ZrH$s AZwHy$b CËnmX Ed§ godmE± Am¡a ZE JŒmhH$mo§ H$m ì`mnma àmßV H$aZo _o§ ghm`Vm H$aoJm &

H$B© àH$ma Ho$ {S{bdar M¡Zb, _hmZJar` Ho$Ðmo§ _o§ _µO~yV CnpñW{V, gmnoj `wdm H$m`©~b ~¢H$ H$mo àm¡Úmo{JH$s `wº CËnmXmo§ H$m nyam \ m`Xm CRmZo Ho$ {bE Anma g§^mdZmE§ àXmZ H$aVm h¡&

36. MwZm¡{V`m±

^maVr` AW©ì`dñWm _o§ VoOr go hmo aho ~Xbmd H$m ~¢qH$J CÚmoJ na Aga nS ahm h¡ Am¡a h_mao ~¢H$ H$mo Bg {gñQ_ H$m EH$ ^mJ hmoZo Ho$ H$maU AmpñV JwUdÎmm, ny§Or n`m©ßVVm Am¡a bm^àXVm na MwZm¡{V`mo§ H$m gm_Zm H$aZm nSm h¡&

~¢qH$J joÌ Zo VwbZ nÌ d¥{Õ _o§ {JamdQ XO© H$s h¡ & ~¢qH$J joÌ H$m bm^ Am¡a bm^àXVm _w»` ê$n go ~¢H$mo§ H$s AmpñV JwUdÎmm go à^m{dV hmoVr h¡ & H$_


quality of banks. The thinning margins and rising issues on asset quality continued during the year affecting the overall performance of the banking system.

Maintaining a healthy asset portfolio is crucial for sustaining profitability levels and ensuring sound fundamentals of the banking sector. The rise in the quantum of restructured assets, a high rate of growth in NPAs and decline in profitability ratios clearly indicate the concerns on asset quality of banks. Therefore, managing asset quality is not only critical but also has become the prime focus area for the banking sector to improve and achieve healthy performance levels.

Higher quality Capital is required as per the Basel III norms. Raising of additional capital to support the business would be a challenge in the present scenario.

Retirement of experienced hands at the middle and senior management level, in a large scale in the near future needs to be substituted which is critical for translating the top management’s strategy into workable action plans.

Banks, like any other industry are exposed to credit, Market and Operational Risks in the day to day operation, thinning of Interest spread affects the profitability structure of the Bank.

Any changes in the regulatory guidelines, policies, provisions by the Government/Regulator etc., may impact the performance of the Bank.

Effectiveness of Recovery Management, Asset Liability Management and Risk Management may have its own impact on performance. Acute competition from the peer banks is likely to affect business growth, margins and profitability.

With the entry of specialised players like small banks and payments banks that are expected to build new business models based on the advantage of being small, nimble, focussed and innovative, the competitive landscape is set to change. Competition from these players may pose greater challenges for the Bank in mobilizing business, going forward.

37. Road map for the futureThe Bank’s vision is to Emerge as a model for inclusive growth and innovative banking services. Mobilizing low cost CASA deposits and concentrating on Quality Credit growth with focus on Agriculture, Retail and MSME segment, Expansion of Branch and ATM Networks and other alternate channels of delivery, Customer acquisition, especially, next-gen customers, and Improving Asset Quality would be its focused areas for overall business development.


Place : Mangaluru (Jai Kumar Garg)Date : 01.06.2017 Managing Director & Chief Executive Officer

hmoVr _m{O©Z Am¡a AmpñV JwUdÎmm Ho$ ~‹TVo hwE _wÔo df© Ho$ Xm¡amZ Omar aho Am¡a ~¢qH$J V§Ì Ho$ g_JŒ {ZînmXZ H$mo à^m{dV H$aVo aho &

ñdñW AmpñV g§{d^mJ H$mo ~ZmE aIZm bm^àXÎmm ñVa VWm ~¢qH$J joÌ Ho$ CÀM {gÕmÝVm| H$mo gw{ZpíMV H$aZo Ho$ {bE Amdí`H$ h¡ & nwZ©g§a{MV AmpñV`m| H$s _mÌm _| d¥{Õ EZnrE d¥{Õ _| CÀM Xa Am¡a bm^àXÎmm AZwnmV _| {JamdQ> h¡ Omo ~¢H$ H$s AmpñV JwUdÎmm Ho$ {bE {MÝVm H$m {df` h¡& AVEd AmpñV JwUdÎmm H$m à~§YZ Z Ho$db O{Q>b h¡ A{nVw ñdñW {ZînmXZ ñVa _| gwYma bmZm Am¡a Cgo ~ZmE aIZm ~¢qH$J joÌ Ho$ {bE {MÝVm H$m _w»` {df` ~Z J`m h¡&

~mgob III Ho$ eVmoª Ho$ AZwgma CÀM JwUdÎmm ny§Or H$s Amdí`H$Vm h¡ & H$mamo~ma g_W©Z Ho$ {bE A{V[aº ny§Or OwQmZm dV©_Zm n[aX¥í` _o§ g~go ~Sr MwZm¡Vr h¡&

_Ü`_ Am¡a d[aîR à~§YZ ñVa _o§ ~So n¡_mZo na AZw^dr ì`{º$`mo§ H$s godm{Zd¥{Îm go {ZU©` boZo H$s à{HŒ `m H$mo à^m{dV H$a gH$Vr h¡, ì`mdhm[aH$ H$m`© `moOZm _o§ CÀM à~§YZ H$s aUZr{V`m§ n[ad{V©V H$aZo _o§ H${RZmB© hmo gH$Vr h¡&

{H$gr ^r AÝ` CÚmoJ H$s Vah ~¢H$mo§ H$mo ^r X¡Z§{XZ n[aMmbZ _o§ G$U, ~mµOma Am¡a n[aMmbZ Omo{I_mo§ H$m gm_Zm H$aZm n‹SVm h¡, ã`mO H$s_V-bmJV A§Va KQZo go ~¢H$ H$s bm^àXVm H$s g§aMZm à^m{dV hmoVr h¡&

gaH$ma/{d{Z`m_H$ Am{X Ûmam {d{Z`m_H$ {Xem{ZXo©emo§, Zr{V`mo§, Cn~§Ymo§ _o§ n[adV©Z ~¢H$ Ho$ {ZînmXZ H$mo à^m{dV H$a gH$Vm h¡ &

dgybr à~§YZ, AmpñV Xo`Vm à~§YZ Am¡a Omo{I_ à~§YZ H$s à^mdH$m[aVm {ZînmXZ na Aga Smb gH$Vr h¡ & g_ê$nr ~¢H$mo§ go H$‹Sr à{VñnYm© H$s dOh go H$mamo~ma d¥{Õ, _m{O©Z Am¡a bm^àXVm à^m{dV hmo gH$Vr h¡ &

{deofk à{V`moJr O¡go bKw Am¡a ^wJVmZ ~¢H$mo§ Ho$ AmZo go ZE ì`mnma _mSb Ho$ ~ZZo H$s g§^mdZm h¡ Omo bKw, Hw eb, g§Ho$pÝÐV Am¡a ZdmoÝ_ofr Ho$ bm^mo§ na AmYm[aV h¡, à{VñnYr© n[aX¥í` n[ad{V©V hmoZo H$mo h¡ & BZ à{V`mo{J`mo§ go àmßV à{VñnYm© go g§^d h¡ {H$ AnZo H$mamo~ma H$mo àmßV H$aZo, AmJo ~‹TZo _o§ ~¢H$ H$mo A{YH$ go A{YH$ MwZm¡{V`mo§ H$m gm_Zm H$aZm nSo&

37. ^mdr `moOZmE§

~¢H$ H$m gnZm d¥{Õ Am¡a ZdmoÝdofr ~¢qH$J godmAmo§ H$mo em{_b H$aVo hwE EH$ _mSb Ho$ ê$n _o§ C^aZm h¡& H$_ bmJV dmbm H$mgm O_mam{e`m§ àmßV H$aZm Am¡a H¥${f, IwXam Am¡a E_Eg_E_B© joÌ, emIm Am¡a EQrE_ ZoQdH© VWm {S{bdar H$m AÝ` d¡H$pënH$ M¡Zb H$m {dñVma, JŒmhH$ A{YJŒhU, {deof ê$n go ZB© nr‹Tr Ho$ JŒmhH$mo§ na Ü`mZ Ho§ {ÐV H$aVo hwE JwUmË_H$ G$U d¥{Õ na Ü`mZ XoZm Am¡a g§nyU© H$mamo~ma {dH$mg Ho$ {bE AmpñV JwUdÎmm _o§ d¥{Õ H$aZm Ü`mZ XoZo `mo½` joÌ h¢&

{ZXoeH _§Sb Ho {bE Am¡a CZH s Amoa go

ñWmZ… _§Jbyé (O` Hw _ma JJ©){XZm§H … 01.06.2017 à~§Y {ZXoeH Ed§ _w»` H m`©nmbH A{YH mar

74 dm{f©H$ [anmoQ>© 2016-17

H$mnmo©aoQ A{êmgZ na [anmoQ©REPORT ON CORPORATE GOVERNANCE

1. Corporate Governance in the BankThe Bank believes that sound Corporate Governance is critical to enhance and retain investor trust. As a responsible Business entity, the Bank is committed to sound corporate practices based on conscience, openness, fairness, professionalism, transparency by disclosures, ethical practices etc., towards attaining performance with integrity and accountability, paving the way for enhancing investors’ and stakeholders’ confidence and thus ensuring long-term success. Governance at Corporation Bank is evolved by not only ensuring compliance with regulatory requirements but also by being responsive to the needs of stakeholders with rewarding environment. The Bank strives for excellence with the twin objective of enhancing customer satisfaction and shareholders’ value. Corporation Bank’s ethos, evolve with customer and have the shareholder as the focal point.

2. The Bank’s Philosophy2.1 The Bank’s philosophy is driven by its Corporate Motto – Tag line - ‘Sarve Janah Sukhino Bhavantu’, which means “Prosperity for all”, that which leads to the betterment of the society and economy. The Bank strongly believes that sound corporate governance practices leads to the fulfilment of its goals and attainment of its objectives in a manner that adds value to its image, is beneficial for all the stakeholders in the long run and enhances its ability to secure their confidence. Good Corporate Governance starts at the top and continues down the line consistently. The Board of Directors and the Management take appropriate decisions and guide the Bank in achieving the highest standards of excellence.

3. Board of Directors 3.1 The Board is constituted in accordance with the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 read with the Nationalised Banks (Management and Miscellaneous Provisions) Scheme, 1980 as amended from time to time and is represented by persons with diversified professional experience. At the end of the year 2016-17 under report, the Board comprises of 9 directors, out of which, 6 are non-executive directors and among themselves 4 are considered as independent directors, including one Woman Director. The Directors, hailing from different strata of society, with diverse professional qualifications, bring in their rich experience to the Board. 14 meetings of the Board of Directors were held during the financial year under report.3.2. The Board has constituted various committees for specific and focused approach towards some of the important functional areas of the Bank’s operations, for providing proper direction, effective monitoring and controlling the affairs of the Bank, by also looking into new areas and needs of the Bank’s overall Developments. The details of various committees and the total number of meetings held by each committee during the year 2016-17 are as follows:

1. ~¢H$ _o§ H$mnmo©aoQ A{êmgZ~¢H$ H$m `h {dœmg h¡ {H$ gwX¥‹T H$mnmo©aoQ A{êmgZ {ZdoeH$ H$s AmñWm H$mo ~‹TmZo Am¡a ~ZmE aIZo Ho$ {bE Ah_ h¡& EH$ {µOå_oXma H$mamo~mar g§ñWm Ho ê$n _o§ ~¢H$; {ddoH$, IwbmnZ, {ZînjVm, ì`mdgm{`H$Vm, àH$QZ Ûmam nmaX{e©Vm, Z¡{VH$ àWmAmo§ Am{X na AmYm[aV Rmog H$mnmo©aoQ àWmAmo§ Ho à{V H${Q~Õ h¡ {Oggo B©_mZXmar VWm {Oå_oXmar Ho$ gmW {ZînmXZ {H$`m Om gHo$, {ZdoeH$mo§ Am¡a {hVYmaH$mo§ Ho AmË_{dœmg _o§ d¥{Õ hmo Am¡a XrKm©d{Y g\$bVm gw{Z{üV hmo& H$mnmo©aoeZ ~¢H$ _o§ H$mnmo©aoQ A{êmgZ {d{Z`m_H$ AnojmAmo§ H$m AZwnmbZ gw{Z{üV H$aVo hwE hr Zht ~pëH$ bm^àX dmVmdaU Ho gmW J«mhH$ H$s Amdí`H$VmAmo§ Ho AZwHy$b ahH$a ^r {dH${gV {H$`m J`m h¡& J«mhH$ g§VwpîQ VWm eoàYmaH$mo§ Ho _yë` _o§ d¥{Õ H$aZo Ho Xmohao CÔoí`mo§ Ho gmW ~¢H$ CËH¥ îQVm hoVw AWH$ à`mg H$a ahm h¡ & ~¢H$ H$s gm_mÝ` àH¥${V J«mhH$ go {dH${gV hmoVr h¡ {OgH$m H|$Ð-q~Xw eoàYmaH$ h¡&

2. ~¢H$ H$m Xme©{ZH$ {gÕm§V

2.1 ~¢H$ H$m Xe©H$ CgHo H$mnmo©aoQ AmXe© dmŠ` ‘gdo© OZm… gw{IZmo ^dÝVw’ AWm©V² "g~ H$s g_¥{Õ hmo' _o§ à{Vq~{~V hmoVm h¡ Omo g_mO Am¡a AW©ì`dñWm H$s ^bmB© H$s Amoa A{^àoV h¡& ~¢H$ H$m X¥‹T {dœmg h¡ {H$ gwX¥T H$mnmo©aoQ A{êmgZ àWmAmo§ go BgHo AnZo bú`mo§ H$s ny{V© Am¡a CÔoí`mo§ H$s àmpßV hmo OmVr h¡ {Oggo CgH$s N{d _o§ d¥{Õ hmoVr h¡, Omo AmJo MbH$a eoàYmaH$mo§ Ho {bE {hVH$mar hmoVm h¡ Am¡a CZH$m {dœmg OrVZo H$s j_Vm H$mo ~‹TmVm h¡& CÎm_ H$mnmo©aoQ A{êmgZ erf© go Ama§^ hmoVm h¡ Am¡a ZrMo H$s Amoa gVV ~‹TVm h¡& {ZXoeH$ _§Sb Am¡a à~§YZ Cn`wº {ZU©` boVo h¢ Am¡a CËH¥$îQVm Ho CÀMV_ _mZH$mo§ H$mo àmßV H$aZo hoVw ~¢H$ H$m _mJ©Xe©Z H$aVo h¢&

3. {ZXoeH$ _§Sb3.1 {ZXoeH$ _§Sb H$m JRZ g_`-g_` na `Wm g§emo{YV amîQ´>r`H¥$V ~¢H$ (à~§YZ Am¡a {d{dY àmdYmZ) `moOZm, 1980 Ho gmW n{RV ~¢qH$J H§$nZr (CnH«$_mo§ H$m AO©Z Am¡a A§VaU) A{Y{Z`_, 1980 Ho AZwgma {H$`m J`m h¡ Am¡a Bg_o§ {ddY ì`mdgm{`H$ AZw^d dmbo ì`{ŠV`mo§ H$m à{V{Z{YËd h¡& df© 2016-17 H$s g_mpßV na [anmoQ© Ho AZwgma {ZXoeH$ _§Sb _o§ 9 {ZXoeH$ h¢ {OZ_o§ 6 J¡a-H$m`©nmbH$ {ZXoeH$ h¢ VWm CZ_o§ go EH$ _{hbm {ZXoeH$ g{hV 4 H$mo ñdV§Ì {ZXoeH$ _mZm J`m h¡& g_mO Ho {d{^Þ joÌmo§ go AmZodmbo ò {ZXoeH$, _§Sb H$mo {deofkVm Am¡a {dnwb AZw^d-`wº kmZ àXmZ H$aVo h¢& [anmoQm©YrZ {dÎm df© Ho Xm¡amZ {ZXoeH$ _§Sb H$s 14 ~¡RHo§ Am`mo{OV H$s JB©§&

3.2 ~¢H$ n[aMmbZ Ho Hw$N _hËdnyU© H$m`©-joÌmo§ _o§ {deof VWm g§H|${ÐV Ü`mZ XoZo Ho {bE Am¡a C{MV {Xem àXmZ H$aZo, à^mdr {ZJamZr H$aZo VWm ~¢H$ Ho H$m`moª _o§ {Z`§ÌU aIZo Am¡a ZE joÌmo§ na Ü`mZ XoH$a VWm ~¢H$ Ho g_J« {dH$mg H$s Amdí`H$Vm hoVw {ZXoeH$ _§Sb Zo {d{^Þ g{_{V`mo§ H$m JRZ {H$`m h¡& {d{^Þ g{_{V`mo§ Ho ã`moao Am¡a df© 2016-17 Ho Xm¡amZ àËòH$ g{_{V Ûmam Am`mo{OV ~¡RH$mo§ H$s Hw$b g§»`m {ZåZmZwgma h¡…


H«$‘ g§. Sl. No.

~moS© H$s g{_{V`mo§ Ho Zm_Name of the Committees of the Board

Am`mo{OV ~¡RH$m| H$s Hw$b g§»`mTotal No. of Meetings held

1. à~§YZ g{_{V Management Committee 15

2. boIm-narjm g{_{V Audit Committee 13

3. {d^mJr` nXmoÞ{V g{_{V Departmental Promotion Committee 4

4. eo`aYmaH$ g§~§Y g{_{V Stakeholders’ Relationship Committee 4

5. gyMZm àm¡Úmo{JH$s g{_{V Information Technology Committee 11

6. Omo{I_ à~§YZ g{_{V Risk Management Committee 7

7. CÀM _yë` Ho H$nQmo§ H$s {ZJamZr g{_{V Committee to Monitor Large Value Frauds 7

8. eo`a A§VaU g{_{V Share Transfer Committee 11

9. J«mhH$ godm g{_{V Customer Service Committee 4

10. Zm_m§H$Z g{_{V Nomination Committee 1

11. ~¢H$ Ho d[aîR H$m`©nmbH$mo§ H$s Am§V[aH$ ny±Or n`m©ßVVm _yë`m§H$Z g{_{V (AmB©grEEnr)* Internal Capital Adequacy Assessment Committee of Senior Executives of the Bank (ICAAP)*

4

12. F$U AZw‘moXZ g{_{V (grEgr)* Credit Approval Committee (CAC)* 29

13. ‘mZd g§gmYZ g{‘{V Human Resources Committee 4

14. dgybr {ZJamZr g{‘{V (AmaE_gr) Recovery Monitoring Committee (RMC) 11

15. à{V^y{V Am~§Q>Z g{‘{V Securities Allotment Committee 2

16. àYmZ H$m`m©b` ñVar` G$U g{_{V* Head Office level Credit Committee* 24

17. BamXZ MyH$H$Vm©Amo§ hoVw g_rjm g{_{V Review Committee for Willful Defaulters 1

18. "ZB© emImAmo§ H$s H$mamo~ma d¥{Õ H$s {ZJamZr' hoVw ~moS© H$s Cn g{_{VSub Committee of the Board to ‘Monitor the Business Growth of Newly Opened Branches’

8

* ^.[a.~¢./gaH$mar {ZXoe Ho$ AZwgma Bg g{_{V _o§ Hw$N gXñ` ~¢H$ Ho$ CÀM H$m`©nmbH$ AWm©V², _hm à~§YH$ h¢&* In these committees few members are also from Top Executives of the Bank viz., General Managers as per RBI/Government directive.

3.3 The details of Committees of the Board are provided in the following pages. The Board and its Committees met at frequent intervals and guided the Bank to achieve its objectives in a prudent and efficient manner to ensure high standards of performance through ethical practices and professional management.

3.4 The responsibilities such as policy formulation, performance review and analysis and controls are discharged by the Board. The Board has delegated various powers to the Executives and Committees of Executives of the Bank in consonance with the policies laid down by the Bank. The delegated powers are periodically reviewed by the Board and necessary revision is made for effective functioning of the Bank, as per the guidelines issued from time to time by the Government of India, Ministry of Finance and the Reserve Bank of India.

3.5 The policies of the Bank are reviewed on an annual basis and necessary modifications are effected in tune with the changing scenario and the market demands.

3.3 ~moS© H$s g{_{V`mo§ Ho {ddaU AmJo Ho n¥îRmo§ _o§ {XE JE h¢& {ZXoeH$ _§Sb Am¡a CgH$s g{_{V`mo§ Zo {Z`{_V A§Vambmo§ _o§ ~¡RHo§ H$t VWm Z¡{VH$ àWmAmo§ Am¡a ì`mdgm{`H$ à~§YZ Ûmam {ZînmXZ Ho CÀM _mZ gw{Z{üV H$aZo hoVw {ddoH$nyU© Am¡a Xj VarHo go AnZo bú`mo§ H$mo àmßV H$aZo hoVw ~¢H$ H$m _mJ©Xe©Z {H$`m&

3.4 Zr{V {Zê$nU, {ZînmXZ g_rjm Ed§ {díbofU VWm {Z`§ÌU O¡gr {Oå_oXm[a`m± {ZXoeH$ _§Sb Ûmam {Z^mB© OmVr h¢& {ZXoeH$ _§Sb Zo ~¢H$ Ûmam {ZYm©[aV Zr{V`mo§ Ho AZwê$n ~¢H$ Ho H$m`©nmbH$mo§ Am¡a H$m`©nmbH$mo§ H$s g{_{V`mo§ H$mo {d{^Þ A{YH$ma àË`m`mo{OV {H$E h¢& ^maV gaH$ma, {dÎm _§Ìmb` Am¡a ^maVr` [aµOd© ~¢H$ Ûmam g_`-g_` na Omar {Xem{ZXo©emo§ Ho AZwgma {ZXoeH$ _§Sb Ûmam Eogo àË`m`mo{OV A{YH$mamo§ H$s Amd{YH$ ê$n go g_rjm H$s OmVr h¡ Am¡a ~¢H$ Ho H$maJa H$m`©-g§MmbZ hoVw CZ_o§ Amdí`H$ g§emoYZ {H$`m OmVm h¡&

3.5 ~¢H$ H$s Zr{V`mo§ H$s g_rjm dm{f©H$ AmYma na H$s OmVr h¡ Am¡a ~XbVo n[aX¥í` Am¡a ~mOma _m§Jmo§ Ho AZwê$n CZ_o§ Amdí`H$ AmemoYZ {H$E OmVo h¢&

76 dm{f©H$ [anmoQ>© 2016-17

3.6 2016-17 Ho Xm¡amZ {ZXoeH$mo§, {ZXoeH$ _§Sb Ed§ AÝ` g{_{V H$s ~¡RH$mo§ _o§ CZH$s CnpñW{V g§~§Yr ã`moao Bg àH$ma h¡: Details of Directors, their attendance in the Board and other Committee Meetings during 2016-17 are as follows:

H«$‘m§H$Sl.No.

{ZXoeH$ H$m Zm‘Name of the Director

àH$maType

{ZXoeH$ ‘§S>b Ed§ {ZXoeH$ ‘§S>b H$s g{‘{V(¶m|) Ho$ gXñ¶ Board and Member of the Committee(s) of the Board

{ZXoeH$ ‘§S>bBoard

à~§YZ g{‘{VManagement Committee

boIm-narjm g{‘{VAudit Committee

eo`aYmaH$ g{_{V

Stakeholders' Relationship Committee

Omo{I‘ à~§YZ g{‘{VRisk Management

Committee

gyMZm àm¡Úmo{JH$s g{‘{V

Information Technology Committee

Cƒ ‘yë¶ Ho$ H$nQ>m| H$s {ZJamZr hoVw

g{‘{VCommittee to

monitor large value frauds

{d^mJr¶ nXmoÞ{V g{‘{V

Departmental Promotion Committee

eo¶a A§VaU g{‘{VShare Transfer Committee**

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

Am¶mo{OV*Held*

CnpñW{VAttended

1 lr O` Hw _ma JJ©

Shri Jai Kumar Garg

Since 01.02.2016 go

à.{Z. d

_w.H m.A.

MD &

CEO

14 14 15 15 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

7 7 11 11 7 7 4 4 11 11

2 lr gwZrb _ohVm

Shri Sunil Mehta

Since 22.01.2016 go

H$m{Z

ED

14 13 15 14 6 6 4 4 7 7 11 11 7 6 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

3 lr Jmonmb _wabr ^JV

Shri Gopal Murli Bhagat

Since 24.08.2016 go

H$m{Z

ED

9 8 10 9 7 7 2 2 5 4 8 7 4 4 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

4 lr _Zrf JwßVm

H|$Ð gaH$ma Zm{_Vr

Shri Manish Gupta

Central Govt Nominee

Since 16.04.2014 go

J¡H$m{Z

NED

14 11 bm.Z.N.A.

bm.Z.N.A.

13 4 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

10 6 7 2 4 4 bm.Z.N.A.

bm.Z.N.A.

5 lr àÚwåZ Ho . OoZm

^m[a~¢ Zm{_Vr {ZXoeH$

Shri Pradyumna K Jena

RBI Nominee Director

Since 23.02.2015 go

J¡H$m{ZNED

14 13 15 14 13 12 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

4 4 bm.Z.N.A.

bm.Z.N.A.

6 lr XodamH$m|S>m> XrpßV{dbmg

Shri Deverakonda Diptivilasa

Since 25.04.2016 go

ñd{Z/

J¡H$m{Z

ID/NED

13 13 13 13 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

4 4 1 1 2 2 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

7 lr gwemo^Z gaH$ma

Shri Sushobhan Sarker

Since 26.08.2014 go

ñd{Z/

eo{Z

ID/SD

14 13 2 2 3 3 4 4 7 7 7 7 7 6 bm.Z.N.A.

bm.Z.N.A.

3 3

8 gwlr {MÌm Jm¡ar bmb

Ms Chitra Gouri Lal

Since 26.08.2014 go

ñd{Z/

eo{Z

ID/SD

14 14 14 12 bm.Z.N.A.

bm.Z.N.A.

4 4 2 2 bm.Z.N.A.

bm.Z.N.A.

4 4 bm.Z.N.A.

bm.Z.N.A.

6 6

9 lr a_oe Hw$_ma ^Q²>

Shri Ramesh Kumar Bhat

Since 26.08.2014 go

ñd{Z/

eo{Z

ID/SD

14 14 14 13 bm.Z.N.A.

bm.Z.N.A.

1 1 7 7 7 7 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

31.03.2017 go nyd© Omo {ZXoeH$ ~¢H$ Ho$ {ZXoeH$ ‘§S>b ‘| Wo CZH$s CnpñW{V Ho$ ã¶moao Bg àH$ma h¡ The following are the details of attendance of directors who were on the Board of the Bank prior to 31.03.2017

1 lr EH$ZmW ~m{bJm

Shri Ekanath Baliga

till 16 .10.2016 go

A{Z J¡H$m{Z

OD NED

7 7 1 1 bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

bm.Z.N.A.

6 6 3 3 bm.Z.N.A.

bm.Z.N.A.

5 5

2 lr ~moZ‘ d|H$Q> ^mñH$a

Shri Bonam Venkata Bhaskar

till 03.11.2016 go

ñd{Z/

J¡H$m{Z

ID/NED

8 7 1 1 8 8 3 3 3 3 3 1 3 3 bm.Z.N.A.

bm.Z.N.A.

5 5

3 lr AmXre Hw$‘ma O¡Z

Shri Adish Kumar Jain

till 25.12.2016 go

ñd{Z/

gbo{Z

ID/CAD

10 10 bm.Z.N.A.

bm.Z.N.A.

10 10 bm.Z.N.A.

bm.Z.N.A.

5 5 5 5 2 2 bm.Z.N.A.

bm.Z.N.A.

3 3

* {ZXoeH$ Ho$ H$m¶©©H$mb Ho$ Xm¡amZ Am¶mo{OV ~¡R>H$m| H$s g§»¶m Number of meetings held during the tenor of the Director

** {d{^Þ g_` A§Vamb na 16 àñVmdm| H$mo g§H$ën n[anÌ Ho$ ê$n _| eo`a A§VaU g{_{V H$mo ào{fV H$aVo hþE AZw_moXZ {b`m J`m 16 Proposals were circulated as Circular Resolution at different time intervals to the Share Transfer Committee and got it approved.


3.6 df© 2016-17 Ho Xm¡amZ {ZXoeH$mo§, {ZXoeH$ _§Sb Ed§ AÝ` g{_{V H$s ~¡RH$mo§ _o§ CZH$s CnpñW{V g§~§Yr ã`moao Bg àH$ma h¡: Details of Directors, their attendance in the Board and other Committee Meetings during 2016-17 are as follows:

H«$‘m§H$Sl.No.

{ZXoeH$ H$m Zm‘Name of the Director

àH$maType

{ZXoeH$ ‘§S>b Ed§ {ZXoeH$ ‘§S>b H$s g{‘{V(¶m|) Ho$ gXñ¶ Board and Member of the Committee(s) of the Board

J«mhH$ godm g{‘{VCustomer Service

Committee

BamXZ MyH$H$Vm©Am| hoVw g_rjm g{‘{V

Review Committee for Wilful Defaulters

Zm‘m§H$Z g{‘{VNomination Committee

AmB©grEEnr g{‘{VICAAP Committee

‘mZd g§gmYZ g{‘{VHuman Resource

Committee

F$U AZw‘moXZ g{‘{VCredit Approval

Committee

dgybr H$s {ZJamZr hoVw ~moS>© ñVar¶ g{‘{V

Board level committee for monitoring of

Recovery

à{V^y{V Am~§Q>Z g{‘{VSecurities Allotment

Committee

AÝ¶ ~moS>m] ‘| gXñ¶Vm

Sub Committee of the Board

Am¶mo{OV *Held*

CnpñWV Attended

Am¶mo{OV*Held*

CnpñWV Attended

Am¶mo{OV *Held*

CnpñWV Attended

Am¶mo{OV *Held*

CnpñWV Attended

Am¶mo{OV *Held*

CnpñWV Attended

Am¶mo{OV*Held*

CnpñWVAttended

Am¶mo{OV*Held*

CnpñWVAttended

Am¶mo{OV*Held*

CnpñWVAttended

Am¶mo{OV*Held*

CnpñWVAttended

1 lr O` Hw _ma JJ©

Shri Jai Kumar Garg

Since 01.02.2016 go

à.{Z. d

_w.H m.A.

MD & CEO

4 4 1 1 - - 4 4 4 4 29 29 11 11 - - - -

2 lr gwZrb _ohVm

Shri Sunil Mehta

Since 22.01.2016 go

H$m{Z

ED

4 3 - - - - 4 3 4 4 29 25 11 11 2 2 - -

3 lr Jmonmb _wabr ^JV

Shri Gopal Murli Bhagat

Since 24.08.2016 go

H$m{Z

ED

3 2 - - - - 3 3 3 2 17 17 7 6 2 2 - -

4 lr _Zrf JwßVm

H|$Ð gaH$ma Zm{_Vr

Shri Manish Gupta

Central Govt Nominee

Since 16.04.2014 go

J¡H$m{Z

NED

- - - - 1 1 - - 4 3 - - 11 6 - - 8 8

5 lr àÚwåZ Ho . OoZm

^m[a~¢ Zm{_Vr {ZXoeH$

Shri Pradyumna K Jena

RBI Nominee Director

Since 23.02.2015 go

J¡H$m{Z

NED

- - - - - - - - 4 4 - - - - - - - -

6 lr XodamH$m|S>m>

XrpßV{dbmg

Shri Deverakonda

Diptivilasa

Since 25.04.2016 go

ñd{Z/

J¡H$m{Z

ID/NED

2 2 - - - - - - - - - - - - 1 1 3 3

7 lr gwemo^Z gaH$ma

Shri Sushobhan Sarker

Since 26.08.2014 go

ñd{Z/eo{Z

ID/SD

- - 1 1 - - 1 1 - - - - - - - - - -

8 gwlr {MÌm Jm¡ar bmb

Ms Chitra Gouri Lal

Since 26.08.2014 go

ñd{Z/eo{Z

ID/SD

2 2 1 1 - - - - - - - - - - 1 1 8 8

9 lr a_oe Hw$_ma ^Q²>

Shri Ramesh Kumar Bhat

Since 26.08.2014 go

ñd{Z/eo{Z

ID/SD

1 1 - - - - - - - - - - - - 2 2 2 2

31.03.2017 go nyd© Omo {ZXoeH$ ~¢H$ Ho$ {ZXoeH$ ‘§S>b ‘| Wo CZH$s CnpñW{V Ho$ ã¶moao Bg àH$ma h¡ The following are the details of attendance of directors who were on the Board of the Bank prior to 31.03.2017

1 lr EH$ZmW ~m{bJm

Shri Ekanath Baliga

till 16.10.2016 go

ñd{Z/

J¡H$m{Z

OD/NED

2 2 - - - - - - 2 2 - - - - - - 4 4

2 lr ~moZ‘ d|H$Q> ^mñH$a

Shri Bonam Venkata

Bhaskar

till 03.11.2016 go

ñd{Z/

J¡H$m{Z

ID/NED

2 2 - - 1 1 - - - - - - - - 1 1 - -

3 lr AmXre Hw$‘ma O¡Z

Shri Adish Kumar Jain

till 25.12.2016 go

ñd{Z/

gbo{Z

ID/CAD

1 1 - - 1 1 3 3 - - - - - - 1 1 6 6

* {ZXoeH$ Ho$ H$m¶©©H$mb Ho$ Xm¡amZ Am¶mo{OV ~¡R>H$m| H$s g§»¶m Number of meetings held during the tenor of the Director

78 dm{f©H$ [anmoQ>© 2016-17

MD & CEO – Managing Director & Chief Executive Officer appointed by Government of India

ED – Executive Director appointed by Government of India

NED – Non-Executive Director nominated by Government of India/Reserve Bank of India

OD – Officer Employee Director nominated by Government of India

SD – Director elected by Shareholders - Non-Executive Director- Independent Director

CAD – Chartered Accountant Category Director- Independent Director

ID – Independent Director

3.7 During the year 2016-17, 14 Board Meetings have taken place on the following dates: (Dates in DD-MM-YYYY format)

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26.10.2016 14.11.2016 23.12.2016 30.01.2017 10.02.2017 01.03.2017 24.03.2017

3.8 None of the Directors on the Board is a member in more than 10 committees or acts as a Chairman of more than five committees across all companies in which he is a Director. (Only three Committees viz. the Audit Committee, the Stakeholders’ Relationship Committee and the Remuneration Committee are considered for this purpose). None of the Director is related to any other Director of the Bank.

3.9 A brief profile of the Directors as on 31.03.2017 is furnished hereunder:

3.9.1 Shri Jai Kumar Garg, Managing Director & Chief Executive Officer

Shri Jai Kumar Garg had taken charge as the Managing Director & Chief Executive Officer of Corporation Bank on 1st February, 2016. Prior to assuming the position of Managing Director & Chief Executive Officer, he was Executive Director of UCO Bank.

He is a professional Chartered Accountant and also a Certified Associate Member of Indian Institute of Bankers (CAIIB).

Shri Jai Kumar Garg joined the Banking Industry as a Chartered Accountant in 1986 in Corporation Bank and served at various Branches including Industrial Finance Branches at Mumbai, New Delhi and Pune. He has also worked at several administrative offices such as Zonal Office at Ahmedabad, New Delhi, and Pune & Kolkata and also at Head Office. As a General Manager, he headed Circles of the Bank at Kolkata and Delhi. He is a seasoned banker with over 31 years of varied

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experience in handling key responsibilities in Branches, Zonal Offices, Circle Offices and Head Office, covering a vast spectrum of banking operations including Credit Management, Recovery, Forex Operations, Retail Banking and Administration.

He was appointed as Executive Director of UCO Bank on 05.08.2013, where he was responsible for many key respon-sibilities including Corporate Credit, Finance, Information and Technology, Audit and Inspection, International Banking, Treasury, Recovery, Law, Credit Monitoring and Risk Management.

He has undergone many training programmes at prestigious institutes like NIBM (Pune), BTC (Mumbai), ISB (Hyderabad). He has also travelled abroad for training programmes in Germany, France, Italy, Thailand and Vietnam. He is also a Director on the Board of CorpBank Securities Ltd., a wholly owned subsidiary of the Bank.

3.9.2 Shri Sunil Mehta, Executive Director

Shri Sunil Mehta has taken charge as the Executive Director of Corporation Bank on 22nd January, 2016. Prior to assuming the position of Executive Director, he was General Manager of Allahabad Bank.

Shri Sunil Mehta is a Post Graduate in Agriculture and also in Management, a Certified Associate of Indian Institute of Bankers (CAIIB). He is a seasoned banker with over 34 years of rich experience in various administrative and functional capacities at Branches, Zonal Offices, and also at the Head Office level. He started his banking career as an Agriculture Field Officer at Allahabad Bank in 1982.

He has held various important positions during the course of his career in view of his expertise in agriculture, retail, credit and planning & development. He was a member of Govt. of India delegation to Israel in the year 2000 for study of Developmental Model of Hi-tech Agriculture for exploring its implementation in India. He has also attended Management Development Programme at IIM, Kolkata and participated in a seminar on Economic Challenges being faced by developing Economics at Istanbul, Turkey. He has undergone training at CAFRAL Advanced Bank Management Program CABMP-2016 at Mumbai and at Washington DC, USA, in October 2016. He was also a Director on the Board of CorpBank Securities Ltd, a wholly owned subsidiary of the Bank. He is ceased to be a Director on the Board of the Bank from 5th May, 2017 on his appointment as Managing Director and Chief Executive Officer of Punjab National Bank.

3.9.3 Shri Gopal Murli Bhagat, Executive Director

Shri Gopal Murli Bhagat has taken charge as the Executive Director of Corporation Bank on 24th August, 2016.

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Prior to assuming the position of Executive Director, he was General Manager at Bank of India.

Shri Gopal Murli Bhagat is a Post Graduate, a Certified Associate of Indian Institute of Bankers (CAIIB) and having a Diploma in Treasury, Investment and Risk Management. He is a seasoned banker with over 32 years of rich experience in various administrative and functional capacities at Branches, Zonal Office and also at the Head Office level. He started his banking career as an Officer in 1984 and rose to become General Manager – Treasury at Bank of India. He was also managing & monitoring the domestic subsidiaries and joint ventures of the Bank. He was also nominee director on the board of some companies.

He has held various important positions during the course of his career in view of his expertise in Retail, Credit, Treasury and International banking at Overseas Centre (Singapore). He is also a Director on the Board of CorpBank Securities Ltd, a wholly owned subsidiary of the Bank.

3.9.4 Shri Manish Gupta (Government Nominee Director)

Shri Manish Gupta has been nominated by the Central Government as Government of India Nominee Director on the Board of the Bank with effect from 16th April, 2014.

Shri Manish Gupta is working as Director in Department of Financial Services, Ministry of Finance, Govt. of India. He is presently handling Agriculture Credit & Regional Rural Bank. Shri Gupta is an IRSEE (Indian Railway Service of Electrical Engineers) officer and has more than 20 years of experience in the Government of India. Previously, he has held various important positions on Indian Railways. He holds a Bachelor’s degree from College of Engineering and Technology, New Delhi and a Masters degree in Measurement and Instrumentation (Gold Medalist) from IIT, Roorkee. He has also completed his MBA degree with specialization in Financial Management from National Institute of Financial Management, Faridabad in 2009.He is also on the Board of Agriculture Insurance Company of India Limited, New Delhi as a Director.

3.9.5 Shri Pradyumna K. Jena (RBI Nominee Director)

Shri Pradyumna Kumar Jena, Chief General Manager, Reserve Bank of India, Nagpur, has been nominated by the Government of India as the Reserve Bank of India nominee on the Board of the Bank with effect from 23rd February, 2015.

Shri Jena, a postgraduate in Political Science and a Certified

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Associate of Indian Institute of Bankers, joined Reserve Bank of India as Manager in 1982 and gained rich experience working in various departments like Cash (Issue Department), Public Debt Management, Department of Non-Banking Supervision, Rural Planning and Credit Department.

As Assistant General Manager, he served in Establishment and Urban Banks Department in Bhubhaneshwar and on his elevation as Deputy General Manager in 1994, he was posted as Secretary to the Banking Ombudsman and also handled Department of Banking Supervision, NCC and Foreign Exchange Department. As General Manager, he served in various departments like, Department of Non-Banking Supervision, Department of Banking Supervision, Rural Planning and Credit Department and Urban Banks Department.

On his elevation as Chief General Manager, Shri Jena served in the Guwahati office of the Reserve Bank of India as Regional Director for all the seven North Eastern States from 2012 to 2014 and in February 2014 he was posted to the Central Accounts Section of Reserve Bank of India in Nagpur, wherein he is continuing in his present position.

3.9.6 Shri Deverakonda Diptivilasa (Non-official Director)

Shri Deverakonda Diptivilasa, aged 62 years, a retired Commissioner, Social Welfare, Government of Uttar Pradesh, has been appointed as Part-time Non-official Director on the Board of Directors of the Bank by the Government of India, for a period of three years with effect from 25th April 2016.

Shri Diptivilasa, is an IAS (UP Cadre-1981) and holds a Bachelor of Arts and Master of Business Administration. He has also completed Post Graduate Diploma in Development Economics (University of Manchester) and has firsthand information of banking operations with special knowledge in Credit Administration and Development Economics.

Shri Diptivilasa is also specialized in finance at IIM, Ahmedabad with working experience as Financial Analyst in Punjab National Bank for over 4 years. In his career of approximately 33 years in the civil services, he has held several key positions in the State and Central Governments, including as Additional Secretary in the Ministry of Urban Development, Govt. of India, as Director of Delhi Metro Rail Corporation Ltd., National Buildings Construction Corporation Ltd. and has been exposed to policy, managerial and implementation issues at various levels. Presently, he is engaged as short term

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82 dm{f©H$ [anmoQ>© 2016-17

consultant with the World Bank in the task of monitoring water related portfolio. He is also a Director on the following companies: Powerlinks Transmission Ltd., Welspun Energy Rajasthan Pvt. Ltd., Dreisatz Mysolar 24 Pvt. Ltd., Mi Mysolar Tech Pvt. Ltd., Welspun Solar Tech Pvt. Ltd., Welspun Urja Gujarath Pvt. Ltd. and Welspun Solar Punjab Pvt. Ltd. He has attended a seminar on Banking Technology for Directors of Bank Boards conducted by IDRBT, Hyderabad in September 2016 & a training program of CAFRAL, RBI in November 2016 at Bengaluru.

3.9.7 Shri Sushobhan Sarker (Shareholder Director)

Shri Sushobhan Sarker is Ex-Managing Director of LIC of India, had been elected as the shareholder director of the Bank and joined the Bank’s Board on 23rd August 2011 and since re-elected with effect from 26.08.2014, as shareholder director for a period of three years till 25.08.2017.

He is having more than three decades of career experience with Life Insurance Corporation of India (LIC).

He was working in LIC and its associate companies in various capacities in the field of Investment, Asset Management, Life insurance Marketing and Housing Finance etc. He was also a member of committees of RBI, IRDA, and the board of The Clearing Corporation of India Ltd.

Currently, Shri Sarker is also on the Board of Larsen and Toubro Limited, L&T Infrastructure Development Projects Limited. He is also holding the position of the Director of the Institute - National Insurance Academy, Pune.

Shri Sarker has to his credit a B.Sc. (Honours) degree and Diploma in Management Studies from Jamnalal Bajaj Institute of Management Studies (JBIMS), Mumbai.

He is also a Masters Degree holder in Financial Management from JBIMS, University of Mumbai.

3.9.8 Ms. Chitra Gouri Lal (Shareholder Director)

Ms. Chitra Gouri Lal, 65 years of age, hailing from Noida in Uttar Pradesh, is a postgraduate in M.Sc. (Fiscal Studies) M.Phil in Social Science, having Masters Diploma in Public Administration and an M.Sc. in Physics. She has 38 years of rich experience. She joined the Indian Customs & Central Excise Service in 1974 and rose to the level of Special Secretary to Government of India and Member, Central Board of Excise and Customs, from which post she superannuated in November, 2010. She has had a rich and varied experience at all levels in the Department of Revenue, in the field as well as in the Ministry.

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She also worked on Central Deputation basis in the Ministry of Commerce, Ministry of Statistics and Planning and Ministry of Agriculture in different capacities, both at the middle, as well as the senior management levels. During her career she received training at the University of Bath, UK which led to a second Masters’ degree in Fiscal Studies. She has authored several important reports including one on Modernisation of the Indian Statistical System, another on Restructuring of Group B and C cadres of the Service. She assumes office as shareholder director of the Bank effective from 26.08.2014 for a period of three years till 25.08.2017. She is also on the Board of M/s Purearth Infrastructure Ltd., as Whole Time Director. She has attended a training program on “The making of a high performance Board” in November 2016 at Mumbai.

3.9.9 Shri Ramesh Kumar Bhat (Shareholder Director)

Shri Ramesh Kumar Bhat, aged 60 years, is a Research Fellow (Harward), Ph.D. and an M.Phil. He is an Alumnus of Harward University and University of Delhi and Professor at IIM, Ahmedabad. He is an Advisor to the Ministry of HRD. He specialises in the field of Teaching, Research and Consulting in Corporate Finance. He is having 32 years of experience. He assumes office as shareholder director of the Bank effective from 26.08.2014 for a period of three years till 25.08.2017. He is also a Director in the following companies: The National Small Industries Corporation Ltd. and Indian Society of Healthcare Professionals.

3.9.10 Details on Shareholding of Non-Executive Directors as on 31.03.2017

Apart from holding of 500 Equity Shares each by the three shareholders Directors, there is no other shareholding by other non-executive directors as on 31.03.2017.

4. Committees of the Board

4.1 Audit Committee of the Board

The formation and functioning of Audit Committee of the Board (ACB) is governed by the directives of Reserve Bank of India, guidelines of Ministry of Finance, Government of India and read with Regulations 17 to 27 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 to the extent applicable to the Bank. The ACB provides directions and also oversees the operations of the total audit function in the Bank comprising the organisation, operationalisation and quality control of internal audit and inspection within the Bank and follows up the statutory/external audit of the Bank and inspections of Reserve Bank of India.

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84 dm{f©H$ [anmoQ>© 2016-17

Audit Committee reviews the findings of investigation by the internal auditors into matters where fraud is suspected or irregularity or failure of internal control systems is observed and suggests strengthening of control mechanism. As regards external audit, the Committee interacts with Statutory Central Auditors before the finalisation of the annual accounts and reports as well as quarterly financial review, focusing on the changes in accounting policies and practices, qualification in the draft Audit Report, compliance with accounting standards and Stock Exchange/legal requirements.

The Audit Committee of the Board, comprised of the following 5 Board members till 25.12.2016. They are Shri Sunil Mehta, (Executive Director, till 02.09.2016) of the Bank thereafter Shri Gopal Murli Bhagat, (Executive Director, since 03.09.2016) of the Bank, Shri Manish Gupta, Government of India Nominee Director, Shri Pradyumna K. Jena, RBI Nominee Director, Shri Adish Kumar Jain, Chartered Accountant Category Director (till 25.12.2016), Shri Sushobhan Sarker, Shareholder Director (Since 06.09.2016). Since the post of CA Category Director is vacant (Shri Adish Kumar Jain retired on 25.12.2016), now at present, ACB comprises of 4 Board members. The Committee is chaired by Shri Sushobhan Sarker (Shareholder Director, since 26.12.2016)/Shri Adish Kumr Jain (chaired till 25.12.2016). As per Regulations 17 to 27 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Shri S. K. Dash, Company Secretary, Board Secretariat & Investors Services Department of the Bank is also the Secretary to ACB.

4.2 Management Committee

The Management Committee is constituted as per the provisions of the Nationalised Banks (Management and Miscellaneous Provisions) Scheme, 1980 as amended. The Committee comprises of 7 directors as on 31.03.2017 under Report, viz., Shri Jai Kumar Garg, MD & CEO, Shri Sunil Mehta, (Executive Director), Shri Gopal Murli Bhagat, (Executive Director, since 24.08.2016), Shri Pradyumna K. Jena (RBI Nominee Director), Shri Deverakonda Diptivilasa, (Non-official Director), Ms. Chitra Gouri Lal (Shareholder Director) and Shri Ramesh Kumar Bhat, (Shareholder Director). The Managing Director & Chief Executive Officer chairs the Committee Meeting. The Management Committee exercised the powers of the Board in respect of credit proposals above `250 crore for single borrower and `500 crore for group of borrowers, which were beyond the delegated powers of the Credit Approval Committee.

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4.3 Credit Approval Committee

As per the directions of the Government of India, Ministry of Finance, Department of Financial Services, New Delhi, vide their communication reference No. 13/1/2006-BO.1 dated 31st January, 2012, the Board of the Bank at its meeting held on 01.03.2012, constituted the Credit Approval Committee of the Board. The Credit Approval Committee exercises the powers of the Board in respect of any credit proposal where the aggregate exposure shall not exceed `250 crore. The credit proposals which exceed the powers delegated to the officials of the Bank including the Managing Director & Chief Executive Officer and the credit proposals being considered by the Management Committee of the Board are being considered by the Credit Approval Committee up to the limit specified i.e. `250 crore and the credit proposals which exceed such limits are being considered by the Management Committee of the Board. In view of the above, the Credit Approval Committee exercises the powers of the Board in respect of credit proposal where the aggregate exposure shall not exceed ` 250 crore to single borrower and `500 crore for group borrowers. The Committee is also empowered – (i) to consider loan compromise/write-off proposals including early mortality cases involving sacrifice up to 1.00 crore and (ii) to approve/modify/permit modification/s in sanction terms in respect of sanctions accorded by the Management Committee of the Board and to modify the terms of sanction accorded by it.

The members of the committee are Shri Jai Kumar Garg (MD & CEO), Shri Sunil Mehta (Executive Director), Shri Gopal Murli Bhagat (Executive Director, since 24.08.2016), General Managers in charge of Credit Division, Financial Management Division and Risk Management Division (till 29.01.2017)/Credit Monitoring Division (since 30.01.2017). The committee meetings are chaired by Shri Jai Kumar Garg, Managing Director & Chief Executive Officer. General Manager in charge of Agriculture and Financial Inclusion Division, General Manager, SME and Retail Lending Division and General Manager, Recovery Division, also present their proposals to the Committee as member whenever there is such proposal.

Further to this, as per the directions dated 3rd April, 2012 received from the Government of India, Ministry of Finance, Department of Financial Services, Credit Approval Committees have been constituted at Zonal office and Circle office levels with effect from 1st May, 2012. These committees exercises sanctioning powers, which are beyond the delegated lending powers of the Branch Managers, but are within the delegated lending powers of the Executives heading such committees. Proposals which are beyond the delegated lending powers of

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Z hmo VWm CYmaH$Vm© g_yh hoVw 500 H$amo‹S go A{YH$ Z hmo& Cº g{_{V

H$mo (i) 1.00 H$amo‹S VH$ H$m Ë`mJ {Z{hV Abr© _m°Qm©{bQr _m_bmo§

g{hV G$U g_Âmm¡Vm/~Åo ImVo SmbZo Ho àñVmdmo§ na {dMma H$aZo VWm

(ii) {ZXoeH$ _§Sb H$s à~§YZ g{_{V Ûmam Xr JB© _§Oy[a`mo§ Ho g§~§Y _o§

AZw_moXZ H$aZo/AmemoYZ H$aZo/_§Oyar eVmoª _o§ AemoYZ/Zmo§ H$s AZw_{V XoZo

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hmoJm&

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{XZm§H$ 3 Aà¡b 2012 Ho {ZXoemo§ Ho AZwgma 1 _B©, 2012 go Am§M{bH$

H$m`m©b` Am¡a _§Sb H$m`m©b` ñVa na G$U AZw_moXZ g{_{V`m± J{RV

H$s JB© h¢& `o g{_{V`m± Eogo _§Oyar A{YH$mamo§ H$m à`moJ H$ao§Jr Omo em˜m

à~§YH$mo§ Ho àË`m`mo{OV G$U A{YH$mamo§ go nao h¢ naÝVw Eogr g{_{V`mo§ H$s

AÜ`jVm H$aZo dmbo H$m`©nmbH$mo§ H$mo àË`m`mo{OV A{YH$mamo§ Ho A§VJ©V

86 dm{f©H$ [anmoQ>© 2016-17

the General Managers at Circle Office level are being referred to the Head Office level Credit Committee/Credit Approval Committee of the Board/Management Committee of the Board.

4.3.1 Head office-level Credit Committee:

With a view to ensure smooth and timely decisions on Credit/Recovery proposals, Head Office Level Credit Committee headed by the Executive Director, has been constituted at Head Office of the Bank with effect from 27.06.2013, to consider sanction of credit facilities upto `75 crore to a single borrower and upto `150 crore to group of borrowers and approve sacrifice amount upto `50 lakh for sanction of compromise/write off proposals. The members of the Committee are Shri Sunil Mehta, Shri Gopal Murli Bhagat (Since 24.08.2016), Executive Directors and General Managers in charge of Credit, Finance, Risk Management (till 29.01.2017)/Credit Monitoring (Since 30.01.2017), Retail Lending Division and Development of Priority Sector, constitute the members of the committee. General Managers in charge of Recovery and CAPS, are also present at the committee meeting when agendas pertaining to their division are presented. Credit proposals beyond the stipulated credit limits of the Head Office level Credit Committee shall be referred to the Credit Approval Committee of the Board.

4.4 Departmental Promotion Committee

The Departmental Promotion Committee comprises of 3 Directors, viz. Shri Jai Kumar Garg, Managing Director & Chief Executive Officer, Shri Manish Gupta, Government of India nominee Director and Shri Pradyumna K. Jena, RBI Nominee Director as members. The Committee oversees the disciplinary cases in the Bank and promotions of top executives of the Bank from scale VI to scale VII till FY 2016-17 promotions. The Managing Director & Chief Executive Officer chairs the Committee Meetings.

4.5 Stakeholders’ Relationship Committee (formerly Investors Grievance Committee)

As per Regulation 20 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a “Stakeholders Relationship Committee” of the Board was constituted under the Chairmanship of a non-executive director and such other members as approved by the Board, to look into the redressal of grievances of shareholders, debenture holders and other security holders. The Committee comprises of 5 members, viz., Shri Sunil Mehta, Shri Gopal Murli Bhagat (Since 24.08.2016)

h¢& Omo àñVmd _§Sb H$m`m©b`mo§ Ho _hm à~§YH$mo§ H$mo àË`m`mo{OV G$U

A{YH$mamo§ Ho nao h¢, CÝho§ àYmZ H$m`m©b` ñVar` G$U g{_{V/{ZXoeH$

_§Sb H$s G$U AZw_moXZ g{_{V/à~§YZ g{_{V Ho g_j àñVwV {H$`m

OmEJm&

4.3.1 àYmZ H$m`m©b` ñVar` G$U g{_{V…

G$U/dgybr àñVmdmo§ na gwMmé Am¡a gm_{`H$ {ZU©` gw{Z{üV H$aZo Ho {bE

{XZm§H$ 27.06.2013 go àYmZ H$m`m©b` _o§ H$m`©nmbH$ {ZXoeH$ Ho AYrZ

àYmZ H$m`m©b` ñVar` G$U g{_{V J{RV H$s JB© h¡& `h g{_{V EH$b

CYmaH$Vm© Ho _m_bo _o§ 75 H$amo‹S Am¡a CYmaH$Vm© g_yh Ho ~mao _o§ 150 H$amo‹S

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ImVmo§ _o§ 50 bmI VH$ H$s Ë`mJ am{e H$s _§Oyar na {dMma H$aoJr& lr gwZrb

_ohVm, lr Jmonmb _wabr ^JV (24.08.2016 go), H$m`©nmbH$ {ZXoeH$

Am¡a G$U, {dÎm, Omo{I_ à~§YZ (29.01.2017 VH$)/G$U {ZJamZr à^mJ

(30.01.2017 go), IwXam G$U Am¡a àmW{_H$Vm-àmßV joÌ {dH$mg Ho

à^mar _hm à~§YH$ Cº g{_{V Ho gXñ` h¢& dgybr Ed§ H¡$ßg Ho _hm à~§YH$,

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_o§ CnpñWV hmo§Jo& àYmZ H$m`m©b` ñVar` G$U g{_{V H$mo {d{Z{X©îQ G$U

gr_mAmo§ go A{YH$ am{e Ho G$U àñVmdmo§ H$mo ~moS© H$s G$U AZw_moXZ g{_{V

Ho g_j aIm OmEJm&

4.4 {d^mJr` nXmoÞ{V g{_{V

{d^mJr` nXmoÞ{V g{_{V _o§ 3 {ZXoeH$ AWm©V² lr O` Hw$_ma JJ©, à~§Y

{ZXoeH$ Ed§ _w»` H$m`©nmbH$ A{YH$mar, lr _Zrf JwßVm, gaH$ma Zm{_Vr

{ZXoeH$ Am¡a lr àÚwåZ Ho OoZm,^m[a~¢ Zm{_Vr {ZXoeH$ gXñ` h¢& `h g{_{V

~¢H$ Ho AZwemgZ g§~§Yr _m_bmo§ Am¡a ~¢H$ Ho doVZ_mZ VI go doVZ_mZ VII

VH$ Ho CÀM H$m`©nmbH$mo§ Ho AZwemg{ZH$ _m_bmo§ Am¡a nXmoÞ{V`mo§ H$s XoIaoI

H$aVr h¡& à~§Y {ZXoeH$ Am¡a _w»` H$m`©nmbH$ A{YH$mar g{_{V H$s ~¡RH$mo§

H$s AÜ`jVm H$aVo h¢&

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g{_{V)

go~r (gyMr~Õ Xo`VmE§ Am¡a Amdí`H$ àH$QZ) {d{Z`_, 2015 Ho {d{Z`_

20 Ho AZwgma J¡a H$m`©nmbH$ {ZXoeH$ H$s AÜ`jVm _o§ Am¡a Eogo AÝ` gXñ`mo§ Ho

VhV eoàYmaH$, {S~o§Ma YmaH$ Am¡a AÝ` gwajm YmaH$ H$s {eH$m`Vmo§ Ho {ZdmaU

na Ü`mZ XoZo Ho {bE ~moS© H$s EH$ "eoàYmaH$ g§~§Y g{_{V' H$m JRZ {H$`m

J`m Wm& g§à{V g{_{V _o§ 5 gXñ` h¢ AWm©V² lr gwZrb _ohVm (04.05.2017

VH$), lr Jmonmb _wabr JV (24.08.2016 go) - H$m`©nmbH$ {ZXoeH$JU,


– the Executive Directors, Shri Sushobhan Sarker, Ms. Chitra Gouri Lal and Shri Ramesh Kumar Bhat, Shareholder Directors. Ms. Chitra Gouri Lal, Shareholder Director, chairs the Committee Meetings. In terms of Regulation 6 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Shri S. K. Dash, Company Secretary in charge of Board Secretariat and Investor Services Department of the Bank is the Compliance Officer for the purpose of complying with various provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

During the year, 408 grievances were received from shareholders. However, as at 31st March, 2017, none of them was pending for redressal. Grievances are normally resolved within a period of seven days, unless further information from the shareholder is required. A table showing Grievances received, disposed off and pending as at the end of the year 2016-17 vis-a-vis 2015-16 is furnished hereunder:

lr gwemo^Z gaH$ma, gwlr {MÌm Jm¡ar bmb VWm lr a_oe Hw$_ma Q, eoàYmaH$

{ZXoeH$ g{_{V Ho gXñ` h¢& gwlr {MÌm Jm¡ar bmb, eoàYmaH$ {ZXoeH$

g{_{V H$s ~¡RH$mo§ H$s AÜ`jVm H$aVr h¢& go~r (gyMr~Õ Xo`VmE§ Am¡a

Amdí`H$ àH$QZ) {d{Z`_, 2015 Ho {d{Z`_ 6 Ho AZwgma lr Eg.Ho$.

Xme, ~¢H$ Ho$ ~moS© g{Mdmb` VWm {ZdoeH$ godm {d^mJ Ho à^mar H§$nZr

g{Md go~r (gyMr~Õ Xo`VmE§ Am¡a Amdí`H$ àH$QZ) {d{Z`_, 2015 Ho

àmdYmZmo§ Ho AZwnmbZ Ho CÔoí` hoVw AZwnmbZ A{YH$mar h¢&

Bg df© Ho Xm¡amZ eoàYmaH$mo§ go 408 {eH$m`Vo§ àmßV hwB©§& VWm{n,

31 _mM©, 2017 H$s pñW{V Ho AZwgma CZ_o§ H$moB© r {eH$m`V {ZnQmZ Ho {bE

b§{~V Zht Wr& `{X eoàYmaH$ go A{V[aº OmZH$mar H$s Amdí`H$Vm Zht

hmoVr h¡ Vmo gm_mÝ`V… gmV {XZmo§ H$s Ad{Y Ho ^rVa {eH$m`Vmo§ H$m {ZnQmZ

{H$`m OmVm h¡& df© 2015-16 H$s VwbZm _o§, àmßV, {ZnQm`r JB© Am¡a

df© 2016-17 Ho A§V _o§ b§{~V {eH$m`Vmo§ H$mo Xem©Zo dmbr Vm{bH$m ZrMo

àñVwV h¢&

{eH$m`Vmo§ H$s àH¥${VNature of Grievances

2016-1731.03.15H$mo b§{~V

Pending as on 31.03.15

2015-16

àmßVRecd.

{ZnQm`rDisposed

31.03.17H$mo b§{~VPending

as on 31.03.17

àmßVRecd.

{ZnQm`rDisposed

31.03.16H$mo b§{~VPending

as on 31.03.16

YZ dmngr/bm^m§e H$s AàmpßV Non-receipt of refund/dividend 172 172 - - 465 465 -

eoà à_mUnÌ H$s AàmpßV Non-receipt of share certificate 201 201 - - 145 145 -

A§VaU hoVw ôOo JE eoà à_mUnÌ H$s AàmpßV Non-receipt of share certificate sent for transfer/duplicate

13 13 - - 18 18 -

eo¶a à‘mUnÌ Imo OmZm Loss of share certificate 20 20 - - 34 34 -

{d{dY/Miscellaneous - - - - - - -

ñQmH$ EŠgMo§Om| Ho$ µO[aE àmßV Recd. through Stock Exchanges 02 02 - - 03 03 -

go~r, ñH$mog© Ho$ µO[aE àmßV Recd. through SEBI, SCORES 00 00 - - 03 03 -

Hw$b/Total 408 408 - - 668 668 -

Though the average time taken for redressal of investor grievances at present is reasonable, to set higher standards in responding to the investor grievances, Bank has been consistently striving for reducing the time lag. Investor grievances received through the SEBI’s dedicated website SCORES, have also been redressed electronically, promptly.

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{eH$m`Vmo§ H$m BboŠQ—m{ZH$ ê$n go {ZamH$aU {H$`m J`m h¡&

88 dm{f©H$ [anmoQ>© 2016-17

4.6 Information Technology Committee

To keep pace with the fast changing business dynamics and customer needs, the Bank has been taking up various IT initiatives under the umbrella of e-governance to enhance customer convenience. To guide the Bank for accelerated implementation of these projects and also to explore the possibility of providing innovative technology based products and services that perfectly suit the requirements of the customers; Information Technology Committee has been constituted.

The Committee comprises of 6 members viz., Shri Jai Kumar Garg (Managing Director & Chief Executive Officer), Shri Sunil Mehta, (Executive Director), Shri Gopal Murli Bhagat (Executive Director, since 24.08.2016), Shri Manish Gupta (till 01.03.2017)/Shri Deverakonda Diptivilasa (Since 02.03.2017), Shri Sushobhan Sarker and Shri Ramesh Kumar Bhat, Directors, are the members of the Committee. Shri Jai Kumar Garg, Managing Director & Chief Executive Officer of the Bank chairs the Committee Meetings.

4.7 Risk Management Committee

The Risk Management Committee of the Board was formed to provide adequate checks and balances, transparency and disclosures, robust risk management systems, risk containment procedures, early warning systems and prompt corrective actions to avoid default. The Committee comprises of 7 Directors and is chaired by Shri Jai Kumar Garg, Managing Director & Chief Executive Officer. The other members of the Committee are Shri Sunil Mehta, Shri Gopal Murli Bhagat (Since 24.08.2016), the Executive Directors of the Bank, Shri Deverakonda Diptivilasa, Non-official Director, Shri Sushobhan Sarker, Ms. Chitra Gouri Lal and Shri Ramesh Kumar Bhat, Shareholder Directors.

4.8 Committee to Monitor Large Value Frauds

With a view to closely monitor frauds involving amounts of Rupees one crore and above, a Committee of the Board to Monitor Large Value Frauds has been constituted in terms of the guidelines of Reserve Bank of India. The Committee comprises of 7 Board Directors as members and is chaired by Shri Jai Kumar Garg, Managing Director & Chief Executive Officer. The other members of the Committee are Shri Sunil Mehta, Shri Gopal Murli Bhagat (Since 24.08.2016), the Executive Directors of the Bank, Shri Manish Gupta, Government of India Nominee Director, Shri Deverakonda Diptivilsasa, Non-official Director, Shri Sushobhan Sarker and Ms. Chitra Gouri Lal, Shareholder Directors.

4.6 gyMZm àm¡Úmo{JH$s g{_{V

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H§$Yo go H§Ym {_bmH$a AmJo ~‹TZo Ho {bE ~¢H$ B©-JdZoªg Ho A§VJ©V {d{dY

gyMZm àm¡Úmo{JH$s nhb H$aVm ahm h¡& BZ n[a`moOZmAmo§ H$m Ëd[aV H$m`m©Ýd`Z

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J`m h¡&

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{ZXoeH$), lr Jmonmb _wabr ^JV (H$m`©nmbH$ {ZXoeH$, 24.08.2016

go), lr _Zrf JwßVm (01.03.2017 VH$)/lr XodamH$mo§Sm XrpßV{dbmg

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{ZXoeH$&


4.9 Share Transfer Committee

To meet the requests of the shareholders for transfer of shares, rematerialisation and issuance of duplicate share certificates, a “Share Transfer Committee” of the Board was constituted by the Board of Directors in line with the extant regulations. The Committee comprises of 3 members viz., Shri Jai Kumar Garg, Managing Director & Chief Executive Officer or in his absence, the Executive Director, Shri Sunil Mehta or in his absence Shri Gopal Murli Bhagat (Since 24.08.2016) chairs the committee meetings. Shri Sushobhan Sarker and Ms. Chitra Gouri Lal, Shareholder Directors, are the other two members of the committee.

4.10 Customer Service Committee

With a view to safeguard the rights of individual customers and to deliver better customer service, the Bank has constituted the Customer Service Committee of the Board, in line with the directions of the Reserve Bank of India. The committee comprises of 5 members. The members are Shri Jai Kumar Garg, Managing Director & Chief Executive Officer, who chairs the committee meetings, Shri Sunil Mehta and Shri Gopal Murli Bhagat (Since 24.08.2016) Executive Directors of the Bank, Shri Deverakonda Diptivilasa and Shri Ramesh Kumar Bhat, Directors.

4.11 Nomination Committee

The Nomination Committee was constituted by the Board of the Bank at its meeting held on 22.12.2007 as per the guidelines issued by Reserve Bank of India dated 01.11.2007 read with Section 9(3AA) and Section 9(3AB) of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 to undertake a process of due diligence to determine “fit and proper” status of the existing Shareholder Directors of the Bank and of those who file Nominations for election as Shareholder Directors of the Bank under the provisions of Section 9(3)(i) of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980. The committee comprises of two members viz., Shri Manish Gupta, Government of India Nominee Director, Shri Adish Kumar Jain, Chartered Accountant Category Director (till 25.12.2016) and Shri Deverakonda Diptivilasa, Non-Official Director (effective 04.11.2016).

4.12 Internal Capital Adequacy Assessment Committee (ICAAP Committee)

The Reserve Bank of India has formulated guidelines in the lines of the new Capital Adequacy framework introduced by Basel II

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90 dm{f©H$ [anmoQ>© 2016-17

and Basel III which seeks to enhance the Basel I practices with the objective of strengthening the soundness and stability of the Banking system. The objectives of the policy are to ensure management of internal capital in accordance with the RBI Guidelines, Basel Guidelines and overall Corporate Governance Principles, to describe the process for identification, assessment, measurement and aggregation of the risks inherent in the Bank’s business and operations, to ensure that the available capital is commensurate with the Bank’s risk profile and to ensure that there is clear assignment of roles and responsibilities for facilitating the ICAAP.

The Committee members viz., Shri Jai Kumar Garg, Managing Director & Chief Executive Officer, Shri Sunil Mehta and Shri Gopal Murli Bhagat (Since 24.08.2016) - Executive Directors and Shri Sushobhan Sarker, Director and Chairman of the Audit Committee of the Board. The Committee meetings are also attended by, Senior Executives of the Bank as members namely, General Manager in charge of Credit Division, the General Manager, Financial Management Division, the General Manager, Integrated Risk Management Division and the General Manager, Treasury and Investment Department. Shri Jai Kumar Garg, Managing Director & Chief Executive Officer, chairs the meetings of the Committee.

4.13 Human Resources Committee

As per the directives of the Ministry of Finance, Department of Financial Services, Government of India, New Delhi, vide their communication dated 21.03.2012, the Board of the Bank at its meeting held on 26.03.2012, constituted the HR Committee of the Board to provide for interaction between unions/associations and the management.

Shri Jai Kumar Garg, Managing Director & Chief Executive Officer of the Bank, Shri Sunil Mehta and Shri Gopal Murli Bhagat (Since 24.08.2016) - Executive Directors of the Bank, Shri Manish Gupta, Government of India Nominee Director and Shri Pradyumna K. Jena, RBI Nominee Director are the members of the committee. The committee meetings are chaired by Shri Jai Kumar Garg, Managing Director & Chief Executive Officer of the Bank.

4.14 Securities Allotment Committee

To meet the Capital requirement of the Bank under Basel-III, the Bank may have to raise capital by way of issue of shares and/or Bonds, etc., every year in future, on need based requirement. The Board of the Bank, therefore, constituted a committee on 11th November, 2013, called the “Securities Allotment Committee of the Board”, to consider the allotment of Equity

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shares/Bonds in such cases. The committee is of permanent nature and will act as per the directions of the Board. The members of the committee are viz., Shri Sunil Mehta and Shri Gopal Murli Bhagat (Since 24.08.2016) - Executive Directors of the Bank, Shri Deverakonda Diptivilasa, Independent director, Ms. Chitra Gouril Lal and Shri Ramesh Kumar Bhat, Shareholder Directors are the members of the Committee. The committee meetings were chaired by Shri Sunil Mehta, Executive Director during the year under report.

4.15 Recovery Monitoring Committee

In order to have a robust monitoring mechanism for recovery, the Ministry of Finance, Department of Financial Services, Government of India, New Delhi, vide their communication dated 21.11.2012, advised to constitute a Committee of the Board for Monitoring the progress in Recovery on a regular basis and to submit its report to the Board on a monthly basis. The constitution of the committee was approved by the Board in its meeting held on 26.11.2012. The committee comprises of 4 Directors as members viz., Shri Jai Kumar Garg, Managing Director & Chief Executive Officer, Shri Sunil Mehta and Shri Gopal Murli Bhagat (Since 24.08.2016) - Executive Directors of the Bank, and Shri Manish Gupta, the Government Nominee Director. The meetings of the committee are chaired by Shri Jai Kumar Garg, Managing Director & Chief Executive Officer.

4.16 Review Committee for Wilful Defaulters

As per the directions of Reserve Bank of India to put in place a transparent mechanism for classifying borrowers as Wilful Defaulters, this Committee was formed to review the orders of the executive committee that identifies wilful defaulters, vide Board Minute No. 75 dated 25.06.2015. The Committee comprises 3 members namely, Shri Jai Kumar Garg, Managing Director and Chief Executive Officer, Shri Sushobhan Sarker, and Ms. Chitra Gouri Lal, Independent Directors.

4.17 Sub Committee of the Board to ‘Monitor the Business Growth of Newly Opened Branches’

To review the performance of newly opened branches and to monitor the growth of CASA, a Sub-Committee was formed vide Board Minute No. 3(A)-a dated 08.12.2015. The Committee comprises of 4 members namely, Shri Manish Gupta, Director, Shri Deverakonda Diptivilasa, Director, Ms. Chitra Gouri Lal, Director and Shri Ramesh Kumar Bhat, Director. The Committee meetings are chaired by Shri Manish Gupta, Government of India Nominee Director.

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AmYma na dgybr _o§ àJ{V H$s {ZJamZr hoVw {ZXoeH$ _§Sb H$s EH$ g{_{V J{RV

H$aZo Am¡a _m{gH$ AmYma na CgH$s [anmoQ© {ZXoeH$ _§Sb H$mo àñVwV H$aZo H$mo

gy{MV {H$`m& g{_{V Ho JRZ H$m AZw_moXZ {ZXoeH$ _§Sb H$s 26.11.2012

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92 dm{f©H$ [anmoQ>© 2016-17

4.18 Other Committees:

The Board also formed other Sub-committees of the Board namely, (i) Remuneration Committee (ii) Review Committee for Non-Cooperative Borrowers, (iii) Committee to consider voting for shareholder Director, (iv) Committee for Selection of Business/Management/Operational Consultant, (v) Committee to Review the Appraisal report of General Managers (APAR Committee) and (vi) Appeal Committee to review the appeal against the Regular Departmental Action for major penalty for general Managers, (vii) A Special Committee is also formed to look into the matters of compulsory Retirements of Officers who completed the service of 30 years and above. The Frequency of these committee Meetings is on need basis.

5. Remuneration to Directors and Company Secretary

5.1 Only sitting fees as prescribed by the Government of India for attending Board and Committee meetings are paid to the non-executive and non-executive independent directors except Government of India nominee director and RBI Nominee Director.

5.2 The details of remuneration paid to the whole-time Directors of the Bank i.e. Managing Director & Chief Executive Officer and the Executive Director as per terms and conditions of appointment fixed and Performance linked incentive Scheme framed by the Central Government, i.e. for the year 2016-17 is furnished hereunder along with remuneration paid by the Bank to the Company Secretary:

4.18 AÝ` g{_{V`m±

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Ho AZwgma àXÎm nm[al{_H$ Ho {ddaU {ZåZdV² h¢&

(` _|/in `)

{ddaU Particulars

lr O` Hw _ma JJ©, à~§Y {ZXoeH$ Ed§ _w»` H$m`©nmbZ

{ZXoeH$ Shri Jai Kumar Garg,

MD & CEO

lr gwZrb _ohVm, H$m.{Z.

Shri Sunil Mehta, ED

lr Jmonmb _wabr ^JV H$m.{Z.

Shri Gopal Murli Bhagat, ED

lr Eg. Ho$. XmeH§ nZr g{Md

Shri S. K. Dash, Company Secretary

doVZ Salary 29,07,778.00 25,15,929.30 14,55,020.91 15,78,884.84

{ZînmXZ g§~Õ àmoËgmhZ Performance Linked Incentive

eyÝ` NIL eyÝ` NIL eyÝ` NIL bmJy Zht N.A.

Hw$b Total 29,07,778.00 25,15,929.30 14,55,020.91 15,78,884.84

ñQm°H$ {dH$ën Stock Option eyÝ` NIL eyÝ` NIL eyÝ` NIL eyÝ` NIL


6. In terms of the Regulations 17 to 27 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a Certificate has been obtained from the Statutory Central Auditors on Corporate Governance in the Bank for the year 2016-17 and the same is annexed to this report.

7. General Meetings

7.1 In terms of the provisions of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980, the shareholders at the Annual General Meeting are entitled to discuss, approve and adopt the Balance Sheet, Profit and Loss account, the report of the Board of Directors and the Auditors’ Report.

7.2 {nNbr VrZ dm{f©H$ _hmg^m Ho$ {ddaU / Particulars of past three Annual General Meetings

{dÎm df© Financial Year 2013-14 2014-15 2015-16

dm{f©H$ _hmg^m H$m g_` Am¡a {XZm§H$Date & Time of the AGM

26.06.2014g_`: nydm©• 10.30 ~Oo26.06.2014Time 10.30 a.m.

29.06.2015g_`: nydm©• 10.30 ~Oo29.06.2015Time 10.30 a.m.

29.06.2016g_`: nydm©• 10.30 ~Oo29.06.2016Time 10.30 a.m.

ñWmZVenue

~¢H$ H$m àYmZ H$m`m©b` d H$mnmo©aoQ H$m`m©b`, _§JbyéBank’s Head Office & Corporate Office, Mangaluru



nm[aV {deof g§H$ën Special Resolutions passed

eyÝ` Nil eyÝ` Nil eyÝ` Nil

7.3 Extraordinary General Meeting

An Extraordinary General Meeting of the shareholders of the Bank was held at H.O., Mangaluru, to issue shares on preferential allotment basis, the details of which are as follows:

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7.3 AgmYmaU _hmg^m

A{Y_mZr Am~§QZ AmYma na eoàmo§ H$mo Omar H$aZo hoVw, àYmZ H$m`m©b`, _§Jbyé _o§ ~¢H$ Ho eoàYmaH$mo§ H$s EH$ AgmYmaU _hmg^m Am`mo{OV H$s JB© Wr, {OgHo {ddaU {ZåZmZwgma h¢:

94 dm{f©H$ [anmoQ>© 2016-17

~¡RH$ H$m {XZm§H$ Am¡a g_`

Date and Time of the Meeting

ñWmZ Venue CÔoí` Purpose EH$_V go nm[aV {deof g§H$ënSpecial Resolutions passed

unanimously

15 {gV§~a, 2016

nydm©• 11.00 ~Oo15th September, 2016at 11.00 a.m.

~¢H H m àYmZ H m`m©b` d H mnmo©aoQ Hm`m©b`, _§JbyéBank’s Head Office & Corporate Office, Mangaluru

(i) ^maVr` à{V^y{V {d{Z_` ~moS© (ny§Or Omar H$aZm Am¡a Amdí`H$ àH$QZ), {d{Z`_, 2009 (go~r AmB©grSrAma {d{Z`_) Ho AÜ`m` VII Ho AZwgaU _o§ {ZXoeH$ _§Sb Ûmam `Wm {ZYm©[aV `38.78 à{V B©p¹Qr eoà AWm©V `40.78 Omar _yë` Ho àr{_`_ na ZH$Xr hoVw àËòH$ `2/- (énE Xmo _mÌ) Ho 12,45,70,868 B©p¹Qr eoàmo§ VH$ Am¡a g_J«V: 507,99,99,997.04 (énE nm±M gm¡ gmV H$amo‹S {ZÝ`mZdo bmI {ZÝ`mZdo hOma Zm¡ gm¡ gVmZdo Am¡a Mma n¡gm _mÌ) H$mo A{Y_mZr AmYma na maV gaH$ma (AWm©V maV Ho amîQ—n{V) H$mo àXmZ, Omar Am¡a Am~§QZ H$aZo H$mo AZw_mo{XV H$aZm&

(i) `38.78 à{V B©p¹Qr eoà AWm©V ` 40.78 Omar _yë` Ho àr{_`_ na ZH$Xr hoVw àËòH$ 2/- (énE Xmo _mÌ) Ho 12,45,70,868 B©p¹Qr eoàmo§ VH$ Am¡a `507,99,99,997.04 (énE nm±M gm¡ gmV H$amo‹S {ZÝ`mZdo bmI {ZÝ`mZdo hOma Zm¡ gm¡ gVmZdo Am¡a Mma n¡gm _mÌ) (àr{_`_ am{e g{hV) H$mo A{Y_mZr AmYma na ^maV gaH$ma H$mo (AWm©V² maV Ho$ amîQ—n{V) H$mo Am~§QZ&

(i) To approve offer, issue and allot upto 12,45,70,868 equity shares of `2/- each (Rupees Two only) for cash at a premium of `38.78 per equity share i.e. issue price of `40.78 as determined by the Board in accordance with Chapter VII of the Securities Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 (the SEBI ICDR Regulations) and aggregating up to `507,99,99,997.04 (Rupees Five Hundred Seven crore ninety nine lakh ninety nine thousand nine hundred ninety seven and paise four only) (inclusive of premium amount) on preferential basis to Government of India (i.e. President of India).”

(i) Allotment of 12,45,70,868 equity shares of `2/- each (Rupees Two only) for cash at a premium of `38.78 per equity share i.e. issue price of `40.78 aggregating up to `507,99,99,997.04 (Rupees Five Hundred Seven crore ninety nine lakh ninety nine thousand nine hundred ninety seven and paise four only) (inclusive of premium amount) on preferential basis to Government of India (i.e. President of India).”

Cnamoº {deof g§H$ën nm[aV H$aZo Ho {bE SmH$ _VnÌ Am`mo{OV Zht {H$`m J`m, Š`m|{H$ `h ~¢H$mo§ Ho {bE bmJy Zht h¡&No postal ballot was conducted for passing the above mentioned special resolutions as the same was not applicable for Banks.


7.4 CEO & CFO Certificate

The certificate of CEO & CFO under Regulation 17(8) of SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015 has been submitted to the Board of Directors of the Bank and a copy is attached to the Corporate Governance Report.

8. Material Disclosures

8.1 Material, financial and commercial transactions of the management (defined as ‘Board of Directors’), where they have personal interest, that may have a potential conflict with the interest of the bank at large have been reported to the Board from time to time.

8.2 The Bank has complied with all the requirements regarding capital market related matters and as such not been penalised or imposed with strictures by the stock exchanges or SEBI or any other statutory authority during the last three years. No personnel has been denied access to Audit Committee of the Board. The Bank conducted the Annual General Meeting within the statutory time frame in 2016-17.

The bank has followed the Secretarial Standards issued by the Institute of Company Secretaries of India, to the extent applicable to a Public Sector Bank.

9. Mandatory and non-mandatory requirements

9.1 Bank has complied with all the applicable mandatory requirements as provided in Regulations 17 to 27 of the SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015.

9.2 The extent of implementation of non-mandatory requirements is furnished hereunder:

Anojm Requirement AZwnmbZ Compliance

9.2.1 {ZXoeH$ ‘§S>b - J¡a-H$m`©nmbH$ AÜ`j H§$nZr Ho$ IM© na AÜ`j Ho$ H$m`m©b` Ho$ {bE nmÌ hm| VWm AnZo H$V©ì` Ho$ {ZînmXZ _o§ dhZ {H$E JE IMmoª H$s à{Vny{V© Ho {bE ^r CÝh| AZw_{V Xr OmE&The Board – A non-executive Chairman may be entitled to maintain a Chairman’s office at the Bank’s expense and also allowed reimbursement of expenses incurred in performance of his duties.

~¢H$ H$mo bmJy Zht h¡&Not applicable to the Bank.

9.2.2 eo¶aYmaH$ A{YH$ma - {nNbo N… _mh H$s _hËdnyU© KQZmAmo§ Ho gmam§e g{hV {dÎmr` {ZînmXZ H$s AY© dm{f©H$ KmofUm àËòH$ eoàYmaH$ H$mo ôOr OmE&Shareholder Rights – A half-yearly declaration of financial performance including summary of the significant events in last six-months, may be sent to each household of shareholders.

Bgo ~¢H$ H$s do~gmBQ www.corpbank.com Am¡a ñQm°H$ EŠgMo§O

do~gmB©Q www.nseindia.com _o§ AnbmoS {H$`m J`m h¡ VWm df© _o§ EH$ ~ma nyam VwbZ nÌ g{hV g_mMma nÌmo§ _o§ ^r àH$m{eV {H$`m J`m h¡& &It has been uploaded in the website of the Bank www.corpbank.com as well as website of Stock Exchanges –www.bseindia.com, www.nseindia.com and also published in the newspapers including full Balance Sheet annually once.

7.4 grB©Amo VWm grE\$Amo à_mUnÌ

go~r (gyMr~Õ Xo`VmE§ Am¡a Amdí`H$ àH$QZ) {d{Z`_, 2015 Ho {d{Z`_

17(8) VhV grB©Amo VWm grE\$Amo à_mUnÌ ~¢H$ Ho {ZXoeH$ _§Sb H$mo

àñVwV {H$`m J`m h¡ VWm EH$ à{V H$mnmo©aoQ A{êmgZ [anmoQ© Ho gmW g§b¾

H$s JB© h¡&

8. _hËdnyU© àH$QZ

8.1 à~§YZ ("{ZXoeH$ _§Sb' Ho ê$n _o§ n[a^m{fV) Ho _hËdnyU©, {dÎmr`

Ed§ dm{UpÁ`H$ boZ-XoZmo§ Am{X Ho gmW Eogm H$moB© _hËdnyU© boZ-XoZ {OZ_o§

CZH$m ì`{º$JV {hV hmo, {OgHo ~¢H$ Ho {hVmo§ go {damoY H$s g§^mdZm hmo Vmo

CgH$s {ZXoeH$ _§Sb H$mo g_`-g_` na gyMZm Xr J`r h¡&

8.2 ~¢H$ Zo ny±Or ~mOma go g§~Õ _m_bmo§ H$s g^r AnojmAmo§ H$m AZwnmbZ

{H$`m h¡ Am¡a JV VrZ dfmoª Ho$ Xm¡amZ ñQm°H$ EŠgMo§Omo§ `m go~r `m {H$gr AÝ`

gm§{d{YH$ àm{YH$mar Ûmam ~¢H$ H$s Z Vmo qZXm H$s JB© Z ~¢H$ na H$moB© Ow_m©Zm

bJm`m J`m& {H$gr ^r H$m{_©H$ H$mo ~moS© H$s boIm narjm g{_{V VH$ nhw±MZo

go _Zm Zht {H$`m J`m h¡& ~¢H$ Zo 2016-17 _o§ gm§{d{YH$ g_`md{Y Ho

^rVa dm{f©H$ _hmg^m Am`mo{OV H$s h¡ &

~¢H$ Zo gmd©O{ZH$ joÌ Ho ~¢H$ Ho {bE bmJy gr_m VH$ ^maVr` H§nZr g{Md

g§ñWmZ Ûmam Omar g{Mdr` _mZH$mo§ H$m AZwgaU {H$`m h¡&

9. A{Zdm`© Ed§ J¡a-A{Zdm`© AnojmE±

9.1 ~¢H$ Zo go~r (gyMr~Õ Xo`VmE§ Am¡a Amdí`H$ àH$QZ) {d{Z`_, 2015

Ho {d{Z`_ 17 go 27 _o§ àXÎm AnojmAmo§ H$m AZwnmbZ {H$`m h¡ &

9.2 J¡a-A{Zdm`© AnojmAmo§ Ho H$m`m©Ýd`Z H$s gr_m H$m {ddaU {ZåZdV² h¡…

96 dm{f©H$ [anmoQ>© 2016-17

Anojm Requirement AZwnmbZ Compliance

9.2.3 boIm-narjm eV] - ~¢H$ J¡a g§emo{YV boIm narjm {dMma Ho gmW {dÎmr` {ddaUmo§ H$s àUmbr AnZm gH$Vm h¡&Audit qualifications – Bank may move towards a regime of financial statements with unmodified audit opinion.

à~§YZ-BZ {Xem{ZXo©emo§ H$m nmbZ H$aZo hoVw à`mg H$aVm h¡& 2016-17 hoVw {dÎmr` {ddaUmo§ na boIm narjm {anmoQ© _o§ J¡a g§emo{YV boIm narjm {dH$ën h¡& The Management endeavours to confirm to the guidelines. The Audit Report on Financial Statements for 2016-17 have unmodified audit opinion.

9.2.4 AÜ¶j Am¡a grB©Amo Ho$ AbJ-AbJ nX - ~¢H$ AÜ`j Am¡a à~§Y {ZXoeH$/grB©Amo Ho nX na AbJ-AbJ ì`{º$`mo§ H$mo Zm_m§{H$V H$a gH$Vm h¡Separate Posts of Chairman and CEO – The Bank may appoint separate persons to the post of Chairman and Managing Director/CEO.

{dÎm _§Ìmb`, ^maV gaH$ma Ûmam {Z`w{º`m±/Zm_m§H$Z {H$E OmVo h¢ Am¡a VXZwgma A~ à~§Y {ZXoeH$ Am¡a _w»` H$m`©nmbH$ A{YH$mar H$m nX ^am J`m h¡&The appointments/nominations are made by Ministry of Finance, Govt. of India and accordingly the post of MD & CEO got filled up.

9.2.5 Am§V[aH$ boIm-narjH$ H$s [anmo{Q>ªJ - Am§V[aH$ boIm-narjH$ {ZXoeH$-‘§S>b H$s boIm-narjm g{‘{V (Egr~r) H$mo grYo [anmoQ>© H$a gH$Vo h¢& Reporting of Internal Auditor – The Internal Auditor may report directly to the Audit Committee of the Board (ACB).

{ZarjU Ed§ boIm-narjm Ho g^r _hËdnyU© {ZîH$fmoª H$mo gyMZm Ed§ Cn`wº {ZXoemo§ hoVw ~moS© H$s boIm-narjm g{_{V Ho g_j aIm OmVm h¡& Egr~r Ho {ZXoemo§ H$m Vwa§V AZwnmbZ {H$`m OmVm h¡ Am¡a Egr~r H$mo à{VgyMZm [anmoQ© àñVwV H$s OmVr h¡&All important inspection and audit findings are placed before the Audit Committee of the Board for information and suitable directions. The directions of ACB are promptly complied with and feedback reports are submitted to ACB till its logical ends.

10. Code of Conduct

The Board framed Code of Conduct on 17.12.2005. It is hereby affirmed that Board members and General Managers of the Bank have complied with this requirement on Annual basis. A declaration to this effect is attached at the end of this report.

11. Means of Communication 11.1 Quarterly financial results are submitted within the time frame, to the Stock Exchanges where the shares of the Bank are listed. Further, the quarterly financial results are also published in at least one national newspaper and one regional language newspaper based at Mangaluru.

During the year 2016-17, the quarterly financial results were published in the newspapers as under:

10. AmMma g§{hVm{ZXoeH$ _§Sb Ûmam 17.12.2005 H$mo AmMma g§{hVm V¡`ma H$s JB©& `h nwpîQ H$s OmVr h¡ {H$ dm{f©H$ AmYma na {ZXoeH$ _§Sb Ho$ gXñ`mo§ VWm ~¢H$ Ho$ _hm à~§YH$mo§ Ûmam BZH$m AZwnmbZ {H$`m J`m& Bg [anmoQ© Ho A§V _o§ Bg Ame` H$s KmofUm g§b¾ h¡&

11. g§gyMZm Ho$ _mÜ`_

11.1 Ì¡_m{gH$ {dÎmr` n[aUm_ {ZYm©[aV g_` Ho ^rVa Eogo ñQm°H$ EŠgMo§Omo§ H$mo àñVwV {H$E JE Ohm± ~¢H$ Ho eo`a gyMr~Õ h¢& BgHo A{V[aº, Ì¡_m{gH$ {dÎmr` n[aUm_ H$_ go H$_ EH$ amîQ—r` g_mMma-nÌ Am¡a _§Jbyé Ho EH$ joÌr` ^mfm Ho g_mMma-nÌ _o§ ^r àH$m{eV {H$E JE h¢&

df© 2016-17 Ho$ Xm¡amZ Ì¡_m{gH$ {dÎmr` n[aUm_ g_mMma-nÌmo§ _o§ {ZåZmZwgma àH$m{eV {H$E JE:

{V_mhr g_mßV/~moS© H$s ~¡RH$ H$s VmarIQuarter ended/Date of

Board Meeting

A§J«oOr/joÌr` X¡{ZH$ H$m Zm_Name of the English/

Regional daily

àH$meZ H$s VmarIDate of Publication

_mM© March 2016/ 18.05.2016

{~µOZog bmBZ Am¡a CX`dmUrBusiness Line and Udayavani

19.05.2016

OyZ June 2016/ 10.08.2016


11.08.2016

{gV§~a September 2016/ 14.11.2016


15.11.2016

{Xg§~a December 2016/ 10.02.2017


11.02.2017


{XZ Am¡a {XZm§H$ Day & Date ~wYdma, 28 OyZ, 2017 Wednesday, 28th June, 2017

g_` Time nydm©• 10.30/10.30 a.m.

ñWmZ Venue ghòmpãX ^dZ, H$mnmo©aoeZ ~¢H$, àYmZ H$m`m©b` Ed§ H$mnmo©aoQ H$m`m©b`, _§Jbyé - 575 001 Millennium Building, Corporation Bank, Head Office & Corporate Office, Mangaluru – 575 001

{dÎmr` df© Financial Year Aà¡b 2016 go _mM© 2017/April 2016 to March 2017

dm{f©H$ _hmg^m H$aZo hoVw boIm-~hr ~§Xr Ho$ {XZm§H$ Dates of Book Closure for the AGM

22.06.2017 go 28.06.2017 (XmoZmo§ {XZ g{hV)22.06.2017 to 28.06.2017 (both days inclusive)

12.2 gyMr~Õ ñQm°H$ EŠgMo§O Am¡a ñQm°H$ Hy$Q 12.2 Stock Exchanges listed & stock code

H«$.g§. Sl. No.

ñQm°H$ EŠgMo§O Stock ExchangeñQm°H$ Hy$Q

Stock Code

WmoH$ H$O© gyMrH$aU Hy$QWholesale Debt Listing Code

1. ~r Eg B© {b., àW_ Vb, Ý`y Q—oqSJ qaJ, amoVwÝSm {~pëS§J, nr.Oo. Qmdg©, Xbmb ñQ—rQ, ’$moQ©, _w§~B©-400 001BSE Ltd., 1st Floor, New Trading Ring, Rotunda Building, P. J. Towers, Dalal Street, Fort, MUMBAI – 400 001

532179 eyÝ` (gyMr~Õ Zht)NIL (not Listed )

2. ZoeZb ñQm°H$ EŠgMo§O Am°’$ B§{S`m {b{_QoS (EZEgB©), EŠgMo§O ßbmOm, 5 dm± Vb, ßbm°Q g§. gr/1, Or ãbm°H$, ~m±Ðm Hw$bm© H$måßboŠg, ~m±Ðm (ny), _w§~B© - 400 051National Stock Exchange of India Ltd. (NSE), Exchange Plaza, 5th Floor, Plot No. C/1, G Block, Bandra Kurla Complex, Bandra (E), MUMBAI – 400 051

CORPBANK à{V^y{V àH$ma : BBSecurity Type: BB à{V^y{V : CORBSecurity : CORB

11.2 The financial results, press releases issued by the Bank, presentation made to analysts, general shareholder information, market price data and shareholding pattern etc. are also put on the website of the Bank (www.corpbank.com).

11.3 A brief resume of the Directors nominated/appointed during the year 2016-17 and the existing Directors is appended in this report under para No. 3.9.

12. General Shareholder Information

12.1 Particulars of Annual General Meeting

11.2 {dÎmr` n[aUm_, ~¢H$ Ûmam Omar àog {dkpßV`m±, {díbofH$mo§ H$mo {H$`m J`m àñVwVrH$aU, gm_mÝ` eoàYmaH$ gyMZm, ~mOma _yë` SmQm, eoà Ym[aVm n¡QZ© Am{X ~¢H$ H$s do~gmB©Q (www.corpbank.com) _o§ ^r {Xò OmVo h¢&

11.3 df© 2016-17 Ho$ Xm¡amZ Zm{_Vr/{Z`wº$ {ZXoeH$ VWm dV©_mZ {ZXoeH$mo§ H$m EH$ g§{jßV n[aM` Bg [anmoQ© Ho gmW n¡am g§. 3.9 _o§ g§b¾ h¡&

12. gm_mÝ` eoàYmaH$ gyMZm12.1 dm{f©H$ _hmg^m Ho$ {ddaU:

The Listing Fee for the next financial year 2017-18, for Equity Listing, has already been remitted to the above Stock Exchanges and also the Debt Listing Fee remitted to National Stock Exchange of India Ltd., on 27.04.2017.

12.3 The financial calendar of the Bank is from 1st April to 31st March, comprising 12 months period.

AmJm_r {dÎmr` df© 2017-18 hoVw gyMrH$aU ewëH$ Cnamoº$ ñQm°H$ EŠgMo§Omo§ H$mo VWm Z¡eZb ñQm°H$ EŠgMo§O Am°\$ B§{S`m {b{_QoS H$mo G$U gyMrH$aU ewëH$ ^r 27.04.2017 H$mo {dào{fV H$a {X`m J`m h¡&

12.3 ~¢H$ H$m {dÎmr` H¡ bo§Sa 1 Aà¡b go 31 _mM© VH$ 12 _mh H$s Ad{Y H$m h¡&

98 dm{f©H$ [anmoQ>© 2016-17

12.3.1 {dÎmr` {ZînmXZ {ZåZmZwgma h¡… 12.3.1 Financial performance is as under:

(` bmIm|> _|/ ` in lakhs)

H«$. g§.Sl. No.

{ddaUParticulars

g‘má {V‘mhr Quarter ended g‘má df© Year ended g‘má df© Year ended

31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.12.2016 (g_r{jV)31.12.2016 (Reviewed)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)

31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)

31.03.2017 (boIm-nar{jV)g_o{H$V

31.03.2017 (Audited)

Consolidated


31.03.2016 (Audited)

Consolidated1. A{O©V ã`mO (H$)+(I)+(J)+(K)

Interest earned (a)+(b)+(c)+(d)4,83,804.42 495375.35 473446.04 1947147.18 1941123.69 1947151.96 1941126.28

(H$) A{J«‘m|o§/{~bmo§ na ã`mO/~Åm(a) Interest / Discount on Advances /

Bills

317431.98 327939.93 345767.20 13,27,719.31 1448305.49 1327720.96 1448305.49

(I) {Zdoemo§ na Am`(b) Income on Investments

131838.03 139918.87 107813.52 516780.87 420859.86 516784.00 420862.34

(J) ^maVr` [aµOd© ~¢H$ Ho$ nmg eof VWm AÝ` A§Va-~¢H$ {Z{Y`mo§ na ã`mO

(c ) Interest on balances with Reserve Bank of India and other inter-bank funds

896.81 761.33 1045.14 3397.15 2207.63 3397.15 2207.63

(K) AÝ`(d) Others

33637.60 26755.22 18820.18 99249.85 69750.71 99249.85 69750.82

2. AÝ` Am` Other Income 89244.33 88580.54 48416.38 309030.87 173515.97 309771.14 174295.31

3. Hw$b Am` (1+2) TOTAL INCOME (1+2)

573048.75 583955.89 521862.42 2256178.05 2114639.66 2256923.10 2115421.59

4. ì`` {H$`m J`m ã`mOInterest Expended

390386.86 372400.41 374389.26 1502046.19 1517177.80 1501996.39 1517146.22

5. n[aMmbZ ì`` (i) + (ii) Operating Expenses (i) + (ii)

77206.41 79435.94 74981.40 310178.97 287960.13 310295.43 288087.67

(i) H$_©Mmar bmJV(i) Employees cost

34488.62 38366.63 35308.54 144436.68 137318.31 144499.76 137375.33

(ii) AÝ` n[aMmbZ ì``(ii) Other Operating Expenses

42717.79 41069.31 39672.86 165742.29 150641.82 165795.67 150712.34

(ã`mO H$mo Nmo‹SH$a Hw$b ì`` Ho$ 10% go A{YH$ g^r _Xmo§ H$mo AbJ go Xem©`m OmE)(All items exceeding 10% of the total expenditure excluding interest expenditure may be shown separately)

6. Hw$b ì`` (4+5) (àmdYmZmo§ Am¡a AmH$pñ_H$VmAmo§ H$mo Nmo‹SH$a)TOTAL EXPENDITURE (4+5) (Excluding Provisions and contingencies)

467593.27 451836.35 449370.66 1812225.16 1805137.93 1812291.82 1805233.89


H«$. g§.Sl. No.

{ddaUParticulars


31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.12.2016 (g_r{jV)31.12.2016 (Reviewed)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)

31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)


31.03.2017 (Audited)

Consolidated


31.03.2016 (Audited)

Consolidated7. àmdYmZmo§ Am¡a AmH$pñ_H$VmAmo§ go

nyd© n[aMmbZ bm^ (3-6)Operating Profit before Provisions and Contingencies (3-6)

105455.48 132119.54 72491.76 443952.89 309501.73 444631.28 310187.70

8. àmdYmZ (H$a Ho$ Abmdm) Am¡a AmH$pñ_H$VmE§Provisions (other than tax) and Contingencies

94801.01 93369.67 196020.94 360315.91 502632.96 360315.91 502632.96

9. AgmYmaU _Xo§Exceptional items

0 0 0 0 0 0 0

10. H$a go nyd© gm_mÝ` {H«$`mH$bmnm| go bm^ (+)/hm{Z(-) (7-8-9)Profit (+)/Loss (-) from ordinary

activities before tax (7-8-9)

10654.47 38749.87 -123529.18 83636.98 -193131.23 84315.37 -192445.26

11. H$a ì`` Tax Expense -5343.57 22847.54 -72432.26 27516.38 -142483.20 27734.54 -142244.88

12. H$a go nyd© gm_mÝ` {H«$`mH$bmnm| go {Zdb bm^ (+)/hm{Z(-) (10-11) Net Profit (+)/Loss (-) from ordinary activities after tax (10–11)

15998.04 15902.33 -51096.92 56120.60 -50648.03 56580.83 -50200.38

13. AgmYmaU _Xo§ (H$a ì``mo§ H$m {Zdb)Extraordinary items (net of tax expense)

0 0 0 0 0 0 0

14. Ad{Y hoVw {Zdb bm^ (+)/hm{Z (-) (12-13)Net Profit (+)/Loss (-) for the period (12–13)

15998.04 15902.33 -51096.92 56120.60 -50648.03 56580.83 -50200.38

15. àXÎm B©pŠdQr eo`a ny±Or(eo`a H$m A§{H$V _yë` `2 h¡)Paid-up equity share capital (Face value of the Share is `2)

22941.13 22941.13 20449.71 22941.13 20449.71 22941.13 20449.71

16. nwZ_y©ë`Z Ama{jV {Z{Y`mo§ H$mo Nmo‹SH$a Ama{jV {Z{Y`m± ({nNbo boIm-df© Ho VwbZ-nÌ Ho AZwgma)Reserves excluding revaluation reserves (as per balance sheet of previous accounting year)

1181925.53 1048164.31 1185721.07 1051534.79


100 dm{f©H$ [anmoQ>© 2016-17

H«$. g§.Sl. No.

{ddaUParticulars


31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.12.2016 (g_r{jV)31.12.2016 (Reviewed)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)

31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)


31.03.2017 (Audited)

Consolidated


31.03.2016 (Audited)

Consolidated17. {díbofUmË_H$ AZwnmV

Analytical Ratios

(i) ^maV gaH$ma Ûmam Ym[aV eoàmo§ H$m à{VeV

(i) Percentage of Shares held by Government of India

70.76% 70.76% 67.20% 70.76% 67.20% 70.76% 67.20%

(ii) ny±Or n`m©ßVVm AZwnmV(ii) Capital Adequacy Ratio

~ogb II Basel II 11.90 11.70% 10.88% 11.90 10.88% NA NA

{Q>à I Tier I 8.46 8.13% 7.33% 8.46 7.33% NA NA

{Q>à II Tier II 3.44 3.57% 3.55% 3.44 3.55% NA NA

~ogb III Basel III 11.32 11.30% 10.56% 11.32 10.56% NA NA {Q>à I Tier I 8.90 8.60% 7.93% 8.90 7.93% NA NA {Q>à II Tier II 2.42 2.70% 2.63% 2.42 2.63% NA NA (iii) à{V eo a AO©Z (B©nrEg) ( `)

(iii) Earning Per Share (EPS) (in ` )

H$) Bg Ad{Y hoVw, Mmby df© VWm {nN>bo df© Ho$ {bE AgmYmaU _Xmo§ (H$a ì``mo§ H$m {Zdb) go nhbo _yb^yV VWm VZyH¥$V B©nrEg (dm{f©H$sH¥$V Zht)

a) Basic and diluted EPS before Extraordinary items (net of tax expense) for the period, for the year to date and for the previous year ( not annualised)

1.39 1.39 -5.00 5.17 -5.48 5.21 -5.44

I) Bg Ad{Y hoVw, Mmby df© VWm {nNbo df© Ho {bE AgmYmaU _Xmo§ (H$a ì``mo§ H$m {Zdb) Ho ~mX _b^yV VWm VZyH¥ V B©nrEg (dm{f©H$sH¥ V Zht)

b) Basic and diluted EPS after Extraordinary items for the period, for the year to date and for the previous year (not annualised)

1.39 1.39 -5.00 5.17 -5.48 5.21 -5.44

(iv) EZnrE AZwnmV(iv) NPA Ratios

(H$) gH$b EZnrE(a) Gross NPA

1704522.22 1582799.67 1454424.70 1704522.22 1454424.70 NA NA



H«$. g§.Sl. No.

{ddaUParticulars


31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.12.2016 (g_r{jV)31.12.2016 (Reviewed)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)

31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)


31.03.2017 (Audited)

Consolidated


31.03.2016 (Audited)

Consolidated (I) {Zdb EZnrE

(b) Net NPA1169217.81 1031493.89 916013.91 1169217.81 916013.91 NA NA

(J) gH$b EZnrE H$m %(c ) % of Gross NPA

11.70 11.26% 9.98% 11.70 9.98% NA NA

(K) {Zdb EZnrE H$m %(d) % of Net NPA

8.33 7.64% 6.53% 8.33 6.53% NA NA

(v) AmpñV`mo§ na à{Vbm^ (dm{f©H$sH¥$V)(v) Return on Assets (annualised)

0.25 0.26% -0.90% 0.23 -0.23% NA NA

18. gmd©O{ZH$ eoàYm[aVmPublic Shareholding

eoàmo§ H$s g§»`m (bmI _|)Number of Shares (in lakhs)

3353.44 3353.44 3353.44 3353.44 3353.44 3353.44 3353.44

eoàYm[aVm H$m à{VeVPercentage of Share Holding

29.24% 29.24% 32.80% 29.24% 32.80% 29.24% 32.80%

19. àdV©H$mo§ Am¡a àdV©H$ g_yh H$s eoàYm[aVmPromoters and Promoter Group Shareholding

(H$) {JadrH¥$V/^maJ«ñV(a) Pledged/ Encumbered

eoàmo§ H$s g§»`m Number of Shares – – – – – – –

eoàmo§ H$m à{VeV (àdV©H$ VWm àdV©H$ g_yh H$s Hw$b eoàYm[aVm Ho$ % Ho ê$n _o§)Percentage of Shares ( as a % of the total shareholding of promoter and promoter group)

– – – – – – –

eoàmo§ H$m à{VeV (H§$nZr Ho$ Hw$b eoà ny±Or Ho$ % Ho$ ê$n _o§) Percentage of Shares (as a % of the total share capital of the Company)

– – – – – – –

(I) ^ma-a{hV(b) Non-encumbered

eoàmo§ H$s g§»`m (bmIm| _|) Number of Shares (in lakhs)

8117.12 8117.12 6871.41 8117.12 6871.41 8112.71 6871.41


102 dm{f©H$ [anmoQ>© 2016-17

H«$. g§.Sl. No.

{ddaUParticulars


31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.12.2016 (g_r{jV)31.12.2016 (Reviewed)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)

31.03.2017 (boIm-nar{jV)

31.03.2017 (Audited)

31.03.2016 (boIm-nar{jV)

31.03.2016 (Audited)


31.03.2017 (Audited)

Consolidated


31.03.2016 (Audited)

Consolidated

eoàmo§ H$m à{VeV (àdV©H$ VWm àdV©H$ g_yh H$s Hw$b eoàYm[aVm Ho$ % Ho$ ê$n _o§)Percentage of Shares ( as a % of the total shareholding of promoter and promoter group)

100% 100% 100% 100% 100% 100% 100%

eoàmo§ H$m à{VeV (H§$nZr H$s eoà ny±Or Ho$ % Ho$ ê$n _o§)Percentage of Shares (as a % of the total share capital of the Company)

70.76% 70.76% 67.20% 70.76% 67.20% 70.76% 67.20%

Consolidated financial statement is inclusive of the wholly owned subsidiary of the Bank, namely, CorpBank Securities Ltd.

12.4 Stock Market Data – The monthly high & low quotations and the volume of shares traded on National Stock Exchange (NSE) and the BSE Ltd., – Mumbai during the financial year 2016-17 are as follows:

_mh Month

EZEgB© NSE ~rEgB© BSE

A{YH$V_ High (`)

Ý`yZV_ Low (`)

‘mh Ho Xm¡amZ_mÌm (g§)

Volume (Nos.)during the

month

A{YH$V_ High (`)

Ý`yZV_Low (`)

‘mh Ho$ Xm¡amZ_mÌm (g§)

Volume (Nos.)during the

month

Aà¡b APRIL 41.70 37.60 3957331 41.80 37.50 728373

_B© MAY 38.70 34.20 3773897 38.90 34.25 574079

OyZ JUNE 42.25 34.00 13054944 42.20 34.00 1828682

OwbmB© JULY 44.85 41.25 16048617 44.90 41.20 1947378

AJñV AUGUST 42.85 39.90 10381591 42.80 39.95 1005564

{gV§~a SEPTEMBER 45.80 41.40 14588486 46.00 41.55 1917409

Aºy$~a OCTOBER 44.00 40.60 6291663 44.00 40.65 750923

Zd§~a NOVEMBER 48.75 40.05 21069317 48.70 40.00 3347633

{Xg§~a DECEMBER 45.65 40.30 5477476 45.45 40.30 962299

OZdar JANUARY 44.20 41.55 4547263 44.05 41.65 705138

’$adar FEBRUARY 53.15 44.10 24896580 53.05 43.85 4219439

_mM© MARCH 52.65 46.45 14490429 52.50 46.50 2269268

~¢H$ H$s nyU© ñdm{_Ëd dmbr AZwf§Jr AWm©V² H$mn© ~¢H$ {gŠ`w[aQrµO {b. g{hV g_o{H$V {dÎmr` {ddaU&

12.4 ñQm°H$ _mHo©Q SmQm - {dÎmr` df© 2016-17 Ho Xm¡amZ Z¡eZb ñQm°H$ EŠgMo§O (EZEgB©) Am¡a _w§~B© ñQm°H$ EŠgMo§O (~rEgB©) _o§ boZ-XoZ {H$E JE eoàmo§ H$s _mÌm Am¡a _m{gH$ A{YH$V_ Am¡a Ý`yZV_ Xa {ZåZmZwgma h¡…


12.4.1 Performance of Bank’s share price in comparison with the movement of S&P CNX Nifty during the year 2016-17 is shown here below.

12.5 à{V eoà Am§H$‹So 12.5 Per Share Data

2012-13 2013-14 2014-15 2015-16 2016-17

A§{H$V _yë` Face Value (`) 10 10 2** 2 2

31 _mM© H$s pñW{V Ho$ AZwgma ~mOma Xa (`)Market quotation as on 31st March (`)

384.15 276.90 52.60 38.95 52.65

àËòH$ `10 H$m à{V eoà AO©Z (`)Earning Per Share of `10 each (`)

96.74 35.75 6.97* -5.48 5.17

àËòH$ `10 H$m à{V eoà bm^m§e (`){d^pŠV na `2 H$m à{V eoà bm^m§e Dividend per share of `10 each (`)Dividend per share of `2 each on split

19.00

4.50 A§V[a‘ interim

2.25 A§{V‘ final

1.40* NIL NIL

~hr _yë` Book Value (`) 645.76 601.95 125.16* 110.94* 110.82*

bm^m§e AXm`Jr Dividend payout (%) 20.25 20.13 20.07 NIL NIL

** B©p¹Qr eoà H$m A§{H$V _yë` 22.01.2015 go `10 go `2 VH$ {d^ŠV hwAm&

* `2 àËòH$ B©p¹Qr eoà naŸ&** The Face value of the equity share was split from `10/- to `2/- effective from 22.01.2015.* on Equity Share of `2/- each.

12.4.1 df© 2016-17 Ho Xm¡amZ Eg EÊS nr grEZEŠg {ZâQr _o§ CVma-M‹Tmd H$s VwbZm _o§ ~¢H$ H$s eoà H$s_V H$m {ZînmXZ ZrMo Xem©`m J`m h¡…

Corpora�on Bank

35

37

39

41

43

45

47

49

51

53

7500

7700

7900

8100

8300

8500

8700

8900

9100

9300

Apr'16 May'16 June'16 July'16 Aug'16 Sep'16 Oct'16 Nov'16 Dec'16 Jan'17 Feb'17 March'17

Share Price Movement (NSE) (Rs.)

Nifty 50

eoà _yë` CVma-M ‹T>md (EZEgB©) Share Price Movement (NSE) ( `)

104 dm{f©H$ [anmoQ>© 2016-17

12.6 Share Transfer Agent

M/s Karvy Computershare Pvt. Ltd., Hyderabad is the Registrar and Share Transfer Agent of the Bank, to whom communications regarding change of address, change in Bank Mandate, NECS Mandate (in case of shares in physical mode), transfer of shares, etc. could be addressed. The address of Share Transfer Agent is as under:

M/s Karvy Computershare Pvt. Ltd. Unit: Corporation Bank Karvy Selenium Tower B, Plot No. 31-32, Gachibowli,Financial District, Nanakramguda, Hyderabad - 500 032 (Tel: 040-67162222: Fax: 040-23001153) Toll Free No. 1-800-3454-001(E-mail: [email protected] )

12.7 Share Transfer System

12.7.1 With effect from 27th March, 2004, a Share Transfer Committee of the Board of Directors was constituted with powers to deal with all matters pertaining to equity shares of the Bank. The Committee had been meeting at frequent intervals for effecting speedy transfer of shares, issuance of duplicate share certificates and re-materialisation and is responsible for submission of information in this regard to the Board. The Share Transfers were approved by the Committee 11 times in the Share Transfer Committee Meetings and on 16 occasions through circular resolutions, during the year 2016-17.

12.7.2 Number of share transfers effected during the year 2016-17 was 59000 and the pendency of share transfers as at 31st March, 2017 was NIL.

12.7.3 Permanent Account Number (PAN) : As per SEBI directive, submission of PAN by the Transferee/s, is made mandatory for effecting following transactions of Physical shares: Transfer of Shares, Deletion of name of the deceased shareholder/s, Transmission of shares to the legal heir/s and Transposition of shares - when there is a change in the order of names, etc.

12.7.4 Green Initiative in Corporate Governance

As part of the Green initiative in Corporate Governance, the Bank has been sending all communications and documents such as Notices of AGM and other General Meetings, explanatory statements thereto, Annual Reports, Balance Sheets, Directors’ Reports, Auditors Report and other shareholder communications including intimation regarding noting of Change of Address, intimation of payment of Dividend through NECS, intimation of Transfer of Shares etc., in electronic form to the e-mail address registered by the shareholders either with the Bank or with the Depositories as the case may be. Shareholders are hereby requested to register/update their

12.6 eoà A§VaU EOo§Q

_ogg© H$mdr© H§ß`yQaeoà àmBdoQ {b., h¡Xam~mX ~¢H$ Ho a{OñQ—ma Am¡a eoà A§VaU EOo§Q h¢, {OÝho§ nVo _o§ n[adV©Z, ~¢H$ A{YXoe _o§ n[adV©Z, EZB©grEg A{YXoe (H$mJµOr eoàmo§ Ho _m_bo _o§), eoàmo§ Ho A§VaU BË`m{X Ho ~mao _o§ g§gyMZmE§ ôOr Om gH$Vr h¢& eoà A§VaU EOo§Q H$m nVm {ZåZmZwgma h¡…

_ogg© H$mdr© H§ß`yQa eoà àmBdoQ {b{_QoS `y{ZQ… H$mnmo©aoeZ ~¢H$H$mdr© gobo{Z`_ Qm°da ~r, ßbmQ g§.31-32, J{M~modbr,\$m`Zm§{g`b {SñQ—rŠQ, ZmZH$am_JwSm, h¡Xam~mX - 500 032

(Xya^mf… 040-67162222: \¡$Šg… 040-23001153)Qmob \«$s Z§~a 1-800-3454-001

(B©-_ob… [email protected])

12.7 eoà A§VaU àUmbr

12.7.1 ~¢H$ Ho B©p¹Qr eoàmo§ go g§~§{YV g^r _m_bmo§ Ho {ZnQmZ Ho A{YH$ma Ho gmW 27 _mM©, 2004 go {ZXoeH$ _§Sb H$s eoà A§VaU g{_{V J{RV H$s JB©& eoàmo§ H$m Ëd[aV A§VaU H$aZo, eoà à_mUnÌ H$s Xygar à{V Omar H$aZo VWm [a_o{Q[a`bmµOoeZ H$aZo hoVw Cº g{_{V ~ma§~ma A§Vambmo§ _o§ ~¡RHo§ H$aVr ahr h¢ Am¡a `h Bg g§~§Y _o§ ~moS© H$mo gyMZm àñVwV H$aZo hoVw CÎmaXm`r h¡ & df© 2016-17 Ho Xm¡amZ eoà A§VaU g{_{V H$s ~¡RH$ _o§ g{_{V Ûmam 11 ~ma eoà A§VaU H$m AZw_moXZ {H$`m J`m VWm n[anÌ g§H$ën Ho O[aE 16 Adgamo§ na {H$`m J`m&

12.7.2 df© 2016-17 Ho$ Xm¡amZ {H$E JE eoà A§VaUmo§ H$s g§»`m 59000 h¡ Am¡a 31 _mM©, 2017 H$mo H$moB© eoà A§VaU b§{~V Zht h¡&

12.7.3 ñWmB© ImVm g§»`m (n¡Z): go~r Ho {ZXoemo§ Ho$ AZwgma, H$mJOr eoàmo§ Ho {ZåZ{b{IV boZ-XoZ H$aZo Ho {bE A§V[aVr Ûmam n¡Z H$mS© H$s A{Yà_m{UV à{V àñVwV H$aZm A{Zdm`© h¡… eoàmo§ H$m A§VaU, _¥V eoàYmaH$(H$mo§) Ho$ Zm_ H$m {ZagZ, H$mZyZr dm[agmo§ H$mo eoàmo§ H$m CÎmam{YH$ma A§VaU Am¡a eoàmo§ H$m H«$_ n[adV©Z - O~ Zm_ Ho H«$_ _o§ H$moB© n[adV©Z hmo, Am{X&

12.7.4 H$mnmo©aoQ A{êmgZ _o§ n`m©daU gOJVm nhb

H$mnmo©aoQ A{êmgZ _o§ n`m©daU gOJVm nhb Ho VhV, ~¢H$ g^r gyMZmAmo§ Am¡a dm{f©H$ _hmg^m Ed§ AÝ` _hm g^m H$s gyMZm, CgHo ì`m»`mË_H$ {ddaU, dm{f©H$ [anmoQoª, VwbZ-nÌ, {ZXoeH$mo§ H$s [anmoQoª, boIm-narjH$mo§ H$s [anmoQ© Am¡a nVo _o§ n[adV©Z, EZB©grEg Ho µO[aE bm^m§e Ho ^wJVmZ H$s gyMZm, eoàmo§ Ho A§VaU H$s gyMZm Am{X g{hV AÝ` eoàYmaH$ g§gyMZmE§ eoàYmaH$mo§ Ûmam WmpñW{V ~¢H$ go m {Snm°{µOQ[a`mo§ go n§OrH¥V B©-_ob nVo na BboŠQ—m°{ZH$ ê$n go ôOVm ahm h¡& eoàYmaH$mo§ go EVX²Ûmam AZwamoY {H$`m OmVm h¡ {H$ do AnZr B©-_ob AmB©Sr H$mo AnZo {Snm°{µOQar nm{Q©{gno§Q


email ids with their Depository Participants (DPs) or M/s Karvy Computershare Pvt. Ltd., the Registrar of the Bank, as the case may be, at the earliest, to enable the Bank to be a part of this green initiative.

Shareholders who have not provided/updated their email addresses and/or expressed their desire/request to receive the above shareholder communications in printed copies (hard copies) instead of in electronic mode, shall be sent the communications/notices and other documents, as mentioned above, in hard copies only. It is also ensured to send hard copies of the Annual Reports to such of the shareholders in whose case the soft copies of the Annual Reports sent by email have bounced back.

Shareholders are also requested to communicate/update their contact details like phone/mobile numbers to/with their depository participant/registrar of the Bank, to enable the Bank to contact them in case of need.

12.8 Distribution of Shareholding

12.8.1 Distribution of shareholding as on 31.03.2017 vis-à-vis position as at 31.03.2016 :

Ym[aV B©pŠdQr eoàHolding Equity Shares

`Wm 31.03.2017 H$s pñW{V Ho$ AZwgma (A§._y. `2/-) As on 31.03.2017 (FV `2/-)

`Wm 31.03.2016 H$s pñW{V Ho AZwgma (A§._y. `2/-) As on 31.03.2016 (FV `2/-)

eoàYmaH$mo§ H$s g§.No. of

Shareholders

Hw$b H$m %

% to total

eoàmo§ H$s g§.No. of Shares

Hw$b H$m %

% to total

eoàYmaH$mo§ H$s g§.No. of Share

holders

Hw$b H$m %

% to total

eoàmo§ H$s g§.No. of Shares

Hw$b H$m %

% to total

Upto 5000 VH$ 71761 98.07 33022479 2.88 73807 98.21 34062829 3.33

5001 go to 10000 VH$ 718 0.98 5424520 0.47 680 0.90 5141129 0.50

10001 go to 20000 VH$ 348 0.48 4976755 0.43 327 0.44 4630202 0.45

20001 go to 30000 VH$ 122 0.17 3026949 0.26 120 0.16 2999936 0.29

30001 go to 40000 VH$ 43 0.06 1495346 0.13 46 0.06 1584263 0.15

40001 go to 50000 VH$ 31 0.04 1429015 0.12 32 0.04 1453546 0.14

50001 go to 100000 VH$ 66 0.09 4579366 0.40 55 0.07 3824016 0.37

100001 d A{YH$ & above 83 0.11 1093102013 95.30 84 0.11 968789654 94.75

Hw$b TOTAL 73172 100.00 1147056443 100.00 75151 100.00 1022485575 100.00

(S>rnr) `m _ogg© H$mdr© H§$ß`yQaeoà àm.{b., Omo ~¢H$ H$m a{OñQ—ma h¡, go n§OrH¥$V/AÚVZ H$admE§ Vm{H$ ~¢H$ Bg h[aV nhb _o§ gh^mJr hmo gHo &

{OZ eoàYmaH$mo§ Zo AnZo B©-_ob nVo Zht {XE/AÚVZ Zht {H$E h¢ Am¡a BboŠQ—m°{ZH$ _moS Ho ~Om` CgH$s _w{ÐV à{V`m± (hmS© H$m°nr) àmßV H$aZm MmhVo h¢/H$aZo H$m AZwamoY H$aVo h¢, CÝho§ g§gyMZmAmo§/gyMZmAmo§ Am¡a AÝ` XñVmdoµOmo§ H$s hmS© H$m°{n`m± hr ôOr OmE§Jr& {OZ eoàYmaH$mo§ H$mo B©-_ob go ôOr dm{f©H$ [anmoQmoª H$s gm°âQ H$m°{n`m± dmng AmVr h¢, CÝho§ hmS© H$m°{n`m± ôOZm ^r gw{Z{üV {H$`m OmVm h¡&

eoàYmaH$mo§ go `h ^r AZwamoY h¡ {H$ do AnZm g§nH© {ddaU O¡go \$moZ/ _mo~mB©b g§»`m {Snm°{OQar nm{Q©{gno§Q/~¢H$ Ho$ a{OñQ—ma H$mo gy{MV H$ao§ Vm{H$ ~¢H$ Oê$aV Ho$ g_` CZgo g§nH©$ H$a gHo§ &

12.8 eoà-Ym[aVm H$m g§{dVaU12.8.1 31.03.2016 H$s pñW{V H$s VwbZm _o§ 31.03.2017 H$mo eoà Ym[aVm H$m g§{dVaU…

106 dm{f©H$ [anmoQ>© 2016-17

H«$. g§. Sl. No. eoàYmaH$mo§ H$m àdJ© Category of Shareholders

Ym[aV eoàmo§ H$s g§. No. of shares held Hw$b Ym[aVm H$m %

% to total holding

H$mJµOr Physical

Sr_¡Q Demat

Hw$b Total

1. ^maV Ho amîQ—n{V President of India 0 811712250 811712250 70.76

2.

^maVr` OrdZ ~r_m {ZJ_ LIC of India^maVr` OrdZ ~r_m {ZJ_ _mH}$Q> ßbg-1LIC of India Market Plus –1^maVr` OrdZ ~r_m {ZJ_ - doëW ßbg/LIC of India – Wealth Plus

0 216948248 216948248 18.91

3. ^maVr` {dÎmr` g§ñWmE§ Indian Financial Institutions 0 9842431 9842431 0.86

4. å`yMwAb ’§$S> Am¡a `yQ>rAmB© Mutual Funds & UTI 500 23983733 23984233 2.09

5. {ZJ{_V {ZH$m` (AmB©gr~r) Bodies Corporate (ICBs) 62500 8848166 8910666 0.786. ~¢H$ Banks 1000 856584 857584 0.087. {dXoer g§ñWmJV {ZdoeH$ Foreign Institutional Investors 5500 19329881 19335381 1.698. Amogr~r OCBs 25500 0 25500 0.009. EZAmaAmB© NRIs 325000 2592980 2917980 0.25

10. EZ~rE\$gr NBFC 0 26720 26720 0.0011. {Zdmgr ì`{º Resident Individuals 3146621 49348829 52495450 4.58

`moJ TOTAL 3566621 1143489822 1147056443 100

12.8.3 The total foreign shareholding (NRIs, OCBs and FIIs) as at 31st March, 2017 was 1.94% which is within the stipulated level of 20% of the total paid up capital of the Bank.

H«$. g§. Sl. No. àdJ© Category

`Wm 31.03.2017 (A§{H$V _yë` `2/-)

As on 31.03.2017 (Face Value `2/-)

`Wm 31.03.2016 (A§{H$V _yë` `2/-)

As on 31.03.2016 (Face Value `2/-)

eoàmo§ H$s g§. No. of Shares

Hw$b ny±Or H$m % % to total capital

eoàmo§ H$s g§. No. of Shares

Hw$b ny±Or H$m % % to total capital

1. {dXoer g§ñWmJV {ZdoeH$ Foreign Institutional Investors 19335381 1.69 21314938 2.08

2. Amogr~r OCBs 25500 0.00 25500 0.003. EZAmaAmB© NRIs 2917980 0.25 2967339 0.29

`moJ TOTAL 22278861 1.94 24307777 2.38

12.8.4 31.03.2017 H$s pñW{V Ho AZwgma ~¢H$ Ho nm±M erf© eoàYmaH$ 12.8.4 Top five shareholders of the Bank as on 31.03.2017

H«$. g§. Sl. No. eoàYmaH$ Ho àdJ© Category of Shareholders Ym[aV eoàmo§ H$s g§.

No. of Shares heldHw$b Ym[aVm H$m %

% to total holding1. ^maV Ho amîQ—n{V President of India 811712250 70.76

2. ^maVr` OrdZ ~r_m {ZJ_ (CgH$s gh¶moJr H§$n{Z¶m| g{hV) Life Insurance Corporation of India (including its Associates)

216948248 18.91

3. EMS>rE’$gr Q´>ñQ>r H§$nZr {b{‘Q>oS> - EMS>rE’$gr àwS>oÝg ’§$S>HDFC Trustee Company Limited – HDFC Prudence Fund

23983733 2.09

4. OZab B§í¶moaoÝg H$mnm}aoeZ Am°’$ B§{S>¶mGeneral Insurance Corporation of India

5298050 0.46

5.doZJmS© B_qO©J _mHo©Q²g ñQm°H$ B§SoŠg \§S, doZJmS© B§QaZoeZb B{¹$Qr B§SoŠg \§S H$s l¥§IbmVanguard Emerging Markets Stock Index Fund, A Series of Vanguard International Equity Index Fund

3188493 0.28

12.8.2 31.03.2017 H$s pñW{V Ho AZwgma eoàYm{aVm n¡QZ©

12.8.3 31 _mM© 2017 H$s pñW{V Ho AZwgma Hw$b {dXoer eoàYm[aVm (A{Zdmgr ^maVr`, Amogr~r Am¡a E\$AmB©AmB©) 1.94% ahr, Omo ~¢H$ H$s Hw$b àXÎm ny±Or Ho 20% Ho {ZYm©[aV ñVa Ho ^rVa h¡&

12.8.2 Shareholding Pattern as on 31.03.2017


12.8.5 Status of Shares lying in CorpBank Unclaimed Shares Suspense Account as on 31st March, 2017 :

df© Year2013-14 VH$ àËòH$ `10 Ho$ à{V eoà bm^m§e H$s am{e

Amount of Dividend per Share of `10 each upto 2013-14

[aH$mS©/~hr ~§Xr Ho {XZm§H$Record Date/ Book Closure Dates

bm^m§e AXm`Jr {XZm§H$Dividend payment date

2013-14A§V[a‘ Interim `4.50 29.01.2014 31.01.2014

A§{V‘ Final `2.25 17.06.2014 go to 26.06.2014 VH$ 03.07.2014

2014-15 àËòH$ `2 Ho$ à{V eoà na `1.40 `1.40 per share of `2/- each

24.06.2015 go to 29.06.2015 VH$ 06.07.2015

2015-16 eyÝ` Nil - -

12.8.5 `Wm 31 _mM©, 2017 H$mo H$mn© ~¢H$ AXmdmH¥V eo`g© CM§V ImVo _o§ eoàmo§ H$s pñW{V :

12.10.1 Unclaimed Dividends : Shareholders who have not received the dividend for the earlier years may please contact Investor Services Department of the Bank or M/s Karvy Computershare Pvt. Ltd., Hyderabad, for assistance.

12.10.2 During the year, balances in respect of the following two unclaimed dividend accounts which fell due for transfer to the Investor Education Protection Fund (IEPF) account of Government of India, has been transferred to the said account held with Punjab National Bank, New Delhi-Connaught Circus Branch on the dates mentioned against them, as per the provisions of Section 10B of the Banking Companies

12.10.1 AXmdmH¥$V bm^m§e… {OZ eoàYmaH$mo§ H$mo {nN>bo dfmoª

H$m bm^m§e àmßV Zht hwAm h¡, do ghm`Vm hoVw ~¢H$ Ho {ZdoeH$ godm

{d^mJ `m _ogg© H$mdr© H§$ß`yQaeoà àmBdoQ {b., h¡Xam~mX go g§nH©

H$ao§&

12.10.2 df© Ho Xm¡amZ, {ZåZdV Xmo AXmdmH¥$V A§{V_ bm^m§e ImVo Ho$

g§~Yr ~H$m`m, Omo H§$nZr A{Y{Z`_ 2013 H$s Ymam 125 Ho gmW `Wm

n{RV ~¢qH$J H§$nZr (CnH«$_mo§ H$m AO©Z Am¡a A§VaU) A{Y{Z`_, 1980

H$s Ymam 10~r Ho àmdYmZmo§ Ho VhV ^maV gaH$ma H$s {ZdoeH$ {ejm g§ajU

{Z{Y (AmB©B©nrE\$) H$mo A§V[aV H$aZo hoVw {Z`V hmo JB©, CÝho§ ~¢H$ H$mo BgHo$

eoàYmaH$mo§ H$s g§»`m No. of Shareholders eoàmo§ H$s g§»`m No. of Shares

30 19000

12.9 Dematerialisation of shares and liquidity

12.9.1 As per Securities and Exchange Board of India (SEBI) circular SMDRP/POLICY/CIR-03/99 dated February 4, 1999, delivery of the Bank’s shares in dematerialised form has been made compulsory for all investors effective from May 31, 1999. The Bank’s shares are therefore, compulsorily traded in demat form. As an issuer, the Bank has entered into agreements with both the Depositories viz. National Securities Depositories Ltd. and Central Depository Services (India) Ltd., for dematerialisation of shares. The ISIN Code allotted to the Bank’s Equity Shares is INE112A01023.

12.9.2 As on 31st March, 2017, 99.69% of equity shares held by the public (including Government of India i.e. Promoter) are in demat form.

12.10 The details of the dividend declared by the Bank during the past three years are as under:

12.9 eoàmo§ H$m Sr_¡{Q[a`bmBµOoeZ Ed§ Mb{Z{Y

12.9.1 ^maVr` à{V^y{V Ed§ {d{Z_` ~moS© (go~r) Ho n[anÌ

EgE_SrAmanr/nm°{bgr/n[a-03/99 {XZm§{H$V 4 \$adar, 1999 Ho

AZwgma 31 _B©, 1999 go g^r {ZdoeH$mo§ Ho {bE ~¢H$ Ho eoàmo§ H$s {S{bdar

Sr_¡Q ê$n _o§ hmoZm A{Zdm`© H$a {X`m J`m h¡& AV… ~¢H$ Ho eoà boZXoZ

A{Zdm`©V… Sr_¡Q ê$n _o§ hr hmoVo h¢& OmarH$Vm© Ho ê$n _o§ ~¢H$ Ho eoàmo§ H$mo

Sr_¡Q H$aZo hoVw XmoZmo§ {Snm°{µOQamo§ AWm©V² Z¡eZb {gŠ`w[aQrµO {Snm°{µOQarO {b.

Am¡a go§Q—b {Snm°{µOQar g{d©gog (B§{S`m) {b. Ho gmW H$ama {H$E h¢& ~¢H$ Ho

B©p¹Qr eoàmo§ H$mo Am~§{QV AmB©EgAmB©EZ Hy$Q INE112A01023 h¡&

12.9.2 31 _mM©, 2017 H$s pñW{V Ho AZwgma OZVm (^maV gaH$ma,

AWm©V² àdV©H$ g{hV) Ûmam Ym[aV B©p¹Qr eoàmo§ Ho 99.69% Sr_¡Q ê$n

_o§ h¢&

12.10 {nNbo VrZ dfmoª Ho Xm¡amZ ~¢H$ Ûmam Kmo{fV bm^m§e Ho {ddaU

{ZåZmZwgma h¡…

108 dm{f©H$ [anmoQ>© 2016-17

HŒ . g§.Sl.

No.

AXmdmH¥ V bm^m§e ImVo H$m {ddaUDetails of Unpaid Dividend

Accounts

Mmby ImVm g§.

CA A/c.

No.

KmofUm H$s VmarI

Date of

Declaration

A§VaU H$s VmarI na eof `

Balance as on

date of

transfer `

AmB©B©nrE\ H$mo A§VaU H$s Xo` A§{V_ VmarIDue date of

transfer to

IEPF

AmB©B©nrE\$ ImVo H$mo A§VaU H$s

VmarIDate of transfer

to IEPF A/c

1. Ag§XÎm A§V[a_ bm^m§e ImVm -2008-09Unpaid Interim Dividend Account

2008–09

5218 26.02.2009 982956.00 03.03.2016 19.09.2016*

2. Ag§XÎm A§{V_ bm^m§e ImVm -2008-09Unpaid Final Dividend Account

2008–09

5219 25.07.2009 1684568.00 30.08.2016 29.12.2016*

* Z`m {ZYm©{aV B©-\ m_© AmB©B©nrE\ 1 CnbãY Z hmoZo Ho H$maU AmB©B©nrE\ 1 ImVo _o§ Cg {XZm§H$ H$mo am{e A§V{aV H$s JB© h¡&

BZ bm^m§e dma§Qmo§ go g§~§{YV H$moB© ^r Xmdm eoàYmaH$mo§ Ûmam ~¢H$ `m AmB©B©nrE\$ Ho$ gmW Zht {H$`m Om gHo Jm& *Due to non-availability of prescribed new e_form IEPF1, the amount was transferred to IEPF account effected on these dates.

No claim for payment of dividends in respect thereof, lies either with the Bank or the IEPF, by the shareholders.

12.10.3 eoàYmaH$mo§ go Amd{YH$ ê$n go AZwamoY {H$`m OmVm h¡ {H$ do

AmB©B©nrE\$ ImVo _o§ A§VaU hoVw {Z`V hmoZo dmbo AXmdmH¥$V bm^m§e ImVmo§ Ho

g§~§Y _o§ AnZm Xmdm \$m_© H$m\$r nhbo hr àñVwV H$ao§& {dÎm df© 2009-10

Ho g§~§Y _o§ AXmdmH¥$V bm^m§e ImVo _o§ AWm©V² {ZåZ{b{IV Vm{bH$m _o§

Mmby ImVm g§. 5235 (H«$. g§. 1) go g§~§{YV eofam{e 15.08.2017 H$mo

AmB©B©nrE\$ ImVo _o§ A§VaU hoVw {Z`V hmo JB© h¡& Bgo VXZwgma AmB©B©nrE\$

ImVo _o§ A§V[aV {H$`m OmEJm& ~mH$s AXmdmH¥V bm^m§e ImVmo§ H$s eofam{e

CZHo gm_Zo Xem©B JB© CZH$s {Z`V VmarImo§ Ho AZwgma {ZdoeH$ {ejm g§ajU

{Z{Y (AmB©B©nrE\$) _o§ A§V[aV H$s OmEJr Am¡a CgHo ~mX eo`YmaH$mo§ Ûmam

~¢H$ go `m AmB©B©nrE\$ go Cº bm^m§e Ho ^wJVmZ hoVw H$moB© ^r Xmdm Zht {H$`m

Om gHo$Jm& Bg{bE eoàYmaH$mo§ go AZwamoY h¡ {H$ do Ag§XÎm bm^m§e hoVw

AnZo Xmdo ~¢H$ Ho a{OñQ—ma Am¡a eoà A§VaU EOo§Q _ogg© H$mdr© H§$ß`yQaeoà

àm. {b., h¡Xam~mX H$mo `m H$mnmo©aoQ H$m`m©b` Ho {ZdoeH$ godm {d^mJ H$mo

`WmerK« àñVwV H$ao§&

12.10.3 Shareholders are periodically requested to submit their claim forms, well in advance of the unclaimed dividend accounts falling due for transfer to IEPF Account. The balance in respect of unclaimed dividend Account for FY 2009-10 i.e. CA/c 5235 (Sl. No. 1) in the following table, fell due for transfer to IEPF Account on 15.08.2017. The same shall be transferred to IEPF Account accordingly. The balances in respect of the remaining unclaimed dividend accounts will be transferred to the Investor Education Protection Fund (IEPF) account, as per the due dates of transfer to IEPF, mentioned against them and thereafter no claim for payment of dividend thereof shall lie either with the Bank or the IEPF, by the shareholders. Shareholders are therefore requested to submit their claims for unpaid dividends, either to the Registrar and Share Transfer Agent of the Bank or to the Investor Services Department at Corporate Office, at the earliest.

VhV bmJy g§~§{YV {Z`_m| Ho$ AZwgma CZHo gm_Zo C{„{IV VmarI H$mo n§Om~

Z¡eZb ~¢H$, ZB© {X„r, H$Zm°Q gH©$g emIm _o§ aIo Cº ImVo _o§ A§V[aV

{H$`m J`m h¡&

(Acquisitions and Transfer of Undertakings) Act, 1980, read with Section 125 of the Companies Act, 2013, and as per the relevent Rules made applicable thereunder to the Bank.


31.03.2017 H$mo ~H$m`m eof g{hV Ag§XÎm bm^m§e ImVmo§ H$s gyMr {ZåZdV h¡:

The list of Unpaid Dividend accounts with balance outstanding as on 31.03.2017 is as follows:

H«$. g§.Sl. No.

Ag§XÎm bm^m§e ImVmo§ Ho {ddaUDetails of the Unpaid Dividend Accounts

gr.E. ImVm g§.C.A. A/c No.

KmofUm H$m {XZm§H$Date of

Declaration

31.03.2017 H$mo eof (`)Balance as

on 31.03.2017(`)

AmB©B©nrE’$ H$mo A§VaU hoVw {Z¶V

VmarIDue date of

transfer to IEPF1. Ag§XÎm bm^m§e ImVm - 2009-10

Unpaid Dividend Account – 2009–10 510101000854971 10.07.2010 3389192.00 15.08.2017

2. Ag§XÎm bm^m§e ImVm - 2010-11Unpaid Dividend Account – 2010–11 510101000854998 09.07.2011 4195683.00 14.08.2018



5. Ag§XÎm A§V[a_ bm^m§e ImVm - 2013-14Unpaid Interim Dividend Account – 2013–14 510101000855021 23.01.2014 1493652.00 01.03.2021

6. Ag§XÎm A§{V_ bm^m§e ImVm - 2013-14Unpaid Final Dividend Account – 2013–14 510101000855031 26.06.2014 819402.00 01.08.2021

7. Ag§XÎm A§{V_ bm^m§e ImVm - 2014-15Unpaid Final Dividend Account – 2014–15 510101000855048 29.06.2015 2494568.00 04.08.2022

12.11 SEBI has made it mandatory for all the listed companies including Banks, to use the Bank Account details furnished by the Depositories for payment of dividend. It has also made it mandatory for listed companies to use RBI approved electronic mode of payments such as ECS, NECS, NEFT, RTGS etc., for making dividend payments and in the event of non-availability of the required information like bank account details, MICR and IFSC Code etc., to use physical payment instruments for making such payments to shareholders. The Bank shall print Bank account details, as made available by the depositories or the shareholders (in case holding shares in physical form), on payment instruments for distribution of dividends to the investors.

12.11.1 The shareholders who have not provided the Bank Mandate or NECS details/change in Bank Mandate details, may furnish the same, to avoid fraudulent encashment of the dividend warrants. Proforma for furnishing the Bank Mandate is provided separately in the Annual Report.

12.11.2 It may please be noted that the shareholders who are holding the shares in physical form may send their Bank Mandate details to Investor Services Department of the Bank or M/s Karvy Computershare Pvt. Ltd., Hyderabad, for updating the record of the shareholders. The shareholders who are holding the shares in demat (electronic) form may approach their Depository Participant for necessary updation of the particulars.

12.11 go~r Zo ~¢H$mo§ g{hV g^r gyMr~Õ H§$n{Z`mo§ Ho {bE `h A{Zdm`©

H$a {X`m h¡ {H$ do bm^m§e H$m ^wJVmZ H$aZo hoVw {Snm°{µOQar Ûmam àñVwV ~¢H$

ImVm {ddaU H$m Cn`moJ H$ao§& CÝhmo§Zo gyMr~Õ H§$n{Z`mo§ H$mo `h ^r A{Zdm`©

H$a {X`m h¡ {H$ bm^m§e Ho ^wJVmZ hoVw do B©grEg, EZB©grEg, EZB©E\$Qr,

AmaQrOrEg Am{X O¡go ^m.[a.~¢. Ûmam AZw_mo{XV ^wJVmZ {d{Y`mo§ H$m Cn`moJ

H$ao§ Am¡a ~¢H$ ImVm {ddaU, E_AmB©grAma, AmB©E\$Eggr Hy$Q Am{X O¡gr

Ano{jV OmZH$mar CnbãY Z hmoZo na eoàYmaH$mo§ H$mo Eogo ^wJVmZ H$aZo hoVw

H$mJµOr ^wJVmZ {bIVmo§ H$m BñVo_mb H$a gH$Vo h¢& ~¢H$, {ZdoeH$mo§ H$mo

bm^m§e {dV[aV H$aZo hoVw ^wJVmZ {bIV na {Snm°{µOQ[a`mo§ `m eoàYmaH$mo§

Ûmam (`{X eoà H$mJµOr ê$n _o§ Ym[aV hmo§ Vmo) CnbãY H$amE JE ~¢H$ ImVm

{ddaU H$mo _w{ÐV H$ao§Jo&

12.11.1 {OZ eoàYmaH$mo§ Zo ~¢H$ A{YXoe m EZB©grEg {ddaU Zht {X`m

h¡/~¢H$ A{YXoe {ddaU _o§ n[adV©Z gy{MV Zht {H$E h¢, do bm^m§e dma§Q>mo§ H$s

H$nQnyU© ^wZmB© go ~MZo hoVw {ddaU àñVwV H$ao§& ~¢H$ A{YXoe àñVwV H$aZo

hoVw àmo\$m_m© dm{f©H$ [anmoQ© _o§ AbJ go {X`m J`m h¡&

12.11.2 H¥$n`m ZmoQ H$ao§ {H$ Omo eoàYmaH$ H$mJµOr ê$n _o§ eoàmo§ H$mo

Ym[aV H$aVo h¢ do [aH$mS© H$mo AÚVZ H$aZo hoVw AnZo ~¢H$ A{YXoe {ddaU ~¢H$

Ho {ZdoeH$ godm {d^mJ/_ogg© H$mdu H§$ß`yQaeoà àmBdoQ {b., h¡Xam~mX H$mo

ôO gH$Vo h¢& Omo eoàYmaH$ Sr_¡Q (BboŠQ—m°{ZH$) ê$n _o§ eoà Ym[aV H$aVo h¢,

do {ddaU H$mo AÚVZ H$aZo hoVw {Snm°{µOQar nm{Q©{gno§Q go g§nH© H$a gH$Vo h¢&

110 dm{f©H$ [anmoQ>© 2016-17

12.11.3 The shareholders holding shares in physical form are requested to dematerialise their shares due to the convenience it offers, in holding, in transferring and in trading of shares. Loss, damage, mutilation of share certificates can be totally avoided.

12.11.4 Transmission of Shares: The Securities and Exchange Board of India (SEBI), vide their circular SEBI/HO/MISRSD3/P/2016/0000000085 dated 15th September, 2016, has modified the guidelines to make transmission process more investor friendly. The details of the same are available on the Bank’s website www.corpbank.com under “Investor Relations – Information to Investors”.

12.11.5 Nomination facility: Nomination facility has now been made available by the Bank for shareholders holding the Bank’s shares in physical mode. Shareholders are requested to submit the duly filled-in and signed Nomination form as per the format made available in this Annual Report, to the Registrar and Share Transfer Agent, M/s. Karvy Computershare Pvt. Ltd., Hyderabad, for doing the needful.

12.12 Address for Correspondence: The Bank has set up an Investor Services Department at its Corporate Office at Mangaluru. For any assistance regarding share transfers, transmissions, change of address, non-receipt of dividend, duplicate/missing share certificates and other matters pertaining to shares, the investors may contact the Bank at the following address:

The Company Secretary

Investor Services Department

Corporation Bank, Corporate Office

Mangaladevi Temple Road

Mangaluru – 575 001

Tel: 0824-2424971, 2423853 (Direct)

2861482

Fax: 0824-2421581, 2423853

INVESTOR GRIEVANCES – E-mail: [email protected]

12.13 Corporation Bank shares are listed on both BSE and NSE. The fair volume of trading provides enough entry/exit opportunities to the shareholders.

The Bank has not issued GDRs/ADRs/Warrants or any other convertible instruments.

12.11.3 H$mJµOr ê$n _o§ eoà Ym[aV H$aZo dmbo eoàYmaH$mo§ go AZwamoY h¡ {H$ A§VaU, eoà _o§ Q—oqSJ _o§ gw{dYm VWm H$mJµOr eoà à_mUnÌ Ho ImoZo/j{VJ«ñV hmoZo/H$QZo-\$QZo Am{X go ~MZo Ho {bE AnZo eoàmo§ H$mo {S_¡{Q[a`bmBO H$admE§&

12.11.4 eoàmo§ H$m CÎmam{YH$ma A§VaU… ^maVr` à{V^y{V Ed§ {d{Z_` ~moS© (go~r) Zo AnZo n[anÌ go~r/EMAmo/E_AmB©EgAmaEgS>r3/nr/2016/ 0000000085 {XZm§H$ 15 {gV§~a, 2016 Ûmam CÎmam{YH$ma A§VaU à{H«$`m g§~§Yr {Xem{ZXo©emo§ H$mo A{YH$ {ZdoeH$ {hV¡fr ~ZmZo Ho CÔoí` go Amemo{YV

{H$`m h¡& Bggo g§~§{YV {ddaU ~¢H$ H$s do~gmBQ www.corpbank.

com na “Investor Relations – Information ot Investors” Ho A§VJ©V CnbãY h¡&

12.11.5 Zm_m§H$Z gw{dYm… ~¢H$ Ho eoà H$mJµOr ê$n _o§ aIZo dmbo eoàYmaH$mo§ H$mo ~¢H$ Zo A~ Zm_m§H$Z gw{dYm CnbãY H$amB© h¡& eoàYmaH$mo§ go AZwamoY h¡ {H$ do Bg dm{f©H$ [anmoQ© _o§ CnbãY H$amE JE \$m_o©Q Ho AZwgma {d{YdV² âm hwAm Am¡a hñVmj[aV Zm_m§H$Z \$m_© a{OñQ—ma Am¡a eoà A§VaU EOo§Q _ogg© H$mdr© H§$ß`yQaeoà àmBdoQ {b., h¡Xam~mX H$mo Amdí`H$ H$ma©dmB© hoVw àñVwV H$ao§&

12.12 nÌmMma hoVw nVm… ~¢H$ Zo _§Jbyé _o§ AnZo H$mnmo©aoQ H$m`m©b` _o§ {ZdoeH$ godm {d^mJ ñWm{nV {H$`m h¡& eoà A§VaU, CÎmam§VaU, nVo _o§ n[adV©Z, bm^m§e H$s AàmpßV, eoà à_mU nÌ H$s Xygar à{V hoVw/à_mU nÌ Imo OmZo Am¡a eoàmo§ go g§~§{YV AÝ` _m_bmo§ Ho {bE {ZdoeH$ {ZåZ{b{IV nVo na ~¢H$ go g§nH© H$a gH$Vo h¢:

H§$nZr g{Md

{ZdoeH$ godm {d^mJ

H$mnmo©aoeZ ~¢H$, H$mnmo©aoQ H$m`m©b`

_§JbmXodr _§{Xa _mJ©

_§Jbyé - 575 001

Xya^mf… 0824-2424971, 2423853 (grYm)

2861482

\¡$Šg… 0824-2421581, 2423853

{ZdoeH$ {eH$m`Vo§ - B©-_ob… [email protected]

12.13 H$mnmo©aoeZ ~¢H$ Ho eoà ~rEgB© Am¡a EZEgB© _o§ gyMr~Õ {H$E JE h¢& ~‹Sr _mÌm _o§ eoàmo§ Ho boZ-XoZ hmoZo Ho H$maU eoàYmaH$mo§ H$mo IarXZo/~oMZo Ho n`m©ßV Adga CnbãY h¢&

~¢H$ Zo OrSrAma/ESrAma/dma§Q `m AÝ` H$moB© n[adV©Zr` {bIVo§ Omar Zht H$s h¢&


12.14 The branches of the Bank have spread all over India and have representative office at Dubai and Hong Kong.

13. Corporation Bank, as a responsible corporate citizen, believes that Corporate Governance is not just compliance with statutory requirements but doing what is best in the interest of all the stakeholders and the society at large in a transparent and ethical way with a rewarding environment to stakeholders.

14. Compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015.

14.1 In pursuance of the Regulations, the Bank has formulated Code of Conduct for Prevention of Insider Trading for Designated Employees and Directors for dealing in Shares of the Bank which was last modified on 21.04.2017. Various forms have been designed to receive periodical information from the Designated Employees and the Directors of the Bank, as required in terms of these Regulations. Further, the Trading Window for dealing in shares of the Bank was kept closed for the Directors and Designated Employees of the Bank as per the following details:

ì`mnma qdSmo ~§X H$aZo H$s VmarIo§ Dates of Closure of Trading Window ~§X H$aZo H$m CÔoí` Purpose of Closure

13 _B©, 2016 go 20 _B©, 201613th May, 2016 to 20th May, 2016

31 _mM©, 2016 H$mo g_mßV {V_mhr hoVw {V_mhr {dÎmr` n[aUm_mo§ H$s KmofUm& Declaration of Financial results for the quarter/year ended 31st March, 2016.

23 OyZ, 2016 go 30 OyZ, 201623rd June, 2016 to 30th June, 2016

29 OyZ, 2016 H$mo Am`mo{OV dm{f©H$ gm_mÝ` ~¡RH$&Annual General Meeting held on 29th June, 2016.

04 AJñV, 2016 go 12 AJñV, 20164th August, 2016 to 12th August, 2016

30 OyZ, 2016 H$mo g_mßV {V_mhr hoVw {V_mhr {dÎmr` n[aUm_mo§ H$s KmofUm&Declaration of Quarterly Financial results for the quarter ended 30th June, 2016.

10 {gV§~a, 2016 go 17 {gV§~a, 201610th September, 2016 to 17th September, 2016

^maV gaH$ma H$mo A{Y_mZr Am~§QZ AmYma na B©p¹Qr eoàmo§ H$mo Omar H$aZo hoVw, ~¢H$ Ho eoàYmaH$mo§ H$s EH$ AgmYmaU _hmg^m 15 {gV§~a 2016 H$mo Am`mo{OV H$s JB© &The Extraordinary General Meeting of the shareholders of the Bank held on 15th September, 2016 to issue equity shares on preferential basis to Government of India.

9 Zd§~a, 2016 go 16 Zd§~a, 20169th November, 2016 to 16th November, 2016

30 {gV§~a, 2016 H$mo g_mßV {V_mhr hoVw {V_mhr {dÎmr` n[aUm_mo§ H$s KmofUm&Declaration of Quarterly Financial results for the quarter ended 30th September, 2016.

5 \$adar, 2017 go 12 \$adar, 20175th February, 2017 to 12th February, 2017

31 {Xg§~a, 2016 H$mo g_mßV {V_mhr hoVw {V_mhr {dÎmr` n[aUm_mo§ H$s KmofUm &Declaration of Quarterly Financial results for the quarter ended 31st December, 2016.

15 _B©, 2017 go 22 _B©, 2017 15th May, 2017 to 22nd May, 2017

31 _mM©, 2017 H$mo g_mßV {V_mhr hoVw dm{f©H$ {dÎmr` n[aUm_mo§ H$s KmofUm&Declaration of Annual Financial results for the quarter and year ended 31st March, 2017

12.14 ~¢H$ H$s emImE± nyao ^maV â _o§ h¢ VWm Xw~B© VWm hm§JH$m§J _o§

à{V{Z{Y H$m`m©b` h¢&

13. EH$ {Oå_oXma H$mnmo©aoQ ZmJ[aH$ Ho ê$n _o§ H$mnmo©aoeZ ~¢H$ `h {dœmg

H$aVm h¡ {H$ H$mnmo©aoQ A{êmgZ gm§{d{YH$ AnojmAmo§ H$m AZwnmbZ H$aZm

_mÌ Zht h¡ ~pëH$ nmaXer© Ed§ Z¡{VH$ VarHo go g^r eoàYmaH$mo§ Ed§ g_J«

g_mO Ho {hV _o§ CÎm_ H$m`© H$aZm h¡&

14. go~r (ô{X`m ì`mnma H$m à{V~§Y) {d{Z`_, 2015 H$m

AZwnmbZ.

14.1 BZ {d{Z`_mo§ Ho AZwgaU _o§, ~¢H$ Ho eoà Ho boZ-XoZ hoVw nXZm{_V

H$_©Mm[a`mo§ VWm {ZXoeH$mo§ Ho {bE o{X`m ì`mnma Ho {ZdmaU hoVw ~¢H$ Zo AmMma

g§{hVm ~ZmB© h¡, {Og_o§ 21.04.2017 H$mo A§{V_ g§emoYZ {H$`m J`m Wm& BZ

{d{Z`_mo§ Ho AZwgma ~¢H$ Ho nXZm{_V H$_©Mm[a`mo§ VWm {ZXoeH$mo§ go Amd{YH$

gyMZm àmßV H$aZo hoVw {d{^Þ \$m_© ~ZmE JE h¢& gmW hr {ZåZ{b{IV {ddaU

Ho AZwgma ~¢H$ Ho {ZXoeH$mo§ VWm nXZm{_V H$_©Mm[a`mo§ hoVw ~¢H$ Ho eoàmo§ Ho

boZ-XoZ hoVw ì`mnma qdSmo ~§X {H$`m J`m h¡…

112 dm{f©H$ [anmoQ>© 2016-17

14.2 The Bank has framed a Code of Corporate Disclosure Practices for Prevention of Insider Trading and made compliance thereof.

14.3 Related Party Transactions Policy As per the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Related Party Transac-tions Policy has been uploaded on the Bank’s website www.corpbank.com under the head “Investor Relations” – “Policies and Disclosures”, at the following link, for the information of the shareholders and general public.

http://www.corpbank.com/sites/default/files/Related%20Party%20Transactions%20Policy_0.pdf

14.4 Other weblinka. Weblink for familiarization programmes imparted to independent directors is given hereunder:

http://www.corpbank.com/sites/default/files/Directors%20Training%20Program.pdf

b. Weblink of policy for determining material subsidiaries in given hereunder :

http://www.corpbank.com/sites/default/files/Policy%20on%20Subsidiary.pdf

15. Takeover Code 15.1 The Bank has also complied from time to time with the provisions of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 as amended.

16. Business Responsibility Report The Bank being a listed entity, considers itself to be the critical component of the social system in which it operates and hence is accountable not merely to the shareholders from revenue and profitability point of view, but also to the larger society of which it is a part. Hence, adoption of responsible business practices in the interest of the social set-up and the environment is being considered by the Bank as vital as its financial and operational performance. The Bank, having accessed funds from the public, have an element of public interest involved, and hence it takes upon itself the responsibility to make continuous disclosures regarding steps taken by it from environmental, social and governance perspective. SEBI has made it mandatory for the Bank to submit the report for the financial year 2016-2017. The weblink to access the Business responsibility report of the Bank is http://www.corpbank.com/sites/default/files/Business %20Responsibility.pdf



14.2 ~¢H$ Zo ô{X`m ì`mnma amoH$Wm_ hoVw H$mnmo©aoQ àH$QZ àUmbr g§{hVm ~ZmB© h¡ Am¡a CgH$m AZwnmbZ {H$`m h¡&

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go~r (gyMr Xo`VmE§ Am¡a Amdí`H$ àH$QZ) {d{Z`_, 2015 Ho AZwgma,

g§~§{YV nmQ>u boZ-XoZ Zr{V H$mo ~¢H$ Ho ~odgmB©Q www.corpbank.com na

"Investor Relations'' – "Policies and Disclosures'' Ho VhV AnbmoS {H$`m J`m h¡& eoàYmaH$ Am¡a Am_ OZVm H$s gyMZm Ho {bE qbH$ {ZåZdV h¡:

http://www.corpbank.com/sites/default/files/Related%20Party%20Transactions%20Policy_0.pdf

14.4 AÝ` do~qbH$ :

H$. ñdV§Ì {ZXoeH$mo§ hoVw Am`mo{OV n[aM` H$m`©H«$_ hoVw do~qbH$ {ZåZdV² h¡ :

http://www.corpbank.com/sites/default/files/Directors%20Training%20Program.pdf

I. ^m¡{VH$ AZwf§{J`mo§ H$mo {ZYm©[aV H$aZo hoVw Zr{V H$m do~qbH$ {ZåZdV² h¡:

http://www.corpbank.com/sites/default/files/Policy%20on%20Subsidiary.pdf

15. A{YJ«hU g§{hVm15.1 ~¢H$ Zo go~r (eoàmo§ H$m n`m©ßV A{^J«hU VWm A{YJ«hU) A{Y{Z`_ 2011 Ho `Wm g§emo{YV àmdYmZmo§ H$m g_`-g_` na AZwnmbZ {H$`m h¡&

16. H$mamo~ma {Oå_oXmar [anmoQ©EH$ gyMr~Õ BH$mB© Ho ê$n _o§ ~¢H$ AnZo Amn H$mo Cg gm_m{OH$ àUmbr H$m EH$ _hËdnyU© KQH$ _mZVm h¡ {Og_o§ dh H$m`©aV h¡ Am¡a Bg{bE dh amOñd Ed§ bm^àXVm H$s X¥pîQ go Z Ho$db eoàYmaH$mo§ Ho à{V ~pëH$ ì`mnH$ g_mO Ho$ à{V ^r CÎmaXm`r h¡ {OgH$m dh EH$ A§J h¡& Bg{bE gm_m{OH$ g§aMZm Ed§ n[adoe Ho {hV _o§ {Oå_oXma H$mamo~ma àWmAmo§ H$mo AnZmZo na ^r ~¢H$ CVZm hr _hËd XoVm h¡ {OVZm {H$ dh AnZo {dÎmr` Ed§ n[aMmbZJV {ZînmXZ H$mo XoVm h¡& gmd©O{ZH$ YZam{e H$m boZ-XoZ H$aZo Ho H$maU ~¢H$ Ho H$m`© _o§ OZ-{hV {Z{hV h¡ Am¡a Bg{bE dh {Z`{_V AmYma na nm[ado{eH$, gm_m{OH$ Ed§ emgH$s` X¥pîQ go CgHo Ûmam CRmE JE H$X_mo§ Ho gVV àH$QZ H$s {Oå_oXmar AnZo D$na boVm h¡& {dÎm df© 2016-2017 hoVw go~r Zo ~¢H$ H$mo [anmoQ© àñVwV H$aZm A{Zdm`© ~Zm`m h¡& ~¢H$ H$s H$mamo~ma {Oå_oXmar

[anmoQ© XoIZo hoVw do~qbH$ http://www.corpbank.com/sites/default/

files/Business%20Responsibility.pdf

{ZXoeH$ _§Sb Ho$ {bE Am¡a CZH$s Amoa go

ñWmZ : _§Jbyé (O` Hw _ma JJ©){XZm§H$ : 01.06.2017 à~§Y {ZXoeH$ Ed§ _w»` H$m`©nmbH$ A{YH$mar


KmofUmDECLARATION

~¢H$ Zo ~moS© Ho g^r gXñ`mo§ VWm ~¢H$ Ho H$moa à~§YZ hoVw EH$ AmMma g§{hVm {ZYm©{aV H$s h¡ {Ogo ~¢H$ H$s do~gmBQ _o§ {X`m J`m h¡& ~moS© Ho gXñ`mo§ VWm H$moa à~§YZ Zo 31 _mM©, 2017 Ho g_mßV {dÎmr` df© hoVw AmMma g§{hVm Ho AZwnmbZ H$s nwpîQ H$s h¡&

H¥$Vo H$mnmo©aoeZ ~¢H

ñWmZ : _§Jbyé (O` Hw _ma JJ©){XZm§H … 17.05.2017 à~§Y {ZXoeH$ Ed§ _w»` H$m`©nmbH$ A{YH$mar

The Bank has laid down a Code of Conduct for all the Board members and Core Management of the Bank, which is posted on the website of the Bank. The Board members and Core Management have affirmed compliance with the Code of Conduct for the financial year ended 31st March, 2017.

For Corporation Bank


114 dm{f©H$ [anmoQ>© 2016-17

The Board of Directors Corporation Bank

CEO & CFO Certificate under Regulation 17(8) of the SEBI (Listing Obligations and Disclosure

Requirements) Regulations, 2015

This is to certify that

A. We have reviewed financial statements and the cash flow statement of Corporation Bank for the year 2016-17 and that to the best of our knowledge and belief:

(i) These statements do not contain any materially untrue statement or omit any material fact or contain statements that might be misleading;

(ii) These statements together present a true and fair view of the Bank’s affairs and are in compliance with existing accounting standards, applicable laws and regulations.

B. There are, to the best of our knowledge and belief, no transactions entered into by the Bank during the year which are fraudulent, illegal or violative of the Bank’s code of conduct.

C. We accept responsibility for establishing and maintaining internal controls for financial reporting and that we have evaluated the effectiveness of the internal control systems of the Bank pertaining to financial reporting and we have disclosed to the auditors and the Audit Committee, deficiencies in the design or operation of internal controls, if any, of which we are aware and the steps we have taken or propose to take to rectify these deficiencies.

D. We have indicated to the auditors and the Audit committee:

(1) Significant changes in internal control over financial reporting during the year;

(2) Significant changes in accounting policies during the year and that the same have been disclosed in the notes to the financial statements; and

(3) Instances of significant fraud of which we have become aware and the involvement therein, if any, of the management or an employee having a significant role in the Bank’s internal control system over financial reporting.

E The financial statements have also been subjected to audit by Statutory Central Auditors.

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(1) df© Ho Xm¡amZ {dÎmr` {anmo{Q>ªJ na Am§V[aH$ {Z`§ÌU _o§ _hËdnyU© n{adV©Z&

(2) df© Ho Xm¡amZ boIm§H$Z Zr{V`mo§ _o§ _hËdnyU© n[adV©Z VWm BÝho§ {dÎmr` {ddaUmo§ H$s {Qßn{U`mo§ _o§ àH$Q {H$`m h¡; VWm

(3) h_mar OmZH$mar _o§ AmE H$nQmo§ H$s _hËdnyU© KQZmE± {OZ_o§ à~§YZ `m {dÎmr` {anmo{Q>ªJ na ~¢H$ H$s Am§V{aH$ {Z`§ÌU ì`dñWm _o§ _hËdnyU© ^y{_H$m dmbo H$_©Mmar H$s g§{bßVVm, `{X H$moB© h¡&

L> {dÎmr` {ddaUmo§ H$s gm§{d{YH$ Ho$ÝÐr¶ boIm-narjH$m|§ Ûmam r boIm-narjm H$s JB© h¡&

(E_.~r. JUoe ) (Jmonmb _wabr ^JV) (O` Hw _ma JJ©) ‘hm à~§YH$ Ed§ grE’$Amo H$m`©nmbH$ {ZXoeH$ à~§Y {ZXoeH Ed§ grB©Amo

(M. B. Ganesh) (Gopal Murli Bhagat) (Jai Kumar Garg) General Manager & CFO Executive Director Managing Director and CEOñWmZ Place : _§Jbyé Mangaluru{XZm§H$ Date : _B© May 19, 2017


AUDITORS’ CERTIFICATE ON CORPORATE GOVERNANCE

To the Members of Corporation Bank,

We have examined the compliance of conditions of Corporate Governance by Corporation Bank (“the Bank”) for the year ended on 31st March 2017, as stipulated in SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The compliance of conditions of the corporate governance is the responsibility of the management. Our examination was limited to the procedures and implementation thereof, adopted by the Bank for ensuring the compliance of the conditions of the Corporate Governance. It is neither an audit nor an expression of opinion on the financial statements of the Bank.

In our opinion, and to the best of our information and according to explanations given to us, we certify that the Bank has complied with the conditions of Corporate Governance as stipulated in the above mentioned Listing Regulations.

We state that no investor grievances are pending for a period exceeding one month against the Bank as per the records maintained by the Stakeholders’ Relationship Committee of the Board of the Bank and certificate given by the Registrar and Transfer Agent of the Bank.

We further state that such compliance is neither an assurance as to the future viability of the Bank nor the efficiency or effectiveness with which the management has conducted the affairs of the Bank.

For M. Anandam For Datta Singla For A. K. Sabat & Co. & Co. & Co. Chartered Accountants Chartered Accountants Chartered Accountants FRN - 000125S FRN - 006185N FRN - 321012E

[CA B. V. Suresh Kumar] [CA Sandeep Datta] [CA Arun Kumar Sabat] M.No. 212187 M.No. 092413 M.No. 030310 PARTNER PARTNER PARTNER

For Pramod & Associates For Ponraj & Co. Chartered Accountants Chartered Accountants FRN - 001557C FRN - 002672S

[CA Ravindra Raniwala] [CA K. Paramanandham] M.No. 073191 M.No. 020635 PARTNER PARTNER

Place : MangaluruDate : 20.05.2017

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116 dm{f©H$ [anmoQ>© 2016-17

Disclosures under the New Capital Adequacy Framework Guidelines Basel III (Pillar 3) for the year ended on 31st March, 2017 on a consolidated basis.

Pillar 3 disclosures for the year ended on 31st March, 2017 as per Basel III guidelines of RBI have been disclosed separately on the Bank’s website under ‘Regulatory Disclosures’ section on the home page. The link to this section is http://www.corpbank.com

The section contains the following disclosures:

• Basel III -Pillar IIIDisclosures for the year ended31stMarch, 2017.

• Capital Composition and Reconciliation as on 31stMarch, 2017.

• Main features of Regulatory Capital Instruments as on31st March, 2017.

• LeverageRatioDisclosuresason31stMarch,2017.

• Liquidity Coverage ratio Disclosure for the year ended31st March, 2017.

~ogb (ñV§^) 3 àH$QZBasel Pillar 3 Disclosures

ZE ny§Or n`m©ßVVm Tm§Mo g§~Yr {Xem{ZXo©e ~ogb III (ñV§^ 3) Ho VhV 31 _mM©, 2017 H$mo g_mßV df© hoVw g_o{H$V AmYma na àH$QZ&

^maVr` [aOd© ~¢H ~ogb III {Xem{ZXo©emo§ Ho AZwgma 31 _mM©, 2017 H$mo g_mßV df© hoVw ñV§^ 3 H$m àH$QZ ~¢H H$s do~gmB©Q Ho _wI n¥îR> na “{d{Z`m_H àH$QZ’’ Ho VhV AbJ go àñVwV {H$`m J`m h¡& BgH$s qbH h¡: http://www.corpbank.com

Bg ^mJ _o§ {ZåZdV àHQZ em{_b h¡ :

• ~ogb III- 31 _mM©, 2017 H$mo g_mßV df© hoVw ñV§^ III àH$QZ&

• `Wm 31 _mM©, 2017 H$mo ny§Or g§aMZm Am¡a g_mYmZ&

• `Wm 31 _mM©, 2017 H$mo {d{Z`m_H ny§Or {bIVmo§ H$s _w»` {deofVmE§&

• `Wm 31 _mM©, 2017 H$mo brdaoO AZwnmV àH$QZ&

• `Wm 31 _mM©, 2017 H$mo Mb{Z{Y H$daoO AZwnmV àH$QZ&


INDEPENDENT AUDITORS’ REPORTTo

The Members of Corporation Bank, Mangaluru

Report on the Standalone Financial Statements:

1. We have audited the accompanying Standalone Financial Statements of Corporation Bank (‘the Bank’) as at March 31, 2017, which comprise the Balance Sheet as at March 31,2017, the Profit and Loss Account and the Cash Flow Statement (hereinafter referred to as “Standalone Financial Statements”) for the year then ended, and a summary of significant accounting policies and other explanatory information. Incorporated in these Standalone Financial Statements are the returns of 20 branches audited by us and 1522 branches audited by Statutory Branch Auditors. The branches audited by us and those audited by other auditors have been selected by the Bank in accordance with the guidelines issued to the Bank by the Reserve Bank of India. Also incorporated in the Balance Sheet and the Profit and Loss Account are the returns from 1,020 branches which have not been subjected to audit. These unaudited branches account for 5.23 percent of advances, 7.65 percent of deposits, 3.40 percent of interest income and 5.47 percent of interest expenses.

Management’s Responsibility for the Standalone Financial Statements:

2. Management is responsible for the preparation of these Standalone Financial Statements in accordance with the Banking Regulation Act 1949, Reserve Bank of India guidelines from time to time and accounting standards generally accepted in India. This responsibility includes design, implementation and maintenance of internal control relevant to the preparation of the Standalone Financial Statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility:3. Our responsibility is to express an opinion on these

Standalone Financial Statements based on our audit. We conducted our audit in accordance with Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the Standalone Financial Statements are free from material misstatements.

4. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the Standalone Financial Statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the Standalone Financial Statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Bank’s preparation and fair

ñdV§Ì boIm narjH mo§ H$s [anmoQ©

godm _o§ H mnmo©aoeZ ~¢H Ho gXñ`JU,_§JbyéEH b {dÎmr` {ddaUmo§ na [anmoQ©1. h_Zo 31 _mM©, 2017 VH Ho , H$mnmo©aoeZ ~¢H (VËnümV² ""~¢H '' H$hm

J`m h¡) Ho g§b¾ EH b {dÎmr` {ddaUmo§ H$s boIm narjm H$s h¡, {OZ_o§ `Wm 31 _mM©, 2017 VwbZ-nÌ Am¡a Bgr {V{W H mo g_mßV df© H$m bm^-hm{Z boIm Am¡a ZH Xr àdmh {ddaU (VËnümV² ""EH$b {dÎmr` {ddaU'' H$hm J`m h¡), VWm _hËdnyU© boIm-Zr{V`mo§ H$m gma Ed§ AÝ` ì`m»`mË_H gyMZm em{_b h¢& BZ EH b {dÎmr` {ddaUmo§ _o§ h_mao Ûmam boIm-nar{jV 20 emImAmo§ Am¡a gm§{d{YH emIm boIm-narjH$m|§ Ûmam boIm-nar{jV 1522 emImAmo§ H$mo em{_b {H$`m J`m h¡& ~¢H Zo, h_mao Ûmam boIm-nar{jV emImAmo§ VWm AÝ` boIm-narjH$mo§ Ûmam boIm-nar{jV emImAmo§ H$m M`Z ^maVr` [aµOd© ~¢H Ûmam Omar _mJ©{ZXo©emo§ Ho AZwê$n {H$`m h¡& Bg VwbZ-nÌ Am¡a bm^-hm{Z boIo _o§ 1020 emImAmo§ H r {dda{U`m± r em{_b h¢ {OZH r boIm-narjm Zht H$s JB© h¡ Am¡a BZHo _m_bo _o§ h_Zo H moB© boIm-narjm à{HŒ m Zht H$s h¡& BZ AboIm-nar{jV emImAmo§ _o§ A{JŒ_ H$m 5.23 à{VeV, O_mam{e`mo§ H m 7.65 à{VeV, ã`mO Am` H$m 3.40 à{VeV VWm ã`mO ì`` H m 5.47 à{VeV g_m{hV h¡&

EH$b {dÎmr` {ddaUmo§ Ho {bE à~§YZ-dJ© H m CÎmaXm{`Ëd2. ~¢qH J {d{Z`_Z A{Y{Z`_, 1949, ^maVr` [aµOd© ~¢H {Xem{ZXo©e Am¡a

^maV Ho gZXr boImH ma H$s g§ñWm Ûmam Omar boIm§H Z _mZH$m| g{hV _mÝ`VmàmßV boIm§H Z Zr{V`mo§ Ho AZwgaU _o§ EH b {dÎmr` {ddaUmo§ H$moo V¡`ma H aZo H m CÎmaXm{`Ëd à~§YZ dJ© H m h¡& Bg CÎmaXm{`Ëd _o§ {SOmBZ, H$nQ `m Ìw{Qde _hËdnyU© A`WmWmoª go _wº EH$b {dÎmr` {ddaUmo§ H$mo V¡`ma H aZo go g§~§{YV H m`m©Ýd`Z Am¡a AZwajU em{_b h¡&

boIm-narjH H m CÎmaXm{`Ëd3. h_mam CÎmaXm{`Ëd AnZr boIm-narjm Ho AmYma na BZ EH$b {dÎmr`

{ddaUmo§ Ho g§~§Y _o§ AnZm A{^_V ì`º H$aZm h¡& h_Zo AnZr boIm-narjm ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH$m| Ho AZwgma H r h¡& CZ _mZH mo§ H r h Anojm hmoVr h¡ {H h_ Z¡{VH AnojmAmo§ H$m nmbZ H$ao§ Am¡a Bg ~mao _o§ C{MV AmœmgZ àmßV H$aZo hoVw `moOZm ~ZmH$a boIm-narjm H$m H$m`© g§nÞ H$a| {H$ EH$b {dÎmr` {ddaU VmpËdH A`WmW© {ddaUmo§ go _wº h¢&

4. {H$gr boIm-narjm _o§, EH b {dÎmr` {ddaUmo§ _o§ ì`º YZam{e`mo§ Am¡a àH QZmo§ Ho g_W©H gmú`mo§ H mo àmßV H aZo H$s à{HŒ `mE§ em{_b hmoVr h¢& MwZr OmZo dmbr à{HŒ `mE§ boIm-narjH H m {ddoH , {Og_o§ Mmho H nQ Ho H maU hmo `m Ìw{Qde, EH b {dÎmr` {ddaUmo§ Ho _hËdnyU© A`WmWmoª Ho Omo{I_mo§ H m AmH bZ em{_b h¡, na {Z^©a H$aVr h¢& Omo{I_ H m `h AmH bZ H aZo _o§ boIm-narjH n[apñW{V`mo§ _o§ Cn`wº boIm-narjm

118 dm{f©H$ [anmoQ>© 2016-17

presentation of the Standalone Financial Statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by the management, as well as evaluating the overall presentation of the Standalone Financial Statements.

5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion:

6. In our opinion, as shown by books of bank and to the best of our information and according to the explanations given to us:

(a) the Balance Sheet, read with the notes thereon is a full and fair Balance Sheet containing all the necessary particulars, is properly drawn up so as to exhibit a true and fair view of the state of affairs of the Bank as at March 31, 2017 in conformity with accounting principles generally accepted in India;

(b) the Profit and Loss Account, read with the notes thereon shows a true balance of profit, in conformity with accounting principles generally accepted in India, for the year covered by the account; and

(c) the Cash Flow Statement gives a true and fair view of the cash flows for the year ended on that date.

Emphasis of Matter:

We draw attention to Note No. 4.3 of Schedule 18 A to the Standalone Financial Statements, wherein the provision is made for all accounts in RBI - Risk Based Supervision (RBS) Report for the FY 2015-16, but retaining the asset classification in respect of six accounts amounting to `1249.00 Crores as “Standard”, pending response to representation for re-consideration of classification by RBI. Our opinion is not modified in respect of this matter.

Report on Other Legal and Regulatory Requirements:

7. The Balance Sheet and the Profit and Loss Account have been drawn up in Form ‘A’ and ‘B’ respectively of the Third Schedule to the Banking Regulation Act, 1949;

8. Subject to the limitations of the audit indicated in paragraph 1 to 5 above and as required by the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980, and subject also to the limitations of disclosure required therein, we report that:

a) We have obtained all the information and explanations which, to the best of our knowledge and belief, were necessary for the purposes of our audit and have found them to be satisfactory;

à{HŒ mAmo§ H mo {Zê${nV H aZo Ho {bE {dÎmr` {ddaUmo§ H$s V¡`mar Ed§ C{MV àñVw{V Ho {bE µOê$ar Am§V[aH {Z`§ÌU na {dMma H$aVo h¢& {H gr boIm-narjm _o§ à~§YZ dJ© Ûmam à`wº boIm-Zr{V`mo§ H r Cn`wºVm VWm {H$E JE _hËdnyU© AZw_mZmo§ H r `w{º$`wº$Vm H$m AmH$bZ Am¡a gmW hr {dÎmr` {ddaUmo§ H$s g_JŒ àñVw{V H$m _yë`m§H Z ^r gpå_{bV hmoVm h¡&

5. h_ {dœmg H aVo h¢ {H h_mao Ûmam àmßV boIm gmú` boIm-narjm A{^_V hoVw n`m©ßV Am¡a Cn`wº h¢&

A{^_V6. h_mar am` _o§, O¡gm {H ~¢H H$s ~{h`mo§ _o§ Xem©`m J`m h¡ VWm h_mar

A{YH V_ OmZH mar _o§ Am¡a h_o§ {XE JE ñnîQrH aUmo§ Ho AZwgma…

H$) _hÎdnyU© boIm-Zr{V`mo§ Am¡a boImo§ Ho A{^Þ A§J {Qßn{U`mo§ Ho gmW n{RV `h VwbZ-nÌ, EH g§nyU© Ed§ `Wmo{MV VwbZ-nÌ h¡, {Og_o§ g^r Amdí`H {ddaU h¢ Am¡a h 31 _mM©, 2017 H mo ~¢H H$s pñW{V H$mo ghr Ed§ ñnîQ ê$n go Xem©Zo hoVw ^maV _o§ gm_mÝ`V… ñdrH¥ V boIm-{gÕm§Vmo§ Ho AZwê$n br-^m±{V V¡`ma {H m J`m h¡;

I) _hÎdnyU© boIm-Zr{V`mo§ Am¡a boImo§ Ho A{^Þ A§J {Qßn{U`mo§ Ho gmW n{RV bm^ boIm, boIm Ûmam g_m{dîQ df© hoVw ^maV _o§ gm_mÝ`V… ñdrH¥$V boIm-{gÕm§Vmo§ Ho AZwê n bm^ H m ghr eof Xem©Vm h¡; Am¡a

J) ZH$Xr àdmh {ddaU Cg VmarI H$mo g_mßV df© Ho {bE ZH$Xr àdmh H m ghr Ed§ `WmW© pñW{V àñVwV H aVm h¡&

_hËdnyU© ~mVh_ EH$b {dÎmr` {ddaUmo§ H$s AZwgyMr 18H H$s {QßnUr g§. 4.3 H$s Amoa Ü`mZ AmH${f©V H$aVo h¢ {OZ_o§ {dÎmr` df© 2015-16 Ho ^maVr` [a‹Od© ~¢H -Omo{I_ AmYm[aV n`©dojU [anmoQ© _o§ g^r ImVmo§ _o§ àmdYmZ {H m J`m h¡ bo{H$Z 1249.00 H$amo‹S Hw$b am{e dmbo N>h ImVmo§ Ho dJr©H aU hoVw maVr` [aOd© go nwZ{d©Mma H aZo g§~§Yr à{VdoXZ na b§{~V à{V CÎma Ho H«$_ _o§ CZHo AmpñV dJr©H aU H$mo ""_mZH '' aIm J`m h¡& Bg {df` _o§ h_mar am` _o§ H$moB© AmemoYZ Zht h¡&

AÝ` {d{YH Ed§ {d{Z`m_H AnojmAmo§ na [anmoQ©7. VwbZ-nÌ Am¡a bm^-hm{Z boIm ImVm ~¢qH$J {d{Z`_Z A{Y{Z`_,

1949 H$s Vrgar AZwgyMr Ho H«$_e… \ m_© E VWm ~r Ho AZwgma V¡`ma {H E JE h¢&

8. Cn`w©º 1 go 5 VH Ho n¡am _o§ ~VmB© JB© gr_mAmo§ VWm ~¢qH$J H§$nZr (CnH«$_mo§ H$m AO©Z Ed§ A§VaU) A{Y{Z`_, 1970/1980 Ûmam Ano{jVmZwgma, Am¡a CZ_o§ Ano{jV àH$QZmo§ H$s gr_mAmo§ Ho ^r AYrZ, h_ [anmoQ© H aVo h¢ {H …

H ) h_Zo Eogr g^r gyMZm Ed§ ñnîQrH$aU àmßV {H$E h¢ Omo h_mar A{YH V_ OmZH$mar Ed§ {dœmg _o§ h_mar boIm-narjm Ho {bE Amdí`H Wo Am¡a CÝho§ g§VmofOZH nm`m h¡;


b) The transactions of the Bank, which have come to our notice, have been within the powers of the Bank; and

c) The returns received from the offices and branches of the Bank have been found adequate for the purposes of our audit.

9. We further report that:

a) the Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account and returns;

b) the reports on the accounts of the branch/offices audited by branch auditors of the Bank under Section 29 of the Banking Regulation Act, 1949 have been sent to us and have been properly dealt with by us in preparing this report; and

c) in our opinion, the Balance Sheet, Profit and Loss Account and the Cash Flow Statement comply with the applicable accounting standards.

I) ~¢H Ho Omo boZ XoZ h_mao Ü`mZ _o§ AmE, do ~¢H Ho A{YH$mamo§ Ho$ ^rVa Wo; Am¡a

J) ~¢H Ho H m`m©b`mo§ Am¡a emImAmo§ go àmßV {dda{U`m± h_mar boIm-narjm Ho {bE n`m©ßV nmB© JB© h¢&

9. BgHo Abmdm h_ [anmoQ© H aVo h¢ {H : H ) Bg [anmoQ© _o§ {XE JE VwbZ-nÌ Am¡a bm^ Am¡a hm{Z ImVm, ~hr

ImVmo§ Am¡a {dda{U`mo§ Ho AZwê$n h¢;

I) ~¢qH J {d{Z`_ A{Y{Z`_, 1949 H$s Ymam 29 Ho VhV ~¢H Ho$ emIm boIm-narjH$mo§ Ûmam boIm-nar{jV emIm/H$m`m©b`mo§ Ho$ boImo§ H$s [anmoQ© h_o§ ào{fV H r JB© Am¡a Bg [anmoQ© H mo V¡`ma H$aZo _o§ h_Zo CgH m à`moJ {H$`m&

J) h_mar am` _o§, VwbZ-nÌ, bm^-hm{Z ImVm Am¡a ZH$Xr àdmh {ddaU H§ nZr Ho gmW boIm-_mZH$mo§ H m AZwnmbZ H aVo h¢&

H¥$Vo E_. AmZ§X_ EÊS H§ . gZXr boImH ma

FRN-000125S

H¥$Vo XÎmm qgJbm EÊS H§ . gZXr boImH ma

FRN-006185N

H¥$Vo E. Ho . g~V EÊS H§ . gZXr boImH ma

FRN-321012E

H¥$Vo à_moX EÊS Egmo{gEQ²g gZXr boImH ma

FRN-001557 C

(grE ~r.dr. gwaoe Hw _ma)gmÂmoXma

gXñ` g§.212187

(grE g§Xrn XÎm)gmÂmoXma

gXñ` g§. 092413

(grE AéU Hw _ma g~V)gmÂmoXma

gXñ` g§. 030310

(grE adtÐ aZrdmbm)gmÂmoXma

gXñ` g§. 073191

(H¥$Vo nmoZamO EÊS H§ .) gZXr boImH ma

FRN-002672S

ñWmZ … _§Jbyé{XZm§H$ … 20 ‘B©, 2017

(grE Ho . na_mZ§X_)gmÂmoXma

gXñ` g§.020635

For M. Anandam & Co.Chartered Accountants

FRN - 000125S

For Datta Singla & Co.Chartered Accountants

FRN - 006185N

For A.K. Sabat & Co.Chartered Accountants

FRN - 321012E

For Pramod & AssociatesChartered Accountants

FRN - 001557C

[CA B. V. Suresh Kumar]Partner

Membership No. 212187

[CA Sandeep Datta]Partner


[CA Arun Kumar Sabat]Partner


[CA Ravindra Raniwala]Partner


[For Ponraj & Co.]Chartered Accountants

FRN: 002672S

Place : Mangaluru

Date : 20 May, 2017

[CA K. Paramanandham]Partner


120 dm{f©H$ [anmoQ>© 2016-17

H$mnm}aoeZ ~¢H$ CORPORATION BANK31 _mM©, 2017 H$s pñW{V H$m EH$b VwbZ-nÌ STANDALONE BALANCE SHEET AS ON 31st MARCH, 2017

(` 000’s hQ>mH$a Omitted)

{ddaU PARTICULARSAZwgyMr g§.Schedule

No.

`Wm As on31.03.2017

`

`Wm As on31.03.2016

`

ny±Or Am¡a Xo`VmE± CAPITAL AND LIABILITIES

ny±Or Capital 1 229,41,13 204,49,71

Ama{jV {Z{Y`m± Ed§ A{Yeof Reserves and Surplus 2 12482,53,38 11161,38,49

O_mam{e`m± Deposits 3 220559,61,92 205170,84,36

CYma am{e`m± Borrowings 4 6468,17,35 13112,19,44

AÝ` Xo`VmE± VWm àmdYmZ Other Liabilities and Provisions 5 8151,31,69 5214,69,56

`moJ TOTAL 247891,05,47 234863,61,56

AmpñV`m± ASSETS

ZH$Xr Ed§ ^maVr` [aµOd© ~¢H$ _| eof Cash and Balances with Reserve Bank of India

6 17496,63,49 10087,21,40

~¢H$m| _| eof VWm _m±J Ed§ Aën gyMZm na YZ Balances with Banks and Money at call and Short Notice 7 7553,32,14 5093,98,42

{Zdoe Investments 8 64072,97,65 63280,63,45

A{J«_ Advances 9 140356,79,37 140322,24,06

ñWmB© AmpñV`m± Fixed Assets 10 1290,01,39 1277,13,35

AÝ` AmpñV`m± Other Assets 11 17121,31,43 14802,40,88

`moJ TOTAL 247891,05,47 234863,61,56

AmH$pñ_H$ Xo`VmE± Contingent Liabilities 12 81531,23,50 80559,94,12

dgybr hoVw {~b Bills for Collection 17304,90,39 15043,18,12

_hËdnyU© boIm Zr{V`m± Significant Accounting Policies 17

boIm g§~§Yr {Q>ßn{U`m± Notes on Accounts 18

CnamoŠV d{U©V AZwgy{M`m± VwbZ nÌ H$m A{^ÝZ ^mJ h§¡& The schedules referred to above form an integral part of Balance Sheet.

(O` Hw$_ma JJ©)à~§Y {ZXoeH$ Ed§ _w»` H$m`©H$mar A{YH$mar

(Jmonmb _wabr ^JV)H$m¶©nmbH {ZXoeH

(E_.~r. JUoe)_hm à~§YH$

(kmZ a§OZ gma§Jr)ghm`H$ _hm à~§YHñWmZ … _§Jbyé{XZm§H … 20 ‘B©, 2017

{ZXoeH_Zrf JwßVmàÚwåZ Ho . OoZmXodamH mo§Sm XrpßV{dbmggwemo^Z gaH$ma{MÌm Jm¡ar bmba_oe Hw _ma ^Q²

H¥$Vo E_. AmZ§X_ EÊS H§ .gZXr boImH ma FRN-000125S(grE ~r.dr. gwaoe Hw _ma)gmPoXma gXñ`Vm g§.212187

H¥$Voo XÎmm qgJbm EÊS H§ .gZXr boImH ma FRN-006185N(grE g§Xrn XÎmm)gmPoXma gXñ`Vm g§.092413

H¥$Vo E.Ho . g~V EÊS H§ .gZXr boImH ma FRN-321012E(grE AéU Hw _ma g~V)gmPoXma gXñ`Vm g§.030310

H¥$Vo à_moX EÊS Egmo{gEQ²ggZXr boImH ma FRN-001557C

(grE adtÐ aZrdmbm)gmPoXma gXñ`Vm g§.073191

H¥$Voo nmoZamO EÊS H§ .gZXr boImH ma FRN-002672S(grE Ho$. na_mZ§X_)gmPoXma gXñ`Vm g§.020635

h_mar g_{XZm§{H$V [anmoQ>© Ho$ AZwgma


31 _mM©, 2017 H$mo g_mßV df© Ho$ {bE EH$b bm^ d hm{Z boIm STANDALONE PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31st MARCH, 2017



No.

31.03.2017 H$mo g_mßV df©

Year ended on31.03.2017

`

31.03.2016 H$mog_mßV df©

Year ended on31.03.2016

`

I. Am` INCOME

A{O©V ã`mO Interest earned 13 19471,47,18 19411,23,69

AÝ` Am` Other income 14 3090,30,87 1735,15,97

`moJ TOTAL 22561,78,05 21146,39,66

II. ì`` EXPENDITURE

ì`` {H$`m J`m ã`mO Interest Expended 15 15020,46,18 15171,77,80

n[aMmbZ ì`` Operating Expenses 16 3101,78,98 2879,60,14

àmdYmZ Ed§ AmH$pñ_H$VmE± Provisions and Contingencies 3878,32,29 3601,49,76

`moJ TOTAL 22000,57,45 21652,87,70

III. df© hoVw {Zdb bm^/(hm{Z)>NET PROFIT/(LOSS) FOR THE YEAR 561,20,60 (506,48,04)

IV. {d{Z`moJ (go/H$mo) APPROPRIATIONS (From/To)

gm§{d{YH$ Ama{jV {Z{Y`m| _| AÝVaU Transfer to Statutory Reserves 140,30,15 –

ñQ>m\$ H$ë`mU {Z{Y _| AÝVaU Transfer to Staff Welfare Fund 15,00,00 –

{Zdoe Ama{jV {Z{Y _| AÝVaU Transfer to Investment Reserve (24,61,91) –

ny±Or Ama{jV {Z{Y _| AÝVaU Transfer to Capital Reserve 374,78,83 –

VwbZ nÌ _| bo Om`m J`m eof Balance carried over to B/S 55,73,53 –

`moJ TOTAL 561,20,60 –

à{V eo`a AO©Z Earning per share (`) 5.17 (5.48)

CnamoŠV d{U©V AZwgy{M`m± bm^ Ed§ hm{Z ImVm H$m A{^ÝZ ^mJ h§¡& The schedules referred to above form an integral part of Profit and Loss Account.

As per our Report of even date

[Jai Kumar Garg]Managing Director &Chief Executive Officer

[Gopal Murli Bhagat]Executive Director

[M. B. Ganesh]General Manager

[Gyana Ranjan Sarangi]Asst. Gen. Manager

Place : MangaluruDate : 20th May, 2017

Directors

Manish Gupta

Pradyumna K. Jena

Deverakonda Diptivilasa

Sushobhan Sarker

Chitra Gouri Lal

Ramesh Kumar Bhat

for M. Anandam & Co.Chartered Accountants FRN-000125S[CA B.V. Suresh Kumar] (M. No. 212187) Partner

for Datta Singla & Co. Chartered Accountants FRN-006185N [CA Sandeep Datta](M. No. 092413) Partner

for A. K. Sabat & Co.Chartered Accountants FRN-321012E [CA Arun Kumar Sabat] (M. No. 030310) Partner

for Pramod & AssociatesChartered Accountants FRN-001557C[CA Ravindra Raniwala](M. No. 073191) Partner

for Ponraj & Co.Chartered Accountants FRN-002672S[CA K. Paramanandham](M. No. 020635) Partner

122 dm{f©H$ [anmoQ>© 2016-17

VwbZ nÌ _| g§b¾ AZwgy{M`m±SCHEDULES ANNEXED TO BALANCE SHEET


{ddaU Particulars`Wm As on

31.03.2017 `Wm as on31.03.2016

` ` ` `

AZwgyMr 1 – n±yOr SCHEDULE 1 – CAPITAL

àm{YH¥$V n±yOr autHOrisED caPital

àËòH$ `2 Ho$ 1500,00,00,000 B©pŠdQ>r eoà 1500,00,00,000 Equity shares of `2 each 3000,00,00 3000,00,00

{ZJ©{_V Ed§ A{^XÎm n±yOr issuED & suBscriBED caPital

àËòH$ `2 Ho$ 114,70,56,443 B©pŠdQ>r eoà (JV df© àËòH$ `2 Ho$102,24,85,575 B©pŠdQ>r eoà)

114,70,56,443 Equity shares of `2 each (Previous year 102,24,85,575 Equity shares of `2 each)

àma§{^H$ eof Opening Balance 204,49,71 167,54,19

df© Ho$ Xm¡amZ n[adY©Z/(OãVr) addition/(Forfeited) during the year 24,91,42 229,41,13 36,95,52 204,49,71

àXÎm n±yOr PaiD-uP caPital

H$) H|$Ð gaH$ma Ûmam Ym[aVàËòH$ `2 Ho$ 81,17,12,250 B©pŠdQ>r eoà (JV df© àËòH$ `2 Ho$68,71,41,382 B©pŠdQ>r eoà)

a) Held by central Government 81,17,12,250 Equity shares of `2 each (Previous year 68,71,41,382 Equity shares of `2 each) 162,34,25 162,34,25 137,42,83 137,42,83

I) OZVm d AÝ` Ûmam Ym[aVàËòH$ `2 Ho$ 33,53,44,193 B©pŠdQ>r eoà (JV df© àËòH$ `2 Ho$33,53,44,193 B©pŠdQ>r eoà)

b) Held by the Public & Others 33,53,44,193 Equity shares of `2 each (Previous Yr. 33,53,44,193

Equity shares of `2 each) 67,06,88 67,06,88

KQ>mE±: Xo` Am~§Q>Z am{e less : allotment money due – –

df© Ho$ Xm¡amZ OãVr Forfeited during the year – 67,06,88 – 67,06,88

`moJ TOTAL 229,41,13 204,49,71

AZwgyMr 2 – Ama{jV {Z{Y`m± Am¡a A{Yeof SCHEDULE 2 – RESERVES AND SURPLUS i. gm§{d{YH$ Ama{jV {Z{Y`m± Statutory Reserves

àmapå^H$ eof Opening Balance 3228,58,32 3228,58,32

bm^ go {d{Z`moJ appropriation from Profit 140,30,15 –

{Zdoem| na _yë`õmg Ho$ A{V[aŠV àmdYmZ go {d{Z`moJ appropriation from excess Provision of Depreciation on investments – –

{Zdoe CVma-M‹T>md Ama{jV {Z{Y go A§VaU transfer from investment Fluctuation reserve

– 3368,88,47 – 3228,58,32


ii. n±yOr Ama{jV {Z{Y`m± Capital Reserves àmapå^H$ eof Opening Balance 800,43,16 800,43,16 df© Ho$ Xm¡amZ n[adY©Z additions during the year 374,78,83 –

nwZ{Z©J©_ hoVw nmÌ OãV eoà ImVmshare Forfeited a/c eligible for re-issue – 1175,21,99 – 800,43,16

iii. eoà àr{_`_ Share Premium àmapå^H$ eof Opening Balance 2603,91,20 1640,86,72 df© Ho$ Xm¡amZ n[adY©Z additions during the year 483,08,58 963,04,48 KQ>mE±: ~H$mò _| _m±J am{e less : calls in arrears – 3086,99,78 – 2603,91,20iV. amOñd Am¡a AÝ` Ama{jV {Z{Y`m±

Revenue & Other Reserves H$) amOñd Ama{jV {Z{Y a) Revenue Reserve àmapå^H$ eof Opening Balance 2787,15,41 3079,01,14

df© Ho$ Xm¡amZ n[adY©Z additions during the year 308,32,04 –

3095,47,45 3079,01,14 df© Ho$ Xm¡amZ H$Q>m¡Vr Deductions during the year – 3095,47,45 291,85,72 2787,15,42 I) {deof Ama{jV {Z{Y b) Special Reserve àmapå^H$ eof Opening Balance 1430,75,89 1430,75,89 df© Ho$ Xm¡amZ H$Q>m¡Vr additions during the year – –

H$mn©hmo_ go A§VaU transfer from corp Home df© Ho$ Xm¡amZ H$Q>m¡Vr Deductions during the year – 1430,75,89 – 1430,75,89

J) \$maoŠg ñd¡n na {deof Ama{jV {Z{Y bm^ c) Special Reserve Profit on Fx Swap àmapå^H$ eof Opening Balance 5,84,85 5,84,85 df© Ho$ Xm¡amZ n[adY©Z additions during the year – –

df© Ho$ Xm¡amZ H$Q>m¡Vr Deductions during the year – 5,84,85 – 5,84,85

K) {Zdoe Ama{jV {Z{Y d) Investment Reserve


KQ>>mE±: bm^-hm{Z {d{Z`moJ ImVo go A§VaU less: transfer to Profit and loss appropriation account 24,61,91 –

{Zdoe na A{YH$ _yë`õmg go {d{Z`moJ 106,81,60 131,43,51 appropriation from excess Depreciation on investments – 106,81,60 – 131,43,51

V. ^y{_ Ed§ ^dZ Ho$ nwZ_y©ë`m§H$Z hoVw Ama{jV {Z{YReserve for Revaluation of Land & Buildingàmapå^H$ eof Opening Balance 679,74,18df© Ho$ Xm¡amZ n[adY©Z additions during the year – 687,99,59KQ>mE±: df© Ho$ Xm¡amZ AmhaUless : Withdrawal during the year 16,46,31 663,27,87 8,25,41 679,74,18

Vi. bm^ d hm{Z ImVo _| eof Balance in Profit & Loss A/c

(450,74,51) (506,48,04)

Hw$b TOTAL (I+II+III+IV+V+VI) 12482,53,38 11161,38,49

AZwgyMr-2 SCHEDULE – 2 (H«$_e: Contd.) (` 000’s hQ>mH$a Omitted)

{ddaU Particulars`Wm As on 31.03.2017

`Wm as on 31.03.2016

` ` ` `

124 dm{f©H$ [anmoQ>© 2016-17

AZwgyMr 3 – O_mam{e`m±

SCHEDULE 3 – DEPOSITS

H$. A. I. _m±J O_mam{e`m± Demand Deposits

i) ~¢H$m| go From Banks 20,40,59 18,23,60

ii) AÝ`m| go From Others 18610,35,67 14538,59,26

II. ~MV ~¢H$ O_mam{e`m± Savings Bank Deposits 39743,59,59 30862,88,17

III. _r`mXr O_mam{e`m± Term Deposits

i) ~¢H$m| go From Banks 3923,83,45 27056,31,58

ii) AÝ`m| go From Others * 158261,42,62 132694,81,75

`moJ TOTaL (I, II d & III) 220559,61,92 205170,84,36

I. B. i) ^maV _| pñWV emImAm| H$s O_mE± Deposits of branches in India 220559,61,92 205170,84,36

ii) ^maV Ho$ ~mha pñWV emImAm| H$s O_mE± Deposits of branches outside India – –

`moJ TOTaL 220559,61,92 205170,84,36

* {Og_| H$mn©JmoëS> O_mE± gpå_{bV h¢ which includes Corpgold Deposits 12,95,10 13,12,42

E\$grEZAma O_mE± FCNR Deposits 1587,98,18 1651,67,63

AZwgyMr 4 – CYma am{e`m± SCHEDULE 4 – BORROWINGS

I. ^maV _| CYma am{e`m± Borrowings in India

i) ^maVr` [aµOd© ~¢H Reserve Bank of India – 6448,00,00

ii) AÝ` ~¢H$ Other Banks 5,04,38 –

iii) AÝ` g§ñWmE± Ed§ EOo§{g`m± Other Institutions and Agencies 133,80,47 770,48,69

iv) Agwa{jV ~m§S/AmB©nrS>rAmB© VWm AYrZñW H$O©*Unsecured Bonds/IPDI and Subordinated Debts* 6037,50,00 5537,50,00

`moJ TOTaL 6176,34,85 12755,98,69

II. ^maV go ~mha emImAm| H$s CYma am{e`m± Borrowings outside India 291,82,50 356,20,75

`moJ TOTaL (I d & II) 6468,17,35 13112,19,44

Cn`w©ŠV I d II _| em{_b gwa{jV CYma am{e`m± Secured Borrowings included in I & II above – –


{ddaU PARTICULARS`Wm as on

31.03.2017`

`Wm As on 31.03.2016

`

* Ama{jV {d_moÀ` ~m§S> (Q>rà-II) Includes Unsecured Redeemable Bonds (Tier II) 4300,00,00 4300,00,00

Q>rà-I ~o{_`mXr ~m§S> Tier I Perpetual Bonds 737,50,00 737,50,00 A{V[aŠV Q>rà-I ~o{_`mXr ~m§S> ûm¥§Ibm II Additional Tier I Series II 500,00,00 – A{V[aŠV Q>rà-I ~o{_`mXr ~m§S> Additional Tier I Perpetual Bonds 500,00,00 500,00,00



31.03.2017`

`Wm As on 31.03.2016

`

AZwgyMr 5 – AÝ` Xo`VmE± Ed§ àmdYmZ SCHEDULE 5 – OTHER LIaBILITIES aND PROVISIONS I. Xo` {~b Bills Payable 869,12,32 630,30,21

II. AÝVa-H$m`m©b` g_m`moOZ ({Zdb) Inter-Office Adjustments (Net) – –

III. Cn{MV ã`mO Interests accrued 766,85,26 709,13,79

IV. AÝ` (àmdYmZm| H$mo em{_b H$aHo$)* Others (including provisions)* 6515,34,10 3875,25,56

`moJ TOTaL 8151,31,68 5214,69,56

* ""_mZH$ AmpñV`m| na AmH$pñ_H$ àmdYmZ'' gpå_{bV h¢ Includes “Contingent Provisions against Standard Assets” 1375,36,34 1022,00,53

AZwgyMr 6 – ZH$X Am¡a ^maVr` [a‹Od© ~¢H$ _| eof SCHEDULE 6 – CaSH aND BaLaNCE WITH RESERVE BaNK OF INDIa I. hñVJV amoH$‹S> ({dXoer _wÐm ZmoQ> g{hV) Cash in hand (including foreign currency notes) 1143,39,03 1208,11,47

II. ^maVr` [aµOd© ~¢H$ Ho$ eof Balances with Reserve Bank of India

Mmby ImVo _| in Current Accounts 9344,65,65 8865,83,80

AÝ` ImVm| _| in Other Accounts 7000,00,00 –

III. hñVJV ñdU© Gold in hand 8,58,81 13,26,13

`moJ TOTaL (I, II d & III) 17496,63,49 10087,21,40

AZwgyMr 7 – ~¢H$m| _| eof Ed§ _m±J VWm Aën gyMZm na YZ SCHEDULE 7 – BaLaNCES WITH BaNKS aND MONEY aT CaLL aND SHORT NOTICE I. ^maV _| In India

i) ~¢H$m| _| eof Balances with Banks

H$ a) Mmby ImVm| _| In Current Accounts 63,34,97 64,34,76

I b) AÝ` O_m ImVm| _| In Other Deposit Accounts 10,77,95 1,05

ii) _m±J Ed§ Aën gyMZm na YZ Money at call and short notice

H$ a) ~¢H$m| _| with Banks 2449,39,73 600,00,00

I b) AÝ` g§ñWmAm| _| with Other Institutions – –

`moJ TOTaL (i+ii) 2523,52,65 664,35,81

II. ^maV Ho$ ~mha Outside India i) Mmby ImVm| _| In Current Accounts 166,04,49 1083,74,86

ii) AÝ` O_m ImVm| _| In Other Deposit Accounts 4863,75,00 3345,87,75

iii) _m§J Am¡a Aën gyMZm na YZ Money at call and Short notice – –

`moJ TOTaL 5029,79,49 4429,62,61

gH$b `moJ GRaND TOTaL (I d & II) 7553,32,14 5093,98,42


126 dm{f©H$ [anmoQ>© 2016-17


31.03.2017`

`Wm As on 31.03.2016

`

AZwgyMr 8 – {Zdoe SCHEDULE 8 – INVESTMENTS

{Zdoe (g_J«) Investments (Gross)

64516,64,44 63662,92,04

KQ>mE±: _yë`õmg Ho$ {bE àmdYmZ Less: Provision for Depreciation

443,66,79 382,28,60

{Zdb {Zdoe Net Investments 64072,97,65 63280,63,45

I. ^maV _| {Zdoe Investments in India

i) gaH$mar à{V^y{V`m± Government Securities 53881,88,62 54242,99,73

ii) AÝ` AZw_mo{XV à{V^y{V`m± Other Approved Securities 1,49,39 1,48,56

iii) eo`a Shares 544,25,65 352,26,62

iv) {S>~|Ma Ed§ ~m§S> Debentures and Bonds 2271,72,04 1438,13,84

v) g§`wŠV CÚ_/AZwf§{J`m§ Joint venture/Subsidiaries

H$ a) jo.J«m. ~¢H$ _| {Zdoe Investments in R.R.B. – –

I b) AZwf§{J`m| _| {Zdoe Investments in Subsidiaries 75,00,00 75,00,00

vi) AÝ`/Others

H$ a) O_mAm| H$m à_mUnÌ Certificate of Deposits 4337,06,90 4685,44,81

I b) dm{UpÁ`H$ nÌ Commercial Paper 2029,44,70 122,16,57

J c) å`yMwAb \§$S> H$s BH$mB©`m± Units of Mutual Funds 13,85,72 12,48,00

K d) d|Ma n§yOr {Z{Y`m°§ Venture Capital Funds 105,29,38 120,86,70

P e) gaH$mar {deof à{V^y{V`m± Govt. Special Securities 672,78,12 2089,61,49

M f ) à{V^y{V àmpßV`m± Security Receipts 139,62,95 139,62,95

moJ TOTaL 64072,43,47 63280,09,27

II. ^maV Ho$ ~mha {Zdoe-pñdâQ>> _| Investments outside India-In Swift 54,18 54,18

`moJ TOTaL (I d & II) 64072,97,65 63280,63,45




31.03.2017`

`Wm As on 31.03.2016

`

AZwgyMr 9 – A{J«_ SCHEDULE 9 – aDVaNCES

H$ A. i) IarXo Ed§ ^wZmE JE {~b Bills purchased and discounted 2045,57,71 2080,54,92

ii) ZH$X O_mE±, AmodaS´>mâQ VWm _m±J na MwH$m¡Vr `mo½` F$U Cash Credits, Overdrafts and Loans repayable on demand

64128,92,13

66374,44,73

iii) gmd{Y F$U Term loans 74182,29,53 71867,24,41

`moJ TOTaL 140356,79,37 140322,24,06

I B. i) _yV© AmpñV`m| Ûmam à{V^yV

(~hr F$Um| na A{J«_ em{_b h¢) Secured by Tangible Assets 123859,40,87 121119,64,77

(includes Advances against Book Debts)

ii) ~¢H$/gaH$mar Jma§{Q>`m| Ûmam a{jV Covered by Bank/Government Guarantees 1447,74,09 4,35,86

iii) Agwa{jV Unsecured 15049,64,41 19198,23,43

`moJ TOTaL 140356,79,37 140322,24,06

J C. I. ^maV _| A{J«_ advances in India

i) àmW{_H$Vm àmßV joÌ Priority Sector 58902,50,15 55747,73,99

ii) gmd©O{ZH$ joÌ Public Sector 5185,91,39 12471,51,48

iii) ~¢H$ Banks – 255,20,42

iv) AÝ` Others 76268,37,84 71847,78,17

`moJ TOTaL 140356,79,37 140322,24,06

J C. II. ^maV go ~mha A{J«_ advances outside India eyÝ` Nil eyÝ` Nil

gH$b `moJ GRaND TOTaL (J C. I d & J C. II) 140356,79,37 140322,24,06


128 dm{f©H$ [anmoQ>© 2016-17


{ddaU PARTICULARS`Wm as on 31.03.2017

`Wm As on 31.03.2016

` ` ` `

AZwgyMr 10 – ñWmB© AmpñV`m±

SCHEDULE 10 – FIXED aSSETS

I. n[aga Premises

{nN>bo df© Ho$ 31 _mM© H$s pñW{V Ho$ AZwgma bmJV na At cost as on 31st March of the preceding year 921,66,94 231,80,27

df© Ho$ Xm¡amZ n[adY©Z Additions during the year 4,54,17 692,74,28

926,21,11 924,54,55

df© Ho$ Xm¡amZ H$Q>m¡{V`m± Deductions during the year 2,73,58 2,87,61

923,47,53 921,66,94

`Wm{V{W _yë`õmg Depreciation to date 112,71,83 92,95,36

810,75,70 828,71,58

Omo‹S>|: H$m`©JV ny±Or Add: Capital Work in progress – 810,75,70 38,14 829,09,72

II. AÝ` ñWmB© AmpñV`m± Other Fixed assets

(\$ZuMa Am¡a Ow‹S>Zma g{hV including furniture and fixtures)

nyd©dVu df© Ho$ 31 _mM© H$s pñW{V Ho$ AZwgma bmJV na At cost as on 31st March of the preceding year 1261,10,74 1086,00,20

df© Ho$ Xm¡amZ n[adY©Z Additions during the year 118,23,25 193,02,53

1379,33,99 1279,02,73


1355,79,56 1261,10,74


426,31,10 424,52,74

Omo‹S>|: H$m`©JV ny±Or Add: Capital Work in progress 1,53,02 427,84,13 1,64,80 426,17,54

III. A_yV© AmpñV`m± Intangible assets

(H§$ß`yQ>a gm°âQ>do`a) (Computer Software)nyd©dVu df© 31 _mM© H$s pñW{V Ho$ AZwgma bmJV naAt cost as on 31st March of the preceding year 160,23,23 142,86,36

df© Ho$ Xm¡amZ n[adY©Z Additions during the Year 45,54,44 17,38,26

205,77,67 160,24,62

df© Ho$ Xm¡amZ H$Q>m¡{V`m± Deductions during the Year 18,62 1,39

205,59,05 160,23,23


51,41,56 21,86,09

`moJ TOTaL (I d & II, III) 1290,01,39 1277,13,35



{ddaU PARTICULARS`Wm As on

31.03.2017`

`Wm As on31.03.2016

`

AZwgyMr 11 - AÝ` AmpñV`m± SCHEDULE 11 – OTHER ASSETS

I. A§Va H$m`m©b` g_m`moOZ ({Zdb) Inter-Office Adjustments (Net) 719,26,19 153,57,40

II. àmoX²^yV ã`mO Interest accrued 1359,30,40 1153,20,47

III. E_EQ>r> F$U CnbãYVm MAT Credit Availment 684,90,64 452,19,06

IV. A{J«_/Q>rS>rEg _| àXÎm H$a Tax paid in advance/TDS 812,55,51 569,10,00

V. H|$Ðr` _yë``mo{OV H$a O_m Cenvat Credit 4,32,38 5,72,76

VI. {ddmX Ho$ AYrZ nXÎm H$a Taxes paid under dispute 1528,50,00 1454,15,57

VII. boIZ-gm_J«r VWm ñQ>mån Stationery and Stamps 3,61,77 3,80,67

VIII. Xmdm| Ho$ emoYZ _| àmßV J¡a-~¢H$ H$s AmpñV`m± Non-banking assets acquired in satisfaction of claims 9,44 9,44

IX. AmñW{JV H$a AmpñV`m± ({Zdb) Deferred Tax Assets (net) 1095,98,91 1410,94,12

X. AmaAmB©S>rE\$/{gS>~r/AmaEMS>rE\$ O_mAm| Ho$ VhV Zm~mS>© _| {Zdoe Investment with NABARD under RIDF/SIDBI/RHDF Dep. 7816,93,13 8636,28,62

XI. AÝ` Others 3095,83,06 963,32,77

`moJ TOTAL 17121,31,43 14802,40,88

AZwgyMr 12 – AmH$pñ_H$ Xo`VmE± SCHEDULE 12 – CONTINGENT LIABILITIES

I. H$O© Ho$ ê$n _| ñdrH$ma Zht {H$E JE ~¢H$ Ho$ {déÕ Xmdo Claims against the bank not acknowledged as debts 2539,70,36 2774,30,93

II. S>rB©EE\$ - ^m.[a.~¢. _| A§{V_ eof DEAF – Closing Balance with RBI 90,64,75 73,82,52

III. H$. ~H$m`m dm`Xm {dXoer _wÐm g§{dXmAm| hoVw Xo`Vm A. Liability on account of outstanding forward exchange contracts 49671,00,83 49138,14,77

I. ì`wËnÝZr B. Derivatives 1795,60,00 2185,10,00 IV. g§KQ>H$m| H$s Amoa go Xr JB© Jma§{Q>`m± Guarantees given on behalf of constituents

H$/a) ^maV _| in India 15356,56,45 13114,02,61

I/b) ^maV Ho$ ~mha outside India 1803,36,05 2109,95,71

V. ñdrH¥${V`m±, n¥ð>m§H$Z Ed§ AÝ` ~mÜ`VmE± Acceptances, endorsements and other obligations 10144,42,06 10862,53,91

VI. AÝ` _X| {OZHo$ {bE ~¢H$ AmH$pñ_H$ ê$n go CÎmaXm`r h¡ Other items for which the Bank is contingently liable 129,93,00 302,03,67

`moJ TOTAL 81531,23,50 80559,94,12

130 dm{f©H$ [anmoQ>© 2016-17


{ddaU PARTICULARS

31.03.2017 H$mog_má df©

Year ended 31.03.2017`

31.03.2016 H$mo

g_má df© Year ended 31.03.2016

`

AZwgyMr 13 - A{O©V ã`mO

SCHEDULE 13 – INTEREST EARNED

I. A{J«_m|/{~bm| na ã`mO/~Q²>Q>m Interest/Discount on advances/bills 13277,19,31 14483,05,49

II. {Zdoem| na ã`mO Income on investments 5167,80,87 4208,59,86

III. ^maVr` [aµOd© ~¢H$ Ho$ nmg eof Am¡a AÝ` A§Va-~¢H$ {Z{Y`m| na ã`mO Interest on balances with Reserve Bank of India and 33,97,15 22,07,64 other Inter-bank Funds IV. AÝ` Others 992,49,85 697,50,71

`moJ TOTAL 19471,47,18 19411,23,70

AZwgyMr 14 - AÝ` Am`

SCHEDULE 14 – OTHER INCOME

I. H$_reZ, {d{Z_` Ed§ Xbmbr Commission, exchange and brokerage 440,36,20 450,84,02

II. {Zdoem| ({Zdb) H$s {~H«$s na bm^ Profit on sale of investments (net) 1432,15,74 207,26,67

III. ^y{_, ^dZ VWm AÝ` AmpñV`m| H$s {~H«$s go bm^ ({Zdb) Profit on sale of land, buildings and other assets (net) 73,51 16,85

IV. {d{Z_` boZ-XoZm| na bm^ ({Zdb) Profit on exchange transactions (net) 146,20,92 141,76,40

V. ^maV _| AZwf§{J`m|/H§$n{Z`m| go bm^m§e BË`m{X go Am` Income earned by way of dividends, etc. from subsidiaries/companies in India 7,30,07 6,67,04

VI. {d{dY Am` Miscellaneous income 1063,54,43 928,44,99

`moJ TOTAL 3090,30,87 1735,15,97



{ddaU PARTICULARS

31.03.2017 H$mog_má df©


31.03.2016 H$mo

g_má df© Year ended 31.03.2016

`

AZwgyMr 15 - ì`` {H$`m J`m ã`mO SCHEDULE 15 – INTEREST EXPENDED

I. O_mam{e`m| na àXÎm ã`mO Interest paid on deposits 14106,86,13 14388,96,59

II. ^maVr` [aµOd© ~¢H$/A§Va-~¢H$ CYma am{e`m± na àXÎm ã`mO 196,35,78 207,63,27 Interest paid on Reserve Bank of India/inter-bank borrowings

III. AÝ` Others 717,24,27 575,17,94

`moJ TOTAL 15020,46,18 15171,77,80

AZwgyMr 16 - n[aMmbZ ì`` SCHEDULE 16 – OPERATING EXPENSES

I. H$_©Mm[a`m| H$mo ^wJVmZ Ed§ CZHo$ {bE àmdYmZ Payment to and provisions for employees 1444,36,68 1373,18,31

II. {H$am`m, H$a VWm {~Obr Rent, taxes and lighting 294,80,14 279,55,42

III. _wÐU Ed§ boIZ-gm_J«r Printing and stationery 26,90,18 23,65,93

IV. {dkmnZ Ed§ àMma Advertisement and publicity 5,35,82 4,66,68

V. ~¢H$ H$s g§n{Îm na _yë`õmg Depreciation on bank’s property 161,28,68 137,81,37

VI. {ZXoeH$m| Ho$ ewëH$, ^Îmo Am¡a ì`` Directors’ fees, allowances and expenses 1,02,50 1,33,24

VII. boIm narjH$m| Ho$ ewëH$ VWm ì`` (emIm Ho$ boIm narjH$ ^r em{_b) Auditors’ fees and expenses (including branch auditors) 21,76,23 26,69,30

VIII. {d{Y à^ma Law Charges 2,92,71 3,45,42

IX. S>mH$, Vma, Q>obr\$moZ BË`m{X Postages, Telegrams, Telephones, etc. 62,63,88 56,39,91

X. _aå_V Ed§ AZwajU Repairs and Maintenance 83,48,45 75,27,95

XI. ~r_m Insurance 237,29,92 208,72,14

XII. AÝ` ì`` Other Expenditure 759,93,79 688,84,47

`moJ TOTAL 3101,78,98 2879,60,14

132 dm{f©H$ [anmoQ>© 2016-17

Schedule 17SIGNIFICANT ACCOUNTING POLICIES FORMING PART OF THE STANDALONE

ACCOUNTS FOR THE YEAR ENDED MARCH 31, 2017

1. BASIS OF PREPARATION OF FINANCIAL STATEMENTS

a) The financial statements have been prepared and presented under the historical cost convention on accrual basis of accounting unless otherwise stated and except for items recognized on cash basis, as per guidelines issued by the Reserve Bank of India ['RBI'] and comply with the Accounting standards issued by the Institute of Chartered Accountants of India and relevant requirements prescribed under the Banking Regulation Act, 1949 and the Companies Act, 2013, and current practices prevailing in the banking industry in India.

b) The preparation of financial statements in conformity with generally accepted accounting principles [GAAP] requires the management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statements and the reported income and expenses during the reporting period. The Management believes that the estimates used in the preparation of the financial statements are prudent and reasonable. Actuals could differ from these estimates.

2. REVENUE RECOGNITION a] Income is recognized on an accrual basis except: (i) Commission on Bank Guarantees and Letters of

Credit; arrangement of Suppliers/Buyers Credit; and Locker rent which are recognized on receipt basis.

(ii) Interest income on Non-Performing advances and investments, and securities guaranteed by Central Government where interest is not realized within 90 days is recognized on receipt basis.

(iii) Interest on Income-tax refunds is accounted for on receipt of Intimation order from the Income Tax Department.

b] Profit or loss on sale of investments is recognized in the Profit and Loss Account on settlement basis at the time of sale except the realized profit on sale of investments in ‘Held to Maturity’ category which is recognized in the Profit and Loss Account and subsequently appropriated to Capital Reserve in accordance with RBI guidelines.

c] Brokerage/commission/incentives received on Banks direct subscriptions are deducted from the cost of

AZwgyMr 17

_hËdnyU© boIm§H$Z Zr{V`m± Omo 31 _mM©, 2017 H$moo g_mßV df© Ho EH$b boImo§ H$m A§J h¢

1. {dÎmr` {ddaUmo§ H$moo V¡`ma H$aZo H$m AmYma

H$) {dÎmr` {ddaU boIm§H$Z Ho Cn{MV AmYma na Eo{Vhm{gH$ bmJV na§nam Ho VhV V¡`ma VWm àñVwV {H$E JE h¢, VWm AÝ`Wm Cpëb{IV Ho {gdm` VWm ^maVr` {aµOd© ~¢H$ (^m.{a.~¢.) Ûmam Omar {Xem{ZXo©emo§ Ho AZwgma ZH$Xr AmYma na {ZYm©{aV _Xmo§ Ho Abmdm o maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm _mZH$moo§ VWm ~¢qH$J {d{Z`_Z A{Y{Z`_, 1949 VWm H§ nZr A{Y{Z`_, 2013 Ho VhV {ZYm©{aV g§~§{YV AnojmAmo§ VWm ^maV _o§ ~¢qH$J CÚmoJ _o§ àM{bV dV©_mZ ar{V`mo§ Ho AZwên h¢&

I) gm_mÝ` ên go ñdrH¥$V boIm§H$Z {gÕm§Vmo§ (J¡n) Ho AZwên {dÎmr` {ddaUmo§ H$moo V¡`ma H$aZo _o§ à~§YZ dJ© go Ano{jV hmoVm h¡ {H$ {dÎmr` {ddaUmo§ Ho {XZm§H$ Ho `Wm {dÚ_mZ {anmoQ© H$s JB© AmpñV`mo§ d Xo`VmAmo§ (AmH$pñ_H$ Xo`VmAmo§ g{hV) H$s am{e VWm {anmoQm©YrZ Ad{Y Ho Xm¡amZ {anmoQ© H$s JB© Am` d ì``mo§ na àm¸$bZ d AZw_mZ H$ao§& à~§YZ dJ© H$m _mZZm h¡ {H$ {dÎmr` {ddaU V¡`ma H$aZo _o§ à`wº àm¸ bZ {ddoH$nyU© Ed§ VH©$g§JV h¢& dmñV{dH$ Am§H$‹So BZ àm¸ bZmo§ go {^Þ hmo gH$Vo h¢&

2. amOñd {ZYm©aU

H$) Am` H$moo {ZåZ H$moo Nmo‹SH$a Cn{MV AmYma na {ZYm©{aV {H$`m J`m h¡… i) ~¢H$ Jma§{Q`mo§ Ed§ gmI nÌ, Amny{V©H$Vm©/H«o$Vm G$U H$s

ì`dñWm na H$_reZ, VWm bm°H$a {H$am`m Omo àmpßV AmYma na {ZYm©{aV {H$`m J`m h¡&

ii) J¡a-{ZînmXH$ A{JŒ_mo§ VWm {Zdoemo§ na ã`mO Am` VWm Ho§ Ð gaH$ma Ûmam Jma§QrH¥$V à{V^y{V`mo§ na ã`mO Am`, {OZHo {bE 90 {XZmo§ Ho A§Xa ã`mO dgyb Zht hmoVm h¡, àmpßV AmYma na {ZYm©{aV H$s JB© h¡&

iii) Am`-H$a dmn{g`mo§ na ã`mO H$m boIm§H$Z Am`H$a {d^mJ go gyMZm AmXoe àmßV hmoZo na {H$`m J`m h¡&

I) ‘n{an¹Vm VH$ Ym{aV' àdJ© _o§ {Zdoemo§ H$s {~H«$s na àmßV bm^, {Ogo bm^-hm{Z boIo _o§ {ZYm©{aV {H$`m J`m h¡ VWm VXZ§Va ^m.{a.~¢. Ho {Xem{ZXo©emo§ Ho AZwgma Ama{jV ny±Or ImVo _o§ {d{Z`mo{OV {H$`m J`m h¡, H$moo Nmo‹SH$a {Zdoe H$s {~H«$s na bm^ `m hm{Z H$moo {~H«$s Ho g_` {ZnQmZ AmYma na bm^-hm{Z boIo _o§ {ZYm©{aV {H$`m J`m h¡&

J) ~¢H$ Ho àË`j A§eXmZ na àmßV Xbmbr/H$_reZ/àmoËgmhZ am{e H$moo à{V^y{V`mo§ H$s bmJV go H$mQm J`m h¡, O~{H$ à{V^y{V`mo§


securities, whereas brokerage paid in connection with acquisition of securities is treated as revenue expenditure.

d] The broken period interest on sale or purchase of securities is adjusted to revenue.

3. ADVANCES a) Advances are classified into standard, sub-standard,

doubtful and loss assets in accordance with the guidelines issued by the RBI and are stated net of specific provisions made towards Non-Performing Advances ['NPAs'].

b) Credit Card dues are identified as NPAs where minimum dues receivable as mentioned in the statement are in default for a continuous period of more than 90 days from the payment due date mentioned in statement. Income from non- performing card accounts is not recognized in financial statements.

c) Provisions for sub-standard, doubtful and loss advances are made on the basis of asset classification and provisioning requirements under the prudential norms laid down by the RBI.

d) Recoveries in non-performing advances are appropriated first towards book balance, then to charges and thereafter to unrealized interest.

e) General provision for Standard Assets made in accordance with RBI Guidelines is included under “Other Liabilities & Provisions-Others”.

f ) Restructured Accounts: For restructured advances, provisions for erosion in fair value of advances are made in accordance with the guidelines issued by RBI, in addition to the provision otherwise required. The provision for erosion in fair value of advance is not reduced from advances and is included in the Balance Sheet under the head “Other Liabilities & Provisions-Others”.

4. INVESTMENTS4.1 Categorization & Classification: In accordance with the RBI guidelines, investments at the

time of acquisition are categorized as

• Held to Maturity [HTM],

• Available for Sale [AFS] and

• Held for Trading [HFT].

The Bank shifts investments from AFS/HFT category to HTM category at the lower of book value or market value. In other words, in cases where the market value is higher than the book value at the time of transfer, the appreciation is ignored and the security is transferred at the book value. In cases where the market value is less than the book value, the provision against depreciation

Ho AO©Z hoVw àXÎm Xbmbr H$moo amOñd ì`` Ho ê$n _o§ _mZm J`m h¡&

K) à{V^y{V`mo§ Ho HŒ ` `m {dHŒ ` na I§{SV Ad{Y-ã`mO H$moo amOñd _X Ho ên _o§ _mZm J`m h¡&

3. A{JŒ_

H$) A{JŒ_m| H$moo ^m.{a.~¢. Ûmam Omar {Xem{ZX}emo§ Ho AZwgma _mZH$, Ad_mZH$, g§{X½Y VWm hm{Z AmpñV`mo§ _o§ dJr©H¥$V {H$`m J`m h¡ VWm J¡a-{ZînmXH$ A{JŒ_mo§ (EZnrE) Ho {bE {H$E JE {Z{X©îQ àmdYmZ Ho {Zdb Ho ên _o§ Xem©`m J`m h¡&

I) H«o${SQ H$mS© ~H$m`mo§ H$moo Cg pñW{V _o§ EZnrE Ho ê$n _o§ {d{Z{X©îQ {H$`m J`m h¡ Ohm± Ý`yZV_ àmß` ~H$m`m am{e {ddaU _o§ Cp„{IV ^wJVmZ Xo` VmarI go bJmVma 90 {XZ go A{YH$ Ad{Y go MyH$ _o§ ahr h¡& J¡a-{ZînmXH$ H$mS© ImVmo§ go Am` {dÎmr` {ddaU _o§ Zht br JB© h¡&

J) ^maVr` {aµOd© ~¢H$ Ûmam {ZYm©{aV {ddoH$nyU© _mZX§Smo§ Ho A§VJ©V AmpñV dJr©H$aU Am¡a àmdYmZrH$aU Anojm Ho AmYma na Ad_mZH$, g§{X½Y VWm hm{Z-A{JŒ_mo§ Ho {bE àmdYmZ {H$`m J`m h¡&

K) J¡a-{ZînmXH$ A{JŒ_mo§ _o§ dgybr, nhbo ~hr eof _o§, CgHo ~mX à^mamo§ Ed§ CgHo nümV² dgyb Z {H$E JE ã`mO _o§ {d{Z`mo{OV H$s JB© h¡&

L) ^m.{a.~¢. {Xem{ZXo©emo§ Ho AZwgma {ZYm©{aV _mZH$ AmpñV`mo§ hoVw gm_mÝ` àmdYmZ H$moo ‘AÝ` Xo`VmE§ d àmdYmZ-AÝ`’ Ho VhV em{_b {H$`m J`m h¡&

M) nwZ… g§a{MV ImVo… nwZ…g§a{MV A{JŒ_mo§ Ho {bE G$U Ho C{MV _yë` _o§ õmg Ho {bE àmdYmZ AÝ`Wm Ano{jV àmdYmZ Ho Abmdm ^maVr` {a‹Od© ~¢H$ Ûmam Omar {Xem{ZX}emo§ Ho AZwgma {H$E JE h¢& A{JŒ_ Ho C{MV _yë` _o§ õmg hoVw àmdYmZ A{JŒ_mo§ go KQm`m Zht J`m h¡ VWm ‘AÝ` Xo`VmE§ d àmdYmZ-AÝ`’ erf© Ho VhV VwbZ-nÌ _o§ em{_b {H$`m J`m h¡&

4. {Zdoe

4.1 dJr©H$aU Ed§ loUrH$aU

^maVr` {aµOd© ~¢H$ Ûmam Omar {Xem{ZXoemo§ Ho AZwgma {Zdoemo§ H$mo A{YJŒhU Ho g_` {ZåZ{b{IV lo{U`mo§ _o§ dJr©H¥ V {H$`m J`m h¡…

• n[an¹Vm VH$ Ym{aV (EMQrE_),

• {~H«$s Ho {bE CnbãY (EE\ Eg) VWm

• Q—oqSJ Ho {bE Ym{aV (EME\ Qr)&

~¢H$, ~hr _yë` `m ~mµOma _yë`, BZ _o§ go Ý`yZV_ _yë` na {Zdoemo§ H$moo EE\ Eg/EME\ Qr àdJ© go EMQrE_ àdJ© _o§ A§V{aV H$aVm h¡& AWm©V², Ohm± A§VaU Ho g_` ~mµOma _yë` ~hr _yë` go A{YH$ h¡, _yë`d¥{Õ H$mo AZXoIm {H$`m OmE VWm à{V^y{V H$moo ~hr _yë` na A§V{aV {H$`m OmE& Eogo _m_bo Ohm± ~mµOma _yë` ~hr _yë` go H$_ h¡, Bg à{V^y{V (A§VaU Ho$ {XZm§H$ H$moo {H$E JE _yë`m§H$Z Ho AmYma na Ano{jV A{V{aº

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held against this security (including the additional provision, if any, required based on valuation done on the date of transfer) is adjusted to reduce the book value to the market value and the security is transferred at the market value.

If the security was originally placed under the HTM category at a discount, it may be transferred to AFS/HFT category at the acquisition price/book value. (It may be noted that as per existing instructions banks are not allowed to accrue the discount on the securities held under HTM category and, therefore, such securities would continue to be held at the acquisition cost till maturity). After transfer, these securities are immediately re-valued and resultant depreciation, if any, is provided.

If the security was originally placed in the HTM category at a premium, it may be transferred to the AFS/HFT category at the amortised cost. After transfer, these securities are immediately re-valued and resultant depreciation, if any, is provided.

In the case of transfer of securities from AFS to HFT category or vice-versa, the securities are not re-valued on the date of transfer and the provisions for the accumulated depreciation, if any, are transferred to the provisions for depreciation against the HFT securities and vice-versa.

For disclosure in the Balance Sheet, investments are classified under the following categories – Government securities, State Govt. Securities, Other Approved Securities, Shares, Debentures and Bonds, Investments in Subsidiaries/RRB/Joint Ventures and Others. [units of Mutual Funds, Commercial Papers, Certificates of Deposit and Venture Capital Funds.]

Investments classified under ‘HTM’ include the following:a) Investments in SLR securities as a percentage of

Demand and Time Liabilities as notified by RBI from time to time.

b) Recapitalisation bonds received from the Government of India towards recapitalisation requirements.

c) Investments in share of subsidiaries and joint ventures.

d) Investment in Venture Capital Funds, for an initial period of 3 years of each draw down, after 23rd August, 2006.

e) Investment in long term bonds issued by companies engaged in infrastructure activities.

Investments acquired primarily with an intention for trading are classified as HFT securities. As per RBI guidelines, securities in HFT category are not held beyond 90 days and are transferred to AFS category under exceptional circumstances like not able to sell or extreme volatility or market becoming unidirectional, with the approval of the Board/ALCO/Investment Committee.

All other investments are classified under AFS.

àmdYmZ, `{X H$mooB© h¡, g{hV) Ho {déÕ Ym{aV _yë`õmg na àmdYmZ H$moo ~hr _yë` H$moo ~mµOma _yë` VH$ H$_ H$aZo Ho {bE g_m`mo{OV {H$`m OmE VWm à{V^y{V ~mµOma _yë` na A§V{aV {H$`m OmE&

`{X à{V^y{V _ybV… ~Åo na EMQrE_ àdJ© Ho VhV aIr OmVr h¡, Cgo AO©Z _yë`/~hr _yë` na EE\ Eg/EME\$Q>r àdJ© _o§ A§V{aV {H$`m OmE& (`h ZmoQ {H$`m OmE {H$ {dÚ_mZ AZwXoemo§ Ho AZwgma EMQrE_ àdJ© Ho VhV Ym{aV à{V^y{V`mo§ na ~Åm Cn{MV H$aZo H$s AZw_{V Zht h¡ VWm, AV…, Eogr à{V^y{V`mo§ H$moo n{an¹Vm VH$ AO©Z bmJV na YmaU Omar aIm OmE)& A§VaU Ho nümV², BZ à{V^y{V`mo§ H$m VËH$mb nwZ_y©ë`m§H$Z {H$`m OmE VWm n{aUm_r _yë`õmg, `{X H$mooB© h¡, hoVw àmdYmZ {H$`m OmE&

`{X à{V^y{V _ybV… àr{_`_ na EMQrE_ àdJ© Ho VhV aIr OmVr h¡, Cgo n{aemoYH$ _yë` na EE\$Eg/EME\$Q>r àdJ© _o§ A§V{aV {H$`m OmE& A§VaU Ho nümV², BZ à{V^y{V`mo§ H$m VËH$mb nwZ_y©ë`m§H$Z {H$`m OmE VWm n{aUm_r _yë`õmg, `{X H$mooB© h¡, hoVw àmdYmZ {H$`m OmE&

EE\ Eg go EME\ Qr àdJ© _o§ `m {dbmo_V… à{V^y{V`mo§ H$moo A§V{aV H$aZo na, A§VaU H$s VmarI H$moo à{V^y{V`mo§ H$m nwZ_y©ë`Z H$aZo H$s Amdí`H$Vm Zht h¡ VWm g§{MV _yë`õmg Ho {bE `{X H$mooB© àmdYmZ Ym{aV {H$`m h¡ Vmo Cgo EME\ Qr à{V^y{V`mo§ Ho {déÕ _yë`õmg hoVw àmdYmZ _o§ `m {dbmo_V… A§V{aV {H$`m Om gH$Vm h¡&

VwbZ-nÌ _o§ àH$QZ hoVw {Zdoemo§ H$moo {ZåZ{b{IV dJmoª _o§ dJr©H¥ V {H$`m J`m h¡ - gaH$mar à{V^y{V`m±, amÁ` gaH$ma H$s à{V^y{V`m±, AÝ` AZw_mo{XV à{V^y{V`m±, eoà, {S~o§Ma VWm ~m±S, AZwf§{J`mo§/jo.JŒm.~¢./g§`wº CÚ_mo§ VWm AÝ` (å`yMwAb \§ S H$s `y{ZQmo§, dm{UpÁ`H$ nÌmo§, O_m à_mU nÌ, à{V^y{V agrX VWm do§Ma ny§Or {Z{Y)&

‘n{an¹ Vm VH$ Ym{aV’ loUr Ho VhV dJr©H¥$V {Zdoemo§ _o§ {ZåZ{b{IV em{_b h¢…

H$ ) _m§J VWm _r`mXr Xo`VmAmo§ Ho à{VeV Ho ê n _o§ ^m.{a.~¢. Ûmam g_`-g_` na A{Ygy{MV AZwgma EgEbAma à{V^y{V`mo§ _o§ {Zdoe&

I) nwZnyªOrH$aU Amdí`H$VmAmo§ hoVw ^maV gaH$ma go àmßV nwZnyªOrH$aU ~m§S&

J) AZwf§{J`mo§ Am¡a g§`wº CÚ_mo§ Ho eoàmo§ _o§ {Zdoe& K) CÚ_ ny±Or {Z{Y`mo§ _o§ {Zdoe, 23 AJñV, 2006 Ho ~mX àËòH$

{JamdQ go VrZ dfmoª H$s Ama§{^H$ Ad{Y Ho {bE {H$E JE h¢& L) ~w{Z`mXr g§aMZmJV J{V{d{Y`mo§ _o§ bJo H§$n{Z`mo§ Ûmam Omar

XrKm©d{Y ~m°ÊSmo§ _o§ {Zdoe&

Q—oqSJ Ho CÔoí` go àmW{_H$ ê n go A{YJŒhrV {Zdoemo§ H$moo EME\ Qr à{V^y{V`mo§ Ho ê n _o§ dJr©H¥$V {H$`m J`m h¡& ^maVr` {a‹Od© ~¢H$ Ho$ {Xem{ZXo©emo§ Ho AZwgma EME\ Qr loUr _o§ à{V^y{V`m± 90 {XZ go A{YH$ Zht Ym{aV H$s JB© h¢ VWm AndmXmË_H$ n{apñW{V`mo§ O¡go {~HŒ r H$aZo _o§ Ag_W© `m AË`§V ApñWaVm `m ~mµOma Ho {XemhrZ hmoZo na, {ZXoeH$ _§Sb/AmëH$moo/{Zdoe g{_{V Ho AZw_moXZ Ho gmW CÝho§ EE\ Eg loUr _o§ A§V{aV {H$E OmVo h¢&

AÝ` g^r {Zdoemo§ H$moo EE\$Eg Ho VhV dJr©H¥ V {H$`m J`m h¡&


4.2 Valuation and consequential adjustments :

a] Held to Maturity: Investments classified under "Held-to-Maturity' are carried at weighted average acquisition cost. Premium on acquisition, if any, is amortized on a straight-line basis over the remaining maturity period. In case of investments in subsidiaries/joint ventures any diminution, other than temporary, in the value of such investment is recognized and provided for. Investments in Venture Capital Fund are valued at Cost.

b] Available for Sale and Held for Trading :

(i) Investments in these categories (classified under the category ‘Held for Trading’ and ‘Available for Sale’) are marked to market / estimated realizable value as per RBI guidelines at monthly and quarterly intervals for HFT and AFS respectively. While the resultant net depreciation, if any, within each category referred to in 4.1 above, is recognized in Profit & Loss Account as ‘‘Provisions and Contingencies’’, the net appreciation is ignored except to the extent of depreciation previously provided. The book value of the individual scrip is not changed after revaluation.

(ii) In the case of write back of excess provision of depreciation, the same is Debited to “Provisions and Contingencies’’ and a like amount (net of taxes and transfer to Statutory Reserve) is appropriated to Investment Reserve Account under Schedule 2 – “Reserves & Surplus”.

(iii) For the purpose of (i) above, the market price/ estimated realizable value is determined as under:

1. Ho$ÝÐ gaH$ma H$s à{V^y{V`m±Central Government of India Securities

(i) CÕ¥V… E\$AmB©E_E_SrE Ûmam {XE H$moQoeZ Ho$ AZwgma ~mµOma _yë` na Quoted : At market price as per the quotation put out by FIMMDA.

(ii) AZwÕ¥V… E\$AmB©E_E_SrE Ûmam Xr JB© H$s_Vmo§/dmB©QrE_ Xamo§ Ho$ AmYma naUnquoted: On the basis of the prices/YTM rates put by the FIMMDA

2. amÁ` gaH$ma H$s à{V^y{V¶m±§, amÁ` gaH$ma {deof à{V^y{V¶m±, Ho$ÝÐ/amÁ` gaH$ma Ûmam Jma§QrH¥$V à{V^y{V¶m± (AÝ` ñdrH¥$V à{V^y{V`m±)State Government Securities, State Government Special Securities, Securities guaranteed by Central/State Government (other approved securities)

(i) amÁ¶ gaH$ma H$s à{V^y{V¶m| Ho$ ‘m‘bo ‘| E’$AmB©E_E_SrE Ûmam àH$m{eV H$s‘Vm| naAt prices published by FIMMDA in respect of State Govt. Securities.

(ii) AÝ¶ AZw‘mo{XV à{V^y{V¶m| Ho$ ‘m‘bo ‘| E’$AmB©E_E_SrE Ûmam {Z{X©îQ à{V\$b dH«$ na Cn`wº$ A{V[aº$ H$s_V bmJV A§Va naAt appropriate spread upon the yield curve put out by the FIMMDA in respect of other approved securities

3. Q´>o‹Oar {~b (nrS>r H$mamo~ma Ho$ H$maU aIo Q´>oµOar {~bm| g{hV)/O_m à_mUnÌ/dm{UpÁ`H nÌTreasury Bills (including Treasury Bills held on account of PD business)/Certificates of deposits/Commercial paper

aImd bmJV naAt carrying cost

4.2 _yë`m§H$Z VWm n{aUm_r g_m`moOZ…

H$) n{an¹Vm VH$ Ym{aV… ‘n{an¹Vm VH$ Ym{aV’ loUr Ho VhV dJr©H¥ V {Zdoe ^m{aV Am¡gV AO©Z bmJV na _yë`m§{H$V {H$E JE h¢& A{YJŒhU na àr{_`_ `{X H$moB© h¡ Vmo n{an¹Vm H$s eof Ad{Y _o§ grYr aoIm Ho AmYma na n{aemoYZ {H$`m J`m h¡& AZwf§{J`mo§/g§`wº CÚ_mo§ _o§ {Zdoe Ho _m_bo _o§ AñWmB© H$moo Nmo‹SH$a AÝ` Eogo {Zdoe Ho _yë` _o§ H$_r H$m {ZYm©aU {H$`m J`m h¡ Am¡a CgHo {bE àmdYmZ {H$`m J`m h¡& do§Ma ny§Or {Z{Y _o§ {Zdoemo§ H$moo bmJV na _yë`m§{H$V {H$`m J`m h¡&

I) {~H«$s Ho {bE CnbãY VWm Q—oqSJ Ho {bE Ym{aV…

(i) BZ àdJmoª (‘Q—oqSJ Ho {bE Ym{aV’ VWm ‘{~H«$s Ho {bE CnbãY’ loUr Ho VhV dJr©H¥ V) _o§ {Zdoe H$moo ^m.{a.~¢. Ho {Xem{ZXo©emo§ Ho AZwgma EME\ Qr VWm EE\ Eg hoVw HŒ _e… _m{gH$ VWm {V_mhr A§Vamb _o§ ~mµOma/AZw_m{ZV dgybr `mo½` _yë` na A§{H$V {H$`m J`m h¡& O~{H$ D$na 4.1 _o§ Cp„{IV àË`oH$ loUr Ho A§VJ©V n{aUm_r {Zdb _yë`õmg `{X H$mooB© h¡, H$moo bm^ Ed§ hm{Z boIo _o§ ‘àmdYmZ Ed§AmH$pñ_H$VmAmo§’ Ho ên _o§ {ZYm©{aV {H$`m J`m h¡ VWm _yë`õmg hoVw nhbo {H$E JE àmdYmZ H$s hX VH$ H$moo Nmo‹SH$a {Zdb A{Y_yë`Z H$moo Nmo‹S {X`m J`m h¡& nwZ_y©ë`m§H$Z Ho nümV² AbJ-AbJ à{V^y{V`mo§ Ho ~hr _yë` _o§ n{adV©Z Zht hwAm h¡&

(ii) _yë`õmg Ho A{V{aº àmdYmZ Ho à{VboIZ Ho g§~§Y _o§, Cgo ‘àmdYmZ Am¡a AmH$pñ_H$VmE±’ _o§ Zm_o {H$`m J`m h¡ Am¡a g_Vwë` am{e (H$amo§ H$m {Zdb Am¡a gm§{d{YH$ Ama{jV {Z{Y _o§ A§VaU) H$moo AZwgyMr 2 - “Ama{jV {Z{Y Ed§ A{Yeof” Ho VhV {Zdoe Ama{jV {Z{Y ImVo _o§ {d{Z`mo{OV {H$`m J`m h¡&

(iii) Cnamoº (i) Ho CÔoí` hoVw, ~mOma H$s_V/AZw_m{ZV àmß` _yë` {ZåZdV² {ZYm©{aV {H$`m OmVm h¡…

136 dm{f©H$ [anmoQ>© 2016-17

4. B©{¹$Q>r eoà Equity Shares (i) CÕ¥V… ~m‹Oma _yë` na Quoted : At market price

(ii) AZwÕ¥V… H§$nZr Ho$ AÚVZ VwbZ-nÌ (EH$ df© go A{YH$ nwamZm Z hmo) Ho$ AZwgma {ZpíMV {díbo{fV _yë` na AÝ`Wm ` 1/- à{V H§$nZr&Unquoted: At break-up value as ascertained from the company’s latest Balance Sheet [not more than one year old], otherwise at ` 1/- per company.

5. A{Y_mZ eoà, {S~o§Ma Ed§ ~m§SPreference Share, Debentures and Bonds

(i) CÕ¥V… ~m‹Oma _yë` na Quoted : At market price

(ii) AZwÕ¥V… C{MV n[an¹$Vm à{V’$b na Unquoted: On appropriate yield to maturity

6. å`yMwAb \§$SMutual Fund

(i) CÕ¥V…. ~m‹Oma _yë` na Quoted : At market price

(ii) AZwÕ¥V… nwZH«©$¶ _yë` `m àËòH$ `moOZm _o§ ’§$S> Ûmam Kmo{fV {Zdb AmpñV _yë` na (Ohm± nwZH«©$¶ _yë` CnbãY Zht h¡)Unquoted : At repurchase price or Net Asset Value [where repurchase price is not available] declared by the fund in each of the schemes.

7. CÚ‘ ny§Or {Z{YVenture Capital Funds

(i) CÕ¥V… ~m‹Oma _yë` na Quoted: At market value

(ii) AZwÕ¥V… BH$mB`mo§ Ho ê$n _o§ {Zdoemo§ Ho _m_bo _o§, AnZo {dÎmr` {ddaUmo§ _o§ drgrE\ Ûmam Xem©E JE EZEdr na _yë`m§H$Z {H$`m OmE& EZEdr na AmYm{aV BH$mB`mo§ na _yë`õmg, `{X H$moB© hmo, Ho {bE {Zdoemo§ Ho EE\$Eg àdJ© go EMQrE_ àdJ© _o§ A§VaU Ho g_` VWm drgrE\ go àmßV {dÎmr` {ddaUmo§ Ho AmYma na {V_mhr `m ~ma§~ma A§Vambmo§ na {H$E OmZo dmbo AZwdVr© _yë`m§H$Zmo§ na ^r àmdYmZ {H$`m OmZm Mm{hE& BH$mB`mo§ H$m H$_ go H$_ df© _o§ EH ~ma boImnar{jV n{aUm_mo§ Ho AmYma na _yë`m§H$Z {H$`m OmE& VWm{n, `{X EZEdr Am±H$So Xem©Zo dmbo boImnar{jV VwbZ nÌ/ {dÎmr` {ddaU _yë`m§H$Z H$s VmarI H$moo 18 _mh go A{YH Ho {bE CnbãY Zht h¢, Vmo {Zdoemo§ H$m _yë`m§H$Z 1 én`m à{V drgrE\ na {H$`m OmE&

Unquoted: In the case of investments in the form of units, the valuation will be done at the NAV shown by the VCF in its financial statements. Depreciation, if any, on the units based on NAV has to be provided at the time of shifting the investments to AFS category from HTM category as also on subsequent valuations which should be done at quarterly or more frequent intervals based on the financial statements received from the VCF. At least once in a year, the units are valued based on the audited results. However, if the audited balance sheet/financial statements showing NAV figures are not available continuously for more than 18 months as on the date of valuation, the investments are to be valued at Rupee 1 per VCF.

4.3 Non-performing Investments:

a] All such securities where repayment of principal or interest is not serviced within 90 days from the due date are classified as Non-Performing Investments, except securities guaranteed by the Central Government which are treated as performing investments notwithstanding arrears of principal/ interest payments. In respect of investments classified as Non-performing, appropriate provisions are made for the depreciation in the value of these investments. The depreciation requirement in respect of these securities is not set off against appreciation in respect of other performing securities.

4.3 J¡a-{ZînmXH$ {Zdoe

H$) H|$Ð gaH$ma Ûmam Jma§QrH¥$V à{V^y{V`mo§ H$moo Nmo‹SH$a g^r à{V^y{V`mo§ H$moo, Ohm± _ybYZ `m ã`mO H$s MwH$mo¡Vr Xo` VmarI go 90 {XZmo§ Ho A§Xa Zht H$s JB© h¡, J¡a-{ZînmXH$ {Zdoemo§ Ho ên _o§ dJr©H¥ V {H$`m J`m h¡& H|$Ð gaH$ma Ûmam Jma§QrH¥ V à{V^y{V`mo§ H$moo _ybYZ/ã`mO AXm`Jr ~H$m`m ahZo Ho ~mdOyX {ZînmXH$ {Zdoemo§ Ho ên _o§ _mZm J`m h¡& J¡a-{ZînmXH$ Ho ên _o§ dJr©H¥ V {Zdoemo§ Ho g§~§Y _o§ BZ {Zdoemo§ Ho _yë` _o§ _yë`õmg hoVw Cn`wº àmdYmZ {H$E JE h¢& BZ à{V^y{V`mo§ Ho g§~§Y _o§ Ano{jV _yë`õmg AÝ` {ZînmXH$ à{V^y{V`mo§ Ho g§~§Y _o§ _yë`d¥{Õ Ho gmW g_§OZ Zht {H$`m J`m h¡&


b] Where the Bank has both credit and investment exposures to any borrower/group and in the event the credit exposure is classified as Non-Performing asset, the investment exposure to them is also classified as Non-Performing.

4.4 Accounting for Repo Transactions: The Bank follows the accounting norms prescribed by

RBI vide Circular dated 23.03.2010 in respect of repo / reverse repo transactions under market repo and the accounting guidelines issued vide Ref. RBI/2015-2016/403 FMRD. DIRD.10/14.03.002/2015-16 dated 19.05.2016 in respect of repo/reverse repo transactions under Liquidity Adjustment Facility (LAF) and the Marginal Standing Facility (MSF).

4.5 Accounting for Investment Transactions: i) The Bank follows settlement date method of

accounting for its investments; ii) Cost is determined on weighted average cost

method; iii) Profit on sale is netted with loss on sale of securities; iv) The portion of income/loss that arises on account

of movement in the yield, when the following investments are sold, will have to be treated as profit/loss.

The difference between the sale price/redemption value of fixed income securities and its book value shall be treated as profit or loss on sale of investments.

The difference between sale price/redemption value of mutual funds including liquid Mutual Funds and its book value shall be treated as profit/loss on sale of investments.

In respect of discounted securities viz., CD/CP/T-Bills, difference between sale price and carrying cost (book value + accrued interest) shall be treated as profit/loss on investment.

5. FIXED ASSETS a] i. Fixed assets (other than revalued assets) are

stated at cost less accumulated depreciation and provision for impairment. Cost comprises of the purchase price and any cost attributable for bringing the asset to its working condition for its intended use. The carrying amounts of fixed assets are reviewed at each balance sheet date and adjusted for any impairment in accordance with the Accounting Standard (AS) 28 “Impairment of Assets” issued in this regard by the Institute of Chartered Accountants of India.

ii. Land and Buildings (other than leasehold land) revalued during September, 2015 are stated at realizable value by crediting to Revaluation

I) Ohm± ~¢H$ H$m {H$gr nmQr©/JŒwn _o§ G$U Ed§ {Zdoe XmoZmo§ _o§ ~¢H$ em{_b h¡ VWm G$U H$moo J¡a-{ZînmXH$ AmpñV Ho ên _o§ dJr©H¥ V H$aZo H$s pñW{V _o§ BZ_o§ {Zdoe H$moo ^r J¡a-{ZînmXH$ Ho ên _o§ dJrH¥ V {H$`m OmVm h¡&

4.4 aonmo boZXoZmo§ Ho {bE boIm§H$Z

~mµOma aonmo Ho VhV aonmo/{adg© aonmo boZXoZmo§ Ho {bE n{anÌ {XZm§{H$V 23.03.2010 Ho O{aE ^m.{a.~¢. Ûmam {ZYm©{aV boIm§H$Z _mZX§S VWm Mb{Z{Y g_m`moOZ gw{dYm(EbEE\ ) VWm gr_m§V ñWmB© gw{dYm (E_EgE\ ) Ho VhV aonmo/{adg© aonmo boZXoZmo§ Ho {bE g§X^© m.{a.~¢. /2015-2016/403 E\$E_AmaSr.SrAmB©AmaSr.10/14.03.002/2015-16 {XZm§{H$V 19.05.2016 Ho O{aE Omar boIm§H$Z {Xem{ZXoemo§ H$m AZwnmbZ ~¢H$ Ûmam {H$`m OmVm h¡&

4.5 {Zdoe boZXoZmo§ hoVw boIm§H$Z i) ~¢H$ AnZo {Zdoemo§ Ho boIm§H$Z hoVw {ZnQmZ VmarI nÕ{V H$m

nmbZ H$aVm h¡; ii) bmJV ^m{aV Am¡gV bmJV nÕ{V na {ZYm©{aV H$s JB© h¡; iii) à{V^y{V`mo§ Ho {dHŒ ` na bm^ H$m {dHŒ ` na hm{Z Ho gmW {Zdb

{ZH$mbm J`m h¡; iv) {ZåZ{b{IV {Zdoemo§ H$s {~H«$s na, Am` _o§ CVma-M‹Tmd Ho H$maU

CËnÞ hmoZo dmbr Am`/hm{Z H$m {hñgm bm^/hm{Z Ho ên _o§ _mZm OmEJm&

{ZYm©{aV Am` à{V^y{V`mo§ H$s {~H«$s H$s_V/_moMZ _yë` VWm ~hr _yë` Ho ~rM Ho A§Va H$moo {Zdoemo§ H$s {~HŒ r na bm^ `m hm{Z Ho ên _o§ _mZm OmE&

Vab å`yMwAb \§ S g{hV å`yMwAb \§ S {~H«$s H$s_V/_moMZ _yë` VWm ~hr _yë` Ho ~rM Ho A§Va H$moo {Zdoemo§ H$s {~H«$s na bm^ `m hm{Z Ho ê n _o§ _mZm OmE&

~ÅmJV à{V^y{V`mo§, AWm©V², grSr/grnr/Qr-{~b hoVw, {~H«$s H$s_V VWm aImd bmJV (~hr _yë` + Cn{MV ã`mO) Ho ~rM Ho A§Va H$moo {Zdoe na bm^/hm{Z Ho ên _o§ _mZm OmE&

5. pñWa AmpñV`m±

H$) i. pñWa AmpñV`mo§ (nwZ_w©ë`m§{H$V AmpñV`mo§ Ho Abmdm) H$moo g§{MV _yë`õmg VWm hm{Z hoVw àmdYmZ H$moo H$_ H$aVo hwE bmJV na Xem©`m J`m h¡& bmJV _o§ H«$` H$s_V VWm AmpñV H$moo CgHo A{^àoV à`moJ hoVw CgHo H$m`© H$aZo H$s pñW{V _o§ bmZo hoVw ghm`H$ H$mooB© ^r bmJV em{_b h¡& pñWa AmpñV`mo§ H$s {Z{hV am{e H$s àË`oH$ VwbZ-nÌ {XZm§H$ H$moo g_rjm H$s OmVr h¡ VWm {H$gr ^r j{V hoVw ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Bg g§~§Y _o§ Omar boIm§H$Z _mZH$ 28 (AmpñV`mo§ H$s j{V) Ho AZwgma g_m`mo{OV {H$`m J`m h¡&

ii. ^y{_ Am¡a {~pëS§J (brOYmaU ^y{_ H$moo NmoSH$a) H$m {gV§~a, 2015 Ho Xm¡amZ nwZ_y©ë`m§H$Z {H$`m J`m, Am¡a Eogr AmpñV`mo§ Ho dgybr `mo½` _yë` H$moo nwZ_y©ë`m§H$Z Ama{jV {Z{Y`mo§ _o§ O_m H$aHo {XIm`m J`m h¡& n{aUm_ñdên, BZ

138 dm{f©H$ [anmoQ>© 2016-17

Reserve. Consequently, depreciation on these assets is charged to Profit and Loss Account and an equal amount is adjusted to the accumulated depreciation. Difference between depreciation and revalued carrying amount and depreciation on its original cost is transferred from ‘Reserve for revaluation of Land and Building’ to ‘Revenue Reserve’ in accordance with the Accounting Standard (AS) 10 “Property, Plant & Equipment” issued in this regard by the Institute of Chartered Accountants of India.

iii. Impairment of Assets: Fixed Assets are reviewed for impairment whenever

events or changes in circumstances warrant that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net discounted cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognised is measured by the amount by which the carrying amount of the asset exceeds the fair value of the asset.

iv. Capital Work-in-progress includes cost of fixed assets that are not ready for their intended use.

b] Depreciation is provided under the straight-line method from the date of capitalization. The assets are depreciated taking into consideration the useful life of the asset as provided in Schedule II of the Companies Act, 2013. The Bank as a matter of prudence finds that the useful life of the following assets is lower than the useful life of the respective category of assets mentioned in Schedule II (ref.: Sec. 123) of the Companies Act, 2013 as stated below :

Motor Cycle, Scooters and other Mopeds - 8 Years Mobile Phones - 3 Years UPS and allied items - 5 Years Air-conditioners and Electrical fittings - 5 Years c] Leasehold Improvements are depreciated over a

period of 5 years. d] Depreciation on premises is provided for on

composite cost, wherever the value of land and building is not separately identified.

6. TRANSACTIONS INVOLVING FOREIGN EXCHANGE

a) Transactions denominated in foreign currencies are accounted for at the rates prevailing on the date of the transaction. Foreign currency monetary assets and liabilities are translated at the balance sheet date at closing exchange rates notified by Foreign Exchange Dealers Association of India ["FEDAI'] and the resulting profits/losses are recognized in the Profit and Loss Account.

AmpñV`mo§ na _yë`õmg H$moo bm^ d hm{Z ImVo _o§ à^m{aV {H$`m J`m h¡ VWm g_mZ am{e H$moo g§{MV _yë`õmg _o§ g_m`mo{OV {H$`m J`m h¡& _yë`õmg VWm nwZ_y©ë`m§{H$V aImd am{e Ho ~rM Ho A§Va VWm CgH$s _yb bmJV na _yë`õmg H$moo ^maVr` g§ZXr boImH$ma g§ñWmZ Ûmam Bg g§~§Y _o§ Omar ""g§n{Îm, g§`§Ì d CnH$aU'' boIm§H$Z _mZH$ (EEg) 10 Ho AZwgma "^y{_ VWm ^dZ Ho nwZ_y©ë`m§H$Z hoVw Ama{jV {Z{Y' go "amOñd Ama{jV {Z{Y' _o§ A§V{aV {H$`m OmVm h¡&

iii. AmpñV`mo§ H$s j{V… Ohm± {H$Ýht KQZmAmo§ Am¡a n{apñW{V`mo§ _o§ n{adV©Zmo§ Ho H$maU

Eogm hmo OmVm h¡ {H$ {H$gr AmpñV Ho aImd am{e H$s dgybr Zht hmo gH$Vr h¡, dhm± pñWa AmpñV`mo§ H$s j{V hoVw g_rjm H$s JB© h¡& Ym{aV Am¡a Cn`moJ H$s OmZo dmbr AmpñV`mo§ H$s dgybr j_Vm {H$gr AmpñV H$s aImd am{e go Cº am{e go àË`m{eV ^mdr {Zdb ~ÅmH¥ V ZH$X àdmh H$s VwbZm Ûmam _mnm OmVm h¡& `{X Eogr AmpñV`mo§ H$moo jV _mZm OmVm h¡, Vmo Cº AmpñV Ho C{MV _yë` go {OVZr A{YH$ CgH$s aImd am{e h¡, Cggo j{V H$m {ZYm©aU {H$`m OmVm h¡&

iv. H$m`©JV ny±Or _o§ pñWa AmpñV`mo§ H$s bmJV em{_b h¡ Omo AnZo A{^àoV à`moJ hoVw V¡`ma Zht h¡&

I) ny±OrH$aU Ho {XZm§H$ go grYr aoIm nÕ{V Ho VhV _yë`õmg àXmZ {H$`m J`m h¡& H§$nZr A{Y{Z`_, 2013 H$s AZwgyMr II Ho àmdYmZ Ho AZwgma AmpñV Ho Cn`moJr g_` na {dMma H$aVo hwE AmpñV`mo§ hoVw _yë`õmg àXmZ {H$`m J`m h¡& gmdYmZr Ho _m_bo Ho ên _o§ ~¢H$ Zo nm`m {H$ {ZåZ{b{IV AmpñV`mo§ H$m Cn`moJr g_` H§$nZr A{Y{Z`_, 2013 H$s AZwgyMr II (g§X^©: Ymam 123)_o§ Cpëb{IV AmpñV`mo§ Ho g§~§{YV àdJ© Ho Cn`moJr g_` go H$_ h¡:_moQa gmB©H$b, ñHy Qa Am¡a AÝ` _monoS - 8 df© _mo~mBb \ moZ - 3 df© `ynrEg VWm g§~Õ _Xo§ - 5 df© E`a H§ SreZa Am¡a BbopŠQ—H$b {\ qQJ - 5 df©

J) nÅmYmar gwYmamo§ H$m 5 dfmoª H$s Ad{Y Ho {bE _yë`õmg {H$`m OmVm h¡&

K) Ohm± ^y{_ Ed§ ^dZ H$m _yë` AbJ-AbJ Zht {b`m J`m h¡, dhm± n{aga na _yë`õmg g§`wº bmJV na àXmZ {H$`m J`m h¡&

6. {dXoer {d{Z_` g§~§Yr boZXoZ

H$) {dXoer _wÐm _o§ {H$E JE boZXoZmo§ Ho boZXoZ H$s {V{W H$moo bmJy Xamo§ na n{aH${bV {H$`m J`m h¡& {dXoer _wÐm _m¡{ÐH$ AmpñV`m± Ed§ Xo`VmE§ VwbZ-nÌ H$s {V{W Ho ^maVr` {dXoe {d{Z_` Srba Egmo{gEeZ (E\ B©SrEAmB©) Ûmam A{Ygy{MV A§{V_ {d{Z_` Xamo§ na n{aH${bV H$s JB© h¢ VWm n{aUm_r bm^/hm{Z`m± bm^ Ed§ hm{Z ImVo _o§ em{_b H$s JB© h¢&


b) Foreign Currency non-monetary items, which are carried in terms of historical cost, are reported using the exchange rate at the date of the transaction.

c) Outstanding foreign exchange spot and forward contracts meant for trading purpose are revalued at the exchange rates specified for spot and the respective forward maturities as notified by FEDAI. The resulting profit or loss is shown under Profit or Loss Account.

d) Foreign exchange forward contracts, which are not intended for trading and are outstanding at the balance sheet date, are revalued at the closing spot rate as notified by FEDAI and the resulting profit or loss is shown under Profit or Loss Account. The premium or discount arising at the inception of such a forward exchange contract is amortized as interest expense or income over the period of the contract.

e) Contingent liabilities denominated in foreign currency are reported using the FEDAI closing spot rates.

7. DERIVATIVES a) The bank enters into derivative contracts such as

foreign currency interest rate swaps, currency swaps, currency futures, options and forward rate agreements.

b) The income/expenses on derivative contracts classified as hedge are recorded on accrual basis.

c) All trading derivative contracts are marked to market and the resultant gains or losses are recognized in the Profit and Loss Account.

d) All derivative transactions are classified under contingent liabilities and those denominated in foreign currencies are reported using the FEDAI closing spot rates.

8. TRANSACTIONS INVOLVING PRECIOUS

METALS

a] Income from precious metals transactions is accounted for as ‘‘Other Income’’. In case of metals received on consignment basis, the income thereon is recognized at the time of sale.

b] Commodity loans to the constituents and deposits from public under the gold deposit scheme in the form of precious metals are translated at market related rates prevailing at the close of the period and shown under the head ‘‘Advances’’ and ‘‘Deposits’’ respectively.

c] Closing stock of precious metals [own dealing] is valued at lower of the cost and net realizable value.

d] Closing stock of gold held under Gold Deposit Scheme is valued at market related rates, as per RBI guidelines.

I) {dXoer _wÐm J¡a-_m¡{ÐH$ _Xo§ Omo na§namJV bmJV Ho AZwgma br JB©, boZXoZ H$s VmarI Ho {d{Z_` Xa H$m à`moJ H$aHo {anmoQ© H$s JB© h¢&

J) Q—oqSJ Ho {bE Ym{aV ~H$m`m dm`Xm {d{Z_` hm{Oa d dm`Xm H$ama {d{Z{X©îQ n{an¹VmAmo§ hoVw E\ B©SrEAmB©$ Ûmam A{Ygy{MV {d{Z_` Xamo§ na nwZ_y©ë`m§{H$V {H$E JE h¢ VWm n{aUm_r bm^ `m hm{Z H$moo bm^ hm{Z ImVo _o§ {b`m J`m h¡&

K) {dXoe {d{Z_` dm`Xm g§{dXmE§, Omo Q—oqSJ hoVw C{ÔîQ Zht h¢ VWm VwbZ nÌ Ho {XZm§H$ H$moo ~H$m`m h¢, CZH$m nwZ_y©ë`Z E\ B©SrEAmB© Ûmam A{Ygy{MV A§{V_ hm{µOa Xamo§ na {H$`m J`m h¡ VWm n{aUm_r bm^ `m hm{Z bm^-hm{Z ImVo _o§ Xem©B© JB© h¡& Eogo dm`Xm {d{Z_` g§{dXm Ho àma§^ na CËnÞ àr{_`_ `m ~Åo H$moo g§{dXm Ad{Y _o§ ã`mO ì`` AWdm Am` Ho ên _o§ n{aemo{YV {H$`m J`m h¡&

L) {dXoer _wÐm _o§ AmH$pñ_H$ Xo`VmAmo§ Ho E\ B©SrEAmB© H$s A§{V_ hm{µOa Xamo§ H$m Cn`moJ H$aHo {anmoQ© {H$`m J`m h¡&

7. ì`wËn{Þ`m±

H$) ~¢H$ {dXoer _wÐm ã`mO Xa ñd¡n, _wÐm ñd¡n, _wÐm â`wMa, Am°ßeZ VWm dm`Xm Xa H$ama O¡go ì`wËnÞ g§{dXmE§ H$aVm h¡&

I) ì`wËnÞ H$amamo§ na ~Mmd (hoO) Ho ên _o§ dJr©H¥ V Am`/ì`` CnM` AmYma na XO© H$s JB© h¡&

J) g^r Q—oqSJ ì`wËnÞ g§{dXmE§ ~mOma Xa na {Z{X©îQ H$s JB© h¢ VWm n{aUm_r bm^ `m hm{Z bm^-hm{Z boIo _o§ {d{Z{X©îQ H$s JB© h¡&

K) g^r ì`wËnÞ boZXoZ AmH$pñ_H$ Xo`VmAmo§ Ho VhV dJr©H¥ V {H$E JE h¢ VWm {dXoer _wÐm _yë`dJ© Ho boZXoZmo§ H$moo E\ B©SrEAmB© A§{V_ hm{µOa Xamo§ H$m à`moJ H$aHo {anmoQ© {H$`m J`m h¡&

8. ~hw_yë` YmVw {Z{hV boZXoZ

H$) ~hw_yë` YmVw boZXoZ go àmßV Am` H$moo ‘AÝ` Am`’ Ho ên _o§ boIm§{H$V {H$`m J`m h¡& naofU AmYma na àmßV YmVwAmo§ Ho _m_bo _o§ Cgo {~H«$s Ho g_` H$s Am` Ho AmYma na {ZYm©aU {H$`m J`m h¡&

I) ~hw_yë` YmVwAmo§ Ho ên _o§ JŒmhH$moo§ H$moo {XE JE nÊ` G$Umo§ VWm OZVm go ñdU© O_m `moOZm Ho A§VJ©V àmßV O_mAmo§ H$moo Ad{Y g_mpßV Ho g_` àM{bV ~mµOma g§~Õ Xamo§ _o§ n{ad{V©V {H$`m J`m h¡ VWm HŒ _e… "A{JŒ_' Am¡a "O_mE±' erf© Ho VhV Xem©`m J`m h¡&

J) ~hw_yë` YmVwAmo§ Ho A§{V_ ñQmH$ H$moo (AnZo boZXoZ) bmJV go {ZåZ VWm {Zdb dgybr `mo½` _yë` na Am±H$m J`m h¡&

K) ñdU© O_m `moOZm Ho A§VJ©V Ym{aV ñdU© Ho A§{V_ ñQmH$ H$moo ^maVr` {aµOd© ~¢H$ Ho {Xem{ZXo©emo§ Ho AZwgma ~mµOma g§~Õ Xamo§ na Am±H$m J`m h¡&

140 dm{f©H$ [anmoQ>© 2016-17

9. CASH AND BALANCES WITH RESERVE BANK OF INDIA

Cash and Balance with Reserve Bank of India include cash on hand and in ATM’s, and gold in hand and balances with RBI in current accounts.

10. EMPLOYEE BENEFITS

a) The Bank accounts for Employee Benefits as per Accounting Standard 15 issued by the Institute of Chartered Accountants of India.

b) i) Contributions payable to Gratuity, Pension and Leave Encashment which are defined benefit plans are accounted based on actuarial valuations made, at the balance sheet date, carried out by an independent actuary;

ii) Contributions payable to the Recognized Provident Fund and National Pension Scheme (NPS), which are defined contribution schemes, are charged to the Profit and Loss Account.

11. LEASE TRANSACTIONS Lease payments for assets taken on operating lease are

recognized as an expense in the Profit and Loss Account on a straight-line basis over the lease term.

12. CONTINGENT LIABILITIES AND PROVISIONS In conformity with Accounting Standard 29, “Provisions,

Contingent Liabilities and Contingent Assets”, issued by the Institute of Chartered Accountants of India, the Bank recognizes provisions only when it has a present obligation as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation, and when a reliable estimate of the amount of the obligation can be made.

Past events leading to possible obligations existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Bank; or present obligations where it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation; or a reliable estimate of the amount of obligation cannot be made, are treated as contingent liabilities and are dealt-with in accordance with AS 29.

Contingent Assets are not recognized in the financial statements.

13. TAXES ON INCOME Income-tax expense comprises current tax [i.e., amount

of tax for the period determined in accordance with the income-tax law] and deferred-tax charge or credit [reflecting tax effects of timing differences between accounting income and taxable income for the period].

a] Current tax is measured at the amount expected to be paid to the taxation authorities, using the

9. ZH$Xr Ed§ ^maVr` {aOd© ~¢H$ _o§ eof

ZH$Xr VWm ^maVr` {aµOd© ~¢H$ _o§ eof _o§ hñVJV d EQrE_mo§ _o§ ZH$Xr VWm hñVJV ñdU© Ed§ ^maVr` {aµOd© ~¢H$ Ho nmg Mmby ImVo _o§ eof em{_b h¢&

10. H$_©Mmar {hVbm^

H$) ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH$ 15 Ho AZwgma H$_©Mmar {hVbm^ hoVw ~¢H$ ImVo h¢&

I) i) JŒ¡À`wQr, no§eZ Am¡a NwÅr ZH$XrH$aU H$moo Xo` A§eXmZ Omo n{a^m{fV bm^ `moOZmE§ h¢, H$m boIm§H$Z dmñV{dH$ _yë`m§H$Z Ho AmYma na , VwbZ nÌ Ho {XZm§H$ H$moo ñdV§Ì ~r_m§H$H$ Ûmam {H$`m OmVm h¡&

ii) {Z{X©îQ ^{dî` {Z{Y/amîQ—r` no§eZ `moOZm (EZnrEg) Omo n{a^m{fV A{^XmZ `moOZmE± h¢, BZ_o§ Xo` A§eXmZ H$moo bm^ Am¡a hm{Z ImVo _o§ à^m{aV {H$`m J`m h¡&

11. nÅmJV boZXoZ

n{aMmbZ nÅo na br JB© AmpñV`mo§ hoVw nÅo Ho wJVmZmo§ H$moo nÅo H$s Ad{Y _o§ grYr aoIm nÕ{V Ho AmYma na bm^-hm{Z boIo _o§ ì`` Ho ên _o§ {b`m J`m h¡&

12. AmH$pñ_H$ Xo`VmE§ Ed§ àmdYmZ

^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH$ 29 “àmdYmZ, AmH$pñ_H$ Xo`VmE§ VWm AmH$pñ_H$ AmpñV`m§” Ho AZwên ~¢H$ àmdYmZmo§ H$m {ZYm©aU Ho db V^r H$aVm h¡ O~ {dJV {H$gr KQZm Ho \ bñdên Cgo dV©_mZ Xm{`Ëd hmoVm h¡& `h g§^d h¡ {H$ O~ Xm{`Ëd H$m {dœgZr` àm¸ bZ {H$`m Om gH$Vm h¡ V~ Am{W©H$ bm^ A{^ì`º H$aZo dmbo g§gmYZmo§ Ho ~mha àdmh go Xm{`Ëd H$m {ZnQmZ H$aZm n‹So&

g§^m{dV Xm{`Ëd CËnÞ H$aZo dmbr {nNbr KQZmAmo§ H$s nwpîQ {OZH$m ApñVËd EH$ AWdm A{YH$ A{Z{üV mdr KQZmAmo§, Omo nyU©V… ~¢H$ Ho {Z`§ÌU _o§ Zht h¢, Ho KQZo `m Z KQZo na hr, H$s OmEJr AWdm dV©_mZ Xm{`Ëd, Ohm± `h g§^mì` Zht h¡ {H$ Am{W©H$ bm^ CËnÞ H$aZo dmbo g§gmYZmo§ H$m H$mooB© ~{hdm©h Xm{`Ëd H$m {ZnQmZ H$aZo hoVw Ano{jV hmoJm AWdm Xm{`Ëd H$s am{e H$m {dœgZr` àm¸ bZ Zht {H$`m Om gH$Vm h¡, BÝho§ AmH$pñ_H$ Xo`VmAmo§ Ho ên _o§ _mZm OmVm h¡ VWm boIm§H$Z _mZH$ 29 Ho AZwgma H$m`©dmB© H$s OmVr h¡&

{dÎmr` {ddaUmo§ _o§ AmH$pñ_H$ AmpñV`mo§ H$m {ZYm©aU Zht {H$`m OmVm h¡&

13. Am` na H$a

Am` H$a ì`` _o§ Mmby H$a (AWm©V² Am` H$a H$mZyZ Ho AZwgma {ZYm©{aV Ad{Y hoVw H$a H$s am{e) VWm AmñW{JV H$a à^ma `m O_m (Ad{Y hoVw boIm§H$Z Am` VWm H$a `mo½` Am` Ho ~rM g_` Ho A§Va H$m H$a à^md à{Vq~{~V H$aZo dmbm) em{_b h¡&

H$) bmJy H$a Xamo§, H$a {d{Y`mo§ Am¡a AZwHy$b Ý`m{`H$ CX²¿mmofUmAmo§/


applicable tax rates, tax laws and favourable judicial pronouncements/legal opinions.

b] The deferred-tax charge or credit and the corresponding deferred-tax liabilities or assets are recognized using the tax rates that have been enacted or substantively enacted by the balance sheet date. As advised by RBI, Bank provides Deferred Tax Liabilities on the “Special Reserves” created by Banks under Section 36 (1) (viii) of the Income Tax Act, 1961. Deferred-tax assets are recognized keeping in view the consideration of prudence only to the extent there is virtual certainty that the assets can be realized in future.

14. EARNINGS PER SHARE

Basic and Diluted Earnings per Equity Share are computed in accordance with Accounting Standard 20, Earnings Per Share, issued by the Institute of Chartered Accountants of India.

15. TREATMENT OF BASEL III COMPLIANT ADDITIONAL TIER I BONDS AND TIER II BONDS ON OCCURRENCE OF TRIGGER EVENTS

a] On occurrence of Common Equity Tier 1 trigger event the Bank shall write-down the outstanding principal of the Bonds not less than that the amount required to immediately return the Banks Common Equity Ratio to above the CET1 trigger event by creating “AT 1 Bond Reserve”. The reserve so created shall be part of Common Equity Tier I Capital Bonds written down on occurrence of CET1 Trigger event temporarily may be re-instated in terms of Bond issue/ RBI guidelines by debit to AT-1 Bond reserve.

b] On occurrence of Point of Non-Viability [PONV] trigger event initiated by Reserve Bank of India, the Bank may create common equity Tier I capital by writing off Additional Tier I Bond principal amount permanently with corresponding creation of AT-1 Bond reserve/Tier II Bond Reserve as the case may be. The re-instatement clause is not applicable on occurrence of PONV trigger event.

{d{YH$ A{^_Vmo§ Ho AZwgma H$amYmZ àm{YH$m{a`mo§ H$moo ^wJVmZ hoVw Ano{jV am{e Ho AmYma na Mmby H$a H$moo _mnm J`m h¡&

I) AmñW{JV H$a à^ma `m O_m VWm AZwênr AmñWm{JV H$a Xo`VmAmo§ `m AmpñV`mo§ H$moo CZ H$a Xamo§ Ho à`moJ go {ZYm©{aV {H$`m J`m h¡ Omo VwbZ-nÌ {XZm§H$ VH$ A{Y{Z`{_V `m _yb ên go A{Y{Z`{_V H$s JB© h¢& ^m{a~¢ H$s gyMZm Ho AZwgma ~¢H$ AmñW{JV H$a Xo`VmAmo§ H$moo Am`H$a A{Y{Z`_, 1961 H$s Ymam 36 (1) (viii) Ho A§VJ©V g¥{OV ""{deof Ama{jV {Z{Y'' H$moo àXmZ H$aVm h¡& Ohm± VH$ {Zdoe g§{d^mJ _o§ _yë`õmg H$m gdmb h¡& AmñW{JV H$a AmpñV`mo§ H$m {ZYm©aU Cgr gr_m VH$ {ddoH$mZwgma {H$`m J`m h¡ Ohm± `h g§^mì` {Z{üVVm ahVr h¡ {H$ AmpñV`mo§ H$moo ^{dî` _o§ àmßV {H$`m Om gH$Vm h¡&

14. à{V eoà AO©Z

_yb Ed§ VZyH¥ V à{V eoà Am` H$m n{aH$bZ ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH$ 20 à{V eoà AO©Z Ho AZwên {H$`m J`m h¡&

15. {Q—Ja Bdo§Q Ho hmoZo na ~mgob III AmYm{aV A{V{aº {Qà I ~m°ÊS VWm {Qà II ~m°ÊS H$m {ZênU:

H$) {Q—Ja Bdo§Q AWm©V², gm_mÝ` Bp¹Qr {Qà 1 {Q—Ja Bdo§Q Ho hmoZo na ~¢H$ ~m°ÊSmo§ Ho ~H$m`m _ybYZ H$m AdboIZ H$aoJm Omo ""EQr1 ~m°ÊS {aµOd©'' Ho g¥OZ Ûmam Cnamoº grB©Qr1 {Q—Ja Bdo§Q H$moo ~¢H$ Ho gm_mÝ` Bp¹Qr AZwnmV H$s VËH$mb dmngr hoVw Ano{jV am{e go H$_ Zht hmoJm& Bg àH$ma g¥{OV {aµOd© gm_mÝ` Bp¹Qr {Qà 1 ny±Or ~m°ÊS H$m ^mJ hmoJm {Ogo grB©Qr1 {Q—Ja Bdo§Q Ho hmoZo na AñWm`r ên go Adbo{IV {H$`m J`m h¡, H$moo EQr-1 ~m°ÊS {aµOd© _o§ Zm_o H$aVo hwE ~m°ÊS {ZJ©_/^m.{a.~¢. {Xem{ZXo©emo§ Ho AZwgma nwZ…ñWm{nV {H$`m OmEJm&

I) ^maVr` {aµOd© ~¢H$ Ûmam àma§^ ßdmB§Q Am°\ Zm°Z dmò{~{bQr (nrAmoEZdr) {Q—Ja Bdo§Q Ho hmoZo na, _m_bo Ho AZwgma EQr-1 ~m°ÊS {aµOd©/{Qà II ~m°ÊS {aµOd© Ho VXZwênr g¥OZ Ho gmW ñWm`r ên go A{V{aº {Qà I ~m°ÊS _ybYZ am{e Ho AdboIZ Ûmam gm_mÝ` Bp¹Qr {Qà I ny±Or H$m g¥OZ H$a gH$Vo h¢& nwZ…ñWmnZm eV© nrAmoEZdr {Q—Ja Bdo§Q H$s KQZm na bmJy Zht h¡&

142 dm{f©H$ [anmoQ>© 2016-17

Schedule 18 – StandaloneNOTES FORMING INTEGRAL PART OF

THE ACCOUNTS FOR THE YEAR ENDED 31st MARCH, 2017

A. DISCLOSURES REQUIRED IN TERMS OF GUIDELINES ISSUED BY RBI

1.0 CAPITALa) During the year, the Bank has allotted 12,45,70,868

equity shares of `2/- each at a premium of `38.78 per share to Government of India on preferential basis on September 28, 2016 for a total consideration of `508.00 Crores.

b) During the year, the Bank has raised `500.00 Crores additional Tier I Bonds on March 24, 2017.

c) The Bank’s Capital to Weighted Risk Assets Ratio (CRAR) has been worked out as per the RBI guidelines. These ratios are given below:

(` H$amo‹S> ‘| ` in crores)

H«$.g§.Sl. No.

{ddaU Particulars

31 ‘mM©, 2017 31st March, 2017

31 ‘mM©, 201631st March, 2016

~mgob IIIBasel III

~mgob IIBasel II

~mgob IIIBasel III

~mgob IIBasel II

i) gm_mÝ` B©{¹$Q>r {Q>¶a 1 ny±Or AZwnmV Common Equity Tier 1 capital ratio 7.99% 7.27%

ii) {Q>¶a 1 ny±Or AZwnmV Tier 1 capital ratio 8.90% 8.46% 7.93% 7.33%iii) {Q>¶a 2 ny±Or AZwnmV Tier 2 capital ratio 2.42% 3.44% 2.63% 3.55%iv) Hw$b ny±Or AZwnmV (grAmaEAma)

Total Capital ratio (CRAR) 11.32% 11.90% 10.56% 10.88%v) ^maV gaH$ma H$s eo¶aYm[aVm H$m à{VeV

Percentage of the shareholding of the Government of India 70.76% 70.76% 67.20% 67.20%vi) df© Ho$ Xm¡amZ g§J«hrV B©{¹$Q>r ny±Or H$s am{e

Amount of equity capital raised during the year 508.00 508.00 1,000.00 1,000.00

vii) df© Ho$ Xm¡amZ g§J«hrV A{V[aº$ {Q>¶a 1 ny±Or H$s am{e {OZ‘|Amount of Additional Tier 1 capital raised ; of which 500.00 500.00 - -

emídV J¡a- g§M`r A{Y_mZ eoà (nrEZgrnrEg) Perpetual Non-Cumulative Preference Shares (PNCPS) - - - -

emídV F$U {bIV (nrS>rAmB©) Perpetual Debt Instruments (PDI) 500.00 500.00 - -

viii) g§J«hrV {Q>¶a 2 ny±Or; {OZ‘| goAmount of Tier 2 capital raised; of which - - - -

H$O© ny±Or {bIV…Debt capital instrument - - - -

A{Y‘mZ eo¶a ny±Or {bIVPreference Share Capital Instruments - - - -

emídV g§M¶r A{Y‘mZ eo¶a (nrgrnrEg)Perpetual Cumulative Preference Shares (PCPS) - - - -

à{VXo¶ J¡a-g§M¶r A{Y‘mZ eo¶a (AmaEZgrnrEg)Redeemable Non-Cum. Preference Shares (RNCPS) - - - -

à{VXo¶ g§M`r A{Y‘mZ eo¶a (AmagrnrEg)Redeemable Cumulative Preference Shares (RCPS) - - - -

AZwgyMr 18 - EH$b

{Q>ßn{U`m§ Omo 31 _mM©, 2017 H$mo g_má df© hoVw boIm| H$m A{^ÝZ A§J h¢

H$. ^m.[a.~¢. Ûmam Omar ‘mJ©{ZX}em| Ho$ AZwgma Ano{jV àH$Q>Z

1.0 ny±Or

H$) df© Ho$ Xm¡amZ `38.78 à{V eoà Ho$ àr{_`_ na `2/- A§{H$V _yë` Ho$ 12,45,70,868 B©{¹$Q>r eoà 28 {gV§~a, 2016 H$mo `508.00 H$amo‹S> Ho$ à{V\$b hoVw A{Y_mZVm AmYma na ^maV gaH$ma H$mo Omar Ed§ Am~§{Q>V {H$E JE&

I) df© Ho$ Xm¡amZ, ~¢H$ Zo 24 _mM©, 2017 H$mo `500.00 H$amo‹S> H$m A{V[aº$ {Q>à I ~m°ÊS> Omar {H$`m &

J) ~¢H$ H$s ny±Or _| ^m[aV Omo{I_ AmpñV AZwnmV (grAmaEAma) H$s JUZm ^maVr` [aµOd© ~¢H$ Ho$ {Xem{ZX}em| Ho$ AZwgma H$s JB© h¡& ò AZwnmV {ZåZdV² h¢


2.0 {Zdoe2.0 INVESTMENTS

(` H$amo‹S> ‘| ` in crores)

H«$.g§.Sl. No. {ddaU Particulars

31 ‘mM©, 2017 31st March, 2017

31 ‘mM©, 201631st March, 2016

1 {Zdoem| H$m _yë` Value of Investments

(i) {Zdoem| H$m gH$b _yë` Gross Value of Investments

H$) (a) ^maV _| In India 64,516.10 63,662.38 I) (b) ^maV Ho$ ~mha Outside India 0.54 54

(ii) _yë`õmg hoVw àmdYmZ Provisions for Depreciation H$) (a) ^maV _| In India 443.67 382.29 I) (b) ^maV Ho$ ~mha Outside India eyÝ¶ Nil eyÝ¶ Nil

(iii) {Zdoem| H$m {Zdb _yë` Net Value of Investments

H$) (a) ^maV _| In India 64,072.43 63,280.09

I) (b) ^maV Ho$ ~mha Outside India 0.54 0.54 2 {Zdoem| ‘| ‘yë¶õmg hoVw Ym[aV àmdYmZm| H$s pñW{V

Movement of provisions held towards depreciation on investmentsàma§{^H$ eof Opening balance 382.29 109.69

Omo‹S>o… df© Ho$ Xm¡amZ {H$E JE àmdYmZ Add: Provisions made during the year 80.97 289.95

KQ>mE§… df© Ho$ Xm¡amZ A{YH$ àmdYmZm| H$m AnboIZ/à{VboIZ Less: Write-off/write-back of excess provisions during the year 19.59 17.35

A§{V‘ eof Closing balance 443.67 382.29 Government Securities amounting to `21,936.67 Crores (Previous Year `1,241.87 Crores) are kept as margin with Clearing Corporation of India Limited (CCIL) / NSCCL/ MCX-CCL/ ICCL towards securities settlement.Investments include securities of the face value of `8885.00 Crores (Previous Year `11,610.00 Crores), pledged/transferred to RBI for availing various facilities. It includes securities of the face value Nil (Previous year `6705.92 Crores) encumbered for borrowing under LAF-Repo.During the year, the Bank has transferred securities of book value of `2482.28 Crore (Previous year `1655.33 Crore) from “Available for Sale category” to “Held to Maturity”, transferred securities of book value of `3312.56 crore (Previous year `490.43 crore) from “Held to Maturity” to “Available for Sale category”, transferred securities of book value of `NIL Crore (Previous year ` Nil) from “Held for Trading” to “Available for Sale Category” and also transferred securities of book value of `NIL crore (Previous year `Nil) from “Held for Trading” to “Held to Maturity”.

2.1 During the current year, the value of sales / transfers of securities to / from HTM category [excluding portfolio transfer of securities (under one time / special window permitted by RBI) and sales to RBI under OMO auctions] exceeded the limit of 5% of the book value of the investment held in HTM category at the beginning of the year. The market value of investment held in the HTM category was `44,440.45 Crores as on 31.03.2017. The excess of Book Value over Market Value for which provision was not made was Nil.

`21,936.67 H$amo‹S> (JV df© `1,241.87 H$amo‹S>) am{e H$s gaH$mar à{V^y{V`m± {ZnQ>mZ hoVw ^maVr` g_memoYZ {ZJ_ (grgrAmB©Eb)/EZEggrgrEb/E_grEŠg-grgrEb/AmB©grgrEb _| _m{O©Z Ho$ ê$n _| aIm J`m h¡&

{Zdoem| _| {d{dY gw{dYmE± àmá H$aZo hoVw ^m.[a.~¢. H$mo {Jadr aIr/A§V[aV `8885.00 H$amo‹S> (JV df© 11,610.00 H$amo‹S>) A§{H$V _yë` H$s à{V^y{V`m± em{_b h¢& Bg_| EbEE\$-aonmo Ho$ VhV CYma hoVw ^maJ«ñV A§{H$V _yë` eyÝ` (JV df© `6705.92 H$amo‹S>) H$s à{V^y{V`m± ^r em{_b h¢&

df© Ho$ Xm¡amZ ~¢H$ Zo 2482.28 H$amo‹S> (JV df© 1655.33 H$amo‹S>) Ho$ ~hr _yë` H$s à{V^y{V`m| H$mo ""{~H«$s Ho$ {bE CnbãY'' àdJ© go ""n[an¹$Vm VH$ Ym[aV'' àdJ© _| A§V[aV {H$`m Am¡a `3312.56 H$amo‹S> (JV df© `490.43 H$amo‹S>) Ho$ ~hr _yë` H$s à{V^y{V`m| H$mo ""n[an¹$Vm VH$ Ym[aV'' àdJ© go ""{~H«$s Ho$ {bE CnbãY'' àdJ© _| A§V[aV {H$`m h¡ Am¡a eyÝ` H$amo‹S> (JV df© ` eyÝ`) Ho$ ~hr _yë` H$s à{V^y{V`m| H$mo ""Q´o>qS>J Ho$ {bE Ym[aV'' go ""{~H«$s Ho$ {bE CnbãY'' àdJ© _| A§V[aV {H$`m h¡ Am¡a ` eyÝ` H$amo‹S> (JV df© eyÝ`) Ho$ ~hr _yë` H$s à{V^y{V`m| H$mo ""Q´o>qS>J Ho$ {bE Ym[aV'' go ""n[an¹$Vm VH$ Ym[aV'' àdJ© _| A§V[aV ^r {H$`m h¡&

2.1 Mmby df© Ho$ Xm¡amZ, EMQ>rE_ àdJ© _|/go à{V^y{V`m| H$s {~H«$s/A§VaU H$m _yë` à{V^y{V`m| H$m g§{d^mJ A§VaU [(^m.[a.~¢. Ûmam AZw_V EH$ ~maJr/{deof qdS>mo Ho$ A§VJ©V) Am¡a AmoE_Amo Zrbm{_`m| _| ^m.[a.~¢. H$mo {~H«$s] H$mo N>mo‹S>H$a df© Ho$ àma§^ _| EMQ>rE_ àdJ© _| Ym[aV {Zdoe Ho$ ~hr _yë` Ho$ 5% H$s gr_m go ~mha Wm& EMQ>rE_ dJ© _| Ym[aV {Zdoe H$m ~mµOma _yë` 31.03.2017 H$mo `44,440.45 H$amo‹S> Wm& ~mµOma _yë` H$s VwbZm _| A{YH$ ~hr _yë` {OgHo$ {bE àmdYmZ Zht {H$`m J`m eyÝ` Wm&

144 dm{f©H$ [anmoQ>© 2016-17

2.2 aonmo boZ-XoZ (A§{H$V _yë` Ho$ AmYma na) 2.2 Repo Transactions (In face value terms)

(` H$amo‹S> _| ` in crores)

{ddaU Particulars

df© Ho$ Xm¡amZ Ý yZ V_ ~H$m`m

Minimum outstanding

during the year

df© Ho$ Xm¡amZ A{Y H$ V_ ~H$m`m

Maximum outstanding

during the year

df© Ho$ Xm¡amZ Am¡g VZ X¡{ZH$ ~H$m`m

Daily Average outstanding

during the year

`Wm 31 _mM©, 2017 H$mo ~H$m`m

Outstanding as on

March 31, 2017

aonmo Ho$ VhV ~oMr JB© à{V y {V`m±Securities sold under repo

i. gaH$mar à{V^y{V¶m± Government securities - 12395.80 839.85 5.03

ii. H$mnm}aoQ> H$O© à{V^y{V¶m± Corporate debt securities - - - -

[adg© aonmo Ho$ VhV IarXr JB© à{V y {V`m± Securities purchased under reverse repo

i. gaH$mar à{V^y{V¶m± Government securities - 3499.95 177.49 1199.40

ii. H$mnm}aoQ> H$O© à{V^y{V¶m± Corporate debt securities - - - -

2.3 J¡a-EgEbAma {Zdoe g§{d^mJ i) J¡a-EgEbAma {Zdoemo§ H$s OmarH$Vm© g§aMZm

2.3 Non-SLR Investment Portfolio i) Issuer Composition of Non-SLR Investments


H«$.g§. Sr. No.

OmarH$Vm© Issuer am{e Amount

{ZOr {Z`moOZ H$s _mÌm

Extent of Private

Placement

"{Zdoe J«oS> go {ZåZ' H$s _mÌm

Extent of ‘Below Investment Grade’

"AloUrJV' à{V^y{V`m| H$s

_mÌmExtent of ‘Unrated’ Securities

"AgyMr~Õ' à{V^y{V`m| H$s

_mÌm Extent of ‘Unlisted’ Securities

1 gm.jo. CÚ_ (gm.jo. ~¢H$m| d gm.jo. {d. g§ñWmAmo§ H$mo Nmo‹S>H$a) PSUs (Excl. PSB & PSU FIs) 1,146.98 1,079.78 - - -

2 {dÎmr` g§ñWmE§ FIs 3,435.40 3,417.15 - - -

3 ~¢H Banks 4,357.43 4,357.08 - - -

4 {ZOr H$mnmo©aoQ Private Corporates 819.49 794.23 155.14 140.14 105.71

5 AZwf§{J`m±/g§`wº CÚ_ Subsidiaries/Joint Ventures 75.00 75.00 - - -

6 AÝ` Others 798.43 376.93 - - -

7 _yë`õmg hoVw Ym[aV àmdYmZ Provision held towards depreciation (443.67) - - - -

Hw$b Total 10,189.06 10,100.17 155.14 140.14 105.71

{Q>ßnUr : Cn`w©º H m°b_ 4, 5, 6 Am¡a 7 _o§ [anmoQ© H$s JB© am{e nañna AZÝ` Zht hmo gH Vr&

Note : Amounts reported under columns 4, 5, 6 and 7 above may not be mutually exclusive.


ii) J¡a-{ZînmXH$ J¡a-EgEbAma {Zdoe ii) Non-performing Non-SLR Investments


{ddaU Particulars31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 2016àma§{^H$ eof Opening Balance 218.88 68.75

1 Aà¡b go df© Ho$ Xm¡amZ n[adY©Z Additions during the year since 1st April 41.31 152.07

Cn`w©ŠV Ad{Y Ho$ Xm¡amZ H$_r Reduction during the above period 8.89 1.94

B{Veof Closing balance 251.30 218.88

Ym[aV Hw$b àmdYmZ Total Provisions held 240.67 218.88

3.0 ì`wËn{Þ`m±

3.1 dm`Xm Xa H$ama/ã`mO Xa ñd¡n

3.0 DERIVATIVES

3.1 Forward Rate Agreement/Interest Rate swap


H«$.g§. Sl. No.

_X| Items 31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 2016i) ñd¡n H$ama H$m AmZw_m{ZH _ybYZ The notional principal of swap agreements – 375.00

ii) H$amam| Ho$ VhV `{X à{V nm{Q>©¶m± AnZo Xm{`Ëd nyam H$aZo _| Ag\$b hmoVr h¢ Vmo Cggo hmoZodmbr hm{Z Losses which would be incurred if counterparties failed to fulfill their obligations under the agreements – 2.44

iii) ñd¡n _| àdoe H$aZo na ~¢H$ Ûmam Ano{jV g§nmpíd©H à{V^y{VCollateral required by the bank upon entering into swaps – –

iv) ~¢H$m| H$mo ñd¡n go CËnÞ hmoZo dmbo F$U Omo{I_ H$m Ho$ÝÐrH$aUConcentration of credit risk arising from the swaps – –

v) ñd¡n ~hr H$m C{MV _yë` The fair value of the swap book – (0.15)

3.2 EŠgMo§O _o§ ì`mnmaJV ã`mO Xa ì`wËnÞ {bIVo§ 3.2 Exchange Traded Interest Rate Derivatives


H«$.g§. Sl. No.

{ddaU Particulars 31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 2016

(i) df© Ho Xm¡amZ EŠgMo§O _o§ ì`mnmaJV ã`mO Xa ì`wËnÞ {bIVmo§ H$s AmZw_m{ZH _yb am{e Notional principal amount of exchange traded interest rate derivatives undertaken during the year - -

(ii) ~H$m`m EŠgMo§O _| ì`mnmaJV ã`mO Xa ì`wËnÞ {bIVmo§ H$s AmZw_m{ZH _yb am{e Notional principal amount of exchange traded interest rate derivatives outstanding

- - (iii) ~H$m`m na§Vw ""A{YH à^mdr'' Zht, Eogr EŠgMo§O _o§ ì`mnmaJV ã`mO Xa ì`wËnÞ {bIVmo§

H$s AmZw_m{ZH _yb am{e Notional principal amount of exchange traded interest rate derivatives outstanding and not “highly effective” - -

(iv) ~H$m`m na§Vw ""A{YH à^mdr'' Zht, Eogr EŠgMo§O _o§ ì`mnmaJV ã`mO Xa ì wËnÞ {bIVmo§ H$m ~mOma-H$mo-A§{H$V _yë` Mark-to-market value of exchange traded interest rate derivatives outstanding and not “highly effective” - -

146 dm{f©H$ [anmoQ>© 2016-17

3.3 Disclosure on Risk Exposure in Derivatives

(i) Qualitative Disclosure:

a. The Bank’s Derivative Policy as approved by Board permits Bank to undertake deals in over-the-counter (OTC) as well as exchange traded (ET) interest rate and currency derivatives. The policy permits the offering of the products to the customer to manage their foreign currency exposures, which are to be covered on Back-to-Back basis in the inter-bank market. Derivatives can also be used by the Bank both for trading as well as hedging on-balance sheet items. In the current financial year, the Bank has entered into derivative deals involving forwards and currency futures.

b. The Asset Liability Management Committee (ALCO) of the Bank overseas management of these risks. The Bank’s Integrated Risk Management Department (IRMD), independently identifies, measures and monitors market risk associated with derivative transactions, assists ALCO in controlling and managing these risks and reports compliance with policy prescriptions to the Risk Management Committee of the Board (RMCB) at regular intervals.

c. Derivative transactions carry market risk i.e., the probable loss the Bank may incur as a result of adverse movements in interest rates/exchange rates and credit risk i.e. the probable loss the Bank may incur if the counterparties fail to meet their obligations. The Bank’s “Derivative Policy” approved by the Board prescribes the market risk parameters as well as Customer Appropriateness policy for entering into derivative transactions. Credit risk is controlled by entering into derivative transactions only with counterparties in respect of whom appropriate credit limits are sanctioned taking into account their ability to honor obligations. The Bank enters into International Swap Dealers Association (ISDA) agreements with each counter party.

d. The accounting policy for derivatives as stated in Significant Accounting Policies, has been drawn-up in accordance with RBI guidelines and revenues are recognized accordingly.

3.3 ì`wËnÞ {bIVmo§ _o§ Omo{I_ EŠgnmo‹Oa na àH$QZ

(i) JwUmË_H àH$QZ…

H$) ~moS© Ûmam AZw_mo{XV ~¢H H$s ì`wËnÞ Zr{V ~¢H H$mo H$mC§Qa na VWm EŠgMo§O _o§ ì`mnmaJV (B©Qr) ã`mO Xa VWm H$ao§gr ì`wËnÞ {bIVmo§ Ho boZ-XoZ H$s AZw_{V XoVr h¡& `h Zr{V JŒmhH$mo§ H$mo {dXoer _wÐm {Zdoemo§ Ho à~§YZ Ho {bE CËnmXmo§ H$mo àñVwV H aZo, Omo A§Va ~¢H ~mµOma _o§ ~¡H -Qw-~¡H AmYma na Amd[aV hmoZo h¢, H$s AZw_{V XoVr h¡& ì`wËnÞmo§ H$mo ~¢H Ûmam ì`mnma VWm VwbZ nÌ _Xmo§ H$s Q—oqSJ Am¡a hoqOJ Ho {bE à`wº$ {H$`m Om gH Vm h¡& Mmby {dÎm df© _o§ ~¢H Ûmam dm`Xm d H ao§gr â`yMamo§ dmbo ì`wËnÞmo§ _o§ gm¡Xo {H$E&

I) ~¢H H$s AmpñV Xo`Vm à~§YZ g{_{V (AmëH$mo) BZ Omo{I_mo§ Ho à~§YZ H$s {ZJamZr H$aVr h¡& ~¢H H$m EH$sH¥ V Omo{I_ à~§YZ {d^mJ (AmB©AmaE_Sr) ñdV§Ì ê$n go ì`wËnÞ {bIV boZ-XoZmo§ g§~§Yr ~mµOma Omo{I_ A{^{ZYm©[aV H aVm h¡, Cgo _mnVm h¡, {ZJamZr H aVm h¡ Am¡a BZ Omo{I_mo§ Ho {Z`§ÌU d à~§YZ _o§ AmëH$mo H$s _XX H aVm h¡ VWm {Z`{_V A§Vambmo§ _o§ ~moS© H$s Omo{I_ à~§YZ g{_{V (AmaE_gr~r) H$mo Zr{VJV nam_emoª Ho AZwnmbZ H$s [anmoQ© XoVm h¡&

J) ì`wËnÞ {bIV boZ-XoZ _o§ ~mµOmar Omo{I_ h¡, AWm©V² ã`mO Xamo§/{d{Z_` Xamo§ _o§ à{VHy b n[adV©Zmo§ Ho H$maU ~¢H H$mo g§^mì` hm{Z VWm CYma Omo{I_ h¡, AWm©V² `{X à{V nm{Q©`m± AnZr dMZ~ÕVm H$m nmbZ Zht H aVr h¢ Vmo ~¢H H$mo hmoZo dmbr g§^mì` hm{Z& ì`wËnÞ {bIV boZ-XoZ _o§ em{_b hmoZo Ho {bE _§Sb Ûmam AZw_mo{XV ~¢H H$s "ì`wËnÞ {bIV Zr{V' ~mµOma Omo{I_ _mZXÊS VWm JŒmhH {d{Z`moOZ Zr{V {ZYm©[aV H aVr h¡& Ho db CZ à{Vnm{Q©`mo§ Ho gmW ì`wËnÞ {bIV boZ-XoZ _o§ em{_b hmoH a CYma Omo{I_ {Z`§{ÌV H$s OmVr h¡, {OZH$mo dMZ~ÕVm Ho nmbZ H$s j_Vm H$mo Ü`mZ _o§ aIVo hwE Cn`wº CYma gr_m _§Oya h¡& ~¢H àË`oH à{VnmQr© Ho gmW A§Vam©îQ—r` ñd¡n Srbg© Egmo{gEeZ (AmB©EgSrE) H ama H aVm h¡&

K) C„oIZr` boIm§H Z Zr{V _o§ Cp„{IV ì`wËn{Þ`mo§ hoVw boIm§H Z Zr{V ^maVr` [aµOd© ~¢H {Xem{ZXo©emo§ Ho AZwê n V¡`ma H$s JB© h¢ VWm amOñd VXZwgma {ZYm©[aV {H$E JE h¢&


(ii) _mÌmË_H$ àH$Q>Z (ii) Quantitative Disclosures (` H$amo‹S> _| ` in crores)

H«$. g§. Sl. No.

{ddaU Particulars

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

_wÐm ì`wËnÞ {bIVo§

Currency Derivatives

ã`mO Xa ì`wËnÞ {bIV§oInterest rate Derivatives

_wÐm ì`wËnÞ {bIVo§

Currency Derivatives

ã`mO Xa ì`wËnÞ {bIVo§Interest rate Derivatives

1 ì`wËnÞ {bIV§o (AmZw_m{ZH$ _ybYZ)Derivatives (Notional Principal Amount)

H$) a) hoqOJ hoVw For hedging - - - -

I) b) Q´>oqS>J hoVw For trading - - - 375.00

2 ~mµOma H$mo A§{H$V pñW{V Marked to Market Positions

H$) a) AmpñV`m± (+) Asset (+) - - - -

I) b) Xo`VmE§ (-) Liability (–) - - - (0.15)

3 G$U EŠgnmoµOa Credit Exposure - - - 2.44

4 AmB©AmaEgmo§ VWm grgrEgmo§ na ã`mO Xa _o§ EH à{VeV n[adV©Z hmoZo na g§^m{dV à^md (100* nrdr 01)Likely impact of one percentage change in interest rate on IRSs and CCSs (100*PV01)

H$) a) hoqOJ ì`wËnÞ {bIVm| na on hedging derivatives - - - -

I) b) Q´>oqS>J ì`wËnÞ {bIVm| na on trading derivatives - - -

5 AmB©AmaEgmo§ VWm grgrEgmo§ hoVw df© Ho$ Xm¡amZ Adbmo{H V 100* nrdr 01 H$m A{YH$V_ Am¡a Ý yZV_Maximum and Minimum of 100*PV01 observed during the year for IRSs and CCSs

H$) a) hoqOJ na on hedging i) A{YH$V_ maximumii) Ý`yZV_ minimum

--

--

--

--

I) b) Q´>oqS>J na on trading i) A{YH$V_ maximumii) Ý`yZV_ minimum

--

--

--

--

4.0 ASSET QUALITY

4.1 ADVANCES a) In the case of unaudited branches, the classification

of advances, as certified by the Branch Managers has been incorporated.

b) During the year the Bank has made provision for NPA of `3,860.65 Crores (Previous Year `5,378.65 Crores). The Bank has made required provision cumulative for Non Performing Advances as at 31st March, 2017 `5,188.34 Crores (Previous Year `5,278.21 Crores) in the line with RBI guidelines.

4.0 AmpñV JwUdÎmm

4.1 A{JŒ_ H$) J¡a boIm-nar{jV emImAmo§ Ho _m_bo _o§, emIm à~§YH$mo§ Ûmam

`Wm à_m{UV A{JŒ_mo§ H$m dJr©H$aU g_m{dîQ {H$`m J`m h¡&

I) df© Ho Xm¡amZ ~¢H$ Zo EZnrE hoVw `3,860.65 H amo‹S (JV df© `5,378.65 H$amo‹S) H$m àmdYmZ {H m& ~¢H$ Zo J¡a {ZînmXH$ A{JŒ_mo§ hoVw ^maVr` [a‹Od© ~¢H$ Ho {Xem{ZXo©emo§ Ho AZwgma `Wm 31 _mM©, 2017 H$mo `5,188.34 H$amo‹S (JV df© `5,278.21 H$amo‹S) H$m g§M`r àmdYmZ {H m&

148 dm{f©H$ [anmoQ>© 2016-17

4.2 J¡a-{ZînmXH$ AmpñV`m± 4.2 Non-Performing Assets


{ddaUParticulars

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

(i) H$) {Zdb J¡a {ZînmXH$ AmpñV`m± (a) Net NPAs 11,692.18 9,160.14

I) J¡.{Z.Am. AZwnmV (b) NPA Ratios

i) gH$b A{J«_mo§ _o§ gH$b J¡.{Z.Am. Gross NPAs to Gross Advances 11.70% 9.98%

ii) {Zdb A{J«_mo§ _o§ {Zdb J¡.{Z.Am. Net NPAs to Net Advances 8.33% 6.53%

(ii) J¡a-{ZînmXH$ AmpñV`mo§ _| H$‘r-~‹TV (gH$b) Movement of NPAs (Gross)

H$) AWeof a) Opening balance 14,544.25 7,106.67

I) df© Ho$ Xm¡amZ n[adY©Z b) Additions during the year 7,762.42 10,581.98

J) df© Ho$ Xm¡amZ H$_r c) Reductions during the year 5,261.45 3,144.40

K) B{Veof d) Closing balance 17,045.22 14,544.25

(iii) {Zdb J¡a-{ZînmXH$ AmpñV`m| _| H$‘r-~‹TV Movement of Net NPAs


I) df© Ho$ Xm¡amZ n[adY©Z b) Additions during the year 3,901.77 5,203.33

J) df© Ho$ Xm¡amZ H$_r c) Reductions during the year 1,369.73 508.17


(iv) J¡a-{ZînmXH$ AmpñV`m| hoVw àmdYmZ H$s pñW{V (_mZH$ AmpñV`m| hoVw àmdYmZ H$mo N>mo‹S>H$a) Movement of provisions for NPAs (excluding provisions on standard assets)


I) df© Ho$ Xm¡amZ {H$`m J`m àmdYmZ b) Provisions made during the year 3,860.65 5,378.65

J) A{V[aŠV àmdYmZ H$m ~Q²>Q>o ImVo {bIZm/nwZam§H$Z, àË`md{V©V àmdYmZ c) Write off / write back off excess provisions, provision reversed

3,950.52 2,707.59


(v) J¡a-{ZînmXH$ {Zdoem| H$s am{e Amount of Non-Performing Investments 251.30 218.88

4.3 Divergence in Asset Classification and Provisioning for NPAs:

Pursuant to RBI Circular No. DBR.BP.BC.63/21.04.018/ 2016-17 dated April 18, 2017, ‘Divergence in the asset classification and provisioning’, the Bank has incorporated the disclosure prescribed as under:

4.3 EZnrE hoVw AmpñV dJuH$aU VWm àmdYmZrH$aU _| {dMbZ : ^m.[a.~¢ n[anÌ g§. S>r~rAma.~rnr.~rgr.63/21.04.018/

2016-17 {XZm§{H$V 18 Aà¡b, 2017 Ho$ AZwgaU _|, "AmpñV dJuH$aU VWm àmdYmZrH$aU _| {dMbZ', ~¢H$ Zo {ZåZ{b{IV Ho$ AZwgma àH$Q>Z em{_b {H$`m h¡ :



H«$. g§.Sr. No. {ddaU Particulars am{e Amount

1 31 _mM©, 2016 H$mo gH$b EZnrEGross NPAs as on March 31, 2016 14,544.25

2 ^m.[a.~¢. Ho$ _yë`m§H$Z Ho$ AZwgma 31_mM©, 2016 H$mo gH$b EZnrEGross NPAs as on March 31, 2016 as assessed by RBI 16,498.05

3 gH$b EZnrE _| {dMbZ (2-1)Divergence in Gross NPAs (2-1) 1,953.80

4 31 _mM©, 2016 H$mo {Zdb EZnrENet NPAs as on March 31, 2016 9,160.14

5 ^m.[a.~¢. Ho$ _yë`m§H$Z Ho$ AZwgma 31 _mM©, 2016 H$mo {Zdb EZnrENet NPAs as on March 31, 2016 as assessed by RBI 10,406.14

6 {Zdb EZnrE _| {dMbZ (5-4)Divergence in Net NPAs (5-4) 1,246.00

7 ~¢H$ H$s [anmoQ©> Ho$ AZwgma 31_mM©, 2016 H$mo EZnrE hoVw àmdYmZProvisions for NPAs as on March 31, 2016 as reported by the Bank 5,278.21

8 ^m.[a.~¢. Ho$ _yë`m§H$Z Ho$ AZwgma 31 _mM©, 2016 H$mo EZnrE hoVw àmdYmZProvisions for NPAs as on March 31, 2016 as assessed by RBI 5,986.01

9 àmdYmZrH$aU _| {dMbZ (8-7)Divergence in provisioning (8-7) 707.80

10 _mZH$ AmpñV àmdYmZ VWm AÝ` _| {dMbZDivergence in Standard Asset Provision and others 54.70

11 31 _mM©, 2016 H$mo g_má df© hoVw [anmoQ©> H$s JB© H$a níMmV² {Zdb bm^Reported Net Profit after Tax (PAT) for the year ended March 31, 2016 -506.48

12 àmdYmZrH$aU _| {dMbZ H$mo boZo Ho$ ~mX 31 _mM©, 2016 H$mo g_má df© hoVw H$a níMmV² g_m`mo{OV (AmZw_m{ZH$) {Zdb bm^/(hm{Z)Adjusted (Notional) Net Profit / (Loss) after Tax (PAT) for the year ended March 31, 2016 after taking into account the divergence in provisioning -1,024.03

During the year, the Bank has made provision with respect to all divergent accounts as per RBS Report for the Year 2015-16. However, with respect to six divergent accounts amounting to `1249.00 Crores, pending representation of the Bank for re-consideration of classification, the Bank has retained the assets classification as ‘Standard’.

4.4 In compliance with RBI directives, the accounts where restructuring failed due to non-fulfilment of certain conditions as mentioned under Annexure 3 of Asset Quality Review (AQR), the required provision held in these accounts as per RBI directives has been reviewed as at March 31, 2017 and these accounts have been classified and provision made as per IRAC norms. Incremental provision of `115.33 Crores which was made in terms of RBI directives has been reversed on March 31, 2017 with respect to those accounts which remained standard as on March 31, 2017.

df© Ho$ Xm¡amZ, ~¢H$ Zo df© 2015-16 hoVw Ama~rEg [anmoQ©> Ho$ AZwgma g^r {dM{bV ImVm| hoVw àmdYmZ {H$`m& VWm{n, `1249.00 H$amo‹S> H$s am{e dmbo N>h {dM{bV ImVm| hoVw, dJuH$aU hoVw nwZ{d©Mma hoVw ~¢H$ Ho$ à{V{Z{YËd b§{~V ahVo, ~¢H$ Zo "_mZH$' Ho$ ê$n _| AmpñV dJuH$aU H$mo ~ZmE aIm h¡&

4.4 ^m.[a.~¢. Ho {ZXoemo§ Ho AZwgma, AmpñV JwUdÎmm g_rjm (EŠ`yAma) Ho AZw~§Y 3 Ho VhV Cp„{IV Hw N eVmoª Ho nyam Zht hmoZo Ho H maU {OZ ImVmo§ H$s nwZgªaMZm Zht hwB© h¡, ^m.[a.~¢. Ho {ZXoemo§ Ho AZwgma BZ ImVmo§ _o§ Ym[aV Ano{jV àmdYmZ H$s 31 _mM© 2017 H$mo$ g_rjm H$s JB© h¡ VWm AmB©AmaEgr _mZX§Smo§ Ho AZwgma BZ ImVmo§ H m dJr©H aU H aHo àmdYmZ {H m J`m& ^.[a.~¢. Ho {ZXoemo§ Ho AZwgma {H$E JE `115.33 H amo‹S H m d¥{Õerb àmdYmZ CZ ImVmo§ hoVw 31 _mM© 2017 H mo àË`md{V©V {H m J`m Omo 31 _mM©, 2017 H mo _mZH aho&

150 dm{f©H$ [anmoQ>© 2016-17

4.5 nwZgªa{MV ImVm| Ho$ {ddaU… 4.5 Disclosure of Restructured Accounts(` H$amo‹S> _| ` in Crores)

H«$.g§.Sr. No.

nwZgªaMZm H m àH ma Type of Restructuring grS>rAma V§Ì Ho$ A§VJ©V Under CDR Mechanism

EgE_B© H$O© nwZgªaMZm V§Ì Ho$ A§VJ©VUnder SME Debt Restructuring Mechanism

AÝ` Others

Hw$b Total

AmpñV dJuH$aU Asset Classification _mZH$Standard

Ad_mZHSub

Standardg§{X½Y

Doubtfulhm{ZLoss

Hw$bTotal

_mZH$Standard

Ad_mZHSub

Standardg§{X½Y

Doubtfulhm{ZLoss

Hw$bTotal

_mZH$Standard

Ad_mZHSub

Standardg§{X½Y

Doubtfulhm{ZLoss

Hw$bTotal

_mZH$Standard

Adn_mZHSub

Standardg§{X½Y

Doubtfulhm{ZLoss

Hw$bTotalã`moao Details

1 {dÎm df© Ho$ 1 Aà¡b H$mo nwZgªa{MV ImVo (àma§{^H$ Am§H$‹S>o)*Restructured Accounts as on April 1 of the FY (opening figures)*

CYmaH$Vm©Am| H$s g§.No. of borrowers

35 3 25 3 66 67 45 79 6 197 136 40 137 26 339 238 88 241 35 602

~H$m¶m am{eAmount

outstanding

3081.08 101.42 1877.89 167.11 5227.50 277.60 181.56 255.81 0.91 715.88 5219.13 190.31 1884.74 374.56 7668.74 8577.81 473.29 4018.44 542.58 13612.12

Cgna àmdYmZProvision thereon

132.89 2.54 51.91 - 187.34 1.24 0.23 1.32 - 2.79 98.62 4.47 32.17 1.73 136.99 232.75 7.24 85.40 1.73 327.12

2 df© Ho$ Xm¡amZ ZB© nwZgªaMZmFresh restructuring during the year


- - - - 0 7 3 1 - 11 9 4 4 - 17 16 7 5 - 28

~H$m¶m am{eAmount

outstanding

153.40 6.68 34.04 0.32 194.44 10.30 1.49 6.58 0.00 18.37 819.84 56.07 224.84 17.55 1118.30 983.54 64.24 265.46 17.87 1331.11


- - - - - - - - - - - - - - - - - - - -

3 {dÎm df© Ho$ Xm¡amZ nwZgªa{MV ‘mZH$ àdJ© ‘| CÞ¶ZUpgradations to restructured standard category during the FY


- - - - - 14 -7 -6 -1 - 23 -8 -14 -1 - 37 -15 -20 -2 -

~H$m¶m am{eAmount

outstanding

- - - - - 21.56 -21.38 -0.15 -0.03 (0.00) 267.00 -28.20 -238.75 -0.05 0.00 288.56 -49.58 -238.90 -0.08 0.00


- - - - - 0.12 -0.12 - - - 13.22 -2.84 -10.38 0.00 - 13.34 -2.96 -10.38 - (0.00)

4 {dÎm df© Ho A§V _o§ nwZgªa{MV _mZH ImVo {OZHo {bE A{YH àmdYmZ µOê ar Zht Am¡a Bg{bE AJbo {dÎm df© Ho àma§^ _o§ CÝho§ nwZgªa{MV _mZH ImVmo§ Ho ê n _o§ Xem©Zo H$s Amdí`H Vm Zht h¡Restructured standard advances which cease to attract higher provisioning and / or additional risk weight at the end of the FY and hence need not be shown as restructured standard advances at the beginning of the next FY including adjustments


-3 -1 - - -4 -15 -1 - - -16 -19 - - - -19 -37 -2 - - -39

~H$m¶m am{eAmount

outstanding

-176.57 -14.23 - - -190.80 -122.17 -1.87 - - -124.04 -319.92 - - - -319.92 -618.66 -16.10 - - -634.76


3.50 0.34 - - 3.84 0.10 - - - 0.10 0.11 - - - 0.11 3.71 0.34 - - 4.05

5 {dÎm df© Ho$ Xm¡amZ nwZgªa{MV ImVm| H$s S>mCZ J«oqS>JDowngradations of restructured accounts during the FY


-15 2 8 5 - -6 -30 33 3 - -19 -13 26 6 - -40 -41 67 14 -

~H$m¶m am{eAmount

outstanding

-1260.48 274.76 811.17 174.55 - -67.24 -144.19 196.50 14.93 0.00 -408.39 -62.21 264.71 205.89 0.00 -1736.11 68.36 1272.38 395.37 -


-64.15 -2.00 -51.91 - -118.06 -0.11 -0.10 -1.33 0.00 -1.54 -10.06 -2.32 -19.72 -1.73 -33.83 -74.32 -4.42 -72.96 -1.73 -153.43

6 {dÎm df© Ho$ Xm¡amZ nwZgªa{MV ImVm| H$mo ~Å>o ImVo {bIZm*Write-offs of restructured accounts during the FY


-1 -1 - -1 -3 -13 -4 -41 -2 -60 -15 -6 -40 -3 -64 -29 -11 -81 -6 -127

~H$m¶m am{eAmount

outstanding

-154.69 -12.30 -41.33 -17.86 -226.18 -16.90 -11.04 -16.24 -0.13 -44.31 -1402.08 -14.49 -256.06 -42.73 -1715.36 -1573.67 -37.83 -313.63 -60.72 -1985.85


-14.90 -0.88 - - -15.78 -0.37 -0.01 0.01 - -0.37 -17.31 0.69 -2.07 - -18.69 -32.58 -0.20 -2.06 - -34.84

7 {dÎm df© Ho$ 31 ‘mM© H$mo nwZgªa{MV ImVo (A§{V‘ Am§H$‹S>o)*Restructured Accounts as on March 31 of the FY (closing figures*)


16 3 33 7 59 54 6 66 6 132 115 17 113 28 273 185 26 212 41 464

~H$m¶m am{eAmount

outstanding

1653.84 345.93 2681.25 323.94 5004.96 103.38 1.25 445.57 15.70 565.90 4186.48 114.96 1878.74 571.58 6751.76 5943.70 462.14 5005.56 911.22 12322.62


57.34 - - - 57.34 0.98 - - - 0.98 84.58 - - - 84.58 142.90 - - - 142.90

* _mZH nwZgªa{MV A{JŒ_mo Ho Am§H$S>m| H$mo NmoSH a {OÝho§, CÀMVa àmdYmZ `m Omo{I_ ^ma H$s Amdí`H Vm Zht h¡ (`{X bmJy hmo)* Excluding the figures of Standard Restructured Advances which do not attract higher provisioning or risk weight (if applicable).{d.d. Ho Xm¡amZ ZB© nwZgªaMZm _o§ dV©_mZ nwZgªa{MV ImVmo§ _o§ ~H m`m _o§ `463.30 H amo‹S H r d¥{Õ ^r em{_b h¡&Fresh restructuring during the FY also includes the increase of `463.30 Crores in outstanding in the existing restructured accounts.{d.d. Ho Xm¡amZ nwZgªa{MV ImVmo§ H mo ~Åo ImVo SmbZo _o§ dV©_mZ nwZgªa{MV ImVmo§ _o§ ~H m`m _o§ `771.49 H amo‹S H r d¥{Õ ^r em{_b h¡&Write-offs of restructured accounts during the FY also includes the decrease of `771.49 Crores in outstanding balances in the existing restructured accounts.{QßnUr… df© Ho Xm¡amZ, ~¢H Zo Cº nwZgªa{MV A{JŒ_mo§ Ho EZnrE Ho ê n _o§ dJr©H aU Ho n[aUm_ñdê n nwZgªa{MV A{JŒ_mo§ na `92.41 H amo‹S Ho àmdYmZ H mo àË`md{V©V {H m h¡& VWm{n, AmB©AmaEgr _mZX§Smo§ Ho AZwgma Cº A{JŒ_ na àmdYmZ {H `m J`m h¡&Note: During the year, the Bank has reversed provision of `92.41Crores on Restructured Advances subsequent to the said restructured advances being classified as NPAs. However, provision on the said advances has been made as per IRAC Norms.


4.6 Details of financial assets sold to Securitization/ Reconstruction Company for Asset Reconstruction:


H«$. g§.Sl. No. _X Item

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

(i) ImVm| H$s g§. No. of accounts - 4

(ii) Eggr/Amagr H$mo {~H«$s {H$E JE ImVm| H$m g_J« _yë` (àmdYmZm| H$m {Zdb) Aggregate value (net of provisions) of accounts sold to SC/RC - 200.86

(iii) g_J« à{V\$b Aggregate consideration - 164.27

(iv) {dJV dfm] _| A§V[aV ImVm| Ho$ g§~§Y _| dgyb {H$`m J`m A{V[aŠV à{V\$b Additional consideration realized in respect of accounts transferred in earlier years -

-

(v) {Zdb ~hr _yë` na g_J« bm^ Aggregate gain / (Loss) over net book value - -36.59

*Am` {ZYm©aU, AmpñV dJr©H$aU Am¡a A{JŒ_mo§ go g§~§{YV àmdYmZrH aU na _mñQa n[anÌ Ho AZwgma, df© 2015-16 Ho Xm¡amZ, 31 _mM©, 2016 go nhbo {~H«$s {H$E JE EZnrE Ho g§~§Y _o§, ~¢H H mo 3 EZnrE ImVmo§ H$s {~H«$s go `49.70 H$amo‹S hm{Z hwB©& {OZ_o§ go `12.42 H$amo‹S H$moo 2015-16 Ho Xm¡amZ n[aemo{YV {H$`m J`m h¡& `37.28 H$amo‹S Ho eof _o§ , `24.85 H$amo‹S df© Ho Xm¡amZ n[aemo{YV {H$`m J`m&

* As per the Master Circular on Prudential norms on Income Recognition, Assets Classification and Provision pertaining to advances, in respect of NPA sold before 31st March, 2016, during the year 2015-16, Bank has incurred loss of `49.70 Crores by sale of 3 NPA accounts. Out of which `12.42 Crores was already amortized during 2015-16. Of the balance of `37.28 Crores, `24.85 Crores has been amortized during the year.

B) Details of Book value of Investments in Security Receipts:



31st March, 201731 ‘mM©, 2016

31st March, 2016

(i) A§V{Z©{hV Ho ê n _o§ ~¢H Ûmam {~H«$s H$s JB© EZnrE Ûmam g_{W©VBacked by NPAs sold by the Bank as underlying

139.63 139.63

(ii) A§V{Z©{hV Ho ê n _o§ AÝ` ~¢H$m|/{dÎmr` g§ñWmAmo§/J¡a ~¢qH$J {dÎmr` H§$n{Z`mo§ Ûmam {~H«$s H$s JB© EZnrE Ûmam g_{W©V Backed by NPAs sold by other banks/financial institu-tions/non-banking financial companies as underlying

- -

Hw$b/Total 139.63 139.63

4.7 Details of non-performing financial assets purchased/sold:

A. Details of non-performing financial assets purchased:


H«$. g§.Sl. No. {ddaU Particulars

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

1. (H$) df© Ho$ Xm¡amZ IarXo JE ImVm| H$s g§. (a) No. of accounts purchased during the year - -

(I) g‘J« ~H$m`m (b) Aggregate outstanding - -

2. (H$) BZ_| go, df© Ho$ Xm¡amZ nwZgªa{MV ImVm| H$s g§. (a) Of these, number of accounts restructured during the year - -

(I) g_J« ~H$m`m (b) Aggregate outstanding - -

4.6 AmpñV nwZgªaMZm hoVw à{V^y{VH aU/nwZgªaMZm H§$nZr H$moo {dHŒ ` H$s JB© {dÎmr` AmpñV`mo§ Ho {ddaU…

4.7 IarXr/{~H«$s H$s JB© J¡a-{ZînmXH$ {dÎmr` Am{ñV`m| Ho$ {ddaU

H . IarXr JB© J¡a-{ZînmXH$ {dÎmr` Am{ñV`m| Ho$ {ddaU:

I) à{V^y{V agrXmo§ _o§ {Zdoemo§ Ho ~hr _yë` Ho ã`moao:

152 dm{f©H$ [anmoQ>© 2016-17

I. {~H«$s H$s JB© J¡a-{ZînmXH {dÎmr` AmpñV`mo§ Ho {ddaU

B. Details of non-performing financial assets sold


H«$.g§. Sl. No. {ddaU Particulars

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

1. {~H«$s {H$E JE ImVm| H$s g§. No. of accounts sold - -

2. g_J« ~H$m`m (àmdYmZ H$m {Zdb) Aggregate outstanding (Net of Provision) - -

3. àmá g_J« à{V\$b Aggregate consideration received - -

4.8 Provision on Standard Assets4.8 _mZH$ AmpñV`m| na àmdYmZ



31st March, 201731 ‘mM©, 2016

31st March, 2016

_mZH$ AmpñV`m| hoVw àmdYmZ Provision on Standard Assets 1,375.36 1,022.01

4.9 DISCLOSURES ON THE SCHEME FOR SUSTAIN-ABLE STRUCTURING OF STRESSED ASSETS (S4A), AS ON 31ST MARCH, 2017

4.9 31 _mM© 2017 H mo X~mdJ«ñV AmpñV`mo§ H$s YmaUr` g§aMZm (Eg4E) hoVw `moOZm na àH QZ


ImVmo§ H$s g§»`m Ohm± Eg4E bmJy {H$`m J`m h¡&No. of accounts where S4A has been applied

Hw$b ~H$m`m am{eAggregate amount

outstanding *

~H$m`m am{eAmount outstanding Ym[aV àmdYmZ

Provision Held^mJ H$ _|In Part A

^mJ I _|In Part B

_mZH Ho ê n _o§ dJuH¥$V Classified as Standard 135.55 74.08 61.47 27.11

EZnrE Ho ê n _o§ dJuH¥$V Classified as NPA - - - -

4.10 DISCLOSURES ON FLExIBLE STRUCTURING OF ExISTING LOANS AS ON 31ST MARCH, 2017

4.10 31 _mM©, 2017 H mo dV©_mZ G$Umo§ Ho bMrbo g§aMZm na àH$Q>Z


Ad{YPeriod

bMrbr g§aMZm hoVw {bE JE CYmaH$Vm©Am| H$s g§»`m

No. of borrowers taken up for flexibly structuring

bMrbr g§aMZm hoVw {bE JE G Um| H$s am{e

Amount of loans taken up for flexible structuring

bMrbr g§aMZm hoVw {bE JE G Um| H$s Omo{I_ ^m[aV Am¡gVExposure weighted average duration of loans taken

up for flexible structuring

_mZH$ Ho$ ê$n _| dJuH¥$VClassified as

Standard

EZnrE Ho$ ê$n _| dJuH¥$VClassified as

NPA

bMrbr g§aMZm bmJy H$aZo go nhbo (_mh _|)

Before applying flexible structuring (in months)

bMrbr g§aMZm bmJy H$aZo Ho$ ~mX (_mh _|)

After applying flexible structuring (in months)

2016-17 21 2213.24 2892.45 87 224


4.11 31 _mM©, 2017 H mo aUZr{VnaH G$U nwZgªaMZm `moOZm (ImVo Omo dV©_mZ _o§ `WmdV pñW{V _o§ h¢) na àH$Q>Z

ImVmo§ H$s g§»`m Ohm± EgS>rAma

bmJy {H$`m J`m h¡&No. of accounts where SDR has been invoked

[anmo{Q>ªJ {XZm§H H$moo ~H$m`m am{eAmount outstanding as on the

reporting date

CZ ImVmo§ hoVw [anmo{Q>ªJ {XZm§H H$moo ~H$m`m am{e Ohm± G$U go B©{¹$Q>r H$m n[adV©Z

b§{~V h¡Amount outstanding as on the reporting date with respect to

accounts where conversion of debt to equity is pending

CZ ImVmo§ hoVw [anmo{Q>ªJ {XZm§H H$mo ~H$m`m am{e Ohm± G$U go B©{¹$Q>r H$m n[adV©Z

{H$`m J`m h¡Amount outstanding as on the reporting date with respect to

accounts where conversion of debt to equity has taken place

_mZH Ho ê n _o§ dJuH¥$V

Classified as standard

EZnrE Ho ê n _o§ dJuH¥$V

Classified as NPA




Classified as NPA




Classified as NPA

32 2086.91 2439.15 669.94 2253.26 1416.97 185.89

4.12 DISCLOSURES ON CHANGE IN OwNERSHIP OUTSIDE SDR SCHEME (ACCOUNTS wHICH ARE CURRENTLY UNDER THE STAND-STILL PERIOD) AS ON 31ST MARCH, 2017


ImVmo§ H$s g§»`m Ohm± ~¢H$ Zo bmJy H$aZo H$m

{ZU©` {b`m h¡&No. of accounts

where banks have decided to effect

[anmo{Q>ªJ {XZm§H H$moo ~H$m`m am{e

Amount outstanding as on the reporting date

CZ ImVmo§ hoVw [anmo{Q>ªJ {XZm§H H$moo ~H$m`m am{e Ohm± G$U goAmount outstanding as on the reporting date

with respect to accounts where conversion of

debt to

CZ ImVmo§ hoVw [anmo{Q>ªJ {XZm§H H$moo ~H$m`m am{e Ohm± G$U goAmount outstanding as on the reporting date

with respect to accounts where conversion of

debt to

CZ ImVmo§ hoVw [anmo{Q>ªJ {XZm§H H$moo ~H$m`m am{e Ohm± {ZåZ{b{IV Ûmam ñdm{_Ëd _o§

n[adV©Z n[aH$pënV h¡ Amount outstanding as on the reporting date with respect to

accounts where change in ownership is envisaged by

ñdm{_Ëd _o§ n[adV©Zchange in ownership

B©pŠdQ>r/B©pŠdQ>r eoà H$s {Jadr bmJy H aZm b§{~V h¡

equity/invocation of pledge of

equity shares is pending

B©pŠdQ>r/B©pŠdQ>r eoà H r {Jadr bmJy {H `m J`m h¡equity/invocation of

pledge of equity shares has taken place

ZE eoà Omar H aZm `m àmo_moQa B©pŠdQ>r H$s {~H«$s

issuance of fresh shares or sale of

promoters equity

_mZH Ho ê n _o§ dJuH¥$VClassified

as standard

EZnrE Ho ê n _o§ dJuH¥$VClassified as NPA


as standard



as standard



as standard


4 1312.48 - - - - - 1312.48 -

4.12 31 _mM©, 2017 H$moo EgSrAma go ~mha ñdm{_Ëd _o§ n[adV©Z `moOZm (ImVo Omo dV©_mZ _o§ `WmdV pñW{V _o§ h¢) na àH$Q>Z

4.13 DISCLOSURES ON CHANGE IN OwNERSHIP OF PROjECTS UNDER IMPLEMENTATION (ACCOUNTS wHICH ARE CURRENTLY UNDER THE STAND-STILL PERIOD) AS ON 31ST MARCH, 2017


n[a`moOZm G$U ImVmo§ H$s g§»`m Ohm± ~¢H Zo ñdm{_Ëd n[ad{V©V H$aZo H$m {ZU©` {b`m h¡ No. of project loan

accounts where banks have decided to effect change in ownership

[anmo{Q>ªJ {XZm§H H$mo ~H$m`m am{e Amount outstanding as on the reporting date

_mZH Ho ê n _o§ dJuH¥$VClassified as standard

nwZgªa{MV _mZH Ho ê n _o§ dJuH¥$V Classified as standard restructured


- - - -

4.13 31 _mM©, 2017 H$moo H$m`m©Ýd`Z Ho VhV n[a`moOZmAmo§ Ho ñdm{_Ëd _o§ n[adV©Z na àH$QZ (ImVo Omo dV©_mZ _o§ `WmdV pñW{V _o§ h¢)

4.11 DISCLOSURES ON STRATEGIC DEBT RESTRUCTURING SCHEME (ACCOUNTS wHICH ARE CURRENTLY UNDER THE STAND-STILL PERIOD) AS ON 31ST MARCH, 2017


154 dm{f©H$ [anmoQ>© 2016-17

5.0 H$mamo~ma AZwnmV 5.0 BUSINESS RATIOS

H«$.g§. Sl. No.

{ddaUParticulars

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

(i) Am¡gV H$m`©erb {Z{Y`mo§ _o§ ã`mO Am` H$m % Interest Income as a % to average Working Funds 8.11% 8.82%

(ii) Am¡gV H$m¶©erb {Z{Y¶m| ‘| ã¶mOoVa Am¶ H$m % Non-Interest Income as a % to average Working Funds 1.29% 0.79%

(iii) Am¡gV H$m`©erb {Z{Y`mo§ _o§ n[aMmbZ bm^ % Operating Profit as a % to average Working Funds 1.85% 1.41%

(iv) AmpñV`mo§ na à{Vbm^ Return on Assets 0.23% -0.23%

(v) à{V H$‘©Mmar H$mamo~ma (O_mam{e`m± Am¡a A{J«_) (` H$amo‹Sm|> _o§) Business (deposits plus advances) per employee (` in crores) 19.58 18.79

(vi) à{V H$‘©©Mmar bm^ (` H$amo‹Sm|> _o§) Profit per employee (` in crores) 0.03 -0.03

Note : Average working funds represent average of total assets as reported to RBI during 12 months of the financial year.

6.0 Asset Liability Management

Maturity pattern of Assets and Liabilities as at March 31, 2017


ZmoQ>: Am¡gV H$m`©H$mar {Z{Y {dÎmr` df© Ho$ 12 _hrZm| Ho$ Xm¡amZ ^m.[a.~¢. H$mo [anmoQ© H$s JB© Hw$b AmpñV`mo§ H$m Am¡gV h¡&

6.0 AmpñV Xo`Vm à~§YZ

31 _mM©, 2017 H mo AmpñV`mo§ VWm Xo`VmAmo§ H m n[an¹Vm n¡QZ©

H«$.g§. Sl. No. {ddaU Particulars 1 {XZ

Day 12-7 {XZ2-7 Days

8-14 {XZ 8-14 Days

15-30 {XZ

15-30 Days

31 {XZ - 2 _mh

31D-2M

2 _mh go A{YH$ 3 _mh VH$>2M-3M


6 _mh go A{YH$ - 1 df© VH$>6M-1Y

1 df© go A{YH$ - 3 df© VH$>1Y-3Y


5 df© go A{YH$>5Yrs

Hw$bTotal

(i) {Zdb G$U d A{J«‘Net Loans & Advances 3,552.21 4,340.59 2,361.87 3,928.33 3,917.96 6,432.18 5,769.36 9,890.20 56,671.33 18,234.11 25,258.65 140,356.79

(ii) {Zdoe Investments 12,684.59 1,454.64 936.23 547.38 2,120.85 2,924.79 7,741.44 8,626.18 10,172.55 1,604.79 15,259.54 64,072.98

(iii) O_mam{e`m± Deposits 2,638.54 5,107.55 2,845.41 3,073.61 9,824.73 6,007.49 28,842.51 38,624.07 47,126.51 6,574.47 69,894.73 220,559.62

(iv) CYma Borrowings 12.03 5.03 - - 291.83 - 3.17 540.66 43.64 721.51 4,850.30 6,468.17

(v) {dXoer _wÐm AmpñV`m± Foreign Currency Assets 192.55 3,194.07 75.72 1,920.83 353.81 605.27 460.32 1.25 80.74 - - 6,884.58

(vi) {dXoer _wÐm Xo`VmE± Foreign Currency Liabilities 273.84 12.34 7.47 50.74 368.26 120.18 459.37 420.42 759.53 97.97 - 2,160.12

31 _mM©, 2016 H mo AmpñV`mo§ Ed§ Xo`VmAmo§ H m n[an¹Vm n¡QZ© Maturity pattern of Assets and Liabilities as at March 31, 2016


H«$.g§. Sl. No. {ddaU Particulars 1 {XZ

Day 12-7 {XZ2-7 Days

8-14 {XZ 8-14 Days

15-30 {XZ

15-30 Days

31 {XZ - 2 _mh

31D-2M



6 _mh go A{YH$ - 1 df© VH$>6M-1Y



5 df© go A{YH$>5Yrs

Hw$bTotal

(i) {Zdb G$U d A{J«‘Net Loans & Advances 3,224.55 2,285.86 1,945.36 3,407.56 4,621.02 4,621.02 8,089.68 10,769.58 59,719.07 19,420.85 22,217.69 140,322.24

(ii) {Zdoe Investments 14,519.73 4,781.43 980.34 606.03 2,737.09 2,737.10 3,224.87 8,096.10 7,155.42 2,217.29 16,225.23 63,280.63

(iii) O_mam{e`m± Deposits 1,962.36 3,343.90 2,162.84 3,234.40 9,125.80 9,125.79 17,386.06 44,729.46 33,521.82 8,539.63 72,038.78 205,170.84

(iv) CYma Borrowings - 6,128.81 1,048.00 - 66.25 66.25 232.46 0.56 530.52 701.84 4,337.50 13,112.19

(v) {dXoer _wÐm AmpñV`m± Foreign Currency Assets 1,391.52 2,868.77 92.11 456.16 577.03 577.03 785.87 4.64 79.57 11.26 6.82 6,850.78

(vi) {dXoer _wÐm Xo`VmE± Foreign Currency Liabilities 215.67 738.90 14.57 32.05 118.21 118.21 408.36 465.64 557.85 291.63 - 2,961.09


7.0 Exposures

7.1 Exposure to Real Estate Sector


H«$.g§. Sl. No. loUr Category

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

H$) a) àË`j EŠgnmo‹Oa Direct Exposure

i) Amdmgr` ~§YH$-Residential Mortgages –

Eogr Amdmgr` g§n{Îm na ~§YH Ûmam nyU©V… à{V^yV CYma Ohm± CYmaH$Vm©© ahVm h¡ `m ahoJm `m ^m‹S>o na {X`m h¡;

Lending fully secured by mortgages on residential property that is or will be occupied by the borrower or that is rented; 14,146.31 13,060.19

({Og_| go, àmW{‘H$Vm-àmá joÌ ‘| em{‘b H$aZo hoVw nmÌ d¡`pŠVH$ Amdmg F$U)(of which, Individual housing loans eligible for inclusion in priority Sector) 7,880.60 7,778.35

ii) dm{UpÁ`H$ ñWmda g§nXm - Commercial Real Estate –

dm{UpÁ`H ñWmda g§nXm (H m`m©b` ^dZ, IwXam ñWmZ, ~hw-CÔoer` dm{UpÁ`H n[aga, ~hw-n[admar` Amdmgr` ^dZ, ~hw-{H amEXmar dm{UpÁ`H n[aga, Am¡Úmo{JH `m JmoXm_ ñWmZ, hmoQb, ^y{_ A{YJŒhU, {dH mg Ed§ {Z_m©U Am{X) na ~§YH Ûmam à{V^yV CYma& (EŠgnmoµOa _o§ J¡a-{Z{Y AmYm[aV gr_mE§ (EZE\ ~r) ^r em{_b)Lending secured by mortgages on commercial real estates (office buildings, retail space, multi-purpose commercial premises, multi-family residential buildings, multi-tenanted commercial premises, industrial or warehouse space, hotels, land acquisition, development and construction, etc.). Exposure also includes non-fund based (NFB) limits 4,836.26 4,554.20

({OZ_| go, [ahmBer Amdmg hoVw dm{UpÁ`H$ ñWmda g§nXm)(of which, commercial Real Estate to Residential Housing) 1,754.38 1,471.98

iii) ~§YH$ g_{W©V à{V^y{V`m| (E_~rEg) _| {Zdoe VWm AÝ` à{V^y{VJV {dÎm EŠgnmo‹Oa -Investments in Mortgage Backed Securities (MBS) and other securitized exposures –

H$) Amdmgr` a) Residential 517.26 326.29

I) dm{UpÁ`H$ ñWmda g§nXm b) Commercial Real Estate - -

I) b) AàË`j EŠgnmoµOa Indirect Exposure

amîQ—r` Amdmg ~¢H$ (EZEM~r) VWm Amdmg {dÎm H§$n{Z`mo§ (EME’$gr) na {Z{Y AmYm[aV Ed§ J¡a-{Z{Y AmYm[aV EŠgnmoµOa, ñQoQ hmCqgJ ~moSmoª VWm H$mnmo©aoeZmo§ g{hV

Fund based and non-fund based exposures on National Housing Bank (NHB) and Housing Finance Companies (HFCs) including State Housing Boards and Corporations 2,841.22 5,789.51

ñWmda g§nXm joÌ H$mo Hw$b EŠgnmoµOa Total Exposure to Real Estate Sector 22,341.05 23,730.19

7.0 EŠgnmoµOa

7.1 ñWmda g§nXm joÌ H$mo EŠgnmoµOa

156 dm{f©H$ [anmoQ>© 2016-17

7.2 ny±Or ~mOma _o§ EŠgnmo‹Oa 7.2 Exposure to Capital Market (` H$amo‹S> _| ` in crores)


31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

[i] B©pŠdQr eoàmo§, n[adV©Zr` ~m±Smo§, n[adV©Zr` {S~o§Mamo§ VWm B©pŠdQr CÝ_wI å`yMwAb \§ Smo§ H$s `y{ZQmo§ _o§ àË`j {Zdoe {OZH$s _yb {Z{Y {deof ê n go H$mnmo©aoQ G$U _o§ {Zdoe Zht H$s JB© h¡;***

[i] Direct investment in equity shares, convertible bonds, convertible debentures and units of equity-oriented mutual funds the corpus of which is not exclusively invested in corporate debt;*** 965.29 722.05

[ii] eoàmo§/~m±Smo§/{S~o§Mamo§ m AÝ` à{V^y{V`mo§ na A{JŒ_ m eoàmo§ (AmB©nrAmo/B©EgAmonr g{hV), n[adV©Zr` ~m±Smo§, n[adV©Zr` {S~o§Mamo§ VWm B©pŠdQr CÝ_wI å`yMwAb \§ Smo§ H$s `y{ZQmo§ _o§ {Zdoe hoVw ì`{º mo§ Hmo ~oO_mZVr AmYma na A{JŒ_;

[ii] Advances against share/bonds/debentures or other securities or on clean basis to individuals for investment in shares [including IPOs/ESOPs], convertible bonds, convertible debentures and units of equity-oriented mutual funds; 0.24 0.24

[iii] {H$gr AÝ` CÔoí`mo§ hoVw A{JŒ_ Ohm± eoàmo§ `m n[adV©Zr` ~m±Smo§ `m n[adV©Zr` {S~o§Mamo§ `m B©pŠdQr CÝ_wI å`yMwAb \§ Smo§ H$s `y{ZQmo§ H mo àmW{_H à{V^y{V Ho ê n _o§ {b`m OmVm h¡;

[iii] Advances for any other purposes where shares or convertible bonds or convertible debentures or units or equity oriented mutual funds are taken as primary security. 0.13 0.13

[iv] {H gr AÝ` CÔoí`mo§ hoVw Cg gr_m VH A{JŒ_ Omo eoàmo§ `m n[adV©Zr` ~m±Smo§ `m n[adV©Zr` {S~o§Mamo§ `m B©pŠdQr CÝ_wI å`yMwAb \§ Smo§ H$s `y{ZQmo§ H$s g§nm{œ©H à{V^y{V Ûmam a{jV h¡ AWm©V², Ohm± eoàmo§/n[adV©Zr` ~m±Smo§/n[adV©Zr` {S~o§Mamo§/B©pŠdQr CÝ_wI å`yMwAb \§ Smo§ H$s `y{ZQmo§ Ho Abmdm àmW{_H à{V^y{V/A{JŒ_mo§ H mo nyU©V… a{jV Zht H aVo h¢ ;

[iv] Advances for any other purposes to the extent secured by the collateral security of shares or convertible bonds or convertible debentures or units of equity oriented mutual funds, i.e., where the primary security other than shares/convertible bonds/convertible debentures/units of equity oriented mutual funds does not fully cover the advances; 204.53 230.59

[v] eoà Xbmbmo§ H mo O_mZVr VWm J¡a-O_mZVr A{JŒ_ VWm eoà Xbmbmo§ VWm ~mOma {d{Z_m©VmAmo§ H$s Amoa go Omar Jma§{Q`m±;

[v] Secured and unsecured advances to stock brokers and guarantees issued on behalf of stockbrokers and market makers; 7.29 4.75

[vi] eoàmo§/~m±Smo§/{S~o§Mamo§ `m AÝ` à{V^y{V`mo§ H$s à{V^y{V na `m ~‹TVo g§gmYZmo§ H$s àË`mem _o§ ZB© H§ n{Z`mo§ H$s B©pŠdQr _o§ àdV©H Ho `moJXmZ H mo nyam H aZo hoVw ~oO_mZVr AmYma na H mnmo©aoQmo§ hoVw _§Oya {H E JE G$U;

[vi] Loans sanctioned to corporates against the security of shares/bonds/debentures or other securities or on clean basis for meeting promoter’s contribution to the equity of new companies in anticipation of raising resources; - -

[vii] àË`m{eV B©pŠdQr àdmh/{ZJ©_ na H§ n{Z`mo§ H mo VmËH m{bH G$U;[vii] Bridge loans to companies against expected equity flows/issues; - -



31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

[viii] eoàmo§ `m n[adV©Zr` ~m±Smo§ `m n[adV©Zr` {S~o§Mamo§ `m B©pŠdQr CÝ_wI å`yMwAb \§ Smo§ H$s `y{ZQmo§ H$s àmW{_H {ZJ©_ hoVw ~¢H mo§ Ûmam br JB© hm_rXmar à{V~ÕVmE±;

[viii] Underwriting commitments taken up by the banks in respect of primary issue of shares or convertible bonds or convertible debentures or units of equity oriented mutual funds; - -

[ix] _m{O©Z ì`mnma hoVw eoà Xbmbmo§ H mo {dÎm àXmZ H aZm;(Omar ~¢H Jma§{Q`m±)

[ix] Financing to stockbrokers for margin trading [Bank Guarantees issued] 10.64 20.64

[x] CÚ_ ny±Or {Z{Y (n§OrH¥ V VWm J¡a-n§OrH¥ V XmoZmo§) H$mo g^r Omo{I_[x] All exposures to Venture Capital Funds (both registered and unregistered) 159.52 188.78

ny±Or ~mOma _o§ Hw b EŠgno‹Oa Total Exposure to Capital Market 1,347.64 1,167.18

*** includes investments of `671.97 Crores (Previous year `426.54 Crores) on account of conversion of debt into equity under CDR/SDR/S4A schemes and 107.70 Crores (previous year `107.70 Crores) as Strategic/Subsidiary investments both of which are exempted from 20% ceiling and `2.49 Crores (previous year `3.97 Crores) in NCDs which are secured by equity shares of the issuer company.

7.3 Risk Categorywise Country Exposure The following are the bank’s countrywise net risk

exposure based on the Country risk classification provided by the Export Credit Guarantee Corporation (ECGC).

*** grS>rAma/EgS>rAma/Eg4E `moOZmAm| Ho$ A§VJ©V B©{¹$Q>r _| H$O© H$mo

~XbZo Ho$ H$maU `671.97 H$amo‹S> ({dJV df© `426.54 H$amo‹S) Am¡a

aUZr{VH$/AZwf§Jr/{Zdoe Ho$ ê$n _| `107.70 H$amo‹S ({dJV df©

`107.70 H$amo‹S) g{hV {Ogo EZgrS>rEg _| 20% Cƒ gr_m Am¡a

`2.49 H$amo‹S> ({dJV df© _| `3.97 H$amo‹S) go N>mo‹S> {X`m J`m h¡, H$mo

{ZJ©_H$Vm© H§$nZr H$mo B©{¹$Q>r eoà Ûmam àË`m^yV {H$`m J`m h¡&

7.3 Omo{I_ àdJ© dma Xoer EŠgnmoµOa

{Z`m©V G$U Jma§Qr H$mnmo©aoeZ (B©grOrgr) Ûmam àXÎm XoeJV G$U Omo{I_

dJr©H$aU Ho$ AmYma na ~¢H$ Ho$ Xoe dma {Zdb Omo{I_ EŠgnmoµOa

{ZåZ{b{IV h¡& (` H$amo‹S _o§ ` in crores)

H«$.g§. Sl. No.

Omo{I_ loUrRisk Category

31 _mM©, 2017 H$mo EŠgnmo‹Oa ({Zdb)

Exposure (net) as at March 31, 2017

31 _mM©, 2017 H$mo Ym[aV àmdYmZ

Provision held as at March 31, 2017

31 _mM©, 2016 H$mo EŠgnmo‹Oa ({Zdb)

Exposure (net) as at March 31, 2016

31 _mM©, 2016 H$mo Ym[aV àmdYmZ

Provision held as at March 31, 2016

i) ZJÊ` Insignificant 7526.30 - 6089.74 -

ii) {ZåZ Low 1977.12 - 1998.59 -

iii) _m_ybr Moderate 72.02 - 87.63 -

iv) CÀM High 18.47 - 23.98 -

v) AË`{YH Very High 0.45 - 2.39 -

vi) à{V~§{YV Restricted 4.63 - 8.27 -

vii) G$UoVa Off Credit - - - -

`moJ Total 9,599.00 - 8,210.60 -

158 dm{f©H$ [anmoQ>© 2016-17

7.4 Details of Single Borrower Limit (SBL), Group Borrower Limit (GBL) exceeded by the Bank

During the year ended March 31, 2017, the Bank has exceeded the exposure ceiling fixed by RBI to Individual borrower/Group in the following cases, which have been approved by the Board.

(` H$amo‹S _o§ ` in crores)

H«$.g§. Sl. No.

JŒmhH H$m Zm_Name of the Client

df© Ho Xm¡amZ A{YH V_ EŠgnmoOaMaximum Exposure during the year

n±yOrJV {Z{Y Ho$ à{VeV Ho$ ê$n _| EŠgnmoOa

Exposure as a percent-age of Capital Funds

H . EH b CYmaH Vm© /A. Single Borrower

1 ^maVr` ImÚ {ZJ_/Food Corporation of India 2975.00 19.85%

2 Amdmg {dH$mg {dÎm H$mnmo©aoeZ {b.Housing Development Finance Corporation Ltd. 2900.00 19.35%

I .g_yh CYmaH Vm© / B. Group Borrower

eyÝ`/ Nil

H$] A] Vob ~m§S OmarH Vm© Vob H§ n{Z`mo§ H mo NmoSH aOther than oil companies who have been issued oil bonds

ì`pŠVJV CYmaH Vm©Individual Borrower

g_yh CYmaH Vm©Group Borrower

_yb/Basic 15% 40%

BÝ\Œ mñQ—ŠMa Ho Abmdm /Additional for Infrastructure 5% 10%

VwbZ nÌ àH$QZ Ho gmW, AgmYmaU n[apñW{V`mo§ Ho VhV A{V[aºAdditional under exceptional circumstances with Balance Sheet disclosures 5% 5%

I] B] Vob ~m§S OmarH Vm© Vob H§ n{Z`m±Oil Companies who have been issued oil bonds 25% N.A.

7.4 ~¢H$ Ûmam EH$b CYmaH$Vm© gr_m (Eg~rEb), JŒwn CYmaH$Vm© gr_m (Or~rEb) go A{YH$ àXÎm G$U Ho {ddaU

~¢H Zo 31 _mM©, 2017 H$mo g_mßV df© Ho Xm¡amZ {ZåZdV d¡`{º H CYmaH$Vmª/JŒwn hoVw ^maVr` [aµOd© ~¢H Ûmam {ZYm©[aV ~¢H Ho ny§Or {Z{Y`mo§ Ho à{VeV H$s EŠgnmoµOa A{YH$V_ gr_m H$mo nma {H$`m h¡, {Ogo {ZXoeH _§Sb Ûmam AZw_mo{XV {H$`m J`m h¡&

7.5 Aà{V^yV A{JŒ_ 7.5 Unsecured Advances

(` H$amo‹S _o§ ` in crores)


31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

i) Hw$b Aà{V^yV A{JŒ_/Total Unsecured Advances 19,714.35 19,198.23

ii) {OZ_o§ ~¢H Ûmam A{YH$ma, bmBgo§g, ~Œ¢S _yë`m§H Z, àm{YH ma Am{X O¡gr A_yV© à{V^y{V`mo§ H$mo g§nm{œ©H à{V^y{V Ho ê$n _o§ {bE JE A{JŒ_Out of which advances with intangible securities such as charge over the rights, licenses, brand valuations, authorizations etc., taken by the bank as collateral 140.50 268.48

iii) Eogr A_yV© g§nm{œ©H à{V^y{V H$m AZw_m{ZV _yë`Estimated value of such intangible collateral 140.50 268.48


8.0 Disclosure of Penalties Imposed by RBIDuring the year, Reserve Bank of India (“RBI”) has imposed following Penalties:A. i) As per the provision of RBI Master Circular DCM (CC)

No. G-3/03.039.01/2014-15 – Scheme of Incentive and penalties for Bank branches based on performance in rendering customer service to the member of public, an amount of `0.18 Crores has been imposed as penalty for discrepancies detected while processing the soiled notes remittances received from the Currency Chests.

ii) Penalty levied during Incognito Visit of RBI `0.003 Crores.

iii) `1.00 Crore penalty levied by RBI for violation of RBI Directions/ Statutory provisions as per RBI.DBS.CO.ICD/641/12.09.001/2016-17dated 19.07.2016.

iv) On March 3, 2017 there was an instance of short fall of securities in borrowing under Clear corp Repo Order Matching Systems (CROMS) for which the Bank paid a penalty of `5 lakhs.

B. Disclosure requirements as per accounting standards where RBI has issued guidelines in respect of disclosure items for notes to the accounts

1.0 PRIOR PERIOD ITEMS Prior Period Income (net of expenses) during the year `11.06 Crores [Previous year `1.18 Crores (Prior Period Expenses (net of income)] to the extent identified.

2.0 FIxED ASSETS 1. Premises include properties costing `12.30 Crores

(previous year `12.30 Crores) for which registration formalities are pending.

2. Fixed Assets include ` Nil Crores (Previous Year `0.38 Crores) in respect of Capital Work in Progress-Premises.

3. During the year 2016-17, cost of software acquired is `45.54 Crores (Previous Year `17.38 Crores) and the amount amortized during the year is `15.99 Crores (Previous Year `16.24 Crores).

4. Contracts pending execution on Capital account and not provided for is `93.91 Crores (Previous Year `100.92 Crores).

5. During the year, the Bank has reversed `16.46 Crores from the Reserve for Revaluation of Land & Buildings.

3.0 EMPLOYEE BENFITS

3.1 The Bank has accounted for Employee Benefits as per Accounting Standard 15 issued by the Institute of Chartered Accountants of India.

8.0 ^m.[a.~¢. Ûmam bJmò Ow_m©Zo H$m àH$QZdf© Ho Xm¡amZ, ^maVr` [a‹Od© ~¢H$ (^m.[a.~¢.) Zo {ZåZdV Ow_m©Zm bJmE h¢:

H$. i) ^m.[a.~¢. _mñQa n[anÌ SrgrE_ (grgr) g§.Or-3/03.039.01/ 2014 - 15 - Am_ OZVm H$mo JŒmhH godm àXmZ H$aZo _o§ H m`©{ZînmXZ Ho AmYma na ~¢H emImAmo§ Ho {bE àmoËgmhZ Am¡a X§S H$s `moOZm Ho àmdYmZmo§ Ho AZwgma _wÐm {VOmoar go àmßV J§Xo ZmoQ {dàofU H$s à{HŒ `m Ho Xm¡amZ H _r nm`r OmZo Ho H$maU `0.18 H$amo‹S H$s am{e H m Ow_m©Zm bJm`m J`m&

ii) ^m.[a.~¢. Ho JmonZr` Xm¡ao Ho Xm¡amZ `0.003 H$amo‹S H$m Ow_m©Zm dgyb {H$`m&

iii) Ama~rAmB©.Sr~rEg.grAmo.AmB©grSr/641/12.09.001/ 2016-17 {XZm§{H V19.07.2016 Ho AZwgma ^m.[a.~¢. {ZXoemo§/

gm§{d{YH àmdYmZmo§ Ho C„§KZ hoVw ^m.[a.~¢. Ûmam `1.00 H$amo‹S H$m X§S bJm`m J`m&

iv) pŠbà H$mon© [anmo AmS>©a _oqMJ {gñQ>_ (grAmaAmoE_Eg) Ho$ A§VJ©V CYma XoZo _| à{V^y{V`m| H$s H$_r H$m EH$ CXmhaU 3 _mM©, 2017 H$mo {_bm {OgHo$ H$maU `5 bmI Ho$ AY©©X§S> H$m ^wJVmZ {H$`m J`m&

I. boIm _mZH mo§ Ho AZwgma àH QZ AnojmE§ Ohm± ^m.[a.~¢. Zo boImo§ H$s {Qßn{U`mo§ Ho {bE àH$QZ _Xmo§ Ho g§~§Y _o§ {Xem{ZXo©e Omar {H$E h¢

1.0 nyd© Ad{Y _Xo§ df© Ho Xm¡amZ nhMmZr JB© _mÌm VH nyd© Ad{Y Am` ({Zdb ì``)

`11.06 H$amo‹S JV df© `1.18 H$amo‹S (nyd© Ad{Y Am` ({Zdb ì``) H$m nyd© Ad{Y ì`` (Am` H$m {Zdb) {H$`m J`m&

2.0 pñWa AmpñV`m±

1. n[aga _o§ 12.30 H$amo‹S (JV df© 12.30 H$amo‹S) H$s bmJV dmbr n[ag§n{Îm`m± ^r em{_b h¢ {OZHo n§OrH$aU H$s Am¡nMm[aH$VmE± bpå~V h¢&

2. pñWa AmpñV`mo§ _o§ ny±OrJV Mmby H m`©-n[aga go g§~§{YV ` eyÝ` H$amo‹S (JV df© `0.38 H$amo‹S) em{_b h¡&

3. df© 2016-17 Ho Xm¡amZ A{O©V gm°âQdoàmo§ H$s bmJV `45.54 H$amo‹S (JV df© `17.38 H$amo‹S) h¡ Am¡a df© Ho Xm¡amZ n[aemo{YV am{e `15.99 H$amo‹S (JV df© `16.24 H$amo‹S) h¡&

4. ny±OrJV ImVo na {ZînmXZ hoVw b§{~V g§{dXmE± {OZHo {bE àmdYmZ Zht {H$`m J`m, `93.91 H$amo‹S (JV df© 100.92 H$amo‹S) h¢&

5. df© Ho Xm¡amZ, ~¢H Zo y{_ Am¡a {~pëS§J Ho nwZ_y©ë`m§H Z Ho {bE Ama{jV {Z{Y go `16.46 H$amo‹S àË`md{V©V {H$`m&

3.0 H$_©Mmar {hVbm^3.1 ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH$ 15 Ho AZwgma ~¢H$ Ûmam H$_©Mmar {hVbm^ hoVw boIm§H$Z {H$`m J`m h¡&

160 dm{f©H$ [anmoQ>© 2016-17

DEFINED BENEFITS 3.2 a) Changes in the present value of the defined benefit

obligations:


Xm{`ËdObligations

no§eZ[{Z{YH$]Pension

[Funded]

JŒ¡À`wQr [{Z{YH$]Gratuity[Funded]

XrKm©d{Y à{VnyaH {hVbm^ AZwnpñWV [A{Z{YH$]

Long Term compensated absences [Unfunded]

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

Ama§{^H eof Opening Balance 2,975.91 2,779.59 451.25 465.03 247.36 236.56

ã`mO bmJV Interest Cost 229.86 213.69 33.71 34.41 17.83 17.07

Mmby godm bmJVCurrent Service Cost 80.24 74.87 53.38 44.97 35.71 31.94

{dJV godm bmJV - {ZYm©[aVPast service cost-recognized - - - - - -

{dJV godm bmJV - A{ZYm©[aVPast service cost-unrecognized - - - - - -

{dJV godm bmJV - n[aemoYZ hoVw AnmÌ Past service cost-Not eligible for amortization - - - - - -

àXÎm {hVbm^ Benefit Paid (169.14) (210.34) (54.45) (64.35) (46.10) (43.77)

Xm{`Ëd na ~r_m§{H H (bm^)/hm{Z Actuarial (Gain) / Loss on obligation 89.20 118.10 (23.51) (28.81) (7.64) 5.56

A§{V_ eof Closing Balance 3,206.07 2,975.91 460.38 451.25 247.16 247.36

{Z{X©îQ bm^3.2 (H$) n[a^m{fV bm^ Xo`Vm Ho dV©_mZ _yë` _o§ n[adV©Z

b) Changes in the fair value of the plan assets:


`moOZm AmpñV`m±Plan Assets

no§eZ [{Z{YH$]Pension [Funded]

JŒ¡À`wQr [{Z{YH$]Gratuity [Funded]

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

Aà¡b H$moo `moOZm AmpñV`mo§ H$m C{MV _yë` Fair Value of plan assets as on April 2,985.32 2,809.49 468.42 478.85

`moOZm AmpñV A§eXmZmo§ na àË`m{eV à{Vbm^Expected Return on Plan Assets Contributions

265.36 246.69 39.49 40.22

{Z`moŠVm A§eXmZ Employer Contribution 141.53 116.02 10.00 15.00

Xygao Ý`mg Am¡a gXñ`mo§ go A§VaU Transfer from other trust and members - - - -

àXÎm {hVbm^/Benefits Paid (169.14) (210.34) (54.45) (64.35)

~r_m§{H H bm^/(-) hm{Z Actuarial gain / (-) loss (7.00) 23.46 (1.09) (1.30)

_mM© H$moo `moOZm AmpñV`mo§ H$m {hVbm^ /Fair Value of plan assets as on March 3,216.07 2,985.32 462.37 468.42

I) `moOZm AmpñV`mo§ Ho A§{H$V _yë` _o§ n[adV©Z


J. `Wm 31 _mM©, 2017 H$mo VwbZnÌ _o§ {ZpíMV {Zdb AmpñV/ (Xo`Vm):

c. Net Asset/(Liability) recognised in the Balance Sheet as at March 31, 2017:


n[a^m{fV bm^Defined benefits

no§eZ [{Z{YH ]Pension [Funded]

JŒ¡À`wQr [{Z{YH ]Gratuity [Funded]

XrKm©d{Y à{VnyaH {hVbm^ AZwnpñWV [A{Z{YH ]


31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

n[a^m{fV Xo`Vm H m dV©_mZ _yë`Present value of the defined obligation 3,206.07 2,975.91 460.38 451.25 247.16 247.36

`moOZm AmpñV`mo§ H m A§{H V _yë`Fair value of the plan assets 3,216.07 2,985.32 462.37 468.42 - -

{Z{YH pñW{V [A{Yeof/(H _r)]Funded Status [surplus/(deficit)] 10.00 9.41 1.99 17.17 (247.16) (247.36)

VwbZnÌ _o§ {Z{üV {Zdb AmpñV/ (Xo`Vm) Net Asset/(Liability) recognised in the Balance Sheet 10.00 9.41 1.99 17.17 (247.16) (247.36)

K. bm^ Ed§ hm{Z {ddaU _o§ {ZYm©[aV Hw b ì``… d. Total Expenses recognized in the Profit and Loss Account : (` H$amo‹S> _| ` in crores)

n[a^m{fV {hVbm^Defined benefits



XrKm©d{Y à{VnyaH {hVbmÂZwnpñWV [A{Z{YH$]


31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

Mmby godm bmJV Current Service Cost 80.24 74.87 53.38 44.97 35.71 31.94


`moOZm AmpñV`mo§ na àË`m{eV à{VbmÊxpected return on plan assets (265.36) (246.69) (39.49) (40.22) - -

Ad{Y Ho Xm¡amZ {ZYm©[aV {Zdb ~r_m§{H H (bm^)/hm{ZNet Actuarial (Gain) / Loss recognized in the period 96.20 94.64 (22.42) (27.51) (7.64) 5.56

{dJV godm bmJV - {ZYm©[aV Past service cost-recognized - - - - - -

{dJV godm bmJV - n[aemoYZ hoVw AnmÌPast service cost–Not eligible for amortization - - - - - -

bm^ Ed§ hm{Z {ddaU _o§ {ZYm©[aV ì`Èxpenses recognized in the statement of profit and loss 140.94 136.51 25.18 11.65 45.90 54.57

162 dm{f©H$ [anmoQ>© 2016-17

L>. VwbZnÌ VmarI H mo à`wº _w»` ~r_m§{H$H$ _mÝ`VmE§ :

(à{VeV _o§ in percentage)

n[a^m{fV bm^ {Z{YHDefined benefits funded



XrKm©d{Y à{VnyaH {hVbm^ AZwnpñWV [A{Z{YH ]


31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

~Åm Xa Discount Rate 7.35% 7.95% 7.35% 7.95% 7.35% 7.95%

doVZ d¥{Õ Salaries increase 5.00% 5.00% 5.00% 5.00% 5.00% 5.00%

no§eZ d¥{Õ Pension increase 5.00% 5.00% bm.Z. NA bm.Z. NA bm.Z. NA bm.Z. NA

AQ´>reZ _yë` Attrition Rate 1.40% 1.35% 1.77% 2.28% 1.77% 2.28%

`moOZm AmpñV`mo§ na Ano{jV dmngr Xa Expected Rate of Return on Plan Assets 8.93% 8.85% 8.85% 8.85% bm.Z. NA bm.Z. NA

M. `moOZm AmpñV`mo§ H$m g§KQZ… f. The Compositions of Plan Assets:(à{VeV _o§ in percentage)

{ddaU Particulars

no§eZ-{Z{YH Pension-Funded JŒ¡À`wQr-{Z{YH Gratuity-Funded

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

gaH$mar à{V^y{V`m± Government Securities - 0.28 - -

CÀM JwUdÎmm gaH mar ~m±S High Quality Corporate Bonds 4.46 5.75 9.98 15.95

{deof O_mam{e`m± Special deposits 7.24 8.29 0.45 4.08

AÝ` (nrEg`y) Other (PSU) 0.31 0.41 0.46 0.81

~r_m `moOZmAmo§ Ho A§VJ©V AmpñV`m± Assets under Insurance Schemes 87.99 85.27 89.11 79.16

Hw$b Total 100.00 100.00 100.00 100.00

e. The principal actuarial assumptions used at the balance sheet date:

N>. n[a^m{fV {hVbm^ Xm{`Ëdmo§ H m dV©_mZ _yë`, `moOZm AmpñV`mo§ H m C{MV _yë`, A{Yeof/H _r VWm Mmby Ed§ JV df© Ho {bE AZw^d g_m`moOZ {ZåZmZwgma h¡…

g. The present value of defined benefits obligations, the fair value of plan assets, Surplus/Deficits and experience adjustments are as under:


no§eZ Pension

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2015

31st March, 2015

31 ‘mM©,2014

31st March, 2014

31 ‘mM©,2013

31st March, 2013

Xm{`Ëd H$m dV©_mZ _yë` PV of obligation 3206.07 2,975.91 2,779.59 2,473.20 2,148.55

`moOZm AmpñV`mo§ H$m C{MV _yë` Fair value of plan assets 3216.07 2,985.32 2,809.49 2,333.43 1,952.02

(A{Yeof)/H _r (Surplus)/Deficits 10.00 (9.41) (29.90) 139.77 196.53

An[aemo{YV Xo`Vm Un-amortized Liability - - - 110.49 221.00

(A{Yeof)/H _r [An[aemo{YV Xo`Vm H$m {Zdb](Surplus)/Deficits [Net of Un-amortized Liability] 10.00 (9.41) (29.90) 250.26 417.53

`moOZm Xo`VmAmo§ na AZw^d g_m`moOZ (hm{Z)/bm^Experience Adjustment on Plan Liabilities (Loss)/Gain 89.20 118.10 148.08 145.68 (164.18)

`moOZm AmpñV`mo§ na AZw^d g_m`moOZ (hm{Z)/bm^Experience Adjustment on Plan assets (Loss)/Gain 7.00 23.46 61.96 (55.40) 34.95



H«$.g§.Sl. No. {ddaU Particulars 31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 2016H$) a) àI§S> amOñd Segment Revenue

i) Q´>oµOar n[aMmbZ Treasury Operations 7,093.01 4,590.09

ii) WmoH$ ~¢qH$J Wholesale Banking 8,592.59 9,215.17

iii) IwXam ~¢qH$J Retail Banking 5,731.57 6,350.17

iv) AÝ¶ ~¢qH$J n[aMmbZ Other Banking Operations 477.03 435.66

v) AZm~§{Q>V Unallocated 667.58 555.31

Hw$b Total 22,561.78 21,146.40

I) b) àI§S> n[aUm‘ Segment Results

àË¶oH$ àI§S> go H$a nyd© Am¡a ã¶mO níMmV² bm^ (+) hm{Z (-)Profit (+) Loss (-) before tax and after interest from each segment

i) Q´>oµOar n[aMmbZ Treasury Operations 2,276.66 (616.24) ii) WmoH$ ~¢qH$J Wholesale Banking (479.52) (1,070.65)

iii) IwXam ~¢qH$J Retail Banking 373.98 990.03


Hw$b Total 2,647.92 (261.52)

JŒ¡À`wQr Gratuity

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2015

31st March, 2015

31 ‘mM©,2014

31st March, 2014

31 ‘mM©,2013

31st March, 2013

Xm{`Ëd H$m dV©_mZ _yë` PV of obligation 460.38 451.25 465.03 452.54 420.65

`moOZm AmpñV`mo§ H$m C{MV _yë` Fair value of plan assets 462.37 468.42 478.85 439.95 439.90

(A{Yeof)/H _r (Surplus)/Deficits (1.99) (17.17) (13.82) 12.59 (19.25)

`moOZm Xo`VmAmo§ na AZw^d g_m`moOZ (hm{Z)/bm^ Experience Adjustment on Plan Liabilities(Loss)/Gain (23.51) - (20.73) (14.74) (8.08)

`moOZm AmpñV`mo§ na AZw^d g_m`moOZ (hm{Z)/bm^Experience Adjustment on Plan assets (Loss)/Gain 1.10 - 18.30 (14.00) 9.67

XrKm©d{Y à{VnyaH {hVbm^ - A{Z{YHLong Term compensated Absences

31 ‘mM©,2017

31st March, 2017

31 ‘mM©,2016

31st March, 2016

31 ‘mM©,2015

31st March, 2015

31 ‘mM©,2014

31st March, 2014

31 ‘mM©,2013

31st March, 2013

Xm{`Ëd H$m dV©_mZ _yë` PV of obligation 247.16 247.36 236.56 226.49 281.44

`moOZm AmpñV`mo§ H$m C{MV _yë` Fair value of plan assets - - - - -

(A{Yeof)/H _r (Surplus)/Deficits 247.16 247.36 236.56 226.49 281.44

`moOZm Xo`VmAm| na AZw^d g_m`moOZ (hm{Z)/bm^Experience Adjustment on Plan Liabilities (Loss)/Gain (7.64) 5.56 (6.49) (11.00) (32.46)`moOZm AmpñV`mo§ na AZw^d g_m`moOZ (hm{Z)/bm^ Experience Adjustment on Plan assets (Loss)/Gain - - - - -

4.0 àI§S [anmo{Q>ªJ - ^maVr` gZXr boImH ma g§ñWmZ Ûmam Omar ""boIm§H$Z _mZH$ 17 - àI§S [anmo{Q>ªJ'' Ho AZwgma àI§S [anmoQ© Bg àH$ma h¡…

4.0 SEGMENT REPORTING - Disclosure as per “AS 17 - ‘‘Segment Reporting”, issued by the Institute of Chartered Accountants of India are given below:

164 dm{f©H$ [anmoQ>© 2016-17

H«$.g§.Sl. No. {ddaU Particulars 31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 2016

J) c) AZm~§{Q>V ì¶¶ Unallocated Expenses 1,811.55 1,669.79

K) d) n[aMmbZ bm^ Operating Profit/(Loss) 836.37 (1,931.31)

L>>) e) Am¶ H$a Income Tax 275.16 (1,424.83)

M) f ) AgmYmaU bm^/hm{Z Extraordinary Profit/Loss - -

N>) g) {Zdb bm^/(hm{Z) Net Profit/(Loss) 561.21 (506.48)

O) h) AÝ¶ gyMZm Other Information

P) i) àI§S> AmpñV¶m± Segment Assets





v) AZm~§{Q>V AmpñV¶m± Unallocated Assets 33,962.85 21,103.00

Hw$b AmpñV¶m± Total Assets 247,891.05 234,863.62

Äm) j) àI§S> Xo¶VmE± Segment Liabilities





v) AZm~§{Q>V Xo¶VmE± Unallocated Liabilities 34,493.83 20,699.64

Hw$b Xo¶VmE± Total Liabilities 235,179.11 223,497.74

V) k) bJmB© JB© ny±Or (ZrMo Ho$ ZmoQ> (H$) H$m g§X^© b|) Capital employed (refer note (a) below)





v) AZm~§{Q>V AmpñV¶m§ Unallocated Assets (530.97) 403.36

Hw$b AmpñV`m± Total Assets 12,711.95 11,365.88

Notes:

a) Capital employed is arrived after deducting Segment Liabilities from segment assets. Segment Liabilities are distributed in the ratio of their respective Segment Assets.

b) The Bank does not have any foreign branch. Hence, no geographical segment is furnished.

5.0 RELATED PARTY DISCLOSURE In compliance with Accounting Standard 18 - Related Party Disclosures, issued by the Institute of Chartered Accountants of India read along with the Reserve Bank of India guidelines, the details pertaining to Related Party transactions are disclosed as under:

{QßnUr:H$) àI§S AmpñV`mo§ go àI§S Xo`VmAmo§ H$s H Qm¡Vr H aZo Ho ~mX ny§Or

n[aH${bV H$s JB©& àI§S Xo`VmAmo§ H mo CZHo g§~§{YV àI§S AmpñV AZwnmV _o§ {dV[aV {H$`m J`m&

I) ~¢H$ H$s H moB© {dXoer emIm Zht h¢, AV: ^m¡Jmo{bH$ àI§S àñVwV Zht {H$`m J`m&

5.0 g§~§{YV nmQr© àH$QrH$aU ^maVr` [aµOd© ~¢H$ Ho {Xem{ZXo©emo§ Ho gmW n{RV ^maVr` gZXr

boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH$ 18-g§~§{YV nmQr© àH$QZ Ho AZwnmbZ _o§ g§~§{YV nmQr© boZ-XoZ go g§~§{YV {ddaU {ZåZdV² h¢:


The transactions with the subsidiary are not disclosed in view of para 9 of AS-18 “Related Party Disclosure”, which exempts state controlled enterprises from making any disclosures pertaining to their transactions with other related parties, which are also state controlled.Transactions in the nature of banker-customer relationship including those with KMP and relatives of KMP have been disclosed in terms of Para 5 of AS-18.

6.0 LEASESThe Bank has entered into various operating leases for offices, guest houses and residential premises for employees that are renewable on a periodical basis and cancellable at the Bank’s option. Rental expense for such operating leases is `260.86 Crores (Previous year `242.20 Crores) 7.0 EARNINGS PER SHARE

Basic and diluted earnings per share has been computed in accordance with Accounting Standard - 20 (Earnings Per Share):

Calculation of Basic EPS:

a) Name of the Related Party and relationship: H$) g§~§{YV nmQr© H m Zm_ VWm g§~§Y

g§~§{YV nmQr© H m Zm_ Name of the Related Party

g§~§YRelationship

_w»` à~§YZ H m{_©H (Ho E_nr) Key Management Personnel (KMP)

lr O` Hw _ma JJ© Shri Jai Kumar Garg

à~§Y {ZXoeH E§d _w»` H m`©nmbH A{YH marManaging Director & Chief Executive Officer

lr gwZrb _ohVm Shri Sunil Mehta

H m`©nmbH {ZXoeHExecutive Director

lr Jmonmb _wabr ^JV (24.08.2016 go)Shri Gopal Murli Bhagat (from 24.08.2016)


H$mn© ~¢H {gŠ`w[a{QO /Corpbank Securities Limited AZwf§Jr /Subsidiary

I) g§~§{YV nm{Q©`mo§ Ho gmW boZ-XoZ… b) Transactions with the related parties (` H$amo‹S> _| ` in crores)

boZ-XoZ H m ñdê nNature of transaction

Ho E_nr /KMP

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

àXÎm nm[al{_H$: /Remunerationlr O` Hw$_ma JJ© /Shri Jai Kumar Garg 0.29 0.04lr gwZrb _ohVm /Shri Sunil Mehta 0.25 0.04lr Jmonmb _wabr ^JV /Shri Gopal Murli Bhagat 0.15 –

AZwf§Jr Ho gmW boZ-XoZmo§ H$mo EEg-18 Ho AZwÀNoX 9, Omo AÝ` g§~§{YV nmQ>u go CZHo boZ-XoZ g§~§Yr H$mooB© ^r àH$QZ H$aZo go amÁ` {Z`§{ÌV CÚ_mo§ H$mo NyQ XoVm h¡, Ho _ÔoZµOa àH$Q Zht {H$`m J`m h¡, Omo amÁ` {Z`§{ÌV h¢& &

Ho$E_nr Am¡a Ho$E_nr Ho [aíVoXmamo§ Ho ~rM _o§ ~¢H$a JŒmhH boZ-XoZ ñdê n H$s boZ-XoZmo§ H$moo EEg-18 Ho AZwÀNoX 5 Ho AZwgma àH$Q> Zht {H$`m J`m h¡&

6.0 brO~¢H Zo H m`m©b`mo§, JoñQ hmD$g Am¡a H$_©Mm[a`mo§ Ho {bE Amdmgr` n[aga hoVw {d{dY n[aMm{bV brO {H$`m {Ogo Amd{YH AmYma na ZdrH¥ V VWm ~¢H Ho {dH$ën _o§ {ZañV {H `m Om gH$Vm h¡& Eogo n[aMmbZJV brO hoVw {H$am`m ì`` `260.86 H amo‹S (JV df© 242.20 H$amo‹S) h¡&

7.0 à{V eoà AO©Z_yb Am¡a VZwH¥$V à{V eoà AO©Z H$m n[aH$bZ boIm§H$Z _mZH -20 Ho AZwgma {H `m J`m h¡&

_yb B©nrEg H$s JUZm…

H«$.g§. Sl. No. {ddaU Particulars 31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 2016i) B©p¹Qr eoàYmaH$moo§ hoVw H a nümV² CnbãY {Zdb bm^/(hm{Z) (` H$amo‹S _o§)

Net profit/(loss) after tax available for equity shareholders (` in Crore) 561.21 (506.48) ii) ^m[aV Am¡gV B©p¹Qr eoàmo§ H$s g§»`m (H$amo‹S _o§) Weighted average number of equity shares (in Crore) 108.56 92.35

iii) à{V eoà _yb AO©Z Basic Earnings per Share (`) 5.17 (5.48) iv) à{V eoà Zm__mÌ _yë` Nominal Value per Share (`) 2.00 2.00

Diluted: Not applicable as there are no dilutive potential equity shares.VZwH¥$V… bmJy Zht Š`mo§{H$ H$mooB© VZwH¥$V g§^mì` B©p¹Qr eoà Zht h¡&

166 dm{f©H$ [anmoQ>© 2016-17

c) Income Tax

i) Break-up of provision made for Income Tax during the year :

8.0 ACCOUNTING FOR TAxES ON INCOME

a) The bank has reckoned the Income Computation and Disclosure Standards (ICDS) as per Notification by Central Board of Direct Taxes (CBDT) Dt 29.09.2016, read with Circular of CBDT Dt 23.03.2017 in this regard which are applicable for the Assessment Year 2017-18 and subsequent Assessment Years.

b) The Bank has recognized deferred tax assets and liabilities as per Accounting Standard No. 22 issued by the Institute of Chartered Accountants of India (ICAI). The components are as under:

8.0 Am` na H$amo§ Ho {bE boIm§H$Z

H ) ~¢H Zo Bg g§~§Y _o§ gr~rSrQr H$m n[anÌ {XZm§{H$V 23.03.2017 Ho gmW n{RV H|$Ðr` àË`j H$a ~moS© (gr~rSrQr) H$s A{YgyMZm {XZm§{H V 29.09.2016 Ho AZwgma Am` n[aH$bZ VWm àH$QZ _mZH (AmB©grSrEg) H$s JUZm H$s h¡ Omo _yë`m§H$Z df© 2017-18 VWm ~mX Ho _yë`m§H$Z dfmoª Ho {bE bmJy h¡&

I) ~¢H Zo AmñW{JV H$a AmpñV`mo§ Ed§ Xo`VmAmo§ H$moo ^maVr` gZXr boImH$ma g§ñWmZ (AmB©grEAmB©) Ûmam boIm _mZH g§. 22 Ho AZwgma {ZYm©[aV {H `m h¡, {OgHo à_wI g§KQH ZrMo àñVwV h¢:


{ddaU / Particulars 31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

A AmñW{JV H$a AmpñV`m± Deferred Tax Assets on account of

NwÅr ZH$XrH$aU àmdYmZ Leave encashment Provision 85.53 85.61

{Z{YH ã`mO _r`mXr G$U Funded Interest Term Loan 201.64 262.89

G$U hm{Z Loan Losses 1,017.31 1,440.61

pñWa AmpñV`mo§ na _yë`õmg Depreciation on Fixed Assets 10.41 14.65

H$a `mo½` Am` (hm{Z) Taxable Income / (Loss) 123.75 123.75

Hw$N {Z{X©îQ _mZH AmpñV`mo§ hoVw AmB©AmaEgr _mZX§S Ho AZwgma {H$`m J`m àmdYmZProvision made as per IRAC Norms for certain specific Standard Assets 160.95 -

Hw$b Total 1,599.59 1,927.51

AmñW{JV H a Xo`VmE±§ Deferred Tax Liabilities on account ofno§eZ - nyd© ^wJVmZ Pension – Prepayment 4.08 8.45

XrKm©d{Y {dÎm Am` Long Term Finance Income 495.16 495.16

JŒ¡À`wQr {Z{Y (nyd© ^wJVmZ) Gratuity Fund (Prepayment) 0.06 0.06

EAmagr hoVw AmpñV`mo§ H$s {~H«$s na hm{Z Loss on Sale of Assets to ARC 4.30 12.90

Hw$b Total 503.60 516.57

{Zdb AmñW{JV H a (Xo`Vm)/AmpñV Net Deferred tax (Liabilities)/ Assets 1,095.99 1,410.94

K) Am` H$a

i) df© Ho Xm¡amZ Am` H$a hoVw {H$E JE àmdYmZmo§ H$m {díbofU…


{ddaU Particulars 31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

Mmby H$a Current Tax - -

Ý`yZV_ d¡H$pënH$ H$a (E_EQ>r) Minimum Alternate Tax (MAT) 179.80 -

AmñW{JV H a Xo`Vm/(AmpñV`m±) Deferred Tax Liability/(Assets) 314.95 (1,424.83)

The Bank has availed MAT Credit of 179.80 crores as available under Income Tax Laws.

~¢H Zo Am` {Z`_ Ho VhV CnbãY `179.80 H$amo‹S H$m E_EQr G$U CnbãY {H `m h¡&


Am` H$a Income Tax godm H a Service Tax ì`dgm` H$a Professional Tax

{ZYm©aU df© 1998-99, 2004-05, 2007-08 go 2014-15 Assessment Year1998-99, 2004-05 &

2007-08 to 2014-15

{dÎm df© 2004-05 go \$adar 2015 VH Financial Year 2004-05 to February 2015 2009-10 to 2013-14 VH

ii) Assessments for Income Tax have been completed up to the financial year 2013 - 14 (AY 2014-15).

The following appeals by the Bank/Income Tax Department are pending before various appellate authorities/courts :

ii) {dÎm df© 2013-14 ({d.d. 2014-15) VH Am` H$a hoVw {ZYm©aU nyam {H$`m J`m h¡&

Anrb àm{YH$mar/Ý`m`mb` Ho g_j ~¢H /Am` H$a {d^mJ Ûmam Xmà {ZåZ{b{IV Anrb {d{^Þ ñVamo§ na eof h¡…

iii) Advance Taxes paid, Taxes Paid under Disputes, CENVAT Credit availed and TDS deducted on Income to the Bank are appearing under “Other Assets – Tax Paid in Advance / Tax Deducted at Source”. With regard to the Taxes paid under disputes the Bank has gone on appeal and no additional provision is considered necessary in view of favourable judicial pronouncements in similar cases.

iii) àXÎm A{JŒ_ H$a, {ddmXmo§ Ho VhV àXÎm H$a, CnbãY grB©EZdrEQr G$U Am¡a Am` na QrSrEg H$s H Qm¡Vr H mo ""AÝ` AmpñV`m§-A{JŒ_ _o§ àXÎm H$a/òmoV na H$a H$Qm¡Vr'' Ho VhV em{_b {H$`m J`m h¡& {ddmXmo§ Ho VhV àXÎm H$a Ho g§~§Y _o§ ~¢H$ Zo Anrb H$s h¡ Am¡a Bgr àH ma Ho _m_bmo§ _o§ AZwHy b \¡ gbmo§ H mo XoIVo hwE H moB© A{V[aº àmdYmZ µOê ar Zht g_Âmm J`m h¡&

9.0 àmdYmZ, AmH$pñ_H$ Xo`VmE§ Am¡a AmH$pñ_H$ AmpñV`m±

H$) àmdYmZ…

9.0 PROVISIONS, CONTINGENT LIABILITIES

AND CONTINGENT ASSETS

a) Provisions: (` H$amo‹S> _| ` in crores)

H«$.g§. Sl. No.

àmdYmZ H r àH¥${V Nature of Provision

`Wm àma§{^H eof 01.04.2016 H$mo

Opening Balance

as on01-04-2016

df© Ho Xm¡amZ {H E JE A{V[aº

àmdYmZAdditional

Provision made during the year

df© Ho Xm¡amZ à`moJ {H E JE

àmdYmZProvision

used during the year

df© Ho Xm¡amZ àË`md{V©V àmdYmZ

Provision Reversed

during the year

`Wm A§{V_ eof31.03.2017 H$mo

Closing Balance

as on31.03.2017

i. EZnrE Ho$ g§~§Y _| {H$E JE àmdYmZ Provision made towards NPAs

5,278.21 3,860.65 3,573.68 376.84 5,188.34

(2,607.15) (5,378.65) (2,595.44) (112.15) (5,278.21)

ii. {Zdoe na _yë`õmg hoVw àmdYmZ (EZnrE àmdYmZ g{hV)Provision for Depreciation on Invest-ment (Including NPI provision)

382.29 76.16 - 14.78 443.67

(109.69) (289.95) - (17.35) (382.29)

iii. Am` H a/g§n{Îm H a hoVw àmdYmZProvision made towards Income Tax/ Wealth Tax

304.79 179.88 - - 484.67

(556.85) - (252.06) - (304.79)

iv. g^r AÝ` *All others* 2,465.71 360.81 634.34 2,192.18

(2,648.41) (337.25) - (519.95) (2,465.71)

*includes provision for claims against the Bank not acknowledged as debt, provision towards fraudulent transactions and other miscellaneous transactions.

Figures in brackets represent previous year figures.

* Bg_o§ H$O© Ho ê n _o§ ñdrH$ma Z {H$ò Jò ~¢H$ Ho {déÕ Xmdmo§ hoVw àmdYmZ, H nQnyU© boZ-XoZmo§ hoVw àmdYmZ VWm AÝ` {d{dY boZ-XoZ em{_b h¢&

H moîRH$ Ho Am§H$So JV df© Ho h¢&

168 dm{f©H$ [anmoQ>© 2016-17

b) Contingent Liability:

i) Claims against the Bank not acknowledged as debts:(` H$amo‹S> _| ` in crores)

I) AmH$pñ_H$ Xo`Vm…

i) H$O© Ho ê n _o§ ñdrH$ma Z {H$`o J`o ~¢H Ho {déÕ Xmdo…

{ddaU ParticularsXmdmo§ H r g§.

No. of claims

gH b XmdoGross Claims

{Zdb XmdoNet Claims

01.04.2016 H$moo ~H m`m Hw b Xmdo Total Claims outstanding as on 01.04.2016 107 2,789.04 2,782.06

KQmE§: df© Ho$ Xm¡amZ KQmE§/g§emo{YV XmdoLess: Claims deleted/revised during the year 23 401.86 401.71

Omo‹So§: df© Ho Xm¡amZ Omo‹So ZE XmdoAdd : New Claims added during the year 6 160.04 160.04

31.03.2017 H$mo ~H m`m Hw b XmdoTotal Claims outstanding as on 31.03.2017

90 2,547.22 2,540.39

31 _mM©, 2017 H$mo ~H$m`m Xmdmo§ H$m {df`dma dJr©H$aU… Subject wise classification of the claims outstanding as on 31st March, 2017:


{ddaU ParticularsXmdmo§ H$s g§

No. of ClaimsgH$b Xmdo

Gross Claim{Zdb Xmdo

Net Claim

~¢H Jma§Qr Bank Guarantee 2 0.16 0.01

MoH /_m±J S—mâQ/^wJVmZ AmXoe Am{X H$s CJmhr Cheques/DD/PO etc., collection 9 0.79 0.23

G$U g§{d^mJ Credit Portfolio 16 1.16 0.83

O_m g§{d^mJ Deposits Portfolio 3 0.34 0.01

gVH©$Vm Vigilance 37 2,538.27 2,537.60

{d{dY [Am` H$a d ã`mO H$a _m±Jmo§ go g§~§{YV Xmdmo§ g{hV] #Miscellaneous [Including claims on account of Income Tax Demands]#

23 6.50 1.71

`moJ* Total* 90 2,547.22 2,540.39

* Excluding interest on claims, wherever applicable, since inception.

# Contingent liabilities include tax and interest of `2,519.90 Crores (Previous Year `2757.46 Crores)

* ewéAmV go boH a Ohm± bmJy hmo Xmdmo§ na ã`mO H mo Nmo‹SH$a&

# AmH$pñ_H$ Xo`VmAm| _| `2,519.90 H$amo‹S> H$m H$a VWm ã`mO em{_b h¡& (JV df© ` 2757.46 H$amo‹S>)

J. A{V[aº àH QZ C. ADDITIONAL DISCLOSURES

1. àmdYmZ Am¡a AmH pñ_H$VmE§ 1. PROVISIONS AND CONTINGENCIES



31st March, 201731 ‘mM©, 2016

31st March, 2016i. {Zdoe na _yë`õmg hoVw àmdYmZ Provision for Depreciation on Investments 76.16 288.01

ii. EZnrE ({Zdb) Ho à{V àmdYmZ Provision towards NPAs (net) 3,508.66 5,266.51 iii. _mZH AmpñV Ho à{V àmdYmZ Provision towards Standard Assets 353.36 41.00 iv. Am`H a Am¡a g§n{Îm H a hoVw àmdYmZ Provision for Income Tax and Wealth tax 275.16 (1,424.83)v. ã`mO ny±OrH aU hoVw àmdYmZ Provision for Interest Capitalisation (176.99) (71.89)

vi. AÝ` àmdYmZ Ed§ AmH$pñ_H$VmE§ Other Provisions & Contingencies (158.03) (497.30)

`moJ TOTAL 3,878.32 3,601.50


2. ApñWa àmdYmZ 2. FLOATING PROVISIONS (` H$amo‹S> _| ` in crores)

H«$.g§. Sl. No. ApñWa àmdYmZ Floating Provision 31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 2016

i. AWeofOpening balance eyÝ` Nil eyÝ` Nil

ii. df© Ho Xm¡amZ {H E JE A{V[aŠVAdditional made during the year eyÝ` Nil eyÝ` Nil

iii. boIm df© Ho Xm¡amZ {H E JE AmhaU H$m CÔoí` Am¡a am{ePurpose and amount of draw down made during the year eyÝ` Nil eyÝ` Nil

iv. B{VeofClosing balance eyÝ` Nil eyÝ` Nil

3. Ama{jV {Z{Y`mo§ go Amh[aV… eyÝ` (JV df© eyÝ`) 3. Draw Down from Reserves : Nil (Previous Year Nil)

4. {eH m`Vo§/~¢qH J bmoH nmb Ho H m`m©pÝdV Z {H E JE A{Y{ZU©` 4. Complaints / unimplemented awards of Banking Ombudsman

H$. JŒmhH {eH m`Vo§ A. Investor Complaints


31st March, 201731 ‘mM©, 2016

31st March, 2016

(H )(a) df© Ho Ama§^ _o§ b§{~V {eH m`Vmo§ H$s g§»`m No. of complaints pending at the beginning of the year

eyÝ` Nil eyÝ` Nil

(I)(b) df© Ho Xm¡amZ àmßV {eH m`Vmo§ H$s g§»`m No. of complaints received during the year 408 668

(J)(c) df© Ho Xm¡amZ {ZnQmB© JB© {eH m`Vmo§ H$s g§»`m No. of complaints redressed during the year

408 668

(K)(d) df© Ho A§V _o§ b§{~V {eH m`Vmo§ H$s g§»`m No. of complaints pending at the end of the year

eyÝ` Nil eyÝ` Nil

I. ~¢qH J bmoH nmb Ûmam nm[aV A{Y{ZU©` B. Awards passed by the Banking Ombudsman


31st March, 201731 ‘mM©, 2016

31st March, 2016

(H )(a) df© Ho Ama§^ _o§ J¡a-H m`m©pÝdV A{Y{ZU©`mo§ H$s g§. No. of unimplemented Awards at the beginning of the year eyÝ` Nil eyÝ` Nil

(I)(b) df© Ho Xm¡amZ ~¢qH J bmoH nmb Ûmam nm[aV A{Y{ZU©`mo§ H$s g§. No. of Awards passed by the Banking Ombudsmen during the year eyÝ` Nil 1

(J)(c) df© Ho Xm¡amZ H m`m©pÝdV A{Y{ZU©`mo§ H$s g§. No. of Awards implemented during the year eyÝ` Nil 1

(K)(d) df© Ho A§V _o§ J¡a-H m`m©pÝdV A{Y{ZU©`mo§ H$s g§. No. of unimplemented Awards at the end of the year eyÝ` Nil eyÝ` Nil

170 dm{f©H$ [anmoQ>© 2016-17

J. 2016-17 Ho Xm¡amZ AÝ` ~¢H$ H$s J«mhH$ {eH$m`V| C. Customer complaints during the year 2016-17

HŒ . g§.Sl. No. {ddaU Particulars

J«mhH$m| go àmßV {eH m`Vo§Complaints received

from customers

BZ_o§ go EQrE_ H$mS© YmaH$moo§ go àmßV {eH m`Vo§

Out of which complaints received from ATM Card

holders

(H )(a) df© Ho Ama§^ _o§ b§{~V {eH m`Vmo§ H$s g§»`mNo. of complaints pending at the beginning of the year

485 (325)

477 (325)

(I)(b) df© Ho Xm¡amZ àmßV {eH m`Vmo§ H$s g§»`mNo. of complaints received during the year

42,779 (48,701)

41,656 (47,715)

(J)(c) df© Ho Xm¡amZ {ZnQmB© JB© {eH$m`Vmo§ H$s g§»`mNo. of complaints redressed during the year

42,850 (48,541)

41,724 (47,563)

(K)(d) df© Ho A§V _o§ b§{~V {eH$m`Vmo§ H$s g§»`mNo. of complaints pending at the end of the year

414 (485)

409 (477)

Figures in Brackets represents Previous year Figures.

5. Letter of Comforts (LOCs) issued by banks:

The Bank issues Letters of Comfort (LOCs) on behalf of its various constituents against the credit limits sanctioned to them. In the opinion of the Management, no significant financial impact and cumulative financial obligations have been assessed under LOCs issued by the Bank in the past, during the year and still outstanding. Brief details of LOCs issued by the Bank are as follows:



31st March, 201731 ‘mM©, 2016

31st March, 2016

(H )(a)

MwH m¡Vr AmœmgZ nÌ (EbAmogr) _o§ àma§{^H eofOpening Balance in Letters of Comfort (LOCs)

3,298.34 3,795.46

(I)(b)

df© Ho Xm¡amZ {H `m J`m ^wJVmZ Payment / closed during the year

8,474.70 9,060.44

(J)(c) df© Ho Xm¡amZ Omar EbAmogr LOCs issued during the year 8,298.23 8,563.32

(K)(d)

A§{V_ eof Closing balance

3,121.87 3,298.34

{dJV df© Ho$ Am§H$S>mo§ H$mo H$moîRH$ _| Xem©`m J`m h¡&

5. ~¢H$ Ûmam Omar gw{dYm nÌ (EbAmogr): ~¢H$ AnZo {d{^Þ JŒmhH$mo§ H mo _§Oya G$U gr_mAmo§ Ho à{V CZH$s Amoa

go MwH$m¡Vr AmœmgZ nÌ (EbAmogr) Omar H$aVm h¡& à~§YZ-dJ© H$s am` _o§ ~¢H$ Ûmam {dJV _o§, Mmby df© Ho Xm¡amZ Omar EbAmogr Ho A§VJ©V H$moB© _hËdnyU© {dÎmr` à^md Am¡a g§M`r {dÎmr` Xm{`Ëd H m AH$bZ Zht hwAm h¡ Am¡a A~ ^r ~H m`m Zht h¡& ~¢H$ Ûmam Omar MwH m¡Vr AmœmgZ nÌ Ho g§{jßV ã`m¡ao {ZåZmZwgma h¡…

6. Provisioning coverage ratio of the Bank as on March 31, 2017 is 55.17% as against 55.05% as on March 31, 2016.

7. During the year, the Bank has received fee/remuneration of `14.24 Crores from Bank assurance business (Previous year ` 12.98 Crores).

6. 31 _mM©, 2016 Ho 55.05% Ho _wH m~bo 31 _mM©, 2017 H$mo ~¢H H$m àmdYmZ H$daoO AZwnmV 55.17% h¢&

7. df© Ho Xm¡amZ ~¢H H$moo ~¢H$ Eí`moaoÝg H$mamo~ma go `14.24 H$amo‹S (JV df© `12.98 H$amo‹S) ewëH /à{Vbm^ àmßV hwAm h¡&


8. CONCENTRATION OF DEPOSITS, ADVANCES, ExPOSURES AND NPAs

a. Concentration of Deposits:



31 ‘mM©, 201631st March, 2016

~rg g~go ~‹So O_mH Vm©Amo§ H$s Hw b O_mam{e`m± Total deposits of twenty largest depositors 49,408.78 34,688.26

~¢H H$s Hw b O_mam{e`mo§ _o§ ~rg ~‹So O_mH Vm©Amo§ H$s O_mam{e`mo§ H$m à{VeVPercentage of Deposits of twenty largest depositors to Total Deposits

22.40% 16.91%

I. A{JŒ_mo§ H m gH|$ÐrH aU… b. Concentration of Advances: (` H$amo‹S> _| ` in crores)


31 ‘mM©, 201631st March, 2016

~rg g~go ~‹So CYmaH Vm©Amo§ Ho Hw b A{JŒ_ Total Advances to twenty largest Borrowers 38121.58 35,975.33

~¢H Ho Hw b A{JŒ_mo§ _o§ ~rg ~‹So CYmaH Vm©Amo§ Ho A{JŒ_mo§ H$m à{VeV*Percentage of Advances of twenty largest borrowers to Total Advances* 22.01% 20.69%

8. O_mam{e`mo§, A{JŒ_mo§, EŠgnmoµOa Am¡a EZnrE H m g§Ho$ÐrH$aU

H$. O_mam{e`mo§ H$m gH|$ÐrH$aU…

* Gross Advances before PWO is taken as one of the component of total advances.

* nrSãë`yAmo go nhbo Hw b A{JŒ_m| H mo Hw b A{JŒ_m| Ho EH$ KQH$ Ho ê n _o§ {b`m J`m h¡&

J. EŠgnmoµOa H m gH|$ÐrH aU… c. Concentration of Exposures: (` H$amo‹S> _| ` in crores)


31 ‘mM©, 201631st March, 2016

~rg g~go ~‹So CYmaH Vm©Amo§/JŒmhH$moo§ H$moo Hw b EŠgnmoµOa*Total exposure to twenty largest borrowers /customers*

38261.58 36,262.43

~¢H Ho CYmaH$Vm©Amo§/JŒmhH$moo§ Ho Hw b EŠgnmoµOa _o§ A{JŒ_mo§ _o§ ~rg g~go ~‹So CYmaH$Vm©Amo§/JŒmhH$moo§ Ho EŠgnmoµOa H$m à{VeV**Percentage of Exposure of twenty largest borrowers to Total Exposure on borrowers/customers**

20.15% 18.89%

* J¡a-à{V~ÕVm dmbo G$Umo§ H mo Nmo‹SH a

** nrSãë`yAmo go nhbo Hw b A{JŒ_m| H mo Hw b A{JŒ_m| Ho EH KQH Ho ê n _o§ {b`m J`m h¡&

* Excluding Non-committal Line of Credit

** Gross Advances before PWO is taken as one of the component of total advances

K. J¡a-{ZînmXH AmpñV`mo§ H m gH|$ÐrH aU: d. Concentration of NPAs:



31 ‘mM©, 201631st March, 2016

Mma ~‹So J¡.{Z.AmpñV ImVmo§ _o§ {Z{hV am{e Total Exposure to top four NPA Accounts 3,065.95 2,967.33

172 dm{f©H$ [anmoQ>© 2016-17

9. joÌ-dma J¡a-{ZînmXH AmpñV`m± 9. Sector-wise advances (` H$amo‹S> _| ` in crores)

HŒ . g§.Sl. No.

joÌSector

31 _mM©, 201731st March, 2017

31 _mM©, 201631st March, 2016

Hw$b A{JŒ_ ~H m`m

Outstanding Total

Advances

gH b EZnrEGross NPAs

gH$b EZnrE Hw b A{JŒ_ H m

% % of Gross

NPAs to total Advances

Hw$b A{JŒ_ ~H$m`m

Outstanding Total

Advances

gH b EZnrE

Gross NPAs

gH$b EZnrE Hw$b A{JŒ_ H m

% % of Gross

NPAs to Total Advances

HA

àmW{_H Vm àmßVPriority Sector

1 H¥${f VWm g§~Õ {HŒ `mH bmnAgriculture and allied activities 23,248.65 1,215.36 5.23 19,748.75 897.02 4.54

2 àmW{_H Vm àmßV joÌ CYma Ho ê$n _o§ nmÌ CÚ_mo§ H$moo A{JŒ_Advances to industries sector eligible as priority sector lending 12,294.58 2,180.91 17.74 11,757.76 1,921.62 16.34

3 godm Services 15,425.40 1,449.72 9.40 15,306.63 1,117.64 7.304 d¡`{º H G$U Personal loans 10,902.84 479.69 4.40 11,358.79 385.85 3.40

Cn-`moJ (H ) Sub-total (A) 61,871.47 5,325.68 8.61 58,171.93 4,322.13 7.43

IB

J¡a àmW{_H Vm àmßVNon-Priority Sector

1 H¥ {f VWm g§~Õ {H«$`mH bmnAgriculture and allied activities

- - - - - -

2 CÚ_ Industry 57,305.96 15,626.23 27.27 57,161.00 12,851.94 22.48

H$. a. {dÚwV Power 11,298.68 911.31 8.07 12,247.38 802.58 6.55

I. b. AÝ`/Others 46,007.28 14,714.92 31.98 44,913.62 12,049.36 26.83

3 godm Services 5,075.75 1,609.21 31.70 3,938.66 640.95 16.27

4 d¡`{º H G$U Personal loans 29,852.97 2,880.41 9.65 31,447.96 1,742.44 5.54

Cn-`moJ (I) Sub-total (B) 92,234.68 20,115.85 21.81 92,547.62 15,235.33 16.46

Hw b (H +I) Total (A+B) 154,106.15 25,441.53 16.51 150,719.55 19,557.46 12.97


10. J¡a-{ZînmXH AmpñV`mo§ _o§ CVma-M‹Tmd 10. Movement of NPAs (` H$amo‹S> _| ` in crores)


31 ‘mM©, 201631st March, 2016

1 Aà¡b 2016 H mo gH b EZnrEGross NPAs as on April 1, 2016 14,544.25 7,106.67

df© Ho Xm¡amZ n[adY©Z Additions during the year 7,762.42 10,581.98

Cn-`moJ (H ) Sub-Total [A] 22,306.67 17,688.65

KQmE§ Less :

[i] CÞ`Z Upgradations 1,196.71 172.89

[ii] dgybr (CÞ`Z {H E JE ImVmo§ _o§ H$s JB© dgybr H$moo Nmo‹SH$a) Recoveries [excluding recoveries made from upgraded accounts] 491.05 476.67

[iii] VH$ZrH$s/{ddoH$nyU© ~Å>o ImVo Technical/Prudential Write-offs 3,549.75 2,452.66

[iv] Cnamoº (iii) _o§ AmZodmbmo§ H mo Nmo‹SH a ~Åm ImVo Smbo JE Write-offs other than those under (iii) above 23.94 42.18

Cn-`moJ [I] Sub-total [B] 5,261.45 3,144.40

31 _mM©, 2017 H$moo gH b EZnrE B{Veof (H -I)Gross NPAs as on March 31, 2017 (A – B) 17,045.22 14,544.25



31 ‘mM©, 201631st March, 2016

1 Aà¡b, 2016 H mo VH$ZrH$s/{ddoH$nyU© ~Åo ImVo H m àma§{^H eofOpening balance of Technical/ Prudential written-off accounts as at April 1, 2016 5,013.22 2,682.40

OmoSo: df© Ho Xm¡amZ VH ZrH$s/{ddoH nyU© ~Åo ImVo (~H$m`m eof _| `0.45 H$amo‹S> H$s d¥{Õ g{hV)Add: Technical/Prudential write-offs during the year (includes `0.45 Crores increase in the outstanding balance of technical/prudential written off during the year) 3,525.71 2,452.66

nrSãë`yAmo Ho$ ê$n _| dJuH¥$V H$aZo Ho$ ~mX nrS>ãë`yAmo ImVm| _| ~H$m`m d¥{ÕIncrease in balance in PWO accounts after classifying as PWO 24.04 13.47

Cn-`moJ (H ) Sub-total (A) 8,562.97 5,148.53

KQmE§: df© Ho Xm¡amZ VH ZrH$s/{ddoH$nyU© ~Åo ImVo go H$s JB© dgybr (I)Less: Recoveries made from previously technical/prudential written-off accounts during the year (B) 166.66 135.31

`Wm 31 _mM©, 2017 H mo AWeof (H -I) Closing balance as at March 31, 2017 (A–B) 8,396.31 5,013.22

11. {dXoer AmpñV`m±, J¡a-{ZînmXH AmpñV`m± Ed§ amOñd 11. Overseas Assets, NPAs and Revenue (` H$amo‹S> _| ` in crores)


31 ‘mM©, 201631st March, 2016

Hw$b AmpñV`m± Total Assets - -

Hw$b J¡a-{ZînmXH AmpñV`m± Total NPAs - -

Hw$b amOñd Total Revenue - -

174 dm{f©H$ [anmoQ>© 2016-17

12. df© Ho Xm¡amZ, `Wm 31 _mM©, 2017 H$moo `516.59 H$amo‹S ~H$m`m am{e Ho gmW `545.58 Ho$ 166 YmoImYSr _m_bmo§ H$s ^m[a~¢ H$mo [anmoQ© H$s JB© VWm ~¢H Ûmam nyam àmdYmZ {H$`m J`m& df© Zo `291.86 H$amo‹S hoVw AÝ` Ama{jH {Z{Y`mo§ _o§ O_m {H$`m {Ogo df© Ho Xm¡amZ ^m[a~¢ n[anÌ Sr~rAma.g§.~r{n. ~rgr.83/21.04.48/2014-15 {XZm§{H$V 01 Aà¡b, 2015 Am¡a ~rAma g§. ~rnr.~rgr.92/21.04.48/2015-16 {XZm§{H$V 18 Aà¡b, 2016 Ho AmYma na Zm_o {H `m J`m & df© Ho Xm¡amZ `250.19 H$amo‹S H$m àmdYmZ {H$`m (`41.67 H$amo‹S H$m B©grOrgr Xmdo Ho g_m`moOZ Ho ~mX)&

13. àm`mo{OV BVa VwbZ-nÌ Egnrdr (boIm§H Z _mZX§Smo§ Ho AZwgma {OZH$m g_oH$Z {H$`m OmZm h¡)

12. During the year, 166 cases of fraud involving `545.58 Crores are reported to RBI, with an outstanding balance of `516.59 Crores as at March 31, 2017 and full provision has been made by the Bank. The Bank has credited Other Reserves for `291.86 Crores which was debited during the year 2015-16 in terms of RBI Circular DRB. No. BP.BC.83/21.04.48/2014-15 dated April 1, 2015 and BR. No. BP.BC.92/21.04.48/2015-16 dated April 18, 2016. During the year, `250.19 Crores has been provided (after adjusting ECGC claim of `41.67 Crores).

13. Off-Balance Sheet SPVs sponsored (which are required to be consolidated as per accounting norms)

àm`mo{OV Egnrdr H m Zm_ Name of the SPV Sponsored

Xoer Domestic {dXoer OverseaseyÝ` NIL eyÝ` NIL

14. Securitisation as Originating Bank

Information under Securitisation transaction of the Bank as a Originating Bank is given below :

14. àdV©H$ ~¢H$ Ho ê n _o§ à{V^y{VH$aU EH$ àdV©H$ ~¢H$ Ho ê n _o§ ~¢H$ Ho à{V^y{VH$aU boZ-XoZ Ho VhV

gyMZm àñVwV H a aho h¢&(` H$am‹oS> _|/g§. ` in Crores/No.)

H«$. g§.Sl. No. {ddaU Particulars 31 ‘mM©, 2017

31st March, 201731 ‘mM©, 2016

31st March, 20161 à{V^y{VH$aU boZ-XoZmo§ Ho {bE ~¢H Ûmam àm`mo{OV Egnrdr H$s g§»`m*

No. of SPVs sponsored by the bank for securitization transactions* - -

2 ~¢H Ûmam àm`mo{OV Egnrdr H$s ~{h`mo§ Ho AZwgma à{V^yV AmpñV`mo§ H$s Hw b AmpñVTotal amount of securitized assets as per books of the SPVs sponsored by the bank

- -

3 VwbZ-nÌ H$s VmarI H$moo E_AmaAma H$m AZwnmbZ H aZo Ho {bE ~¢H Ûmam à{VYm[aV EŠgnmoµOa H$s Hw b am{e Total amount of exposures retained by the bank to comply with MRR as on the date of balance sheet H$) a) VwbZ-nÌ go BVa EŠgnmoµOa Off-balance sheet exposures

àW_ hm{Z First loss AÝ` Others - -

I) b) VwbZ-nÌ _| EŠgnmoµOa On-balance sheet exposures

àW_ hm{Z First loss AÝ` Others

4 E_AmaAma Ho Abmdm à{V^y{VH aU boZ-XoZmo§ H$s EŠgnmoµOa am{eAmount of exposures to securitization transactions other than MRR

- -

H ) a) VwbZ-nÌ go BVa EŠgnmoµOa Off-balance sheet exposures i) ñd-AnZo hr à{V^y{VH aU H$moo EŠgnmoµOa Exposure to own securitizations

àW_ hm{Z First loss hm{Z Loss

ii) V¥Vr` nmQr© à{V^y{VH aU H$moo EŠgnmoµOa Exposure to third party securitizations àW_ hm{Z First loss AÝ` Others

I) b) VwbZ-nÌJV EŠgnmoµOa On-balance sheet exposures i) ñd-à{V^y{VH aU H$moo EŠgnmoµOa Exposure to own securitizations àW_ hm{Z First loss AÝ` Others

ii) V¥Vr` nmQr© à{V^y{VH aU H$moo EŠgnmoµOa Exposure to third party securitizations àW_ hm{Z First loss AÝ` Others


15. AV… g_yh EŠgnmo‹Oa

g_yh BH$mB©`mo§ hoVw EŠgnmoOa {ZåZdV h¡:

15. Intra-Group Exposures

Exposure to the group entities is as under:


H«$. g§. Sl. No.


31 ‘mM©, 201631st March, 2016

i) A§V… g_yh EŠgnmo‹Oa H$s Hw b am{e Total amount of intra-group exposures - -

ii) erf© 20 A§V… g_yh EŠgnmo‹Oa H$s Hw b am{e Total amount of top 20 intra-group exposures

- -

iii) CYmaH Vm©Amo§/JŒmhH mo§ na ~¢H Ho Hw b EŠgnmo‹Oa _o§ A§V… g_yh EŠgnmo‹Oa H m à{VeVPercentage of intra-group exposures to total exposure on borrowers/customers

- -

iv) A§V…-g_yh EŠgnmo‹Oa na gr_m Vmo‹SZo H m {ddaU Am¡a Cg na H$s JB© {Z`m_H H ma©dmB©, `{X H moB© hmoDetails of breach of limits on intra-group exposures and regulatory action thereon, if any

- -

16. Transfers to Depositor Education and Awareness Fund (DEAF)

The Bank has transferred the below mentioned amount to DEAF.

16. O_mH$Vm© {ejm d OmJê$H$Vm {Z{Y _o§ A§VaU (SrB©EE\ )

~¢H$ Zo SrB©EE\ H$mo {ZåZdV am{e A§V[aV H$s h¡:



31 ‘mM©, 201631st March, 2016

SrB©EE\ H$moo A§V[aV am{e H$m àma§{^H eofOpening balance of amounts transferred to DEAF 73.83 53.94

OmoSo: df© Ho Xm¡amZ SrB©EE\ H$moo A§V[aV am{eAdd : Amounts transferred to DEAF during the year 18.66 19.89

KQmE§: Xmdmo§ Ho g§~§Y _o§ SrB©EE\ Ûmam à{Vny{V© H$s JB© am{eLess : Amounts reimbursed by DEAF towards claims eyÝ` Nil eyÝ` Nil

SrB©EE\ H$moo A§V[aV am{e H$m A§{V_ eofClosing balance of amounts transferred to DEAF 92.49 73.83

17. Aa{jV {dXoer _wÐm EŠgnm‹oOa:

~¢H$ _o§ AnZo CYmaH$Vm©Amo§ Ho Aa{jV {dXoer _wÐm EŠgnmoOa go CËnÞ hmoZodmbr Omo{I_ Ho à~§YZ na EH Zr{V h¡& Bg Zr{V H$m CÔoí` `h h¡ {H CYmaH Vm©Amo§ Ho {dXoer _wÐm CËnmX Ho nmoQ©\ mo{bAmo§ H$s g_rjm H$aVo hwE CZHo {dXoer _wÐm EŠgnmoOa H$mo A{YH$V_ a{jV H$aZm Am¡a CÝho§ Aa{jV ^mJ H$moo a{jV H aZo hoVw ào[aV H$aZm&

Zr{V Ho AZwgma, Aa{jV {dXoer _wÐm EŠgnmoOa H$m _yë`m§H$Z CYmaH$Vm© Ho _yë`m§H Z H$m EH ^mJ h¡ Am¡a Bgo gr_mAmo§ Ho àñVmd Ho g_` `m g_rjm H aVo g_` na {H `m OmVm h¡& BgHo Abmdm, ~¢H g^r JŒmhH mo§ Ho {bE gr_m _§Oya H$aVo g_`, CYmaH$Vm© H$m Am§V[aH loUrH$aU, AmH$ma, ñdm^m{dH ~Mmd ì`dñWmAmo§ H$s g§^mì`Vm, JŒmhH H$s Hw$b CYma Ho g§~§Y _o§ Aa{jV {dXoer _wÐm EŠgnmoOa H m g§~§{YV AmH$ma Am{X Bg Vah Ho VÏ`mo§ na {dMma H$aZo Ho ~mX hr CYmaH$Vm© Ho {dXoer Aa{jV _wÐm EŠgnmoOa H$s gr_m

17. Unhedged Foreign Currency Exposure

The Bank has in place a policy on managing credit risk aris-ing out of unhedged foreign currency exposure of its borrowers. The objective of this policy is to maximize the hedging on for-eign currency exposure of borrowers by reviewing their foreign currency product portfolio and encouraging them to hedge the unhedged portion.

In line with the policy, assessment of unhedged foreign currency exposure is a part of assessment of borrowers and is undertaken while proposing limits or at the review stage. Additionally, at the time of sanctioning limits for all clients, the Bank stipulates a limit on the unhedged foreign currency exposure of the client (as a % of total foreign currency exposure sanctioned by the Bank) after considering factors such as internal rating of the borrower, size, possibility of natural hedging, relative size of

176 dm{f©H$ [anmoQ>© 2016-17

{ZYm©[aV H$aVm h¡ (`Wm ~¢H Ûmam _§Oya Hw$b {dXoer _wÐm EŠgnmoOa H$m %)& BgHo Abmdm ~¢H AnZo g§nyU© nmoQ©\ mo{b`mo Ho A§VJ©V Aa{jV {dXoer _wÐm EŠgnmoOa H$s Amd{YH AmYma na g_rjm H$aVm h¡& BgHo gmW hr ~¢H ^m[a~¢ Ho dV©_mZ {Xem{ZXo©emo§ Ho AZwgma AnZo CYmaH Vm©Amo§ Ho Aa{jV {dXoer _wÐm EŠgnmoOa Ho g§~§Y _o§ d¥{Õerb àmdYmZ aIVm h¡&

BgHo Abmdm, ~¢H Zo `Wm 31 _mM©, 2017 H$mo AnZo Aa{jV {dXoer _wÐm EŠgnmoOa Ho ImVo _o§ `53.05 H$amo‹S (JV df© `48.23 H$amo‹S) H$m àmdYmZ Am¡a `110.51 H$amo‹S (JV df© 77.45 H$amo‹S) H$s A{V[aº ny§Or aIr h¡&

18. Mb{Z{Y H$daoO AZwnmV

Amdí`H$ gyMZm {ZåZdV h¡:

unhedged foreign currency exposure with respect to total borrowings of the client, etc. Further, the Bank reviews the unhedged foreign currency exposure across its portfolio on a periodic basis. The Bank also maintains incremental provision towards the unhedged foreign currency exposure of its borrowers in line with the extant RBI guidelines.

Further, the bank has maintained provision of `53.05 Crores (Previous year 48.23 Crores) and additional capital of 110.51 Crores (Previous year `77.45 Crores) on account of Unhedged Foreign Currency Exposure of its borrowers as at March 31, 2017.

18. Liquidity Coverage Ratio

The necessary information is as under:

(` H$amo‹S> _| ` in Crores)

{ddaU Particulars

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016

Hw b J¡a-^m[aV _yë` (Am¡gV)

Total Un-weighted Value

(average)

Hw b ^m[aV _yë` (Am¡gV)

Total weighted Value (average)


Total Un-weighted

Value (average)



CÀM JwUdÎmm Mb AmpñV`m±High Quality Liquid Assets

1 Hw$b CÀM JwUdÎmm AmpñV`m§ (EMŠ`yEbE)Total High Quality Liquid Assets (HQLA)

40,024.32 39,918.51 23,208.73 23,097.64

ZH Xr ~{hJ©_Z Cash Outflows

2 IwXam O_mE§ Am¡a bKw H mamo~ma JŒmhH$moo§ go O_mE§, {Og_o§ goRetail deposits and deposits from small business customers, of which: 92,863.56 9,099.93 81,976.46 7,745.03

(i) pñWa O_mE§ Stable deposits 3,728.60 186.43 9,052.31 452.62 (ii) KQmE§- pñWa O_mE§ Less stable deposits 89,134.96 8,913.50 72,924.14 7,292.41

3 Aa{jV WmoH {Z{Y`Z, {Og_o§ goUnsecured wholesale funding, of which: 52,867.11 25,145.68 57,209.19 29,146.68

(i) n[aMmbZJV O_mE§ (g^r à{VnjH ma) Operational deposits (all counterparties) - - - -

(ii) J¡a-n[aMmbZJV O_mE§ (g^r à{VnjH ma)Non-operational deposits (all counterparties) 52,867.11 25,145.68 57,209.19 29,146.68

(iii) Aa{jV G$U Unsecured debt - - - -

4 O_mZVr WmoH {Z{Y`ZSecured wholesale funding 4,441.19 - 1,997.47 -

5 A{V[aº Amdí`H VmE§, {Og_o§ goAdditional requirements, of which 22,803.47 2,324.09 20,004.42 1,989.98


{ddaU Particulars

31 ‘mM©, 201731st March, 2017

31 ‘mM©, 201631st March, 2016


Total Un-weighted Value

(average)




Total Un-weighted

Value (average)



(i) ì`wËnÞ EŠgnmo‹Oa Am¡a AÝ` g§nm{œ©H Amdí`H VmAmo§ g§~§Yr ~{hJ©_ZOutflows related to derivative exposures and other collateral requirements 6.68 6.68 6.95 6.95

(ii) G$U CËnmXmo§ na {Z{Y`Z H$s hm{Z go g§~{YV ~{hJ©_ZOutflows related to loss of funding on debt products - - - -

(iii) G$U VWm Mb gw{dYmCredit and liquidity facilities 22,796.80 2,317.42 19,997.47 1,983.03

6 AÝ` g§{dXmJV {Z{Y`Z ~mÜ`VmE§Other contractual funding obligations 383.84 383.84 567.11 567.11

7 AÝ` AmH pñ_H {Z{Y`Z ~mÜ`VmE§Other contingent funding obligations 28,719.47 921.33 27,588.40 1,292.22

8 Hw b ZH Xr ~{hJ©_Z Total Cash Outflows 202,078.64 37,874.87 189,343.05 40,741.02

ZH$Xr A§Và©dmh Cash Inflows

9 O_mZVr CYmaSecured lending - - 606.52 0

10 g§nyU© {ZînmXZ EŠgnmo‹Oa go A§Và©dmhInflows from fully performing exposures 3,196.84 1,658.13 3,439.27 1,761.31

11 AÝ` ZH Xr àdmh Other cash inflows 12,413.58 12,013.58 5,774.29 5,590.96

12 Hw$b ZH Xr A§Và©dmh Total Cash Inflows 15,610.42 13,671.71 9,820.08 7,352.27

Hw b g_m`mo{OV _yë`Total Adjusted Value

13 Hw$b EMŠ`yEbE Total HQLA 40,024.32 39,918.51 23,208.73 23,097.64

14 Hw$b {Zdb ZH$Xr ~{hà©dmh Total Net Cash Outflows 186,468.22 24,203.16 179,522.97 33,388.75

15 Mb{Z{Y H daoO AZwnmV (%)Liquidity Coverage Ratio (%) 164.93% 69.18%

(` H$amo‹S> _| ` in Crores)

178 dm{f©H$ [anmoQ>© 2016-17

`Wm 31 _mM©, 2017 H$mo EbgrAma H$m JwUmË_H$ àH$Q>Z:

1. EbgrAma n[aUm_mo§ H$s _w»` dmhH$ Am¡a g_` Ho gmW EbgrAma H$s JUZm H$aZo Ho {bE AmXmZmo§ Ho `moJXmZ H$m {dH$mg:

Mb{Z{Y H$daoO AZwnmV (EbgrAma) H$mo {Zdb ZH$Xr àdmh Ho {bE EMŠ`yEbE (CÀM JwUdÎmm Mb AmpñV) Ho AZwnmV Ho ê$n _o§ n[a^m{fV {H$`m OmVm h¡& BgH$m CÔoí` `h h¡ {H$, J§^ra VabVm VZmd n[aX¥í` Ho VhV 30 H¡ bo§Sa {XZ {H$ Ad{Y Ho {bE AnZr VabVm OêaVmo§ H$mo nyam H$aZo Ho {bE ^ma a{hV EMŠ`yEbE Ho n`m©ßV ñVa H$s ~¢H$ AZwa{jV aIZm gw{Z{üV H$ao§, {Ogo ZH$Xr _o§ n[ad{V©V {H$`m Om gHo &

1.1 EbgrAma Ho _w»` dmhH$:EbgrAma n[aUm_ Ho _w»` dmhH$ h¢- AJbo 30 {XZ Ho g_` Ho ^rVa CÀM JwUdÎmm Mb AmpñV H$m ñVa, Ano{jV ZH$Xr A§Vàdmh Am¡a Ano{jV {Zdb ZH$Xr ~{hà©dmh:

E. EMŠ`yEbE: Bg_o§ {ZåZdV CÀM JwUdÎmm Mb AmpñV`m§ em{_b h¢:

ØñVa-1AmpñV`m§

Ø ñVa-2E AmpñV`m§

Ø ñVa- 2~r AmpñV`m§

ñVa -1 AmpñV`mo§ _o§ {ZåZdV em{_b h¡:

Ø ZH$Xr

Ø Ama{jV ZH$Xr {Z{Y AZwnmV Ý`yZV_ {Z`m_H$ Amdí`H$Vm go A{YH$&

Ø ^maa{hV gaH$mar à{V^y{V`m§ Ý`yZV_ gm§{d{YH Mb Amdí`H$VmAmo§ (EgEbAma) go A{YH$

Ø A{Zdm`© EgEbAma Amdí`H$VmAmo§ _o§ gaH$mar à{V^y{V`m§, gr_m§V ñWm`r gw{dYm (E_EgE\) Ho VhV ^m[a~¢ Ûmam {dñVma hoVw AZw_{V (E_EgE\ hoVw dV©_mZ _o§ EZSrQrEb Ho 2% H$s AZw_{V h¡)

Ø Mb{Z{Y H daoO AZwnmV hoVw Mb{Z{Y àmßV H aZo H$s gw{dYm (E\ EEbEbgrAma) (E\ EEbEbgrAma hoVw dV©_mZ _o§ EZSrQrEb Ho 9% H$s AZw_{V h¡)

Ø 0% Omo{I_ ^ma g{hV ~mOma`mo½` à{V^y{V`m§ Omar H$aZm/emgZ Ûmam Omar Jma§QrH¥$V H$aZm&

{dÎm df© Ho {bE ~¢H$ Ho ñVa-1 AmpñV`mo§ H$m dm{f©H$ Am¡gV `39,611.59 H amo‹S (JV df© `22,689.17 H$amo‹S) ahm, Omo `40,024.32 H amo‹S ({dJV ~f© 23,208.73 H$amo‹S) Ho$ Hw$b Am¡gV EMŠ`yEbE Ho$ 98.97% ({dJV ~f© 97.76%) h¡ &

Qualitative Disclosure around LCR as on 31st March 2017

1. The main drivers of LCR results and the evolution of contribution of inputs to LCR calculation over time:

Liquidity Coverage Ratio (LCR) is defined as the ratio of HQLA (High Quality Liquid Assets) to net cash outflows. It aims to ensure that the bank maintains adequate level of unencumbered HQLAs that can be converted into cash to meet its liquidity needs for a 30 calendar day time horizon under a significantly severe liquidity stress scenario.

1.1 Main Drivers of LCR:

The Main drivers of LCR result are level of High Quality Liquid Assets, Cash Inflows and net Cash Outflow within next 30 days’ time horizon.

a. HQLA: This comprises of High Quality Liquid Assets as under :

Ø Level-1 assets

Ø Level 2A assets

Ø Level 2B assets

The Level-1 assets comprise of:

Ø Cash

Ø Cash Reserve Ratio (CRR) balance in excess minimum regulatory requirement.

Ø Unencumbered Government Securities in excess of minimum Statutory Liquidity Requirement (SLR).

Ø Government securities within the mandatory SLR requirement, to the extent allowed by RBI under Marginal Standing Facility (MSF) (Presently 2% of NDTL is at present allowed for MSF).

Ø Facility to avail liquidity for Liquidity Coverage Ratio (FALLCR) (Presently 9% of NDTL is at present allowed for FALLCR).

Ø Marketable securities issued/guaranteed by sovereigns with 0% risk weight.

The yearly average of Level-1 assets of the Bank for the financial year were `39,611.59 Crores (Previous year `22,689.17 Crores) which accounts for 98.97% (Previous year 97.76%)of total average HQLA of `40,024.32 Crores (Previous year `23,208.73 Crores).


ñVa 2E AmpñV`mo§ _o§ {ZåZdV em{_b h¡:

Ø ~mhar aoqQJ EOo§{g`mo§ Ûmam EE `m Bggo A{YH$ aoQ {H$E JE J¡a {dÎmr` H$mnmo©aoQ ~m§S&

Ø ~mhar aoqQJ EOo§{g`mo§ Ûmam EE `m Bggo A{YH$ aoQ {H$E JE J¡a {dÎmr` dm{UpÁ`H$ nÌ&

Ø Xmdmo§ go g§~§{YV {dnUZ`mo½` à{V^y{V`mo§ na `m amOH$s`, gmd©O{ZH$ joÌ g§ñWmE§ (nrEgB©) `m ~hwAm`m_r {dH$mg ~¢H mo§ Ûmam Jma§QrH¥$V Xmdmo§ Ho {bE ~ogb II _mZH$sH¥$V X¥pîQH$moU Ho VhV Omo{I_ hoVw 20% Omo{I_ ^m[aVm {ZYm©[aV H$s OmVr h¡ ~eVo© do {H$gr ~¢H$/{dÎmr` g§ñWmZ/EZ~rE\ gr `m BZHo$ gh`mo{J`mo§ Ûmam Omar Zht H$s JB hmo&

~¢H$ ^m[a~¢ Ho dV©_mZ {Xem{ZXo©emo§ Ho AZwgma ñVa 2E AmpñV`mo§ na 15% _m{O©Z bmJy H$a ahm h¡& ñVa 2E AmpñV`mo§ Ho Am¡gV H$m {hñgm Hw$b Am¡gV EMŠ`yEbE H$m 0.72% (`287.30 H$amo‹S) JV df© 1.83%(`.424.84 H$amo‹S) h¡&

ñVa 2~r AmpñV`mo§ _o§ {ZåZdV em{_b h¡:

Ø {H$gr ~¢H /{dÎmr` g§ñWm/EZ~rE\ gr `m CgH$s {H$gr g§~Õ g§ñWm Ûmam Omar Z {H$E Am¡a EgEgB© grEZEŠg {ZâQr Am¡a/`m Eg EÊS nr ~rEgB© goÝgoŠg gyMr _o§ em{_b B©{¹$Qr eo`a&

Ø {H gr ~¢H/{dÎmr` g§ñWm/nrSr/EZ~rE\ gr `m CgH$s {H$gr g§~Õ g§ñWm Ûmam Omar Z H$s JB© Am¡a E+Am¡a ~r~r~r `m XrKm©d{Y aoqQJ H$s AZwnbãYVm _o§ XrKm©d{Y aoqQJ H$s JwUdÎmm Ho g_H j bKw Ad{Y aoqQJ Ho ~rM {H$gr nmÌ G$U aoqQJ EOo§gr Ûmam XrKm©d{Y G$U aoqQJ àmßV H$mnmo©aoQ G$U à{V^y{V`m§ (dm{UpÁ`H$ nÌ g{hV)&

~¢H$ ^m[a~¢ Ho dV©_mZ {Xem{ZXo©emo§ Ho AZwgma ñVa 2~r AmpñV`mo§ na 50% _m{O©Z bmJy H$a ahm h¡& ñVa 2~r AmpñV`mo§ Ho Am¡gV H$m {hñgm Hw$b Am¡gV EMŠ`yEbE H$m 0.31% (`125.43 H$amo‹S) JV df© 0.41% (`94.72 H$amo‹S) h¡ Am¡a Bg_o§ gyMr~Õ H$mnmo©aoQ Ho B©{¹$Qr eo`a em{_b h¡, Omo amîQ—r` ñQm°H EŠgMo§O grEZEŠg {ZâQr Am¡a/`m Eg EÊS nr ~rEgB© goÝgoŠg _o§ gyMr~Õ h¡&

~¢H$ Zo {dÎm df© 2016-17 hoVw EMŠ`yEbE Ho n`m©ßV ñVa H$m AZwajU {H$`m& BgH$m {ddaU {ZåZdV h¡:

The Level 2A assets comprise of:

Ø Non-Financial Corporate Bonds rated AA- or above by external rating agencies.

Ø Non-Financial Commercial Papers rated AA- or above by external rating agencies.

Ø Marketable securities representing claims on or claims guaranteed by sovereigns, Public Sector Entities (PSEs) or multilateral development banks that are assigned 20% risk weight under the Basel II Standardised Approach for credit risk, provided that they are not issued by a bank/financial institution/NBFC or any of its affiliates.

Bank is applying 15% haircut on Level 2A assets as per extant guidelines of RBI. The share of average Level 2A assets is 0.72 % (`287.30 crores) [Previous year 1.83% (`424.84 Crores)]of total average HQLA.

The Level 2B assets comprise of:

Ø Equity Shares not issued by a bank/financial institution/NBFC or any of its affiliated entities and included in NSE CNX Nifty and/or S&P BSE Sensex indices.

ØCorporate debt securities (including commercial paper) not issued by a bank/ financial institution/ PD/ NBFC or any of its affiliated entities and having a long-term credit rating from an eligible Credit Rating Agency between A+ and BBB- or in the absence of a long term rating, a short-term rating equivalent in quality to the long-term rating.

Bank is applying 50% haircut on Level 2B assets as per extant guidelines of RBI.The share of average Level 2B assets is 0.31% (`125.43 crores) [Previous year 0.41% (`94.72 Crores)] of total average HQLA and comprises mainly of equity shares of listed corporates which are listed in National Stock Exchange CNX NIFTY and/ or S&P BSE Sensex.

Bank has maintained a comfortable level of HQLA for the financial year 2016-17. Details are furnished below:

180 dm{f©H$ [anmoQ>© 2016-17

(` H$amo‹S _o§)

{ddaU

2016-17 hoVw EMŠ`yEbE H$m Am¡gV

2015-16 hoVw EMŠ`yEbE H$m Am¡gV

am{e ^m[aV am{e am{e ^m[aV am{e

ñVa 1 39,611.59 39,611.59 22,689.17 22,689.17

ñVa 2E 287.30 244.21 424.84 361.11

ñVa 2~r 125.43 62.71 94.72 47.36

Hw$b EMŠ`yEbE 40,024.32 39,918.51 23,208.73 23,097.64

~r. ZH$Xr A§Và©dmh:

Ø O_mZVr CYma go A§Vàdmh: Bg_o§ bKw Ad{Y G$U O¡go à{VdVr© aonmo, gr~rEbAmo Am{X em{_b h¡&

Ø g§nyU© {ZînmXZ EŠgnmoOa go A§Và©dmh: EZnrE H$moo NmoSH$a, 30 {XZ Ho ^rVa G$U MwH$m¡Vr AZwgyMr na {dMma {H$`m OmVm h¡&

Ø AÝ` ZH$Xr A§Và©dmh: Bg_o§ {Zdoe/Mb _wÀ`yAb \§ S/O_m à_mUnÌ em{_b h¡, Omo {H$gr ^r g_` Am¡a J¡a EgEbAma {Zdoe 30 {XZ Ho ^rVa n[an¹ hmo gH$Vo h¢&

gr. ZH$Xr ~{hà©dmh: EbgrAma Ho CÔoí` hoVw ~{hà©dmh H$moo {ZåZdV Xmo _w»` lo{U`mo§ _o§ {d^m{OV {H$`m h¡:

Ø IwXam O_mAmo§ go ~{hà©dmh: g^r _m§J G$U Am¡a {H$gr ^r ì`{º Ûmam ~¢H$ _o§ aIr JB© O_mAmo§ H$moo IwXam O_mAmo§ Ho ê$n _o§ {b`m OmVm h¡& IwXam O_mAmo§ Ho ~{hà©dmh H$moo pñWa O_m Am¡a H$_ pñWa O_m _o§ {d^m{OV {H$`m OmVm h¡& boZXoZ ImVmo§ _o§ ~r_mH¥$V O_mE§ (SrAmBgrOrgr Ûmam H da {H$E JE), Ohm§ doVZ/no§eZ ñd`§ O_m {H$`m OmVm h¡ AWdm g§~§Y ImVmo§ Ho AmYma na ^wJVmZ {H$`m OmVm h¡, Bgo ñWm`r O_m Ho ê$n _o§ {b`m OmVm h¡ Am¡a eof H$moo (Hw$b O_m - pñWa O_m) H$_ pñWa O_m Ho ê$n _o§ dJr©H¥$V {H$`m OmVm h¡& EbgrAma CÔoí` Ho {bE IwXam O_m H$m Hw b dm{f©H$ Am¡gV `86.758.66 H$amo‹S (JV df© `77,478.77 H$amo‹S) ahm {Og_o§ go Am¡gV pñWa O_mE± `2,382.66 H$amo‹S (JV df© `8,021.09) Am¡a ApñWa O_mE§ `84,376.00 H$amo‹S (JV df© `69,457.68 H$amo‹S) h¢& ~¢H$ Zo 30 {XZmo§ H$s Ad{eîQ n[an¹Vm g{hV g^r IwXam O_mAmo§ Ho ~{hà©dmh H$mo {b`m h¡&

Ø bKw H$mamo~ma JŒmhH$mo§ go ~{hà©dmh: bKw H$mamo~ma JŒmhH$m|§ go ~{hà©dmh dh O_mE§ h¡ Omo IwXam O_m Ho ê$n à~§{YV H$s OmVr h¡ Am¡a {H$gr ^r JŒmhH$ H$moo g_JŒ {Z{Y`Z 5 H$amo‹S VH$ h¡& ^m[a~¢ Ho {Xem{ZXo©emo§

(` in Crores)

Particulars

Average HQLA for 2016-17

Average HQLA for 2015-16

Amount weighted Amount Amount weighted

AmountLevel 1 39,611.59 39,611.59 22,689.17 22,689.17Level 2A 287.30 244.21 424.84 361.11Level 2B 125.43 62.71 94.72 47.36Total HQLA 40,024.32 39,918.51 23,208.73 23,097.64

b. Cash inflows:

Ø Inflows from Secured Lending: It consists of short term lending such as CBLO.

Ø Inflows from fully performing exposure: Scheduled loan repayment within 30 days, other than NPA, has been considered.

Ø Other Cash inflows: It includes investments in Liquid Mutual Funds/Certificate of Deposits etc which can be liquidated any time.

c. Cash Outflows: The outflows for the purpose of LCR have been divided in to following major categories:

Ø Outflows from retail deposits: All demand and term deposits placed with the Bank by a natural person are considered as retail deposits. The outflows from retail deposit are further bifurcated in to stable deposit and less stable deposit. Insured deposits (to the extent covered by DICGC) in transactional accounts where salaries/pensions are automatically deposited or are paid out from or relationship based accounts (e.g. the deposit customer has another relationship with bank, say, a loan) per borrower have been considered as stable deposit and the remaining portion (Total deposits - stable deposits) is classified as less stable deposits. Total yearly average retail deposit for LCR purposes is `86,758.66 Crores (Previous year `77,478.77 Crores) out of which average stable deposits was `2,382.66 Crores (Previous year `8,021.09 Crores) and less stable deposits was `84,376.00 Crores (Previous year `69,457.68 Crores). Bank has considered outflows of all retail deposits for LCR purpose, including those where residual maturity is beyond 30 days.

Ø Outflows from small business customers: The outflows from small business customers are those deposits where the deposit is managed as a retail deposit and aggregate funding from any such


Ho AZwgma BZ O_mAmo§ go 30 {XZmo§ VH$ ~{hà©dmh H$moo EbgrAma CÔoí` hoVw {b`m J`m h¡&

Ø WmoH$ {Z{Y`Z go ~{hà©dmh: IwXam O_mAmo§ Am¡a bKw H$mamo~ma JŒmhH$mo§ Ho Abmdm ~{hà©dmh H$mo WmoH$ {Z{Y`Z Ho H$maU ~{hà©dmh Ho ê$n _o§ {b`m OmVm h¡ {Ogo ~mX _o§ J¡a O_mZVr WmoH {Z{Y`Z Am¡a O_mZVr WmoH$ {Z{Y`Z _o§ {d^m{OV {H$`m OmVm h¡& EbgrAma CÔoí` Ho {bE `52,867.11 H$amo‹S (JV df© `57,209.19 H$amo‹S) Ho WmoH$ {Z{Y`Z Ho g^r J¡a O_mZVr Am¡gV H$mo J¡a n[aMmbZJV O_mAmo§ _o§ dJr©H¥$V {H$`m J`m Š`mo§{H$ `o O_mE± g_m`moOZ, A{^ajm `m ZH$Xr à~§YZ {HŒ mH$bmn Ho {bE àñVwV Zht H$s JB©& O_mZVr WmoH$ {Z{Y`Z _o§ Mb{Z{Y g_m`moOZ gw{dYm (EbEE\)/g§nm{œ©H¥$V CYma boZXoZ g§~§Yr Xm{`Ëd (gr~rEbAmo) nwZ©IarX H$ama (AmaB©nrAmo) Ûmam O_mZVr CYma em{_b h¡& O_mZVr CYma H$m Hw b Am¡gV `4,441.19 (`1,997.47 H$amo‹S) ahm&

Ø CYma VWm Mb{Z{Y gw{dYm go ~{hà©dmh: Bg_o§ ZH$X ZH$X G$U ImVo (grgr) Am¡a AmodaS—mâQ (AmoSr) ImVo Ho AàmßV/Aà`wº gr_m H$mo {b`m J`m h¡&

Ø AÝ` AmH$pñ_H {Z{Y`Z ~mÜ`VmAmo§ go ~{hà©dmh: AÝ` AmH$pñ_H$ {Z{Y`Z ~mÜ`VmAmo§ go ~{hà©dmh _o§ ~¢H$ Jma§Qr Am¡a G$U à{V~ÕVm nÌ Ho H$maU ~{hJ©_Z em{_b h¡& EbgrAma CÔoí` Ho {bE, ~¢H$ Zo `Wm {V{W g§nyU© J¡a {Z{Y AmYm[aV A{JŒ_ H$moo J¡a ^m[aV ~{hà©dmh Ho ê$n _o§ {b`m h¡& BgHo gmW hr ~¢H$ Zo G$U Ho ê$n Z {bE JE ~¢H$ Ho {déÕ Ho g§nyU© Xmdmo§ H$mo EbgrAma A^m[aV ~{hà©dmh Ho ê$n _o§ {b`m h¡&

1.2 _mh dma EbgrAma

{dÎm df© 2016-17 Ho Xm¡amZ _mh dma EbgrAma {ZåZdV h¡:

Aà¡b 2016

_B© 2016

OyZ 2016

OyZ, 2016 H$s {V_mhr H$m

Am¡gV EbgrAma

120.08% 140.92% 158.01% 136.68%

OwbmB©2016

AJñV 2016

{gV§~a2016

{gV§~a 2016 H$s {V_mhr H$m Am¡gV

EbgrAma

179.60% 148.80% 211.87% 176.58%

customer is up to 5 Crore. Outflows up to 30 days from these deposits have been considered for LCR purposes as per the RBI guidelines.

Ø Outflows from wholesale funding: The outflows other than those from retail deposits and small business customers are considered as outflows due to wholesale funding which has been further bifurcated in to unsecured wholesale funding and secured wholesale funding. For LCR purpose, all unsecured average wholesale funding of 52,867.11 Crores (Previous year `57,209.19 Crores) are classified as non-operational deposits as these deposit do not represent clearing, custody or cash management activities. The secured wholesale funding is consisting of secured borrowings through Liquidity Adjustment Facility (LAF)/ Collateralized Borrowing and Lending Obligation (CBLO) and Repurchase Agreement (REPO). Total average of secured borrowings is `4,441.19 Crores (Previous year `1,997.47 Crores).

Ø Outflows from Credit and Liquidity facilities: The un-availed/ un-utilized limits of cash credit accounts (CC) and overdrafts (OD) accounts have been considered.

Ø Outflows from other contingent funding obligations: The outflows from other contingent funding obligations include outflows due to bank guarantee and letter of credit commitments etc. For LCR purposes, Bank has considered the entireNon fund based advance as on date as unweighted outflow. Bank has also considered entire claims against the Bank not considered as debt as LCR unweighted outflow.

1.2 Month wise LCR:

The month wise LCR during the financial year 2016-17 is mentioned below:

April 2016

May 2016

june 2016

Average LCR of june-2016

Quarter

120.08% 140.92% 158.01% 136.68%

july 2016

August 2016

September 2016

Average LCR of September-2016

Quarter

179.60% 148.80% 211.87% 176.58%

182 dm{f©H$ [anmoQ>© 2016-17

Aºy ~a 2016

Zd§~a 2016

{Xg§~a 2016

{Xg§~a 2016 H$s {V_mhr H$m Am¡gV

EbgrAma

209.31% 155.22% 208.29% 189.38%

OZdar2017

\ adar2017

_mM© 2017

_mM© 2017 H$s {V_mhr*H$m Am¡gV

EbgrAma

230.92% 137.14% 132.42% 158.91%*1 OZdar, 2017 go ~¢H$ X¡{ZH$ AmYma na EbgrAma n[aH${bV H$a ahm h¡&

àW_ VrZ {V_m{h`mo§ (Aà¡b, 2016 go {Xg§~a, 2016 VH$) hoVw ~¢H$ H$m Am¡gV EbgrAma 70% H$s Ý`yZV_ Amdí`H$Vm Ho _wH$m~bo 167.70% ahm&

OZdar, 2017 go _mM©, 2017 VH$ ~¢H$ H$m Am¡gV EbgrAma 80% H$s Ý`yZV_ Amdí`H$Vm Ho _wH$m~bo 158.91% ahm&

_mh-dma EbgrAma:

{dÎm df© 2015-16 Ho Xm¡amZ _mh dma EbgrAma {ZåZdV h¡:

Aà¡b 2015

_B© 2015

OyZ 2015

OyZ, 2015 H$s {V_mhr H$m

Am¡gV EbgrAma

60.14% 50.17% 61.72% 57.35%

OwbmB© 2015

AJñV 2015

{gV§~a 2015

{gV§~a 2015 H$s {V_mhr H$mAm¡gV

EbgrAma

64.84% 68.50% 75.20% 69.51%

Aºy ~a 2015

Zd§~a 2015

{Xg§~a2015

{Xg§~a 2015 H$s {V_mhr H$m Am¡gV

EbgrAma

61.32% 61.87% 73.79% 65.66%

OZdar 2016

\ adar2016

_mM© 2016

_mM© 2016 H$s {V_mhr H$m

Am¡gV EbgrAma

71.80% 74.05% 160.43% 89.72%

~¢H$ Zo AnZo Mb{Z{Y H$daoO AZwnmV _o§ gwYma hoVw {d{dY H$X_ CRmE§ h¢&• O_mAmo§ Ho IwXam nmoQ©\ mo{bAmo§ _o§ gwYma H$aZm, Ohm§ {ZH$mgr

KQH$ H$_ h¡&• `50 H$amo‹S VWm Cggo A{YH Ho _r`mXr O_mAmo§ Ho$

n[an¹$Vmnyd© AmhaU AZw_V Z H$aZo hoVw àñVmdZm I§S&

October 2016

November 2016

December 2016

Average LCR of December -2016

Quarter

209.31% 155.22% 208.29% 189.38%

january 2017

February 2017

March 2017

Average LCR of March -2017

Quarter*

230.92% 137.14% 132.42% 158.91%

*From 1st January, 2017, bank is calculating LCR on a daily basis.

Average LCR of the Bank for 1st three quarter (April-2016 to December-2016) is 167.70% as against the minimum requirement of 70%.

The average LCR of the bank from january-2017 to March-2017 is 158.91% as against the minimum requirement of 80%.

Month-wise LCR:

The month-wise LCR during the financial year 2015-16 is mentioned below:

April 2015

May 2015

june 2015

Average LCR of

jun-2015 Quarter

60.14% 50.17% 61.72% 57.35%

july 2015

August 2015

September 2015

Average LCR of

Sept -2015 Quarter

64.84% 68.50% 75.20% 69.51%

October 2015

November 2015

December 2015

Average LCR of

Dec -2015 Quarter

61.32% 61.87% 73.79% 65.66%

january 2016

February 2016

March 2016

Average LCR of

Mar-2016 Quarter

71.80% 74.05% 160.43% 89.72%

Bank had taken various steps to improve its Liquidity Coverage Ratio.

• Improving the retail portfolio of deposits where the run off factor is low.

• Introduction clause to disallow premature withdrawal of fresh/renewal deposits of 50 Crores & above.


• J¡a à{VXo` O_mAmo§ H$s ewéAmV H$aZm&• CÀM lo{UH¥$V/JwUdÎmm AmpñV`mo§ O¡go Q—oOar {~b, O_m

à_mUnÌ Am¡a dm{UpÁ`H$ nÌmo§, Ohm§ à{Vbm^ Am¡a Mb{Z{Y CÀM hmoJr, Cg_o§ {Zdoe H$aZm&

2. A§Va g_` n[adV©Z Ho gmW hr gmW g_`mYrZ n[adV©Z:

EbgrAma Ho n[aH$bZ hoVw {Xem{ZXo©emo§ H$moo 01 OZdar, 2015 go H$m`m©pÝdV {H$`m Om ahm h¡& Ý`yZV_ EbgrAma Amdí`H$Vm _o§ 1 OZdar, 2015 H$moo dV©_mZ 60% go `Wm 1 OZdar, 2019 H$moo 100% VH$ d¥{Õ H$s OmEJr& H¡$boÊS>a df© 2017 hoVw EbgrAma Anojm 80% h¡& ~¢H$ Zo Amdí`H$ EbgrAma ñVa Ho AZwajU hoVw hr C{MV Mb AmpñV`mo§ H$m AZwajU {H$`m h¡&

3. {Z{Y`Z òmoVmo§ H$m gHo§ ÐrH$aU:~¢H$ _w»` ê$n go G$U Am¡a CYma {HŒ `mH$bmnmo§ H$moo H$aVm h¡& ~¢H$ AnZr Amdí`H$Vm Ho AZwgma bmoJmo§ go O_mE§ ñdrH$ma H$aVm h¡& ~¢H$ {XZ à{V{XZ H$s VabVm/AÝ` AmdíH$VmAmo§ Ho {bE _wÐm ~mOma go CYma boVm h¡/XoVm h¡& `Wm 31 _mM©, 2017 H$moo WmoH$ O_m (`1 H$amo‹S d A{YH$) H$m AZwnmV 38.4% ahm Omo, 31 _mM©, 2016 Ho 45.5% go ZrMo Am`m h¡& ~¢H$ IwXam O_mAmo§ na A{YH$m{YH$ Ü`mZ XoVo hwE WmoH$ O_mAmo§ Ho {hñgo H$moo H$_ H$aZo Ho {bE gpå_{bV à`mg H$a ahm h¡&

4. ì`wËnÞr EŠgnmoOa Am¡a g§^m{dV g§nm{œ©H$ _m§J:~¢H$ ì`mnma Ho gmW gmW ~Mmd CÔoí` Ho {bE ì`wËn{Þ _o§ H$m`© H$aVm h¡& ì`wËn{Þ ì`dhma H$s _mÌm H$_ h¡& {dÎm df© 2016-17 hoVw EbgrAma _o§ {Zdb ì`wËn{Þ ZH$Xr àdmh Am¡gV `6.68 H$amo‹S (JV df© `6.98 H$amo‹S) h¡&

5. EbgrAma _o§ _wÐm Ag§VwbZ:O~ {dXoer _wÐm am{e _o§ g_JŒ Xo`VmE± ~¢H$ H$s Hw$b Xo`VmAmo§ H$s 5% `m Bggo A{YH$ hmo V~ _wÐm Ag§VwbZ bmJy hmoVm h¡& Eogo _m_bmo§ _o _wÐm H$moo ""_hËdnyU©'' ê$n _o§ {b`m OmVm h¡& h_mao ~¢H$ H$s ~¢{H$§J Am¡a ì`mnma nwpñVH$m ñWmZr` _wÐm _o§ _yë`d{J©V H$s OmVr h¡& ~¢H$ H$s H$mooB© {dXoer AZwf§Jr Zht h¡& {dXoer _wÐm Xo`VmE§ ~¢H$ H$s Hw$b Xo`VmAmo§ Ho 5% go H$_ h¢ Am¡a Bgo _wÐm Ag§VwbZ bmJy hmoZo hoVw _hËd Zht h¡&

6. Mb{Z{Y à~§YZ Ho Ho§ ÐrH$aU H$s {SJŒr Am¡a g_yh B©H$mB©`mo§ _o§ dmVm©bmn:

~¢H$ ñQmH$ Am¡a àdmh X¥pîQH$moU Ho VhV {d{dY AZwnmVmo§ H$s {ZJamZr Ho O[aE àYmZ H$m`m©b` _o§ EH$ H|$ÐrH¥$V VarHo go bJmVma AnZr Mb Omo{I_ H$m à~§YZ H$aVm h¡ Am¡a CgHo n[aUm_mo§ H$mo {ZU©` boZo hoVw à~§YZ Ho gm_Zo àñVwV H$aVm h¡&

• Introduction of Non-Callable term deposits.

• Investment in high rated/quality assets like Treasury Bills, Certificate of Deposits, and Commercial Papers where return as well as liquidity is high.

2. Intra-period changes as well as changes over time:

The Guidelines for computation of LCR is implemented with effect from 1st Jan 2015. The minimum LCR requirement will increase from 60% as on 1st Jan 2015 to 100% as on 1st Jan 2019. The LCR requirement for the calendar year 2017 is 80%. The Bank has been maintainings sufficient liquid assets to maintain the required level of LCR.

3. Concentration of funding sources:

The Bank is primarily engaged in lending and borrowing activities. Bank is accepting deposit from the public as per the requirement of the Bank. Bank is borrowing from/lending in the money market to manage its day to day liquidity and other requirements. The ratio of bulk deposit (Rs. 1 crore and above) to aggregate deposits as on 31st Mar 2017 was 38.4%, which has come down from 45.5% as at 31st Mar 2016. Bank is taking concerted effort to reduce the share of bulk deposits by focusing more on retail deposits.

4. Derivative exposures and potential collateral calls:

Bank deals in derivative for trading as well as for hedging purpose. The volume of derivative deals undertaken is relatively small. The average net derivative cash outflow in LCR for the financial year 2016-17 is `6.68 Crores (Previous year `6.98 Crores).

5. Currency mismatch in the LCR:

Currency mismatch is applicable when the aggregate liabilities in the foreign currency amount to 5% or more of the bank’s total liabilities. In such cases, the currency is considered as ‘significant’. Our Bank’s banking and trading book is denominated in local currency. Bank does not have any foreign subsidiary. Foreign currency liabilities are less than 5% of total liabilities of the Bank and hence not treated as significant for application of currency mismatch.

6. Degree of centralization of liquidity management and interaction between the group’s units:

The Bank manages its liquidity risk proactively in a centralized manner through monitoring of various ratios both under stock and flow approach and the results are placed before the management for decision taking. Bank prepares Structural Liquidity Statement (SLS) on a daily basis for analyzing / monitoring of liquidity mismatches in different time buckets according to

184 dm{f©H$ [anmoQ>© 2016-17

~¢H$ Am§V[aH$/^m[a~¢ eVmoª Ho AZwgma {d{^Þ g_` dJ© _o§ Mb Ag§VwbZ Ho {díbofU/{ZJamZr Ho {bE à{V{XZ Ho AmYma na g§aMZmË_H$ Mb {ddaU (EgEbEg) V¡`ma H$aVm h¡& EgEbEg àËòH$ ewH«$dma, àW_ VWm Vrgao ~wYdma Am¡a àËòH$ _mh Ho 15 VmarI VWm A§{V_ {XZ H$moo AmpñV Mb à~§YZ g{_{V (AëH$mo) Ho gm_Zo àñVwV {H$`m OmVm h¡& 90 {XZmo§ go D$na H$s pñW{V Ho {bE Sm`Z¡{_H$ Mb {díbofU (SrEbEg) H$mo _m{gH$/{V_mhr AmYma na AëH$mo Ho gm_Zo àñVwV {H$`m OmVm h¡& {dÎmr` df© 2016-17 hoVw ~¢H$ Aà¡b 2016-{Xg§~a-2016 Ad{Y hoVw àËòH$ _mh Ho A§{V_ {XZ H$moo _m{gH$ AmYma na EbgrAma n[aH${bV H$a ahm h¡ VWm 01 OZdar, 2017 go X¡{ZH$ AmYma na n[aH${bV H$a ahm h¡ VWm AëH$mo d à~§YZ dJ© H$mo [anmoQ>© H$a ahm h¡&

(O` Hw _ma JJ©)à~§YH$ {ZXoeH$ E§d _w»` H$m`©nmbH$ A{YH$mar

(Jmonmb _wabr ^JV)H$m`©nmbH$ {ZXoeH$

(_Zrf JwßVm) {ZXoeH

(àÚwåZ Ho OoZm) {ZXoeH

(XodamH$mo§Sm XrpßV{dbmg){ZXoeH

(gwemo^Z gaH$ma) ({MÌm Jm¡ar bmb) (a_oe Hw _ma ^Q² ){ZXoeH {ZXoeH {ZXoeH

(E_.~r. JUoe)_hm à~§YH

(kmZ a§OZ gma§Jr) ghm`H$ _hm à~§YH$

h_mar g_{XZm§{H$V [anmoQ© Ho AZwgma

H¥$Vo E_. AmZ§X_ EÊS H§ .gZXr boImH$ma

E\$AmaEZ-000125S

(grE ~r.dr. gwaoe Hw _ma)gmPoXma

gXñ`Vm g§. 212187

H¥$Vo XÎmm qgJbm EÊS H§ .gZXr boImH$ma

E\$AmaEZ-006185N

(grE g§Xrn XÎmm)gmPoXma

gXñ`Vm g§. 092413

H¥$Vo E.Ho . g~V EÊS H§ .gZXr boImH$ma

E\$AmaEZ-321012E

(grE AéU Hw _ma g~V) gmPoXma

gXñ`Vm g§. 030310


E\$AmaEZ-001557C

(grE adtÐ aZrdmbm)gmPoXma

gXñ`Vm g§.073191

H¥$Vo nmoZamO EÊS H§ . gZXr boImH$ma

E\$AmaEZ-002672S

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gXñ`Vm g§.020635

ñWmZ … _§Jbyé{XZm§H$ … 20 _B©, 2017

internal/RBI norms. Such analysis is being reported to top management. SLS as on each Friday and 15th and last day of every month are placed beforeAsset Liability Management Committee (ALCO). Dynamic Liquidity Analysis (DLS) for likely position over a 90 days’ time horizon is placed to ALCO on monthly / quarterly basis.For financial year 2016-17 bank has been calculating LCR on a monthly basis as on last day of every month for the period from April-2016 to December-2016 and w.e.f January 01, 2017 LCR is calculated on a daily basis and reported to ALCO and the management.

[jai Kumar Garg]Managing Director & Chief Executive Officer


[Manish Gupta]Director

[Pradyumna K. jena]Director

[Deverakonda Diptivilasa] Director

[Sushobhan Sarker] [Ms. Chitra Gouri Lal] [Ramesh Kumar Bhat]

Director Director Director


[Gyana Ranjan Sarangi]Asst. General Manager


For M.Anandam & Co.Chartered Accountants

FRN: 000125S




FRN: 006185N



For A. K. Sabat & Co.Chartered Accountants

FRN: 321012E




FRN: 001557C



For Ponraj & Co.Chartered Accountants

FRN: 002672S



Place : Mangaluru

Date : 20th May, 2017


H$mnm}aoeZ ~¢H$ CORPORATION BANK31 _mM©, 2017 H$mo g_mßV df© hoVw EH$b ZH$Xr àdmh {ddaU

Standalone Cash Flow Statement for the year ended 31st March, 2017

(Ÿ` in ’000 _|)

{ddaU PARTICULARS

31.03.2017 H$mo g_mßV df©

Year Ended 31.03.2017

Mmby df© Current Year

31.03.2016 H$mo g_mßV df©


JV df© Previous Year

H$.A.

n[aMmbZ H$m`©H$bmnm| go ZH$Xr àdmhCASH FLOW FROM OPERATING ACTIVITIES

H$a Cnam§V {Zdb bm^/hm{Z (-) Net Profit/Loss (-) after Tax 561,20,60 -506,48,04

Omo‹S>|… H$a hoVw àmdYmZ Add: Provision for Tax 275,16,38 -1424,83,20

H$a nyd© {Zdb bm^/hm{Z (-) Net Profit/Loss(-) before Tax 836,36,98 -1931,31,24

i {ZåZ hoVw g‘m¶moOZ Adjustment for :

pñWa AmpñV¶m| na ‘yë¶õmg Depreciation on Fixed Assets 161,28,68 137,81,37

{Zdoem| na ‘yë¶õmg Depreciation on Investments 76,15,68 288,00,62

EZnrE hoVw ‘yë¶õmg Provision for NPAs 3508,66,20 5266,50,60

‘mZH$ AmpñV¶m| hoVw àmdYmZ Provision for Standard Assets 353,35,81 41,00,00

{Q>¶a I Am¡a {Q>¶a II ~m±S>m| na àXÎm ã¶mO Interest paid on Tier I & Tier II Bonds 500,35,16 522,45,58

AmH$pñ‘H$VmAm| Am¡a AÝ¶ hoVw àmdYmZ Provision for Contingencies and Others -158,02,78 -497,29,26

pñWa AmpñV¶m| H$s {~H«$s na (bm^)/hm{Z (Profit)/Loss on Sale of Fixed Assets -73,51 -16,85

H$_©Mmar H$ë`mU {Z{Y hoVw, _yë`õmg Provision for Staff welfare fund -15,00,00

AZwf§{J¶m| Am¡a gh¶mo{J¶m| go bm^m§e Am{X Ûmam A{O©V Am¶ Income earned by way of Dividend etc. from Subsidiaries and Associates

– –

(àXÎm)/dmng {H$¶m J¶m àË¶j H$a Direct Taxes (paid)/Refund -329,44,32 -354,56,51

ã¶mO ny±OrH$aU hoVw àmdYmZ Provision for Interest Capitalisation -176,99,00 -71,89,00

n[aMmbZ AmpñV¶m| Ed§ Xo¶VmAm| ‘| n[adV©Z go nhbo ZH$Xr àdmh Cash Flow before change in Operating Assets and Liabilities 4755,98,90 3400,55,31

ii {ZåZ hoVw g‘m¶moOZ Adjustment for:

O‘mam{e¶m| ‘| d¥{Õ/(H$‘r) Increase/(Decrease) in Deposits 15388,77,56 5825,02,46

CYma ‘| d¥{Õ/(H$‘r) Increase/(Decrease) in Borrowings -7144,02,09 2997,29,03

AÝ¶ Xo¶VmAm| Ed§ àmdYmZm| ‘| d¥{Õ/(H$‘r) Increase/(Decrease) in other liabilities & provisions -846,41,78 -5168,27,13

{Zdoem| ‘| d¥{Õ/(H$‘r) (Increase)/Decrease in Investments -792,34,21 -9982,65,06

A{J«‘m| ‘| d¥{Õ/(H$‘r) (Increase)/Decrease in Advances -34,55,30 4743,79,50

AÝ¶ AmpñV¶m| ‘| d¥{Õ/(H$‘r) (Increase)/Decrease in Other Assets -2084,74,62 1088,64,94

~Å>o ImVo {bIZo/A§V[aV H$aZo Ho$ {bE Ama{jV {Z{Y¶m| ‘|/go g‘m¶moOZ Adjustments to/from Reserves for Write Off/trf 308,32,04 -291,85,72

n[aMmbZ {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmh (H$) NET CASH FLOW FROM OPERATING ACTIVITIES [A] 9551,00,50 2612,53,33

186 dm{f©H$ [anmoQ>© 2016-17

{ddaU PARTICULARS

31.03.2017 H$mo g_mßV df©


Mmby df© Current Year

31.03.2016 H$mo g_mßV df©


JV df© Previous Year

I.B.

{Zdoe {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmhCASH FLOW FROM INVESTING ACTIVITIESpñWa AmpñV¶m| H$s {~H«$s/{ZnQ>mZ Sale/Disposal of Fixed Assets -8,05,03 2,34,38

pñWa AmpñV¶m| H$s IarX Purchase of Fixed Assets -181,84,49 -211,00,85

AZwf§Jr/g§¶wº$ CÚ‘/gh¶mo{J¶m| ‘| A{V[aº$ {ZdoeAdditional Investment in Subsidiary/Joint Ventures/Associates

– –

AZwf§{J¶m| Am¡a gh¶mo{J¶m| ‘| bm^m§e Am{X Ûmam A{O©V Am¶Income earned by way of Dividend etc. from Subsidiaries and Associates – –

{Zdoe {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmh (I)NET CASH FLOW FROM INVESTING ACTIVITIES [B]

-189,89,52 -208,66,47

J.C.

{dÎmr¶Z {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmhCASH FLOW FROM FINANCING ACTIVITIESeo¶a ny±Or Ho$ {ZJ©‘Z go AmJ‘ Proceeds from Issuance of Share Capital 508,00,00 1000,00,00

{Q>¶a I Am¡a {Q>¶a II ~m±S>m| go AmJ‘ Proceeds of Tier I & Tier II Bonds 500,00,00 –

{Q>¶a I Am¡a {Q>¶a II ~m±S>m| H$m à{VXmZ Redemption of Tier I & Tier II Bonds – -300,00,00

{Q>¶a I Am¡a {Q>¶a II ~m±S>m| na àXÎm ã¶mO Interest paid on Tier I & Tier II Bonds -500,35,16 -522,45,58

àXÎm bm^m§e (A§V[a‘ Ed§ A§{V‘) Dividend (Interim & Final) paid – -117,27,93

àXÎm bm^m§e g§{dVaU H$a Dividend Distribution Tax paid – -21,83,95

{dÎmr`Z {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmh (J)NET CASH FLOW FROM FINANCING ACTIVITIES [C]

507,64,84 38,42,53

K.D.

ZH$Xr Am¡a ZH$Xr g‘Vwë¶ ‘| {Zdb d¥{Õ/(H$‘r) (H$+I+J) ¶m (M-L>)NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS [A+B+C] or [F-E] 9868,75,82 2442,29,39

>L.E.

df© Ho$ àma§^ ‘| ZH$Xr Am¡a ZH$Xr g‘Vwë¶ CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEARZH$Xr Am¡a ^m.[a.~¢. Ho$ nmg ~¢H$ eof Cash and Bank Balance with RBI 10087,21,39 10148,93,36~¢H$m| Ho$$ nmg eof am{e¶m± Am¡a ‘m±J na Am¡a Aën gyMZm na YZBalance with Banks and Money at Call and Short Notice 5093,98,42 2589,97,06

df© Ho$ àma§^ ‘| {Zdb ZH$Xr Am¡a ZH$Xr g‘Vwë¶ (L>)NET CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR [E] 15181,19,81 12738,90,42

M.F.

df© Ho$ A§V ‘| {Zdb ZH$Xr Am¡a ZH$Xr g‘Vwë¶ CASH AND CASH EQUIVALENTS AT THE END OF THE YEARZH$Xr Am¡a ^m.[a.~¢. Ho$ nmg ~¢H$ eof Cash and Bank Balance with RBI 17496,63,49 10087,21,39

~¢H$m| Ho$ nmg eof am{e¶m± Am¡a ‘m±J na Am¡a Aën gyMZm na YZBalance with Banks and Money at Call and Short Notice 7553,32,14 5093,98,42

df© Ho$ A§V ‘| {Zdb ZH$Xr Am¡a ZH$Xr g‘Vwë¶ (M)NET CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR [F] 25049,95,63 15181,19,81

(Ÿ` in ’000 _|)


INDEPENDENT AUDITORS’ REPORT ON THE CONSOLIDATED FINANCIAL

STATEMENTS

TO THE BOARD OF DIRECTORS OF CORPORATION BANK

Report on the Consolidated Financial Statements

1. We have audited the attached Consolidated Balance Sheet of Corporation Bank (‘the Bank’) and its Subsidiary, Corpbank Securities Limited, (collectively referred to as “the Group”), as at 31st March, 2017, the Consolidated Profit and Loss account and the Consolidated Cash Flow Statement of the Group for the year ended on that date.

Management’s Responsibility for the Consolidated Financial Statements

2. The consolidated financial statements are the responsibility of the Bank’s Management and have been prepared by the management on the basis of separate financial statements and other financial information of the subsidiary. Our responsibility is to express an opinion on these consolidated financial statements based on our audit.

3. These consolidated financial statements have been prepared by the Bank in accordance with the requirements of aS 21 (Consolidated Financial Statements) issued by the Institute of Chartered accountants of India and the guidelines issued by the Reserve Bank of India.

Auditor’s Responsibility

4. Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We conducted our audit in accordance with Standards on auditing issued by the Institute of Chartered accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free from material misstatements.

5. an audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditor’s judgement, including

g_o{H V {dÎmr` {ddaUmo§ na ñdV§Ì boIm narjH$moo§ H$s {anmoQ©

H$mnmo©aoeZ ~¢H Ho {ZXoeH _§Sb H$s godm _o§

{dÎmr` {ddaUmo§ na {anmoQ©…

1. h_Zo H$mnmo©aoeZ ~¢H Am¡a CgH$s AZwf§Jr (EH gmW A_yh H$hm J`m

h¡) Ho 31 _mM©, 2017 H$s pñW{V Ho AZwgma g§b¾ g_o{H V VwbZ-

nÌ VWm CgHo gmW Cº {XZm§H H$moo g_mßV df© hoVw g_yh Ho g_o{H$V

bm^-hm{Z boIo Am¡a g_o{H$V ZH$Xr àdmh {ddaUr H$s boIm narjm

H$s h¡&

{dÎmr` {ddaUmo§ Ho {bE à~§YZ-dJ© H m CÎmaXm{`Ëd

2. BZ g_o{H V {dÎmr` {ddaUmo§ H$moo V¡`ma H aZo H$m CÎmaXm{`Ëd à~§YZ-dJ©

H$m h¡ Am¡a Bgo à~§YZ-dJ© Zo AZwf§Jr Ho {dÎmr` {ddaUmo§ Am¡a AÝ`

{dÎmr` gyMZm Ho AmYma na V¡`ma {H$`m h¡& h_mam CÎmaXm{`Ëd AnZr

boImnarjm Ho AmYma na BZ g_o{H V {dÎmr` {ddaUmo§ Ho g§~§Y _o§ AnZm

A{^_V ì`º$ H$aZm h¡&

3. BZ g_o{H$V {dÎmr` {ddaUmo§ H$moo ~¢H Zo ^maVr` gZXr boImH$ma

g§ñWmZ Ûmam Omar {H$E JE EEg 21 (g_o{H$V {dÎmr` {ddaU) H$s

Amdí`H VmAmo§ Ho AZwgma Am¡a ^maVr` {aOd© ~¢H Ûmam Omar {H E JE

{Xem-{ZXo©emo§ Ho AZwgma V¡`ma {H$`m J`m h¡&

boIm-narjH H m CÎmaXm{`Ëd

4. h_mam CÎmaXm{`Ëd AnZr boImnarjm Ho AmYma na BZ g_o{H V {dÎmr`

{ddaUmo§ Ho g§~§Y _o§ AnZm A{^_V ì`º H$aZm h¡& h_Zo AnZr boIm-

narjm ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH$moo§ Ho

AZwgma H$s h¡& CZ _mZH$moo§ H$s h Anojm hmoVr h¡ {H h_ Z¡{VH AnojmAmo§

H$m nmbZ H ao§ Am¡a Bg ~mao _o§ C{MV AmœmgZ àmßV H$aZo hoVw `moOZm

~ZmH a boIm-narjm H$m H$m`© g§nÞ H$ao§ {H g_o{H V {dÎmr` {ddaU

VmpËdH A`WmW© {ddaUmo§ go _wº h¢&

5. {H$gr boIm-narjm _o§, g_o{H V {dÎmr` {ddaUmo§ _o§ ì`º YZam{e`mo§ Am¡a

àH$QZmo§ Ho g_W©H gmú`mo§ H$moo àmßV H aZo H$s à{H«$`mE§ em{_b hmoVr

h¢& MwZr OmZo dmbr à{H«$`mE§ boIm-narjH H$m {ddoH , {Og_o§ Mmho

188 dm{f©H$ [anmoQ>© 2016-17

the assessment to the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Bank’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on effectiveness of the entity’s internal control. an audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by the management, as well as evaluating the overall presentation of the consolidated financial statements.

6. We believe that the audit evidence obtained by us and the audit evidence obtained by the other auditors in terms of their reports referred to in paragraph 9 of the Other Matters paragraph below, is sufficient and appropriate to provide a basis for our audit opinion on the consolidated financial statements.

Opinion

7. Based on our audit, consideration of the report of other auditor on separate financial statements of the subsidiary and to the best of our information and accordingly to the explanations given to us read with paragraphs 1 to 6 above, we are of the opinion that the attached consolidated financial statements give a true and fair view in conformity with the accounting principles generally accepted in India.

i. In the case of the consolidated balance sheet, of the state of affairs of the Group as at 31st March, 2017;

ii. In the case of the consolidated profit & loss account, the consolidated profit of the Group for the year ended on that date, and

iii. In the case of consolidated cash flow statement gives a true and fair view of the cash flows of the Group for the year ended on that date.

Emphasis of MatterWe draw attention to Note No. 9 of Schedule 18 to the Consolidated Financial Statements, wherein the Bank has made the provision for all divergent accounts in RBS Report for the FY 2015-16, but retained the asset classification of six accounts amounting to `1,249.00 crores as “Standard” pending representation of the Bank for re-consideration of classification by RBI. Our opinion is not modified in respect of this matter.

H$nQ Ho H$maU hmo `m Ìw{Qde, g_o{H V {dÎmr` {ddaUmo§ Ho _hËdnyU©

A`WmWmoª Ho Omo{I_mo§ H$m AmH bZ em{_b h¡, na {Z^©a H aVr h¢& Omo{I_

H$m `h AmH bZ H aZo _o§ boIm-narjH n{apñW{V`mo§ _o§ Cn`wº boIm

narjm à{HŒ mAmo§ H$moo {Zê {nV H$aZo Ho {bE g_o{H$V {dÎmr` {ddaUmo§

H$s V¡`mar Ed§ C{MV àñVw{V Ho {bE µOê ar Am§V{aH {Z`§ÌU na {dMma

H aVo h¢& {H gr boIm-narjm _o§ à~§YZ dJ© Ûmam à`wº boIm-Zr{V`mo§ H$s

Cn`wº Vm VWm {H$E JE _hËdnyU© AZw_mZmo§ H$s `w{ŠVjJVm H$m AmH$bZ

Am¡a gmW hr {dÎmr` {ddaUmo§ H$s g_JŒ àñVw{V H$m _yë`m§H Z ^r gpå_{bV

hmoVm h¡&

6. h_ {dœmg H$aVo h¢ {H h_mao Ûmam àmßV boIm narjm gmú` Am¡a AÝ`

_m_bo AZwÀNoX Ho AZwÀNoX 9 _o§ g§X{^©V CZH$s {anmoQ© Ho AZwgma

AÝ` boIm narjH$moo§ Ûmam àmßV boIm narjm gmú` g_{H$V {dÎmr`

{ddaU na h_mam boIm narjm A{^_V àXmZ H aZo Ho {bE n`m©ßV Am¡a

C{MV h¡&

A{^_V…

7. h_mar boIm narjm Ho AmYma na, AÝ` boIm narjH$moo§ H$s

AZwf§Jr hoVw {XE JE ñdV§Ì {dÎmr` {ddaUmo§ na {dMma H$aZo

Am¡a Cnamoº AZwÀNoX 1 go 6 _o§ {XE JE ñnîQrH aU Ho AZwgma,

h_mam A{^_V h¡ {H g_o{H$V {dÎmr` {ddaU ^maV _o§ gm_mÝ`V`m

ñdrH¥ V boIm _mZH$moo§ Ho AZwê n ghr Am¡a {Zînj pñW{V Xem©Vo

h¢ &

i. g_o{H$V VwbZ nÌ Ho _m_bo _o§, 31 _mM©, 2017 H$moo g_yh H$s

pñW{V;

ii. g_o{H V bm^-hm{Z boIm Ho _m_bo _o§, Cg VmarI H$moo g_mßV df©

hoVw g_yh H$m g_o{H V bm^;

iii. g_o{H V ZH$Xr àdmh {ddaU Ho _m_bo _o§, Cg VmarI H$moo g_mßV

df© hoVw g_yh H$s ghr Am¡a {Zînj ZH$Xr àdmh&

_hËdnyU© ~mV

h_ g_o{H$V {dÎmr` {ddaUmo§ H$s AZwgyMr 18 {QßnUr g§. 9 H$s Amoa Ü`mZ

AmH {f©V H aVo h¢ {Og_o§ ~¢H Zo 2015-16 H$s Ama~rEg {anmoQ© _o§ Cp„{IV

bo{H$Z BZ ImVmo§ Ho dJr©H aU na nwZ{d©Mma à{VdoXZ Ama~rAmB© _o§ b§{~V hmoZo

Ho H$maU ~¢H Zo `1,249.00 H$amo‹S H$s Hw$b am{e dmbo N ImVmo§ Ho AmpñV

dJr©H$aU H$moo _mZH ~ZmE aIm h¡& Bg {df` Ho g§~§Y _o§ h_mam A{^_V

g§emo{YV Zht h¡ &


Other Matters

8. We have not audited the financial statements of the Subsidiary, Corpbank Securities Limited, whose financial statements reflect total assets of `112.99 crores as at March 31, 2017 and total revenues of `8.03 crores for the year ended on that date. These financial statements have been audited by another auditor whose report has been furnished to us, and our opinion, in so far as it relates to the amounts included in respect of the said subsidiary, is based solely on the report of the other auditor.

H¥$Vo E_. AmZ§X_ EÊS H§ .gZXr boImH$ma

E\ AmaEZ : 000125S

H¥$Vo XÎmm qgJbm EÊS H§ .gZXr boImH$ma

E\ AmaEZ : 006185N

H¥$Vo E. Ho . g~V EÊS H§ .gZXr boImH$ma

E\ AmaEZ : 321012E


gXñ`Vm g§. : 212187

(grE g§Xrn XÎmm)gmPoXma

gXñ`Vm g§. : 092413

(grE AéU Hw _ma g~V)gmPoXma

gXñ`Vm g§. : 030310


E\ AmaEZ : 001557C

H¥$Vo nmoZamO EÊS H§ .gZXr boImH$ma

E\ AmaEZ : 002672S

(grE adtÐ aZrdmbm)gmPoXma

gXñ`Vm g§. : 073191

(grE Ho$. na_mZ§X_)gmPoXma

gXñ`Vm g§. : 020635

ñWmZ … _§Jbyé{XZm§H … 20 _B©, 2017

For M. Anandam & Co.Chartered accountants

FRN: 000125S



For Datta Singla & Co.Chartered accountants

FRN: 006185N



For A. K. Sabat & Co.Chartered accountants

FRN: 321012E



For Pramod & AssociatesChartered accountants

FRN: 001557C



For Ponraj & Co.Chartered accountants

FRN: 002672S



Place : MangaluruDate : 20 May, 2017

AÝ` _m_bo…

8. h_Zo AZwf§Jr, H$mn© ~¢H {gŠ`w{aQrµO Ho {dÎmr` {ddaUmo§ H$s

boIm-narjm Zht H$s h¡, {OZHo {dÎmr` {ddaU 31 _mM©, 2017 _o§

112.99 H amo‹S H$s Hw$b AmpñV`m± VWm Cº VmarI H$moo g_mßV df© hoVw

8.03 H$amo‹S H$m Hw$b amOñd {XIm`m J`m h¡& BZ {dÎmr` {ddaUmo§ H$s

boIm-narjm AÝ` boIm-narjH Ûmam H$s JB© h¡, {OZH$s {anmoQ© h_o§ àñVwV

H$s JB© h¡, Am¡a Ohm± VH Cº AZwf§Jr Ho g§~§Y _o§ em{_b am{e`mo§ H$m

g§~§Y h¡, h_mar am` Ho$db Cº AÝ` boIm-narjH H$s {anmoQ© na

AmYm{aV h¡&

190 dm{f©H$ [anmoQ>© 2016-17

H$mnm}aoeZ ~¢H$ CORPORATION BANK31 _mM©, 2017 H$s g_o{H$V pñW{V H$m VwbZ-nÌ CONSOLIDATED BALANCE SHEET AS ON 31st MARCH, 2017



No.

`Wm As on31.03.2017

`

`Wm As on31.03.2016

`

ny±Or Am¡a Xo`VmE± CAPITAL AND LIABILITIES

ny±Or Capital 1 229,41,13 204,49,71

Ama{jV {Z{Y`m± Am¡a A{Yeof Reserves and Surplus 2 12520,48,95 11195,08,97

Ý`yZ{hV Minority Interest – –

O_mam{e`m± Deposits 3 220550,54,51 205140,33,78

CYma am{e`m± Borrowings 4 6468,17,35 13112,19,44

AÝ` Xo`VmE± d àmdYmZ Other Liabilities and Provisions 5 8151,18,41 5214,66,83

`moJ TOTAL 247919,80,35 234866,78,73

AmpñV`m± ASSETS

ZH$Xr Am¡a ^maVr` [aµOd© ~¢H$ _| eof Cash and Balances with Reserve Bank of India

6 17496,63,54 10087,21,50

~¢H$m| _| eof Am¡a _m±J VWm Aën gyMZm na YZ Balances with Banks and Money at Call and Short Notice 7 7553,71,18 5093,98,42

{Zdoe Investments 8 64096,13,98 63277,45,51

A{J«_ Advances 9 140356,79,38 140322,24,06

ñWmB© AmpñV`m± Fixed Assets 10 1290,14,77 1277,41,61

AÝ` AmpñV`m± Other Assets 11 17126,37,50 14808,47,63

`moJ TOTAL 247919,80,35 234866,78,73

AmH$pñ_H$ Xo`VmE± Contingent Liabilities 12 81531,23,50 80559,94,12

CJmhr Ho$ {bE {~b Bills for Collection 17304,90,39 15043,18,12

_hËdnyU© boIm§H$Z Zr{V`m± Significant Accounting Policies 17

boIm g§~§Yr {Q>ßn{U`m± Notes on Accounts 18

CnamoŠV AZwgy{M`m± VwbZ nÌ H$m A{^ÝZ A§J h¢&The schedules referred to above form an integral part of Balance Sheet.

(O` Hw$_ma JJ©)à~§Y {ZXoeH$ Ed§ _w»` H$m`©H$mar A{YH$mar

(Jmonmb _wabr ^JV)H$m¶©nmbH {ZXoeH

(E_.~r. JUoe)_hm à~§YH$

(kmZ a§OZ gma§Jr)ghm`H$ _hm à~§YH

ñWmZ … _§Jbyé{XZm§H … 20 ‘B©, 2017

{ZXoeH_Zrf JwßVmàÚwåZ Ho . OoZmXodamH mo§Sm XrpßV{dbmggwemo^Z gaH$ma{MÌm Jm¡ar bmba_oe Hw _ma ^Q

H¥ Vo E_. AmZ§X_ EÊS H§ .gZXr boImH ma FRN-000125S(grE ~r.dr. gwaoe Hw _ma)gmPoXma gXñ`Vm g§.212187

H¥ Vo XÎmm qgJbm EÊS H§ .gZXr boImH ma FRN-006185N(grE g§Xrn XÎmm)gmPoXma gXñ`Vm g§.092413

H¥ Vo E.Ho . g~V EÊS H§ .gZXr boImH ma FRN-321012E(grE AéU Hw _ma g~V])gmPoXma gXñ`Vm g§.030310

H¥ Vo à_moX EÊS Egmo{gEQ²ggZXr boImH ma FRN-001557C(grE adtÐ aZrdmbm)gmPoXma gXñ`Vm g§.073191

H¥ Vo nmoZamO EÊS H§ .gZXr boImH ma FRN-0026725(grE Ho$.na_mZ§X_)gmPoXma gXñ`Vm g§.020635



31 _mM©, 2017 H$mo g_mßV df© Ho$ {bE g_o{H$V bm^-hm{Z ImVmCONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31st MARCH, 2017



No.

31.03.2017 H$mo g_mßV df©

Year ended31.03.2017

`

31.03.2016 H$mog_mßV df©

Year ended31.03.2016

`

I. Am` INCOME

A{O©V ã`mO Interest Earned 13 19471,51,96 19411,26,28

AÝ` Am` Other Income 14 3097,71,14 1742,95,31

`moJ TOTAL 22569,23,10 21154,21,59

II. ì`` EXPENDITURE

ì`` {H$`m J`m ã`mO Interest Expended 15 15019,96,39 15171,46,22

n[aMmbZ ì`` Operating Expenses 16 3102,95,43 2880,87,67

àmdYmZ Am¡a AmH$pñ_H$VmE± Provisions and Contingencies 3880,50,45 3603,88,08

`moJ TOTAL 22003,42,27 21656,21,97

III. Ý`yZ{hV ã`mO KQ>mZo go nhbo df© H$m g_o{H$V {Zdb bm^ Consolidated Net Profit for the year before deducting Minorities Interest 565,80,83 -502,00,38

KQ>mE±: Ý`yZ{hV ã`mO Less: Minorities Interest – –

df© hoVw J«yn H$m g_o{H$V {Zdb bm^ Consolidated Net Profit of the Group for the year

565,80,83 -502,00,38

IV. {d{Z`moJ (go/H$mo$) APPROPRIATIONS (From/To)

gm§{d{YH$ Ama{jV {Z{Y`m| _| AÝVaU Transfer to Statutory Reserves 140,30,15 –

H$_©Mmar H$ë`mU {Z{Y _| AÝVaU Transfer to Staff Welfare Fund 15,00,00 –

ny±Or Ama{jV {Z{Y`m| _| AÝVaU Transfer to Capital Reserves 374,78,83 –

{Zdoe Ama{jV {Z{Y`m± Investment Reserve -24,61,91 –

VwbZ-nÌ _| bo Om`r JB© eof am{e Balance carried over to B/S 60,33,76 -502,00,38

`moJ TOTAL 565,80,83 -502,00,38

à{V eo`a AO©Z (`) Earning per share (Rs.) 5.21 (5.44)

CnamoŠV AZwgy{M`m± bm^ VWm hm{Z ImVm H$m A{^ÝZ A§J h¢&The schedules referred to above form an integral part of Profit and Loss Account.

As per our Report of even date[Jai Kumar Garg]Managing Director &Chief Executive Officer[Gopal Murli Bhagat]Executive Director[M. B. Ganesh]General Manager[Gyana Ranjan Sarangi]Asst. Gen. Manager


DirectorsManish GuptaPradyumna K. JenaDeverakonda DiptivilasaSushobhan SarkerChitra Gouri LalRamesh Kumar Bhat

for M. Anandam & Co.Chartered Accountants FRN-000125S[CA B.V. Suresh Kumar] (M. No. 212187) Partnerfor Datta Singla & Co. Chartered Accountants FRN-006185N [CA Sandeep Datta](M. No. 092413) Partner

for A. K. Sabat & Co.Chartered Accountants FRN-321012E [CA Arun Kumar Sabat] (M. No. 030310) Partnerfor Pramod & AssociatesChartered Accountants FRN-001557C[CA Ravindra Raniwala](M. No. 073191) Partnerfor Ponraj & Co.Chartered Accountants FRN-002672S[CA K. Paramanandham](M. No. 020635) Partner

192 dm{f©H$ [anmoQ>© 2016-17

31 _mM©, 2017 H$s pñW{V Ho$ AZwgma g_o{H$V VwbZ-nÌ _| g§b½Z AZwgy{M`m± SCHEDULES ANNEXED TO THE CONSOLIDATED BALANCE SHEET AS AT 31st MARCH, 2017


{ddaU Particulars31.03.2017 31.03.2016

` ` ` ÀZwgyMr 1 – n±yOr SCHEDULE 1 – CAPITALàm{YH¥$V n±yOr AUTHORISED CAPITALàËòH$ `2 Ho$ 1500,00,00,000 B©pŠdQ>r eoà 1500,00,00,000 Equity shares of `2/- each 3000,00,00 3000,00,00{ZJ©{_V Ed§ A{^XÎm n±yOr issuED & suBscriBED caPitalàËòH$ `2 Ho$ 114,70,56,443 B©pŠdQ>r eoà ({nN>bo df© _| àËòH$ `2 Ho102,24,85,575) 114,70,56,443 Equity shares of `2 each (Previous year 102,24,85,575) Equity share of `2 each)àma§{^H$ eof Opening Balance 204,49,71 167,54,19df© Ho$ Xm¡amZ n[adY©Z/(OãV) additions/(Forfeited) during the year 24,91,42 229,41,13 36,95,52 204,49,71

àXÎm n±yOr PaiD uP caPitalH$) Ho$ÝÐ gaH$ma Ûmam Ym[aV a) Held by central Government àËòH$ `2 Ho 81,17,12,250 B©pŠdQ>r eoà ({nN>bo df© _| àËòH$ `2 Ho

68,71,41,382 B©pŠdQ>r eoà) 81,17,12,250 Equity shares of `2 each (Previous year 68,71,41,382

Equity share of `2 each)

162,34,25 162,34,25 137,42,83 137,42,83

I) OZVm Ed§ AÝ` Ûmam Ym[aV b) Held by the public & others àËòH$ `2 Ho 33,53,44,193 B©pŠdQ>r eoà ({nN>bo df© _| àËòH$ `2 Ho 33,53,44,193 B©pŠdQ>r eoà) 33,53,44,193 Equity shares of `2 each (Previous year 33,53,44,193 Equity share of `2 each) 67,06,88 67,06,88 KQ>mE±: Xo` Am~§Q>Z am{e less : allotment money due – – df© Ho$ Xm¡amZ OãV Forfeiture during the year – 67,06,88 – 67,06,88

`moJ TOTAL 229,41,13 204,49,71

AZwgyMr 2 – Ama{jV {Z{Y`m± Am¡a A{Yeof SCHEDULE 2 – RESERVES AND SURPLUS

I. gm§{d{YH$ Ama{jV {Z{Y`m± Statutory Reserves



{Zdoem| na _yë`õmg hoVw A{V[aŠV àmdYmZ go {d{Z`moJ appropriation from excess Provision of Depreciation on investments – –

gm_mÝ` Ama{jV {Z{Y _| A§V[aV am{e amount trfd. to Gen. reserve – 3368,88,47 – 3228,58,32

II. ny±Or Ama{jV {Z{Y`m± Capital Reserves àmapå^H$ eof Opening Balance 825,43,16 825,43,17 df© Ho$ Xm¡amZ n[adY©Z additions during the year 374,78,83 –

nwZ: {ZJ©_Z hoVw nmÌ OãV eoà Forfeited shares eligible for re-issue – 1200,21,99 – 825,43,17


g_o{H$V Consolidated ( ` 000’s hQ>mH$a Omitted)

{ddaU Particulars31.03.2017 31.03.2016

` ` ` `

III. eo`a àr{_`_ Share Premium


df© Ho$ Xm¡amZ n[adY©Zadditions during the year 483,08,58 963,04,48

KQ>mE± : _m±J _| ~H$m`m am{e less : calls in arrears – 3086,99,78 – 2603,91,20

IV. amOñd Ed§ AÝ` Ama{jV {Z{Y`m± Revenue & Others Reserves

H$) amOñd {Z{Y a) revenue reserves



3096,63,72 3080,17,40

df© Ho$ Xm¡amZ H$Q>m¡{V`m± Deductions during the year – 3096,63,72 -291,85,72 2788,31,68

I) {deof Ama{jV {Z{Y`m± b) special reserve


df© Ho$ Xm¡amZ n[adY©Z additions during the year – –

H$m°n© ~¢H$ hmo_ go A§VaU transferred from corp Bank Homes – –

df© Ho$ Xm¡amZ H$Q>m¡{V`m± Deductions during the year – 1436,60,74 – 1436,60,74

J) {Zdoe Ama{jV {Z{Y c) investment reserve


bm^-hm{Z {d{Z`moJ ImVo go A§VaU less: transfer to Profit and loss appropriation account 24,61,91 –

106,81,60 106,81,60 131,43,51 131,43,51

V. ^y{_ Am¡a ^dZ Ho$ nwZ_y©ë`m§H$Z hoVw Ama{jV {Z{Y Reserve for Relvaluation of Land and Building

àmapå^H$ eof Opening Balance – –

df© Ho$ Xm¡amZ n[adY©Z addition during the year – 687,99,59

KQ>mE± : df© Ho$ Xm¡amZ AmhaU less: Withdrawal during the year 16,46,30 663,27,88 -8,25,41 679,74,18

VI. bm^ hm{Z ImVo _| eof Balance of P & L Account -438,95,22 -498,93,83

`moJ TOTAL (I+II+III+IV+V+VI) 12520,48,95 11195,08,97

194 dm{f©H$ [anmoQ>© 2016-17


{ddaU Particulars31.03.2017

`31.03.2016

`

AZwgyMr 3 – O_mam{e`m± SCHEDULE 3 – DEPOSITS

H$ a. i. _m±J O_mam{e`m± Demand Deposits

i) ~¢H$m| go From Banks 20,40,59 18,23,60

ii) AÝ`m| go From Others 18601,28,26 14538,54,43

ii. ~MV ~¢H$ O_mam{e`m± savings Bank Deposits 39743,59,59 30862,88,17

iii. _r`mXr O_mam{e`m± term Deposits

i) ~¢H$m| go From Banks 3923,83,45 27056,31,58

ii) AÝ`m| go From Others* 158261,42,62 132664,36,00

`moJ TOTAL (I, II d & III) 220550,54,51 205140,33,78

I B. i) ^maV _| pñWV emImAm| H$s O_mam{e`m± Deposits of branches in india

220550,54,51 205140,33,78

ii) ^maV Ho$ ~mha H$s emImAm| H$s O_mam{e`m± Deposits of Branches outside india

–

–

`moJ TOTAL 220550,54,51 205140,33,78

* {Og_| em{_b h¢ H$mn©JmoëS> O_mam{e`m± which includes corpgold Deposits 12,95,10 13,12,42

E\$grEZAma O_mam{e`m± FcNr Deposits 1587,98,18 1651,67,63

AZwgyMr 4 – CYma am{e`m± SCHEDULE 4 – BORROWINGS

i. ^maV _| CYma am{e`m± Borrowings in india

i) ^maVr` [aµOd© ~¢H reserve Bank of india – 6448,00,00

ii) AÝ` ~¢H$ Other Banks 5,04,38 765,26,00

iii) AÝ` g§ñWmE± Ed§ EO|{g`m± Other institutions and agencies 133,80,47 5,22,69

iv) Ama{jV ~m§S>/AmB©nrS>rAmB© Am¡a AYrZñW F$U unsecured Bonds/iPDi and subordinated Debts*

6037,50,00 5537,50,00

`moJ TOTAL 6176,34,85 12755,98,69

ii. a) ^maV Ho$ ~mha CYma am{e`m± Borrowings outside india 291,82,50 356,20,75

`moJ TOTAL (I d & II) 6468,17,35 13112,19,44

Cn`w©ŠV i d ii _| em{_b H$s J`r à{V^yV CYma am{e`m±secured borrowings included in i & ii above

* g{hV includes

Agwa{jV {d_moÀ` ~m§S> (Q>rà-ii) unsecured redeemable Bonds (tier ii) 4300,00,00 4300,00,00

Q>rà-i ~o_r`mXr ~m§S tier i Perpetual Bonds 737,50,00 737,50,00

A{V[aŠV Q>rà-i {garO ii additional tier i series ii 500,00,00 –

A{V[aŠV Q>rà-i ~o_r`mXr ~m§S additional tier i Perpetual Bonds 500,00,00 500,00,00




`31.03.2016

`

AZwgyMr 5 – AÝ` Xo`VmE± Ed§ àmdYmZ SCHEDULE 5 – OTHER LIABILITIES AND PROVISIONS

i. Xo` {~b Bills payable 869,12,32 630,30,21

ii. AÝVa-H$m`m©b` g_m`moOZ ({Zdb) inter-Office adjustments (net) – –

iii. Cn{MV ã`mO interests accrued 766,85,26 709,05,60

iV. AmñW{JV H$a Xo`Vm Deferred tax liability – –

V. AÝ` (àmdYmZm| g{hV)* Others (including provisions)* 6515,20,82 3875,31,02

`moJ TOTAL 8151,18,40 5214,66,83

* _mZH$ AmpñV`m| Ho$ ~Xbo AmH$pñ_H$ àmdYmZ em{_b * includes contingent provisions against standard assets 1375,36,34 1022,00,53

AZwgyMr 6 – ZH$Xr Am¡a ^maVr` [a‹Od© ~¢H$ _| eof SCHEDULE 6 – CASH AND BALANCES WITH RESERVE BANK OF INDIA

i. hñVJV amoH$‹S> ({dXoer _wÐm ZmoQ>m|> g{hV) cash in hand (including foreign currency notes) 1143,39,08 1208,11,57

ii. ^maVr` [aµOd© ~¢H$ Ho$ nmg eof Balances with the reserve Bank of india in

- Mmby ImVm§o current accounts 9344,65,65 8865,83,80

- AÝ` ImVm§o Other accounts 7000,00,00 –

iii. hñVJV ñdU© Gold in hand 8,58,81 13,26,13

`moJ TOTAL (I, II d & III) 17496,63,54 10087,21,50

AZwgyMr 7 – ~¢H$m| _| eof Ed§ _m±J VWm Aën gyMZm na am{e SCHEDULE 7 – BALANCES WITH BANKS AND MONEY AT CALL AND SHORT NOTICES

i. ^maV _| in india

i) ~¢H$m| _| eof Balances with Banks

H$ a) Mmby ImVm| _| in current accounts 63,44,12 64,34,76

I b) AÝ` O_m ImVm| _| in Other Deposit accounts 11,07,84 1,05

ii) _m±J Ed§ Aën gyMZm na YZ Money at call and short Notice

H$ a) ~¢H$m| _| with Banks 2449,39,73 600,00,00

I b) AÝ` g§ñWmAm| _| with other institutions – –

`moJ TOTAL (i+ii) 2523,91,69 664,35,81

ii. ^maV Ho$ ~mha Outside india

i) Mmby ImVm| _| in current accounts 166,04,49 1083,74,86

ii) AÝ` O_m ImVm| _| in Other Deposit accounts 4863,75,00 3345,87,75

iii) _m§J Am¡a Aën gyMZm na YZ Money at call and short Notice Nil Nil

`moJ TOTAL (i+ii+iii) 5029,79,49 4429,62,61

gH$b `moJ GRAND TOTAL (I d & II) 7553,71,18 5093,98,42

196 dm{f©H$ [anmoQ>© 2016-17dm{f©H$ [anmoQ>© 2016-17



`31.03.2016

`

AZwgyMr 8 – {Zdoe SCHEDULE 8 – INVESTMENTS ^maV _| {Zdoe (gH$b) investment in india (Gross) 64539,80,77 63659,74,11

KQ>mE±: _yë`õmg Ho$ {bE àmdYmZ less: Provision for depreciation 443,66,79 382,28,60

{Zdb {Zdoe Net investments 64096,13,98 63277,45,51

i. ^maV _| {Zdoe investments in india i) gaH$mar à{V^y{V`m± Government securities 53881,88,62 54242,99,73

ii) AÝ` AZw_mo{XV à{V^y{V`m± Other approved securities 1,49,39 1,48,56

iii) eoà shares 544,75,65 352,76,62

iv) {S>~|Ma Am¡a ~m§S> Debentures and Bonds 2271,72,04 1438,13,84

v) gh`mo{J`m| _| {Zdoe investments in associates – –

vi) AÝ` Others

H$ a) O_m à_mUnÌ certificate of Deposit 4386,36,08 4756,76,87

I b) dm{UpÁ`H$ nÌ commercial Paper 2077,81,85 122,16,57

J c) å`yMwAb \§$S>m| H$s `y{ZQ>| units of Mutual Funds 13,85,72 12,48,00

K d) d|Ma n§yOr {Z{Y`m§ Venture capital Funds 105,29,38 120,86,70

L> e) gaH$mar {deof à{V^y{V`m±Government special securities 672,78,12 2089,61,49

M> f ) à{V^y{V àmpßV`m± security receipts 139,62,95 139,62,95 moJ TOTAL 64095,59,80 63276,91,33

ii. ^maV Ho$ ~mha {Zdoe – pñdâQ> _| investments outside india – in swift 54,18 54,18

`moJ TOTAL (I d & II) 64096,13,98 63277,45,51

AZwgyMr 9 – A{J«_ SCHEDULE 9 – ADVANCES

H$ a. i) IarXo Ed§ ^wZmò Jò {~b Bills purchased and discounted 2045,57,71 2080,54,92

ii) ZH$X CYma, AmodaS´>mâQ> Ed§ _m±J na à{Vg§Xo` F$U cash credits, Overdrafts and loans repayable on Demand 64128,92,13 66374,44,73

iii) _r`mXr GU term loans 74182,29,53 71867,24,41

`moJ TOTAL 140356,79,37 140322,24,06I B. i) _yV© AmpñV`m| Ûmam à{V^yV (~hr G$Um| na A{J«_ g{§§hV) secured by tangible assets (includes advances against book debts)

123859,40,87 121119,64,77

ii) ~¢H$/gaH$mar Jma§{Q>`m| Ûmam a{jV covered by Bank/Government Guarantees 1447,74,09 4,35,86

iii) J¡a-O_mZVr unsecured 15049,64,41 19198,23,43 `moJ TOTAL 140356,79,37 140322,24,06 J c. i. ^maV _| A{J«_ advances in india i) àmW{_H$Vm àmßV joÌ Priority sector 58902,50,15 55747,73,99 ii) gmd©O{ZH$ joÌ Public sector 5185,91,39 12471,51,48 iii) ~¢H$ Banks – 255,20,42 iv) AÝ` Others 76268,37,84 71847,78,17 `moJ TOTAL 140356,79,38 140322,24,06 J c. ii. ^maV Ho$ ~mha A{J«_ advances outside india Nil Nil

gH$b `moJ GRAND TOTAL (J C. I d & J C. II) 140356,79,38 140322,24,06




`31.03.2016

`

AZwgyMr 10 – AMb AmpñV`m±SCHEDULE 10 – FIXED ASSETS

i. n[aga Premises

{nN>bo df© H$s 31 _mM© H$s pñW{V Ho$ AZwgma bmJV na at cost as on 31st March of the preceding year 921,66,94 231,80,27

df© Ho$ Xm¡amZ n[adY©Z additions during the year 4,54,17 692,74,28

926,21,11 924,54,55


923,47,53 921,66,94

`Wm {V{W _yë`õmg Depreciation to date 112,71,83 92,95,36

810,75,70 828,71,58

OmoS>|: ny°§OrJV Mmby H$m`© add: capital Work in progress – 810,75,69 38,14 829,09,72

ii. AÝ` AMb AmpñV`m± (Bg_| \$ZuMa Am¡a Ow‹S>Zma gpå_{bV h¡|) Other Fixed Assets (including furniture & fixtures)



1379,84,56 1279,92,43


1356,30,13 1261,61,29

`Wm {V{W _yë`õmg Depreciation to date 929,85,64 836,80,31

426,44,49 424,80,98

OmoS>|: ny§OrJV Mmby H$m`© add: capital Work in progress 1,53,02 427,97,51 1,64,80 426,45,78

iii. A_yV© AmpñV`m± (H$åß`yQ>a gm°âQ>do`a) Intangible Assets (Computer Software)



205,77,85 160,24,80

df© Ho$ Xm¡amZ H$Q>m¡{V`m± Deductions during the year 18,62 1,39

205,59,23 160,23,41

`Wm {V{W _yë`õmg Depreciation to date 154,17,66 51,41,57 138,37,30 21,86,11

moJ TOTAL (I+ II+III) 1290,14,77 1277,41,61

198 dm{f©H$ [anmoQ>© 2016-17

g_o{H$V Consolidated (` 000’s hQ>mH$a Omitted)


` 31.03.2016

`

AZwgyMr 11 – AÝ` AmpñV`m±SCHEDULE 11 – OTHER ASSETS

i. A§Va H$m`m©b` g_m`moOZ ({Zdb)inter Office adjustments (Net) 719,26,19 153,57,40

ii. Cn{MV ã`mO interest accrued 1359,32,05 1153,20,47

iii. _¡Q> O_m CnbãYVm Mat credit availability 688,49,70 456,68,39

iV. nyd©g§XÎm H$a/òmoV na H$mQ>m J`m H$a tax paid in advance/tDs 812,79,22 569,44,81

V. H|$Ðr` _yë` `mo{OV H$a O_mcenvat credit 4,33,59 5,76,94

Vi. {ddmX Ho$ VhV àXÎm H$ataxes paid under Dispute 1528,50,00 1454,15,57

Vii. boIZ gm_J«r Ed§ ñQ>mån stationery and stamps 3,61,77 3,80,67

Viii. Xmdm| Ho$ emoYZ _| àmßV J¡a-~¢qH$J AmpñV`m±Non-banking assets acquired in satisfaction of claims 9,44 9,44

iX. AmñW{JV H$a AmpñV Deferred tax asset

1096,00,73

1410,95,56

X. AmaAmB©S>rE\$/{gS>~r/AmaEMS>rE\$ O_mAm| Ho$ VhV Zm~mS>© _| {Zdoeinvestment with NaBarD under riDF/siDBi/rHDF Dep. 7816,93,13 8636,28,62

Xi. AÝ` Others 3097,01,68 964,49,76

`moJ TOTAL 17126,37,50 14808,47,63

AZwgyMr 12 – AmH$pñ_H$ Xo`VmE±SCHEDULE 12 – CONTINGENT LIABILITIES

i. ~¢H$ Ho$ {déÕ Xmdo {OÝh| H$O© Ho$ ê$n _| ñdrH$ma Zht {H$`m J`mclaims against the bank not acknowledged as debts 2539,70,36 2774,30,93

ii. S>rBEE\$ - ^m[a~¢$ Ho$ nmg eofDEaF - Balance with rBi 90,64,75 73,82,52

iii. A§eV: àXÎm {Zdoem| Ho$ Xo`Vmliability for partly paid investments _ _

iV. H$) ~H$m`m dm`Xm {dXoer {d{Z_` g§{dXmAm| Ho$ ~m~V Xo`Vm a. liability on account of outstanding forward exchange contracts 49671,00,83 49138,14,77

I) ì`wËnÝZr B. Derivatives 1795,60,00 2185,10,00

V. g§KQ>H$m| H$s Amoa go Xr JB© Jma§{Q>`m± Guarantees given on behalf of constituents

H$ a) ^maV _| in india 15356,56,45 13114,02,61

I b) ^maV Ho$ ~mha outside india 1803,36,05 2109,95,71

Vi. ñdrH¥${V`m±, n¥ð>m§H$Z Ed§ AÝ` ~mÜ`VmE±acceptances, endorsements and other obligations 10144,42,06 10862,53,91

Vii. AÝ` _X| {OZHo$ {bE ~¢H$ AmH$pñ_H$ ê$n go CÎmaXm`r h¡Other items for which the Bank is contingently liable 129,93,00 302,03,67

`moJ TOTAL 81531,23,50 80559,94,12



{ddaU Particulars31.03.2017 H$mo g_mßV df©


31.03.2016 H$mo g_mßV df© Year ended 31.03.2016

`

AZwgyMr 13 – A{O©V ã`mOSCHEDULE 13 – INTEREST EARNED

i. A{J«_m|/{~bm| na ã`mO/~Q²>Q>minterest/Discount on advances/bills 13277,20,96 14483,05,49

ii. {Zdoem| na Am` income on investments 5167,84,00 4208,62,34

iii. ^maVr` [aµOd© ~¢H$ _| O_mam{e`m| Am¡a AÝ` A§Va-~¢H$ {Z{Y`m| na ã`mOinterest on balances with reserve Bank of india andother inter-bank Funds 33,97,15 22,07,63

iV. AÝ` Others 992,49,85 697,50,82

`moJ TOTAL 19471,51,96 19411,26,28

AZwgyMr 14 – AÝ` Am` SCHEDULE 14 – OTHER INCOME

i. H$_reZ, {d{Z_` Ed§ Xbmbrcommission, exchange and brokerage 440,74,21 451,18,35

ii. {Zdoem| H$s {~H«$s na bm^ ({Zdb)Profit on sale of investments (net) 1439,11,73 214,60,94

iii. ^y{_, ^dZm| Ed§ AÝ` AmpñV`m| H$s {~H«$s na bm^ ({Zdb)Profit on sale of land, buildings and other assets (net)

73,51

17,24

iV. {d{Z_` boZ-XoZm| na bm^ ({Zdb)Profit on exchange transactions (net) 146,20,92 141,76,40

V. AZwf§{J`m|/H§$n{Z`m| go bm^m§e Am{X Ho$ ê$n _| A{O©V Am`income earned by way of dividends, etc. from subsidiaries/companies

7,45,07

6,82,04

Vi. {d{dY Am` Miscellaneous income 1063,45,70 928,40,34

`moJ TOTAL 3097,71,14 1742,95,31

AZwgyMr 15 – ì`` {H$`m J`m ã`mOSCHEDULE 15 – INTEREST EXPENDED

i. O_mam{e`m| na ã`mO interest on deposits 14106,36,34 14388,65,01

ii. ^maVr` [aµOd© ~¢H$/A§Va-~¢H$ CYmam| na ã`mOinterest on reserve Bank of india/inter-bank borrowings

196,35,78

207,63,27

iii. AÝ` Others 717,24,27 575,17,94

`moJ TOTAL 15019,96,39 15171,46,22

200 dm{f©H$ [anmoQ>© 2016-17


{ddaU Particulars31.03.2017 H$mo g_mßV df©


31.03.2016 H$mo g_mßV df© Year ended 31.03.2016

`

AZwgyMr 16 – n[aMmbZ ì`` SCHEDULE 16 – OPERATING EXPENSES

i. H$_©Mm[a`m| H$mo ^wJVmZ Am¡a CZHo$ {bE àmdYmZPayment to and provisions of employees 1444,99,76 1373,75,33

ii. {H$am`m, H$a Ed§ {~Obr rent, taxes and lighting 294,80,14 279,55,42

iii. _wÐU Ed§ boIZ-gm_J«r Printing and stationery 26,91,16 23,66,99

iV. {dkmnZ Ed§ àMma advertisement and Publicity 5,35,93 4,66,68

V. ~¢H$ H$s g§n{Îm na _yë`õmg Depreciation on bank’s property 161,43,54 137,89,23

Vi. {ZXoeH$m| H$s \$sg, ^Îmo Am¡a ì`` Directors’ fees, allowances and expenses 1,04,17 1,34,85

Vii. boIm narjH$m| H$s \$sg Ed§ ì`` (emIm boIm narjH$m| g{hV)auditors’ fees and expenses (including branch auditors) 21,77,19 26,70,22

Viii. {d{Y à^ma law charges 2,93,90 3,64,52

iX. S>mH$ IM©, Vma, Q>obr\$moZ Am{X Postages, telegrams, telephones, etc. 62,67,31 56,42,91

X. _aå_V Ed§ AZwajU repairs and maintenance 83,53,52 75,33,48

Xi. ~r_m insurance 237,29,92 208,72,14

Xii. AÝ` ì`` Other expenditure 760,18,89 689,15,90

`moJ TOTAL 3102,95,43 2880,87,67


Schedule 17

SIGNIFICANT ACCOUNTING POLICIES FORMING PART OF THE

CONSOLIDATED ACCOUNTS FOR THE YEAR ENDED MARCH 31, 2017

1. Principles of Consolidation The Consolidated Financial Statements include the

financial statements of Corporation Bank (‘the Bank’) and its subsidiary Corpbank Securities Ltd.

The financial statements of the Bank and its subsidiary have been combined on a line by line basis by adding together the book values of like items of assets, liabilities, income and expenses, after eliminating intra group balances and intra group transactions, except wherever otherwise stated.

2. Basis of Preparation The consolidated financial statements of the Bank and

its subsidiary have been prepared in accordance with the Accounting Standards issued by the Institute of Chartered Accountants of India.

The financial statements have been prepared and presented under the historical cost convention on accrual basis of accounting unless otherwise stated and except for items recognized on cash basis, as per guidelines issued by the Reserve Bank of India ['RBI'] and comply with the Accounting Standards issued by the Institute of Chartered Accountants of India and relevant requirements prescribed under the Banking Regulation Act, 1949 and the Companies Act, 2013, and current practices prevailing in the banking industry in India.

The preparation of financial statements in conformity with Generally Accepted Accounting Principles [GAAP] requires the management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statements and the reported income and expenses during the reporting period. The Management believes that the estimates used in the preparation of the financial statements are prudent and reasonable. Actuals could differ from these estimates.

The following subsidiary has been consolidated as per the Accounting Standard 21, “Consolidated Financial Statements”:

Name of the Company

Country / Residence Relationship Ownership

InterestCorpbank Securities Limited India Subsidiary 100%

The subsidiary company figures are regrouped to conform with those of the Bank, wherever necessary.

The subsidiary has used accounting policies other than those adopted by the Bank, in certain cases, for like transactions and events in similar circumstances. No adjustments have

AZwgyMr 17

_hËdnyU© boIm§H Z Zr{V`m± Omo 31 _mM©, 2017 H$moo g_mßV df© Ho g_o{H V boImo§ H$m A§J h¢&

1. g_oH Z Ho {gÕm§V

g_o{H V {dÎmr` {ddaUmo§ _o§ H$mnmo©aoeZ ~¢H (~¢H) Am¡a CgH$s AZwf§Jr H$mn©~¢H {gŠ`y[aQrµO {b. Ho {dÎmr` {ddaU em{_b h¢&

~¢H Am¡a BgH$s AZwf§Jr H m {dÎmr` {ddaU A§Vamg_yh eofmo§ Am¡a A§Vamg_yh boZXoZmo§ H$mo, AÝ`Wm Cp„{IV Ho {gdm`, nyU©V… {Za{gV H aZo Ho ~mX AmpñV`mo§, Xo`VmAmo§, Am` Ed§ ì`` O¡gr _Xmo§ Ho ~hr _yë`mo§ H$mo gmW Omo‹SH a n§{º-Xa-n§{º AmYma na EH gmW {_bm`m J`m h¡&

2. V¡`ma H$aZo H m AmYma

~¢H Am¡a BgH$s AZwf§Jr Ho g_o{H V {dÎmr` {ddaU ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H Z _mZH Ûmam Omar ñdrH¥ V boIm§H Z {gÕm§Vmo§ Ho AZwê$n V¡`ma {H o J`o h¢&

{dÎmr` {ddaU boIm§H Z Ho Cn{MV AmYma na Eo{Vhm{gH bmJV na§nam Ho VhV V¡`ma VWm àñVwV {H E JE h¢, VWm AÝ`Wm C{„{IV Ho {gdm` VWm ^maVr` [aµOd© ~¢H (^m.[a.~¢.) Ûmam Omar {Xem{ZXo©emo§ Ho AZwgma ZH Xr AmYma na {ZYm©[aV _Xmo§ Ho Abmdm `o ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm _mZH$mo§ VWm ~¢qH J {d{Z`_Z A{Y{Z`_, 1949 VWwm H§ nZr A{Y{Z`_, 2013 Ho VhV {ZYm©[aV g§~§{YV AnojmAmo§ VWm ^maV _o§ ~¢qH J CÚmoJ _o§ àM{bV dV©_mZ ar{V`mo§ Ho AZwê$n h¢&

gm_mÝ` ê$n go ñdrH¥ V boIm§H Z {gÕm§Vmo§ (J¡n) Ho AZwê$n {dÎmr` {ddaUmo§ H$mo V¡`ma H aZo _o§ à~§YZ dJ© go Ano{jV hmoVm h¡ {H {dÎmr` {ddaUmo§ Ho {XZm§H Ho Wm {dÚ_mZ [anmoQ© H$s JB© AmpñV`mo§ d Xo`VmAmo§ (AmH pñ_H Xo`VmAmo§ g{hV) H$s am{e VWm [anmoQm©YrZ Ad{Y Ho Xm¡amZ [anmoQ© H$s JB© Am` d ì``mo§ na àm¸ bZ d AZw_mZ H ao§& à~§YZ dJ© H$m _mZZm h¡ {H {dÎmr` {ddaU V¡`ma H aZo _o§ à`wº àm¸ bZ {ddoH nyU© Ed§ VH© g§JV h¢& dmñV{dH Am§H ‹So BZ àm¸ bZmo§ go {^Þ hmo gH Vo h¢&

{ZåZ{b{IV AZwf§Jr H$mo boIm§H Z _mZH 21 "g_o{H V {dÎmr` {ddaU' Ho AZwgma g_o{H V {H m J`m h¡…

H§ nZr H m Zm_ Xoe/{Zdmg g§~§Y ñdm{_Ëd {hV

H mn© ~¢H {gŠ`w[aQrµO {b{_QoS

^maV AZwf§Jr 100%

AZwf§Jr Ho {dÎmr` {ddaUmo§ H$mo Amdí`H VmZwgma CZH$s _yb H§ nZr Ho gmW nwZg©_y{hV {H m J`m h¡&

AZwf§Jr Zo Hþ N _m_bmo§ _o§ g_mZ boZXoZ Ed§ EH hr àH$ma H$s n[apñW{V`mo§ Ho _m_bo _o§ ~¢H Ûmam AnZmB© JB© boImH§ Z Zr{V`mo§ go {^Þ boIm§H Z Zr{V H$m à`moJ {H m h¡& g_o{H V {dÎmr` {ddaUmo§ H$mo

202 dm{f©H$ [anmoQ>© 2016-17

been made to the financial statements of the subsidiary, when they are used in preparing the consolidated financial statements.

The financial statements of the subsidiary used in the consolidation are drawn upto the same reporting date as that of the Parent Company i.e., year ended March 31, 2017.

3. REVENUE RECOGNITION Banking Entity: a] Income is recognized on an accrual basis except: (i) Commission on Bank Guarantees and Letters of

Credit; arrangement of Suppliers/Buyers Credit; and Locker rent which are recognized on receipt basis.

(ii) Interest income on Non-Performing advances and investments, and securities guaranteed by Central Government where interest is not realized within 90 days is recognized on receipt basis.

(iii) Interest on Income-tax refunds is accounted for on receipt of Intimation order from the Income Tax Department.

b] Profit or loss on sale of investments is recognized in the Profit and Loss Account on settlement basis at the time of sale except the realized profit on sale of investments in 'Held to Maturity' category which is recognized in the Profit and Loss account and subsequently appropriated to Capital Reserve in accordance with RBI guidelines.

c] Brokerage/commission/incentives received on Banks direct subscriptions are deducted from the cost of securities, whereas brokerage paid in connection with acquisition of securities is treated as revenue expenditure.

d] The broken period interest on sale or purchase of securities is adjusted to revenue.

Non-Banking Entity: Certificates of Deposit, Commercial Papers and Treasury

Bills shall be valued at cost or market price whichever is lower. The discount / interest accrued on these instruments pertaining to the accounting period shall not be taken into account for the purpose of arriving at profit or loss whereas any depreciation on the acquisition cost will be provided for. The discount / interest accrued upto the acquisition date will be included in the acquisition cost and will be regarded as carrying cost.

i. Interest accrued on Dated Government Securities is recognized at its coupon rate.

ii. Purchase and sale price of fixed income securities is bifurcated into cost and accrued interest paid or realized. Amount paid as interest accrued on purchase and received on sale of fixed income securities (broken period interest) is netted and reckoned as income/expense.

V¡`ma H aZo Ho {bE Cn`moJ H aVo g_` AZwf§Jr Ho {dÎmr` {ddaUmo§ _o§ H$moB© g_m`moOZ Zht {H m J`m h¡&

g_oH Z _o§ à`wº, AZwf§Jr Ho {dÎmr` {ddaU _yb H§ nZr Ho [anmo{Q>ªJ {XZm§H AWm©V² 31 _mM©, 2017 VH Ho hr h¢&

3. Am` {ZYm©aU

~¢qH J g§ñWm…

H . {ZåZ H$mo Nmo‹SH a Cn{MV AmYma na Am` H$mo {ZYm©[aV {H m J`m h¡…

(i) ~¢H Jma§{Q`mo§ Ed§ gmI nÌ, Amny{V©H Vm©/H«o$Vm G$U H$s ì`dñWm na H _reZ; VWm bm°H a {H am`m Omo àmpßV AmYma na {ZYm©[aV {H m J`m h¡&

(ii) J¡a-{ZînmXH A{J«_mo§ VWm {Zdoemo§ na ã`mO Am` VWm Ho§ Ð gaH$ma Ûmam Jma§QrH¥ V à{V^y{V`mo§ na ã`mO Am`, {OZHo {bE 90 {XZmo§ Ho A§Xa ã`mO dgyb Zht hmoVm h¡, àmpßV AmYma na {ZYm©[aV H$s JB© h¡&

(iii) Am`-H a dmn{g`mo§ na ã`mO H$m boIm§H Z Am`H a {d^mJ go gyMZm AmXoe àmßV hmoZo na {H m J`m h¡&

I. ‘n[an¹ Vm VH Ym[aV’ àdJ© _o§ {Zdoemo§ H$s {~H«$s na àmßV bm^, {Ogo bm^-hm{Z boIo _o§ {ZYm©[aV {H m J`m h¡ VWm VXZ§Va m.[a.~¢. Ho {Xem{ZXo©emo§ Ho AZwgma Ama{jV ny±Or ImVo _o§ {d{Z`mo{OV {H m J`m h¡, H$mo Nmo‹SH a {Zdoe H$s {~H«$s na bm^ `m hm{Z H$mo {~H«$s Ho g_` {ZnQmZ AmYma na bm^-hm{Z boIo _o§ {ZYm©[aV {H m J`m h¡&

J. ~¢H Ho àË`j A§eXmZ na àmßV Xbmbr/H _reZ/àmoËgmhZ am{e H$mo à{V^y{V`mo§ H$s bmJV go H$mQm J`m h¡, O~{H à{V^y{V`mo§ Ho AO©Z hoVw àXÎm Xbmbr H$mo amOñd ì`` Ho ê$n _o§ _mZm J`m h¡&

K. à{V^y{V`mo§ Ho H«$` `m {dH«$` na I§{SV Ad{Y-ã`mO H$mo amOñd _X Ho ê$n _o§ _mZm J`m h¡&

J¡a-~¢qH J g§ñWm…

O_m à_mUnÌmo§, dm{UpÁ`H nÌmo§ VWm Q—oµOar {~bmo§ H$mo bmJV `m ~mOma _yë`, Omo H _ hmo, Cgna _yë`m§{H V {H m OmVm h¡& BZ {bIVmo§ na boIm§H Z Ad{Y go g§~§{YV A{O©V ~Åo/ã`mO H$mo bm^ `m hm{Z H$s JUZm hoVw Zht {b`m J`m h¡, dht AO©Z bmJV na {H gr ^r _yë`õmg H$mo BgHo {bE àXmZ {H m OmEJm& à^mdr Am` Ho ê$n _o§ {ZYm©[aV {H m OmVm h¡& A{YJ«hU VH Cn{MV ~Åo/Cn{MV ã`mO H$mo A{YJ«hU bmJV _o§ em{_b {H m OmVm h¡ Am¡a aImd bmJV _mZm OmVm h¡&

i. {XZm§{H V gaH$mar à{V^y{V`mo§ na Cn{MV ã`mO H$mo CgH$s Hy nZ Xa na {ZYm©[aV {H m OmVm h¡&

ii. pñWa Am` à{V^y{V`mo§ H$s IarX Ed§ {~H«$s _yë` H$mo bmJV Am¡a àXÎm Ed§ dgyb Cn{MV ã`mO Ho ê$n _o§ {d^m{OV {H m OmVm h¡& pñWa Am` à{V^y{V`mo§ H$s IarX na Cn{MV `m {~H«$s na àmßV ã`mO (I§{SV Ad{Y ã`mO) Ho ê$n _o§ àXÎm am{e H$m {Zdb {ZH$mbm J`m Am¡a Am`/ì`` Ho ê$n _o§ _mZm OmVm h¡&


iii. Profit/Loss on sale of securities is accounted on Weighted Average Price Method (WAP) and is recognized on settlement date. Profit on sale of securities is netted with loss on sale of securities.

iv. Commission/brokerage on business done as intermediaries is recognised on accrual basis but only after the amount becomes determinable on a reasonable basis.

v. Interest on investments is recognised on accrual basis. Dividend income on investments in the units of Mutual Funds is recognised on the basis of declaration of the same.

4. ADVANCES a) Advances are classified into standard, sub-standard,

doubtful and loss assets in accordance with the guidelines issued by the RBI and are stated net of specific provisions made towards Non-Performing Advances ['NPAs'].

b) Credit Card dues are identified as NPAs where minimum dues receivable as mentioned in the statement are in default for a continuous period of more than 90 days from the payment due date mentioned in statement. Income from non-performing card accounts is not recognized in financial statements.

c) Provisions for sub-standard, doubtful and loss advances are made on the basis of asset classification and provisioning requirements under the prudential norms laid down by the RBI.

d) Recoveries in non-performing advances are appropriated first towards book balance, then to charges and thereafter to unrealized interest.

e) General provision for Standard Assets made in accordance with RBI Guidelines is included under “Other Liabilities & Provisions-Others”.

f ) Restructured Accounts: For restructured advances, provisions for erosion in fair value of advances are made in accordance with the guidelines issued by RBI, in addition to the provision otherwise required. The provision for erosion in fair value of advance is not reduced from advances and is included in the Balance Sheet under the head “Other Liabilities & Provisions-Others”.

5. INVESTMENTS

Banking Entity:

i. Categorization & Classification In accordance with the RBI guidelines, investments at

the time of acquisition are categorized as Held to Maturity [HTM], Available for Sale [AFS] and Held for Trading [HFT].

iii. à{V^y{V`mo§ H$s {~H«$s na bm^/hm{Z, ^m[aV Am¡gV _yë` nÕ{V (Sãë`yEnr) na n[aH {bV H$s OmVr h¡ Am¡a {ZnQmZ VmarI H$mo BgH$m {ZYm©aU {H m OmVm h¡& à{V^y{V`mo§ H$s {~H«$s na bm^ H$mo à{V^y{V`mo§ H$s {~H«$s na hm{Z Ho gmW {Zd{bV {H m OmVm h¡&

iv. _Ü`dVr© Ho ê$n _o§ {H E JE H$mamo~ma na H _reZ/Xbmbr H$m {ZYm©aU C{MV AmYma na am{e {ZYm©[aV hmoZo Ho ~mX CnM` AmYma na {H m OmVm h¡&

v. {Zdoemo§ na ã`mO H$m {ZYm©aU CnM` AmYma na {H m OmVm h¡& å`yMwAb \§ Smo§ H$s `y{ZQmo§ _o§ {Zdoe na bm^m§e Am` CZH$s KmofUm Ho AmYma na {ZYm©[aV H$s OmVr h¡&

4. A{J«_

H ) A{J«_o§ H$mo ^m.[a.~¢. Ûmam Omar {Xem{ZXoemo§ Ho AZwgma _mZH , Ad_mZH , g§{X½Y VWm hm{Z AmpñV`mo§ _o§ dJr©H¥ V {H m J`m h¡ VWm J¡a-{ZînmXH A{J«_mo§ (EZnrE) Ho {bE {H E JE {Z{X©îQ àmdYmZ Ho {Zdb Ho ê$n _o§ Xem©`m J`m h¡&

I) H«o${S>Q> H$mS© ~H$m`mo§ H$mo Cg pñW{V _o§ EZnrE Ho ê$n _o§ {d{Z{X©îQ {H m J`m h¡ Ohm± Ý`yZV_ àmß` ~H$m`m am{e bJmVma 90 {XZ go A{YH Ad{Y go MyH _o§ ahr h¡& J¡a-{ZînmXH H$mS© ImVmo§ go Am` {dÎmr` {ddaU _o§ Zht br JB© h¡&

J) ^maVr` [aµOd© ~¢H Ûmam {ZYm©[aV {ddoH nyU© _mZX§Smo§ Ho A§VJ©V AmpñV dJr©H aU Am¡a àmdYmZrH aU Anojm Ho AmYma na Ad_mZH , g§{X½Y VWm hm{Z-A{J«_mo§ Ho {bE àmdYmZ {H m J`m h¡&

K) J¡a-{ZînmXH A{J«_mo§ _o§ dgybr, nhbo ~hr eof _o§, CgHo ~mX à^mamo§ Ed§ CgHo nümV² dgyb Z {H E JE ã`mO _o§ {d{Z`mo{OV H$s JB© h¡&

L) ^m.[a.~¢. {Xem{ZXo©emo§ Ho AZwgma {ZYm©[aV _mZH AmpñV`mo§ hoVw gm_mÝ` àmdYmZ H$mo ‘AÝ` Xo`VmE§ d àmdYmZ-AÝ`’ Ho VhV em{_b {H m J`m h¡&

M) nwZ…g§a{MV ImVo… nwZ…g§a{MV A{J«_m| Ho {bE G$U Ho C{MV _yë` _o§ õmg Ho {bE àmdYmZ AÝ`Wm Ano{jV àmdYmZ Ho Abmdm ^maVr` [aOd© ~¢H Ûmam Omar {Xem{ZXoemo§ Ho AZwgma {H E JE h¢& A{J«_ Ho C{MV _yë` _o§ õmg hoVw àmdYmZ A{J«_mo§ go KQm`m Zht J`m h¡ VWm ‘AÝ` Xo`VmE§ d àmdYmZ -AÝ`’ erf© Ho VhV VwbZ-nÌ _o§ em{_b {H m J`m h¡&

5. {Zdoe

~¢qH J g§ñWm…

i. loUrH aU Ed§ dJr©H aU ^maVr` [aµOd© ~¢H Ûmam Omar {Xem{ZXoemo§ Ho AZwgma {Zdoemo§ Ho

A{YJ«hU Ho g_` {ZåZ{b{IV lo{U`mo§ _o§ dJr©H¥ V {H m J`m h¡… n[an¹ Vm VH Ym[aV (EMQrE_), {~H«$s Ho {bE CnbãY (EE\ Eg) VWm

Q—oqSJ Ho {bE Ym[aV (EME\ Qr)&

204 dm{f©H$ [anmoQ>© 2016-17

The Bank shifts investments from AFS/HFT category to HTM category at the lower of book value or market value. In other words, in cases where the market value is higher than the book value at the time of transfer, the appreciation is ignored and the security should be transferred at the book value. In cases where the market value is less than the book value, the provision against depreciation held against this security (including the additional provision, if any, required based on valuation done on the date of transfer) should be adjusted to reduce the book value to the market value and the security is transferred at the market value.

If the security was originally placed under the HTM category at a discount, it may be transferred to AFS/ HFT category at the acquisition price/book value. (It may be noted that as per existing instructions banks are not allowed to accrue the discount on the securities held under HTM category and, therefore, such securities would continue to be held at the acquisition cost till maturity). After transfer, these securities are immediately re-valued and resultant depreciation, if any, is provided.

If the security was originally placed in the HTM category at a premium, it may be transferred to the AFS/HFT category at the amortised cost. After transfer, these securities are immediately re-valued and resultant depreciation, if any, is provided.

In the case of transfer of securities from AFS to HFT category or vice-versa, the securities are not re-valued on the date of transfer and the provisions for the accumulated depreciation, if any, are transferred to the provisions for depreciation against the HFT securities and vice-versa.

For disclosure in the Balance Sheet, investments are classified under the following categories – Government Securities, State Govt. Securities, Other Approved Securities, Shares, Debentures and Bonds, Investments in Subsidiaries/RRB/Joint Ventures and Others [units of Mutual Funds, Commercial Papers, Certificates of Deposit, Security Receipts and Venture Capital Funds].

Investments classified under 'HTM' include the following:a) Investments in SLR securities as a percentage of

Demand and Time liabilities as notified by RBI from time to time.

b) Recapitalisation bonds received from the Government of India towards recapitalization requirements.

c) Investments in share of subsidiaries and joint ventures.

d) Investment in Venture Capital Funds, for an initial period of 3 years of each draw down, after August 23, 2006.

e) Investment in long term bonds issued by companies engaged in infrastructure activities.

~¢H , ~hr _yë` `m ~mµOma _yë`, BZ_o§ go Ý`yZV_ _yë` na {Zdoemo§ H$mo EE\ Eg/EME\ Qr àdJ© go EMQrE_ àdJ© _o§ A§V[aV H aVm h¡& AWm©V², Ohm± A§VaU Ho g_` ~mµOma _yë` ~hr _yë` go A{YH h¡, _yë`d¥{Õ H$mo AZXoIm {H m OmE VWm à{V^y{V H$mo ~hr _yë` na A§V[aV {H m OmE& Eogo _m_bo Ohm± ~mµOma _yë` ~hr _yë` go H _ h¡, Bg à{V^y{V (A§VaU Ho {XZm§H H$mo {H E JE _yë`m§H Z Ho AmYma na Ano{jV A{V[aº àmdYmZ, `{X H$moB© h¡, g{hV) Ho {déÕ Ym[aV _yë`õmg na àmdYmZ H$mo ~hr _yë` H$mo ~mµOma _yë` VH H _ H aZo Ho {bE g_m`mo{OV {H m OmE VWm à{V^y{V ~mµOma _yë` na A§V[aV {H m OmE&

`{X à{V^y{V _ybV… ~Åo na EMQrE_ àdJ© Ho VhV aIr OmVr h¡, Cgo AO©Z _yë`/~hr _yë` na EE\ Eg/EME\ Qr àdJ© _o§ A§V[aV {H m OmE& (`h ZmoQ {H m OmE {H {dÚ_mZ AZwXoemo§ Ho AZwgma EMQrE_ àdJ© Ho VhV Ym[aV à{V^y{V`mo§ na ~Åm Cn{MV H aZo H$s AZw_{V Zht h¡ VWm, AV…, Eogr à{V^y{V`mo§ H$mo n[an¹ Vm VH AO©Z bmJV na YmaU Omar aIm OmE)& A§VaU Ho nümV², BZ à{V^y{V`mo§ H$m VËH$mb nwZ_y©ë`m§H Z {H m OmE VWm n[aUm_r _yë`õmg, `{X H$moB© h¡, hoVw àmdYmZ {H m OmE&

`{X à{V^y{V _ybV… àr{_`_ na EMQrE_ àdJ© Ho VhV aIr OmVr h¡, Cgo n[aemoYH _yë` na EE\ Eg/EME\ Qr àdJ© _o§ A§V[aV {H m OmE& A§VaU Ho nümV², BZ à{V^y{V`mo§ H$m VËH$mb nwZ_y©ë`m§H Z {H m OmE VWm n[aUm_r _yë`õmg, `{X H$moB© h¡, hoVw àmdYmZ {H m OmE&

EE\ Eg go EME\ Qr àdJ© _o§ m {dbmo_V… à{V^y{V`mo§ H$mo A§V[aV H aZo na, A§VaU H$s VmarI H$mo à{V^y{V`mo§ H$m nwZ_y©ë`Z H aZo H$s Amdí`H Vm Zht h¡ VWm g§{MV _yë`õmg Ho {bE `{X H$moB© àmdYmZ Ym[aV {H m h¡ Vmo Cgo EME\ Qr à{V^y{V`mo§ Ho {déÕ _yë`õmg hoVw àmdYmZ _o§ `m {dbmo_V… A§V[aV {H m Om gH Vm h¡&

VwbZ-nÌ _o§ àH QZ hoVw {Zdoemo§ H$mo gmW àdJmoª _o§ dJr©H¥ V {H m J`m h¡ - gaH$mar à{V^y{V`m±, amÁ` gaH$ma H$s à{V^y{V`m±, AÝ` AZw_mo{XV à{V^y{V`m±, eoà, {S~o§Ma VWm ~m±S, AZwf§{J`mo§/jo.J«m.~¢./g§`wº CÚ_mo§ VWm AÝ` (å`yMwAb \§ S H$s `y{ZQmo§, dm{UpÁ`H nÌmo§, O_m à_mUnÌ, à{V^y{V agrX VWm do§Ma ny§Or {Z{Y)&

‘n[an¹ Vm VH Ym[aV’ loUr Ho VhV dJr©H¥ V {Zdoemo§ _o§ {ZåZ{b{IV em{_b h¢:

H) _m§J VWm _r`mXr Xo`VmAmo§ Ho à{VeV Ho ê$n _o§ m.[a.~¢. Ûmam g_`-g_` na A{Ygy{MV AZwgma EgEbAma à{V^y{V`mo§ _o§ {Zdoe&

I) nwZnyªOrH aU Amdí`H VmAmo§ hoVw ^maV gaH$ma go àmßV nwZnyªOrH aU ~m§S&

J) AZwf§{J`mo§ Am¡a g§`wº CÚ_mo§ Ho eoàmo§ _o§ {Zdoe&

K) CÚ_ ny±Or {Z{Y`mo§ _o§ {Zdoe, 23 AJñV, 2006 Ho ~mX àËòH S—m SmD$Z go VrZ dfmoª H$s Ama§{^H Ad{Y Ho {bE {H E JE h¢&

L) ~w{Z`mXr g§aMZmJV J{V{d{Y`mo§ _o§ bJo H§ n{Z`mo§ Ûmam Omar XrKm©d{Y ~m°ÊSmo§ _o§ {Zdoe&


Investments acquired primarily with an intention for trading are classified as HFT securities. As per RBI guidelines, securities in HFT category are not held beyond 90 days and are transferred to AFS category under exceptional circumstances like not able to sell or extreme volatility or market becoming unidirectional, with the approval of the Board/ALCO/Investment Committee.All other investments are classified under AFS.

ii. Valuation and consequential adjustments a] Held to Maturity: Investments classified under

'Held-to-Maturity' are carried at weighted average acquisition cost. Premium on acquisition, if any, is amortized on a straight-line basis over the remaining maturity period. In case of investments in subsidiaries /joint ventures any diminution, other than temporary, in the value of such investment is recognized and provided for. Investments in Venture Capital Fund are valued at Cost.

b] Available for Sale and Held for Trading: (i) Investments in these categories (classified

under the category "Held for Trading’ and "Available for Sale’) are marked to market/estimated realizable value as per RBI guidelines at monthly and quarterly intervals for HFT and AFS respectively. While the resultant net depreciation, if any, within each category referred to in 5 (i) above, is recognized in Profit & Loss Account as "Provisions and Contingencies", the net appreciation is ignored except to the extent of depreciation previously provided. The book value of the individual scrip is not changed after revaluation.

(ii) In the case of write back of excess provision of depreciation, the same is Debited to “Provisions and Contingencies” and a like amount (net of taxes and transfer to Statutory Reserve) is appropriated to Investment Reserve Account under Schedule 2 – “Reserves & Surplus”.

(iii) For the purpose of (i) above, the market price/estimated realizable value is determined as under:

1. H|$Ð gaH$ma H$s à{V^y{V`m±Central Government of India Securities

H$) CÕ¥V… E\ AmB©E_E_SrE Ûmam {XE H$moQoeZ Ho AZwgma ~mµOma _yë` na a) Quoted : At market price as per the quotation put by FIMMDA.I) AZwÕ¥V… E\ AmB©E_E_SrE Ûmam Xr JB© H$s_Vmo§/dmB©QrE_ Xamo§ Ho AmYma nab) unquoted: On the basis of the prices /YTM rates put by the FIMMDA

2. amÁ` gaH$ma H$s à{V^y{V`m§, H|$Ð/amÁ` gaH$ma Ûmam Jma§QrH¥ V à{V^y{V`m± (AÝ` ñdrH¥ V à{V^y{V`m±)State Government Securities, State Govt. Special Securities, Securities guaranteed by Central/ State Government (other approved securities)

i) amÁ` gaH$ma H$s à{V^y{V`mo§ Ho _m_bo _o§ E\ AmB©E_E_SrE Ûmam àH$m{eV H$s_Vmo§ na i) At prices published by FIMMDA in respect of State Govt. Securities. ii) AÝ` AZw_mo{XV à{V^y{V`mo§ Ho _m_bo _o§ E\ AmB©E_E_SrE Ûmam {Z{X©îQ à{V\ b dHŒ na Cn`wº A{V[aº

H$s_V bmJV A§Va na ii) At appropriate spread upon the yield curve put by the FIMMDA in respect of other

approved securities.

Q—oqSJ Ho CÔoí` go àmW{_H ê$n go A{YJ«hrV {Zdoemo§ H$mo EME\ Qr à{V^y{V`mo§ Ho ê$n _o§ dJr©H¥ V {H m J`m h¡& ^maVr` [aOd© ~¢H Ho {Xem{ZXo©emo§ Ho AZwgma EME\ Qr loUr _o§ à{V^y{V`m± 90 {XZ go A{YH Zht Ym[aV H$s JB© h¢ VWm AndmXmË_H n[apñW{V`mo§ O¡go {~H«$s H aZo _o§ Ag_W© `m AË`§V ApñWaVm `m ~mµOma Ho {XemhrZ hmoZo na, {ZXoeH _§Sb/AmëH$mo/{Zdoe g{_{V Ho AZw_moXZ Ho gmW CÝho§ EE\ Eg loUr _o§ A§V[aV {H E OmVo h¢&

AÝ` g^r {Zdoemo§ H$mo EE\ Eg Ho VhV dJr©H¥ V {H m J`m h¡&

ii. _yë`m§H Z VWm n[aUm_r g_m`moOZ… H$) n[an¹ Vm VH Ym[aV… ‘n[an¹ Vm VH Ym[aV’ loUr Ho VhV

dJr©H¥ V {Zdoe ^m[aV Am¡gV AO©Z bmJV na _yë`m§{H V {H E JE h¢& A{YJ«hU na àr{_`_ `{X H$moB© h¡ Vmo n[an¹ Vm H$s eof Ad{Y _o§ grYr aoIm Ho AmYma na n[aemoYZ {H m J`m h¡& AZwf§{J`mo§/g§`wº CÚ_mo§ _o§ {Zdoe Ho _m_bo _o§ AñWmB© H$mo Nmo‹SH a AÝ` Eogo {Zdoe Ho _yë` _o§ H _r H$m {ZYm©aU {H m J`m h¡ Am¡a CgHo {bE àmdYmZ {H m J`m h¡& do§Ma ny§Or {Z{Y _o§ {Zdoemo§ H$mo bmJV na _yë`m§{H V {H m J`m h¡&

I) {~H«$s Ho {bE CnbãY VWm Q—oqSJ Ho {bE Ym[aV… (i) BZ àdJmoª (‘Q—oqSJ Ho {bE Ym[aV’ VWm ‘{~H«$s Ho {bE

CnbãY’ loUr Ho VhV dJr©H¥ V) _o§ {Zdoe H$mo ^m.[a.~¢. Ho {Xem{ZXo©emo§ Ho AZwgma EME\ Qr VWm EE\ Eg hoVw H«$_e… _m{gH VWm {V_mhr A§Vamb _o§ ~mµOma/AZw_m{ZV dgybr `mo½` _yë` na A§{H V {H m J`m h¡& O~{H D$na 5(i) _o§ C{„{IV àË`oH loUr Ho A§VJ©V n[aUm_r {Zdb _yë`õmg `{X H$moB© h¡, H mo bm^ Ed§ hm{Z boIo _o§ ‘àmdYmZ Ed§ AmH pñ_H VmAmo§’ Ho ê$n _o§ {ZYm©[aV {H m J`m h¡ VWm _yë`õmg hoVw nhbo {H E JE àmdYmZ H$s hX VH H$mo Nmo‹SH a {Zdb A{Y_yë`Z H$mo Nmo‹S {X`m J`m h¡& nwZ_y©ë`m§H Z Ho nümV² AbJ-AbJ à{V^y{V`mo§ Ho ~hr _yë` _o§ n[adV©Z Zht hþAm h¡&

(ii) _yë`õmg Ho A{V[aº àmdYmZ Ho à{VboIZ Ho g§~§Y _o§, Cgo ‘àmdYmZ Am¡a AmH pñ_H VmE±’ _o§ Zm_o {H m J`m h¡ Am¡a g_Vwë` am{e (H amo§ H$m {Zdb Am¡a gm§{d{YH Ama{jV {Z{Y _o§ A§VaU) H$mo AZwgyMr 2 - “Ama{jV {Z{Y Ed§ A{Yeof” Ho VhV {Zdoe Ama{jV {Z{Y ImVo _o§ {d{Z`mo{OV {H m J`m h¡&

(iii) Cnamoº (i) Ho CÔoí` hoVw, ~mOma H$s_V/AZw_m{ZV àmß` _yë` {ZåZdV² {ZYm©[aV {H m OmVm h¡…

206 dm{f©H$ [anmoQ>© 2016-17

3. Q—oOar {~b (nrSr H$mamo~ma Ho H$maU aIo Q—oµOar {~bmo§ g{hV)/O_m à_mUnÌ/ dm{UpÁ`H nÌTreasury Bills (including Treasury Bills held on account of PD business)/Certificates of deposits/Commercial paper

aImd bmJV naAt carrying cost.

4. B©pŠdQ>r eoàEquity shares

i) CÕ¥V… ~mµOma _yë` na i] Quoted : At market price ii) AZwÕ¥V… H§$nZr Ho AÚVZ VwbZ nÌ (EH df© go A{YH nwamZm Z hmo) Ho AZwgma {Z{üV {díbo{fV

_yë` na AÝ`Wm ` 1/- à{V H§ nZr& ii] unquoted: At break up value as ascertained from the company’s latest Balance Sheet

[not more than one year old], otherwise at `1/- per company.

5. A{Y_mZ eoà, {S~o§Ma Ed§ ~m§SPreference Shares, Debentures and Bonds

i) CÕ¥V… ~mµOma _yë` na i] Quoted: At Market Price ii) AZwÕ¥V… C{MV n[an¹ Vm à{V\ b na ii] unquoted: On appropriate Yield to Maturity

6. å`yMwAb \§ S Mutual Fund

i) CÕ¥V… ~mµOma _yë` na i] Quoted : At market price ii) AZwÕ¥V… nwZH«$` _yë` `m àËòH `moOZm _o§ \§ S Ûmam Kmo{fV {Zdb AmpñV _yë` na (Ohm± nwZH«$` _yë`

CnbãY Zht h¡) ii] unquoted : At repurchase price or Net Asset Value [where repurchase price is not

available] declared by the fund in each of the schemes.

7. CÚ_ ny§Or {Z{YVenture Capital Funds

i) CÕ¥V… ~mOma _yë` na i] Quoted: At market value ii) AZwÕ¥V… BH mB©`mo§ Ho ê n _o§ {Zdoemo§ Ho _m_bo _o§, AnZo {dÎmr` {ddaUmo§ _o§ drgrE\ Ûmam Xem©E JE

EZEdr na _yë`m§H Z {H m OmE& EZEdr na AmYm[aV BH mB`mo§ na _yë`õmg, `{X H moB© hmo, Ho {bE {Zdoemo§ Ho EE\ Eg àdJ© go EMQrE_ àdJ© _o§ A§VaU Ho g_` VWm drgrE\ go àmßV {dÎmr` {ddaUmo§ Ho AmYma na {V_mhr `m ~ma§~ma A§Vambmo§ na {H E OmZo dmbo AZwdVr© _yë`m§H Zmo§ na ^r àmdYmZ {H m OmZm Mm{hE& BH mB`mo§ H$m H$_ go H _ df© _o§ EH ~ma boImnar{jV n[aUm_mo§ Ho AmYma na _yë`m§H Z {H m OmE& VWm{n, `{X EZEdr Am±H So Xem©Zodmbo boIm nar{jV VwbZ nÌ/{dÎmr` {ddaU _yë`m§H Z H$s VmarI H$mo 18 _mh go A{YH Ho {bE CnbãY Zht h¢, Vmo {Zdoemo§ H$m _yë`m§H$Z 1 én`m à{V drgrE\ na {H m OmE&

ii] unquoted: In the case of investments in the form of units, the valuation will be done at the NAV shown by the VCF in its financial statements. Depreciation, if any, on the units based on NAV has to be provided at the time of shifting the investments to AFS category from HTM category as also on subsequent valuations which should be done at quarterly or more frequent intervals based on the financial statements received from the VCF. At least once in a year, the units are valued based on the audited results. However, if the audited balance sheet/financial statements showing NAV figures are not available continuously for more than 18 months as on the date of valuation, the investments are valued at Rupee 1per VCF.

iii. Non-performing Investments a] All such securities where repayment of principal or

interest is not serviced within 90 days from the due date are classified as Non-Performing Investments, except securities guaranteed by the Central Government which are treated as performing investments notwithstanding arrears of principal/interest payments. In respect of investments classified as Non-performing, appropriate provisions are made for the depreciation in the value of these

iii. J¡a-{ZînmXH {Zdoe H$) Ho§ Ð gaH$ma Ûmam Jma§QrH¥ V à{V^y{V`mo§ H$mo Nmo‹SH a g^r

à{V^y{V`mo§ H$mo, Ohm± _ybYZ `m ã`mO H$s MwH$m¡Vr Xo` VmarI go 90 {XZmo§ Ho A§Xa Zht H$s JB© h¡, J¡a-{ZînmXH {Zdoemo§ Ho ê$n _o§ dJr©H¥ V {H m J`m h¡& Ho§ Ð gaH$ma Ûmam Jma§QrH¥ V à{V^y{V`mo§ H$mo _ybYZ/ã`mO AXm`Jr ~H$m`m ahZo Ho ~mdOyX {ZînmXH {Zdoemo§ Ho ê$n _o§ _mZm J`m h¡& J¡a-{ZînmXH Ho ê$n _o§ dJr©H¥ V {Zdoemo§ Ho g§~§Y _o§ BZ {Zdoemo§ Ho _yë` _o§ _yë`hmg hoVw Cn`wº àmdYmZ {H E JE


investments. The depreciation requirement in respect of these securities is not set off against appreciation in respect of other performing securities.

b] Where the Bank has both credit and investment exposures to any borrower/group and in the event the credit exposure is classified as Non-Performing Asset, the investment exposure to them is also classified as Non-Performing.

iv. Accounting for Repo Transactions The Bank follows the accounting norms prescribed

by RBI vide Circular dated 23.03.2010 in respect of repo/reverse repo transactions under market repo and the accounting guidelines issued vide Ref.RBI/2015-2016/403FMRD.DIRD.10/14.03.002/2015-16 dated 19.05.2016 in respect of repo / reverse repo transactions under Liquidity Adjustment Facility (LAF) and the Marginal Standing Facility (MSF).

v. Accounting for Investment Transactions i. The Bank follows settlement date method of

accounting its investments; ii. Cost is determined on weighted average cost

method; iii. Profit on sale is netted with loss on sale of securities; iv. The portion of income/loss that arises on account

of movement in the yield, when the following investments are sold, will have to be treated as profit/loss.

The difference between the sale price/redemption value of fixed income securities and its book value shall be treated as profit or loss on sale of investments.

The difference between sale price/redemption value of mutual funds including liquid Mutual Funds and its book value shall be treated as profit/loss on sale of investments.

In respect of discounted securities viz. CD/CP/T-Bills, difference between sale price and carrying cost (book value + accrued interest) shall be treated as profit/ loss on investment.

Non-Banking Entity:In respect of Investments of Corpbank Securities Ltd: (i) The securities acquired with the intention of short term

holding and trading positions is considered as “Stock-in-Trade” and shown under current assets. Other securities acquired with the intention of long-term holding are treated as “Investments.”

(ii) Securities held as investments and held till maturity are valued at cost. Any diminution in the value of each investment individually is provided for, wherever such diminution is permanent.

h¢& BZ à{V^y{V`mo§ Ho g§~§Y _o§ Ano{jV _yë`õmg AÝ` {ZînmXH à{V^y{V`mo§ Ho g§~§Y _o§ _yë`d¥{Õ Ho gmW g_§OZ Zht {H m J`m h¡&

I) Ohm± ~¢H H$m {H gr nmQr©/J«wn _o§ G$U Ed§ {Zdoe XmoZmo§ {d{ZYmZ h¢ VWm G$U {d{ZYmZ H$mo J¡a-{ZînmXH AmpñV Ho ê$n _o§ dJr©H¥ V H aZo H$s pñW{V _o§ BZ_o§ {Zdoe {d{ZYmZ H$mo ^r J¡a-{ZînmXH Ho ê$n _o§ dJrH¥ V {H m J`m h¡&

iv. aonmo boZXoZmo§ Ho {bE boIm§H$Z

~mµOma aonmo Ho VhV aonmo/[adg© aonmo boZXoZmo§ Ho {bE n[anÌ {XZm§{H V 23.03.2010 Ho O[aE ^m.[a.~¢. Ûmam {ZYm©[aV boIm§H Z _mZX§S VWm Mb{Z{Y g_m`moOZ gw{dYm (EbEE\ ) VWm gr_m§V ñWmB© gw{dYm (E_EgE\) Ho VhV aonmo/[adg© aonmo boZXoZmo§ Ho {bE g§X^© ^m.[a.~¢./2015-2016/403 E\ E_AmaSr.SrAmB© AmaSr.10/14.03.002/2015-16 {XZm§{H V 19.05.2016 Ho O[aE Omar boIm§H Z {Xem{ZXoemo§ H$m AZwnmbZ ~¢H Ûmam {H m OmVm h¡&

v. {Zdoe boZXoZmo§ hoVw boIm§H$Z i. ~¢H AnZo {Zdoemo§ Ho boIm§H Z hoVw {ZnQmZ VmarI nÕ{V H$m

nmbZ H aVm h¡;

ii. bmJV ^m[aV Am¡gV bmJV nÕ{V na {ZYm©[aV H$s JB© h¡;

iii. à{V^y{V`mo§ Ho {dH«$` na bm^ H$m {dH«$` na hm{Z Ho gmW {Zdb {ZH$mbm J`m h¡;

iv. {ZåZ{b{IV {Zdoemo§ H$s {~H«$s na, Am` _o§ CVma-M‹Tmd Ho H$maU CËnÞ hmoZo dmbr Am`/hm{Z H$m {hñgm bm^/hm{Z Ho ê$n _o§ _mZm OmEJm&

{ZYm©[aV Am` à{V^y{V`mo§ H$s {~H«$s H$s_V/_moMZ _yë` VWm ~hr _yë` Ho ~rM Ho A§Va H$mo {Zdoemo§ H$s {~H«$s na bm^ `m hm{Z Ho ê$n _o§ _mZm OmE&

Vab å`yMwAb \§ S g{hV å`yMwAb \§ S {~H«$s H$s_V/_moMZ _yë` VWm ~hr _yë` Ho ~rM Ho A§Va H$mo {Zdoemo§ H$s {~H«$s na bm^ `m hm{Z Ho ê$n _o§ _mZm OmE&

~ÅmJV à{V^y{V`mo§ ,AWm©V², grSr/grnr/Qr-{~b hoVw, {~H«$s H$s_V VWm aImd bmJV (~hr _yë` + Cn{MV ã`mO) Ho ~rM Ho A§Va H$mo {Zdoe na bm^/hm{Z Ho ê$n _o§ _mZm OmE&

J¡a-~¢qH J g§ñWm…

H mn©~¢H {gŠ`w[aQrµO {b. Ho {Zdoe Ho g§~§Y _o§:

(i) Aënmd{Y YmaU VWm ì`mnm[aH H«$`-{dH«$` Ho CÔoí` go A{O©V à{V^y{V`mo§ H$mo "{dH«o$` ñQm°H ’ Ho ê$n _o§ _mZm OmVm h¡ Am¡a Mmby AmpñV`mo§ Ho AYrZ Xem©`m OmVm h¡& XrKm©d{Y YmaU Ho CÔoí` go A{O©V AÝ` AmpñV`mo§ H$mo "{Zdoe' Ho ê$n _o§ _mZm OmVm h¡&

(ii) {Zdoemo§ Ho ê$n _o§ Ym[aV VWm n[an¹ Vm VH Ym[aV à{V^y{V`mo§ H$mo bmJV na _yë`m§{H V {H m OmVm h¡& àË`oH {Zdoe Ho {H gr _yë`õmg hoVw, Ohm± H ht `h õmg ñWmB© h¡, àmdYmZ {H m OmVm h¡&

208 dm{f©H$ [anmoQ>© 2016-17

Valuation of Securities held as stock in trade: (i) The Quoted securities are valued at cost or market price,

whichever is lower. In the absence of market quotes, market prices are determined at the rates derived from the prevailing yield of securities having similar standing and maturity period.

(ii) Each type of security is regarded as a separate category. under each category, valuation is done scrip-wise and depreciation is provided, while appreciation is ignored. The depreciation in one category of securities is not set off against appreciation in another category.

(iii) Treasury Bills held on the balance sheet date are valued at carrying cost or market value whichever is lower. The market value of Treasury Bills held on the balance sheet date is determined as per the rates provided by Clearing Corporation of India Limited.

(iv) The Certificate of Deposits and Commercial Papers held on the balance sheet date are valued at carrying cost.

(v) The market value of Central Government Dated Securities is determined as per the rates provided by Fixed Income and Money Market Dealers Association (FIMMDA).

6. FIXED ASSETS a) i. Fixed assets (other than revalued assets) are stated

at cost less accumulated depreciation and provision for impairment. Cost comprises of the purchase price and any cost attributable for bringing the asset to its working condition for its intended use. The carrying amounts of fixed assets are reviewed at each balance sheet date and adjusted for any impairment in accordance with the Accounting Standard (AS) 28 “Impairment of Assets” issued in this regard by the Institute of Chartered Accountants of India.

ii. Land and Buildings (other than leasehold land) revalued during September, 2015 are stated at realizable value by crediting to Revaluation Reserve. Consequently, depreciation on these assets is charged to Profit and Loss Account and an equal amount is adjusted to the accumulated depreciation. Difference between depreciation and revalued carrying amount and depreciation on its original cost is transferred from ‘Reserve for revaluation of Land and Building’ to ‘Revenue Reserve’ in accordance with the Accounting Standard (AS) 10 “Property, Plant & Equipment” issued in this regard by the Institute of Chartered Accountants of India.

iii. Impairment of Assets: Fixed Assets are reviewed for impairment whenever

events or changes in circumstances warrant that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net discounted cash flows expected to be generated by the asset. If such assets

ì`mnma _o§ ñQmH Ho ê$n _o§ Ym[aV à{V^y{V`mo§ H m _yë`m§H Z:

(i) H$moQ H$s JB© à{V^y{V`mo§ H$mo bmJV `m ~mµOma _yë`, Omo ^r H _ h¡, na _yë`m§{H V {H m OmVm h¡& ~mµOma ^md CnbãY Z hmoZo na, g_mZ àH¥ {V Ed§ n[an¹ Vm Ad{Y dmbr à{V^y{V`mo§ Ho {dÚ_mZ à{V\ b Ho AmYma na n[aH {bV Xamo§ na ~mµOma _yë` {ZYm©[aV {H E OmVo h¢&

(ii) àËòH àH$ma H$s à{V^y{V H$mo EH àËòH àdJ© _mZm OmVm h¡& àËòH àdJ© Ho A§VJ©V, _yë`m§H Z pñH«$n-dma {H m OmVm h¡ VWm _yë`õmg H$m àmdYmZ {H m OmVm h¡ O~{H _yë`-d¥{Õ H$mo Nmo‹S {X`m OmVm h¡& EH àdJ© H$s à{V^y{V`mo§ Ho _yë`õmg H$mo Xygao àdJ© _o§ _yë`d¥{Õ Ho ~Xbo g_§OZ Zht {H m OmVm h¡&

(iii) VwbZ-nÌ H$s VmarI H$mo Ym[aV Q—oµOar {~b H$m _yë`m§H Z aImd bmJV `m ~mµOma _yë`, Omo ^r H _ hmo, na {H m OmVm h¡& VwbZ-nÌ H$s VmarI H$mo Ym[aV Q—oµOar {~bmo§ H$m ~mµOma _yë` maVr` g_memoYZ {ZJ_ {b{_QoS Ûmam CnbãY H amB© Xamo§ Ho AZwgma {ZYm©[aV {H m OmVm h¡&

(iv) VVwbZ nÌ VmarI H$mo Ym[aV O_mAmo§ H$m à_mUnÌ Am¡a dm{UpÁ`H nÌ {Z{hV bmJV na _yë`m§{H V {H E OmVo h¡&

(v) Ho§ Ð gaH$ma {XZm§{H V à{V^y{V`mo§ H$m ~mµOma _yë` maVr` {Z`V Am` _wÐm ~mµOma Am¡a ì`wËnÞr g§K (E\ AmB©E_E_SrE) Ûmam CnbãY H amB© Xamo§ Ho AZwgma {ZYm©[aV {H m OmVm h¡&

6. pñWa AmpñV`m±

H ) i. pñWa AmpñV`mo§ (nwZ_w©ë`m§{H V AmpñV`mo§ Ho Abmdm) H$mo g§{MV _yë`õmg VWm hm{Z hoVw àmdYmZ H$mo H _ H aVo hþE bmJV na Xem©`m J`m h¡& bmJV _o§ H«$` H$s_V VWm AmpñV H$mo CgHo A{^àoV à`moJ hoVw CgHo H$m`© H aZo H$s pñW{V _o§ bmZo hoVw ghm`H H$moB© ^r bmJV em{_b h¡& pñWa AmpñV`mo§ H$s {Z{hV am{e H$s àËòH VwbZ-nÌ {XZm§H H$mo g_rjm H$s OmVr h¡ VWm {H gr r j{V hoVw maVr` gZXr boImH$ma g§ñWmZ Ûmam Bg g§~§Y _o§ Omar boIm§H Z _mZH 28 (“AmpñV`mo§ H$s j{V”) Ho AZwgma g_m`mo{OV {H m J`m h¡&

ii. ^y{_ Am¡a {~pëS§J (brOYmaU ^y{_ H$mo NmoSH a) H$m {gV§~a, 2015 Ho Xm¡amZ nwZ_w©ë`m§H Z {H m J`m, `h Cp„{IV {H m OmVm h¡ {H Eogr AmpñV`mo§ H$s dgybr `mo½` _yë` H$mo nwZ_w©ë`m§H Z Am[a{jV {Z{Y`mo§ _o§ O_m {H m J`m& n[aUm_ñdê$n, BZ AmpñV`mo§ na _yë`õmg H$mo bm^ d hm{Z ImVo _o§ à^m[aV {H m J`m h¡ VWm g_mZ am{e H$mo g§{MV _yë`õmg _o§ g_m`mo{OV {H m J`m h¡& _yë`õmg VWm nwZ_y©ë`m§{H V aImd am{e Ho ~rM Ho A§Va VWm CgH$s _yb bmJV na _yë`õmg H$mo ^maVr` g§ZXr boImH$ma g§ñWmZ Ûmam Bg g§~§Y _o§ Omar ""g§n{Îm, g§`§Ì d CnH aU'' boIm§H Z _mZH (EEg) 10 Ho AZwgma "^y{_ VWm ^dZ Ho nwZ_y©ë`m§H Z hoVw Ama{jV {Z{Y' go "amOñd Ama{jV {Z{Y' _o§ A§V[aV {H m OmVm h¡&

iii. AmpñV`mo§ H$s j{V…

Ohm± {H Ýht KQZmAmo§ Am¡a n[apñW{V`mo§ _o§ n[adV©Zmo§ Ho H$maU Eogm hmo OmVm h¡ {H {H gr AmpñV Ho aImd am{e H$s dgybr Zht hmo gH Vr h¡, dhm± pñWa AmpñV`mo§ H$s j{V hoVw g_rjm H$s JB© h¡& Ym[aV Am¡a Cn`moJ H$s OmZo dmbr AmpñV`mo§ H$s dgybr


are considered to be impaired, the impairment to be recognised is measured by the amount by which the carrying amount of the asset exceeds the fair value of the asset.

iv. Capital Work-in-progress includes cost of fixed assets that are not ready for their intended use.

v. Intangible Assets:

Intangible Assets consist of acquisition cost of application software. This is being amortised over the useful life of the assets or three years whichever is less, with residual value of 5%.

b) Depreciation is provided under the straight line method from the date of capitalization. The assets are depreciated taking into consideration the useful life of the asset as provided in Schedule II of the Companies Act, 2013. The Bank as a matter of prudence finds that the useful life of the following assets is lower than the useful life of the respective category of assets mentioned in Schedule II (ref.: Sec. 123) of the Companies Act, 2013 as stated below :

Motor Cycle, scooters and other mopeds - 8 Years Mobile Phones - 3 Years uPS and allied items - 5 Years Air-conditioners and Electrical fittings - 5 Years

c) Leasehold Improvements are depreciated over a period of 5 years.

d) Depreciation on premises is provided for on composite cost, wherever the value of land and building is not separately identified.

Non-Banking Entity: Depreciation on fixed assets is provided on Written Down

Value (“WDV”) Method at the rates specified in and in the manner as laid down in Schedule II of the Companies Act, 2013.

7. TRANSACTIONS INVOLVING FOREIGN EXCHANGE

a) Transactions denominated in foreign currencies are accounted for at the rates prevailing on the date of the transaction. Foreign currency monetary assets and liabilities are translated at the balance sheet date at closing exchange rates notified by Foreign Exchange Dealers Association of India ['FEDAI'] and the resulting profits/losses are recognized in the Profit and Loss Account.

b) Foreign Currency non-monetary items, which are carried in terms at historical cost, are reported using the exchange rate at the date of the transaction.

c) Outstanding foreign exchange spot and forward contracts meant for trading purpose are revalued at the exchange rates specified for spot and the respective

j_Vm {H gr AmpñV H$s aImd am{e go Cº am{e go àË`m{eV ^mdr {Zdb ~ÅmH¥ V ZH X àdmh H$s VwbZm Ûmam _mnm OmVm h¡& `{X Eogr AmpñV`mo§ H$mo jV _mZm OmVm h¡, Vmo Cº AmpñV Ho C{MV _yë` go {OVZr A{YH CgH$s aImd am{e h¡, Cggo j{V H$m {ZYm©aU {H m OmVm h¡&

iv. ny§OrJV Omar H$m`© _o§ pñWa AmpñV`mo§ H$s bmJV em{_b h¡ Omo AnZo A{^àoV à`moJ hoVw V¡`ma Zht h¡ &

v. A_yV© AmpñV`m± :

A_yV© AmpñV`mo§ _o§ EpßbHo eZ gm°âQdo`a H$s A{YJ«hU bmJV em{_b h¡& Bgo 5% Ho Ad{eîQ _yë` g{hV, AmpñV`mo§ Ho Cn`moJr g_` `m VrZ df©, Omo H _ hmo, Ho {bE n[aemo{YV {H m OmVm h¡&

I) ny±OrH aU Ho {XZm§H go Ohm± grYr aoIm nÕ{V Ho VhV _yë`õmg àXmZ {H m J`m h¡& H§ nZr A{Y{Z`_, 2013 H$s AZwgyMr II Ho àmdYmZ Ho AZwgma AmpñV Ho Cn`moJr g_` na {dMma H aVo hþE AmpñV`mo§ hoVw _yë`õmg àXmZ {H m J`m h¡& gmdYmZr Ho _m_bo Ho ê$n _o§ ~¢H Zo nm`m {H {ZåZ{b{IV AmpñV`mo§ H$m Cn`moJr g_` H§ nZr A{Y{Z`_, 2013 H$s AZwgyMr II (g§X^©: Ymam 123) _o§ Cp„{IV AmpñV`mo§ Ho g§~§{YV àdJ© Ho Cn`moJr g_` go H _ h¡:

_moQa gmB©H b, ñHy Qa Am¡a AÝ` _monoS - 8 df©

_mo~mBb \ moZ - 3 df©

`ynrEg VWm g§~Õ _Xo§ - 5 df©

E`a H§ SreZa Am¡a BbopŠQ—H b {\ qQJ - 5 df©

J) nÅmYmar gwYmamo§ H$m 5 dfmoª H$s Ad{Y Ho {bE _yë`õmg {H m OmVm h¡&

K) Ohm± ^y{_ Ed§ ^dZ H$m _yë` AbJ-AbJ Zht {b`m J`m h¡, dhm± n[aga na _yë`õmg g§`wº bmJV na àXmZ {H m J`m h¡&

J¡a ~¢qH J g§ñWmZ

pñWa AmpñV`mo§ Ho _yë`õmg H$mo H§ nZr A{Y{Z`_, 2013 H$s AZwgyMr II _o§ {ZYm©[aV Xamo§ Am¡a _mZX§Smo na Ad{b{IV _yë` nÕ{V (Sãë`y Sr dr) na àXmZ {H m J`m h¡&

7. {dXoer {d{Z_` g§~§Yr boZ-XoZ

H ) {dXoer _wÐm _o§ {H E JE boZXoZmo§ Ho boZXoZ H$s VmarI H$mo bmJy Xamo§ na n[aH {bV {H m J`m h¡& {dXoer _wÐm _m¡{ÐH AmpñV`m± Ed§ Xo`VmE§ VwbZ-nÌ H$s {V{W Ho ^maVr` {dXoe {d{Z_` Srba Egmo{gEeZ (E\ B©SrEAmB©) Ûmam A{Ygy{MV A§{V_ {d{Z_` Xamo§ na n[aH {bV H$s JB© h¢ VWm n[aUm_r bm^/hm{Z`m± bm^ Ed§ hm{Z ImVo _o§ em{_b H$s JB© h¢&

I) {dXoer _wÐm J¡a-_m¡{ÐH _Xo§ Omo na§namJV bmJV Ho AZwgma br JB©, boZXoZ H$s VmarI Ho {d{Z_` Xa H$m à`moJ H aHo [anmoQ© H$s JB© h¢&

J) Q—oqSJ Ho {bE Ym[aV ~H$m`m dm`Xm {d{Z_` hm{Oa d dm`Xm H ama {d{Z{X©îQ n[an¹ VmAmo§ hoVw E\ B©SrEAmB©$ Ûmam A{Ygy{MV {d{Z_`

210 dm{f©H$ [anmoQ>© 2016-17

forward maturities as notified by FEDAI. The resulting profit or loss is shown under Profit or Loss Account.

d) Foreign exchange forward contracts, which are not intended for trading and are outstanding at the balance sheet date, are revalued at the closing spot rate as notified by FEDAI and the resulting profit or loss is shown under Profit or Loss Account. The premium or discount arising at the inception of such a forward exchange contract is amortized as interest expense or income over the period of the contract.

e) Contingent liabilities denominated in foreign currency are reported using the FEDAI closing spot rates.

8. DERIVATIVES i) The bank enters into derivative contracts such as

foreign currency interest rate swaps, currency swaps, currency futures, options and forward rate agreements.

ii) The income/expenses on derivative contracts classified as hedge are recorded on accrual basis.

iii) All trading derivative contracts are marked to market and the resultant gains or losses are recognized in the Profit and Loss Account.

iv) All derivative transactions are classified under contingent liabilities and those denominated in foreign currencies are reported using the FEDAI closing spot rates.

9. TRANSACTIONS INVOLVING PRECIOUS METALS a] Income from precious metals transactions is accounted

for as "Other Income". In case of metals received on consignment basis, the income thereon is recognized at the time of sale.

b] Commodity loans to the constituents and deposits from public under the gold deposit scheme in the form of precious metals are translated at market related rates prevailing at the close of the period and shown under the head "Advances" and "Deposits" respectively.

c] Closing stock of precious metals [own dealing] is valued at lower of the cost and net realizable value.

d] Closing stock of gold held under Gold Deposit Scheme is valued at market related rates, as per RBI guidelines.

10. CASH AND BALANCES WITH RESERVE BANK OF INDIA

Cash and Balance with Reserve Bank of India include cash on hand and in ATM’s, and gold in hand and balances with RBI in current accounts.

11. EMPLOYEE BENEFITS a) The Bank accounts for Employee Benefits as per

Accounting Standard 15 issued by the Institute of Chartered Accountants of India.

Xamo§ na nwZ_y©ë`m§{H V {H E JE h¢ VWm n[aUm_r bm^ `m hm{Z H$mo bm^ hm{Z ImVo _o§ {b`m J`m h¡&

K) {dXoe {d{Z_` dm`Xm g§{dXmE§, Omo Q—oqSJ hoVw C{ÔîQ Zht h¢ VWm VwbZ nÌ Ho {XZm§H H$mo ~H$m`m h¢, CZH$m nwZ_y©ë`Z E\ B©SrEAmB© Ûmam A{Ygy{MV A§{V_ hm{µOa Xamo§ na {H m J`m h¡ VWm n[aUm_r bm^ m hm{Z bm^-hm{Z ImVo _o§ Xem©B© JB© h¡& Eogo dm`Xm {d{Z_` g§{dXm Ho àma§^ na CËnÞ àr{_`_ `m ~Åo H$mo g§{dXm Ad{Y _o§ ã`mO ì`` AWdm Am` Ho ê$n _o§ n[aemo{YV {H m J`m h¡&

L) {dXoer _wÐm _o§ AmH pñ_H Xo`VmAmo§ Ho E\ B©SrEAmB© H$s A§{V_ hm{µOa Xamo§ H$m Cn`moJ H aHo [anmoQ© {H m J`m h¡&

8. ì`wËn{Þ`m±

i) ~¢H {dXoer _wÐm ã`mO Xa ñd¡n, _wÐm ñd¡n, _wÐm â`wMa, Am°ßeZ VWm dm`Xm Xa H ama O¡go ì`wËnÞ g§{dXmE§ H aVm h¡&

ii) ì`wËnÞ H amamo§ na ~Mmd (hoO) Ho ê$n _o§ dJr©H¥ V Am`/ì`` CnM` AmYma na XO© H$s JB© h¡&

iii) g^r Q—oqSJ ì`wËnÞ g§{dXmE§ ~mOma Xa na {Z{X©îQ H$s JB© h¢ VWm n[aUm_r bm^ `m hm{Z bm^-hm{Z boIo _o§ {d{Z{X©îQ H$s JB© h¡&

iv) g^r ì`wËnÞ boZXoZ AmH pñ_H Xo`VmAmo§ Ho VhV dJr©H¥ V {H E JE h¢ VWm {dXoer _wÐm _yë`dJ© Ho boZXoZmo§ H$mo E\ B©SrEAmB© A§{V_ hm{µOa Xamo§ H$m à`moJ H aHo [anmoQ© {H m J`m h¡&

9. ~hþ_yë` YmVw {Z{hV boZ-XoZ

H ) ~hþ_yë` YmVw boZXoZ go àmßV Am` H$mo ‘AÝ` Am`’ Ho ê$n _o§ boIm§{H V {H m J`m h¡& naofU AmYma na àmßV YmVwAmo§ Ho _m_bo _o§ Cgo {~H«$s Ho g_` H$s Am` Ho AmYma na {ZYm©aU {H m J`m h¡&

I) ~hþ_yë` YmVwAmo§ Ho ê$n _o§ J«mhH$mo§ H$mo {XE JE nÊ` G$Umo§ VWm OZVm go ñdU© O_m `moOZm Ho A§VJ©V àmßV O_mAmo§ H$mo Ad{Y g_mpßV Ho g_` àM{bV ~mµOma g§~Õ Xamo§ _o§ n[ad{V©V {H m J`m h¡ VWm H«$_e… "A{J«_' Am¡a "O_mE±' erf© Ho VhV Xem©`m J`m h¡&

J) ~hþ_yë` YmVwAmo§ Ho A§{V_ ñQmH H$mo (AnZo boZXoZ) bmJV go {ZåZ VWm {Zdb dgybr `mo½` _yë` na Am±H$m J`m h¡&

K) ñdU© O_m `moOZm Ho A§VJ©V Ym[aV ñdU© Ho A§{V_ ñQmH H$mo ^maVr` [aµOd© ~¢H Ho {Xem{ZXo©emo§ Ho AZwgma ~mµOma g§~Õ Xamo§ na Am±H$m J`m h¡&

10. ZH Xr Ed§ ^maVr` [aµOd© ~¢H _o§ eof ZH Xr VWm ^maVr` [aµOd© ~¢H _o§ eof _o§ hñVJV d EQrE_mo§ _o§ ZH Xr

VWm hñVJV ñdU© Ed§ ^maVr` [aµOd© ~¢H Ho nmg Mmby ImVo _o§ eof em{_b h¢&

11. ñQm\ {hVbm^

H ) ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H Z _mZH 15 Ho AZwgma H _©Mmar {hVbm^ hoVw ~¢H ImVo h¢&


i. Contributions payable to Gratuity, Pension and Leave Encashment which are defined benefit plans are accounted based on actuarial valuations, made at the balance sheet date, carried out by an independent actuary;

ii. Contribution payable to the Recognized Provident Fund and National Pension Scheme (NPS) which are defined contribution schemes, are charged to the Profit and Loss Account.

12. LEASE TRANSACTIONS Lease payments for assets taken on operating lease are

recognized as an expense in the Profit and Loss Account on a straight-line basis over the lease term.

13. CONTINGENT LIABILITIES AND PROVISIONS In conformity with Accounting Standard 29, “Provisions,

Contingent Liabilities and Contingent Assets”, issued by the Institute of Chartered Accountants of India, the Bank recognizes provisions only when it has a present obligation as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation, and when a reliable estimate of the amount of the obligation can be made.

Past events leading to possible obligations existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Bank; or present obligations where it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation; or a reliable estimate of the amount of obligation cannot be made, are treated as contingent liabilities and are dealt-with in accordance with AS 29.

Contingent Assets are not recognized in the financial statements.

14. TAXES ON INCOME Income-tax expense comprises current tax [i.e. amount

of tax for the period determined in accordance with the income-tax law] and deferred-tax charge or credit [reflecting tax effects of timing differences between accounting income and taxable income for the period].

a] Current tax is measured at the amount expected to be paid to the taxation authorities, using the applicable tax rates, tax laws and favorable judicial pronouncements / legal opinions.

b] The deferred-tax charge or credit and the corresponding deferred-tax liabilities or assets are recognized using the tax rates that have been enacted or substantively enacted by the balance sheet date. As advised by RBI, Bank provides Deferred Tax Liabilities on the “Special Reserves” created under Section 36 (1) (viii) of the Income Tax Act, 1961. Deferred-tax assets

i. J¡«À`wQr, no§eZ Am¡a NwÅr ZH XrH aU H$mo Xo` A§eXmZ Omo n[a^m{fV bm^ moOZmE§ h¢, H$m boIm§H Z dmñV{dH _yë`m§H Z Ho AmYma na, VwbZ nÌ Ho {XZm§H H$mo ñdV§Ì ~r_m§H H Ûmam {H m OmVm h¡&

ii. {Z{X©îQ ^{dî` {Z{Y/amîQ—r` no§eZ `moOZm (EZnrEg) Omo n[a^m{fV A{^XmZ `moOZmE± h¢, BZ_o§ Xo` A§eXmZ H$mo bm^ Am¡a hm{Z ImVo _o§ à^m[aV {H m J`m h¡&

12. nÅmJV boZ-XoZ

n[aMmbZ nÅo na br JB© AmpñV`mo§ hoVw nÅo Ho ^wJVmZmo§ H$mo nÅo H$s Ad{Y _o§ grYr aoIm nÕ{V Ho AmYma na bm^-hm{Z boIo _o§ ì`` Ho ê$n _o§ {b`m J`m h¡&

13. AmH pñ_H Xo`VmE§ Ed§ àmdYmZ ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H Z _mZH 29

“àmdYmZ, AmH pñ_H Xo`VmE§ VWm AmH pñ_H AmpñV`m§” Ho AZwê$n ~¢H àmdYmZmo§ H$m {ZYm©aU Ho db V^r H aVm h¡ O~ {dJV {H gr KQZm Ho \ bñdê$n Cgo dV©_mZ Xm{`Ëd hmoVm h¡& `h g§^d h¡ {H O~ Xm{`Ëd H$m {dœgZr` àm¸ bZ {H m Om gH Vm h¡ V~ Am{W©H bm^ A{^ì`º H aZo dmbo g§gmYZmo§ Ho ~mha àdmh go Xm{`Ëd H$m {ZnQmZ H aZm n‹So&

g§^m{dV Xm{`Ëd CËnÞ H aZo dmbo {nNbr KQZmAmo§ H$s nwpîQ {OZH$m ApñVËd EH AWdm A{YH A{Z{üV ^mdr KQZmAmo§, Omo nyU©V… ~¢H Ho {Z`§ÌU _o§ Zht h¢, Ho KQZo `m Z KQZo na hr, H$s OmEJr AWdm dV©_mZ Xm{`Ëd, Ohm± `h g§^mì` Zht h¡ {H Am{W©H bm^ CËnÞ H aZo dmbo g§gmYZmo§ H$m H$moB© ~{hdm©h Xm{`Ëd H$m {ZnQmZ H aZo hoVw Ano{jV hmoJm AWdm Xm{`Ëd H$s am{e H$m {dœgZr` àm¸ bZ Zht {H m Om gH Vm h¡, BÝho§ AmH pñ_H Xo`VmAmo§ Ho ê$n _o§ _mZm OmVm h¡ VWm boIm§H Z _mZH 29 Ho AZwgma H$m`©dmB© H$s OmVr h¡&

{dÎmr` {ddaUmo§ _o§ AmH pñ_H AmpñV`mo§ H$m {ZYm©aU Zht {H m OmVm h¡&

14. Am` na H$a

Am` H a ì`` _o§ Mmby H a (AWm©V² Am` H a H$mZyZ Ho AZwgma {ZYm©[aV Ad{Y hoVw H a H$s am{e) VWm AmñW{JV H a à^ma `m O_m (Ad{Y hoVw boIm§H Z Am` VWm H a `mo½` Am` Ho ~rM g_` Ho A§Va H$m H a à^md à{Vq~{~V H aZo dmbm) em{_b h¡&

H ) bmJy H a Xamo§, H a {d{Y`mo§ Am¡a AZwHy b Ý`m{`H CX²¿mmofUmAmo§/{d{YH A{^_Vmo§ Ho AZwgma H amYmZ àm{YH$m[a`mo§ H$mo ^wJVmZ hoVw Ano{jV am{e Ho AmYma na Mmby H a H$mo _mnm J`m h¡&

I) AmñW{JV H a à^ma `m O_m VWm AZwê$nr AmñWm{JV H a Xo`VmAmo§ `m AmpñV`mo§ H$mo CZ H a Xamo§ Ho à`moJ go {ZYm©[aV {H m J`m h¡ Omo VwbZ-nÌ {XZm§H VH A{Y{Z`{_V `m _yb ê$n go A{Y{Z`{_V H$s JB© h¢& ^m.[a.~¢. Ho {Xem{ZXo©emo§ Ho AZwgma, Am` H a A{Y{Z`_, 1961 H$s Ymam 36(1)(viii) Ho A§VJ©V H Qm¡Vr H$mo ñWmB© A§Va Zht _mZm J`m h¡ AmñW{JV H a Xo`Vm g¥{OV H$s OmZr h¡& Ohm± VH {Zdoe g§{d^mJ _o§ _yë`õmg H$m gdmb h¡, My±{H boImo§ Ho AZwgma {Zdoemo§ na _yë`õmg _o§ A§Va Am¡a Am` H a A{^H bZ Ho AZwgma A§Va H$mo ñWmB© A§Va _mZm

212 dm{f©H$ [anmoQ>© 2016-17

are recognized keeping in view the consideration of prudence only to the extent there is virtual certainty that the assets can be realized in future.

15. EARNINGS PER SHARE Basic and Diluted Earnings per Equity Share are computed

in accordance with Accounting Standard 20, Earnings Per Share, issued by the Institute of Chartered Accountants of India.

16. TREATMENT OF BASEL III COMPLIANT ADDITIONAL TIER I BONDS AND TIER II BONDS ON OCCURRENCE OF TRIGGER EVENTS:

a] On occurrence of Common Equity Tier I trigger event the Bank shall write-down the outstanding principal of the Bonds not less than that the amount required to immediately return the Banks Common Equity Ratio to above the CET1 trigger event by creating “AT 1 Bond Reserve”. The reserve so created shall be part of Common Equity Tier I Capital Bonds written down on occurrence of CET1 Trigger event temporarily may be re-instated in terms of Bond issue/RBI guidelines by debit to AT-1 Bond reserve.

b] On occurrence of Point of Non-Viability [PONV] trigger event initiated by Reserve Bank of India, the Bank may create common equity Tier I capital by writing off Additional Tier I Bond principal amount permanently with corresponding creation of AT-1 Bond reserve/Tier II Bond Reserve as the case may be. The re-instatement clause is not applicable on occurrence of PONV trigger event.

OmVm h¡, AV… {Zdoe na _yë`õmg Ho à{V SrQrEb H$m g¥OZ Amdí`H Zht g_Âmm J`m& AmñW{JV H a AmpñV`mo§ H$m {ZYm©aU Cgr gr_m VH {ddoH$mZwgma {H m J`m h¡ Ohm± `h g§^mì` {Z{üVVm ahVr h¡ {H AmpñV`mo§ H$mo ^{dî` _o§ àmßV {H m Om gH Vm h¡&

15. à{V eoà AO©Z

_yb Ed§ VZyH¥ V à{V eoà Am` H$m n[aH bZ ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H Z _mZH 20 à{V eoà AO©Z Ho AZwê$n {H m J`m h¡&

16. {Q—Ja Bdo§Q Ho hmoZo na ~ogb III AmYm[aV A{V[aº {Qà I ~m°ÊS VWm {Qà II ~m°ÊS H m {Zê$nU:

H ) {Q—Ja Bdo§Q AWm©V², gm_mÝ` Bp¹Qr {Qà I {Q—Ja Bdo§Q Ho hmoZo na ~¢H ~m°ÊSmo§ Ho ~H$m`m _ybYZ H$m AdboIZ H aoJm Omo ""EQr1 ~m°ÊS [aµOd©'' Ho g¥OZ Ûmam Cnamoº grB©Qr1 {Q—Ja Bdo§Q H$mo ~¢H Ho gm_mÝ` Bp¹Qr AZwnmV H$s VËH$mb dmngr hoVw Ano{jV am{e go H _ Zht hmoJm& Bg àH$ma g¥{OV [aµOd© gm_mÝ` Bp¹Qr {Qà 1 ny±Or ~m°ÊS H m ^mJ hmoJm {Ogo grB©Qr1 {Q—Ja Bdo§Q Ho hmoZo na AñWm`r ê$n go Adbo{IV {H m J`m h¡, H$mo EQr-1 ~m°ÊS [aµOd© _o§ Zm_o H aVo hþE ~m°ÊS {ZJ©_/^m.[a.~¢. {Xem{ZXo©emo§ Ho AZwgma nwZ…ñWm{nV {H m OmEJm&

I) ^maVr` [aµOd© ~¢H Ûmam àma§^ ßdmB§Q Am°\ Zm°Z dmò{~{bQr (nrAmoEZdr) {Q—Ja Bdo§Q Ho hmoZo na, _m_bo Ho AZwgma EQr-1 ~m°ÊS [aµOd©/{Qà II ~m°ÊS [aµOd© Ho VXZwê$nr g¥OZ Ho gmW ñWm`r ê$n go A{V[aº {Qà I ~m°ÊS _ybYZ am{e Ho AdboIZ Ûmam gm_mÝ` Bp¹Qr {Qà I ny±Or H$m g¥OZ H a gH Vo h¢& nwZ…ñWmnZm eV© nrAmoEZdr {Q—Ja Bdo§Q H$s KQZm na bmJy Zht h¡&


SCHEDULE 18

NOTES TO THE ACCOUNTS FORMING PART OF THE CONSOLIDATED

FINANCIAL STATEMENTS

1. DEFERRED TAX :

a) Bank continues to consider the difference between accounting income and taxable income on valuation of securities as permanent difference.

b) The Bank has recognized deferred tax assets and liabilities as per Accounting Standard (“AS”) 22 issued by the Institute of Chartered Accountants of India, components of which are set out below:

(` in crore)

Particulars31st March,

201731st March,

2016

Deferred Tax Assets on account of

Leave encashment 85.53 85.61

Funded Interest Term Loans 201.64 262.89

Loan Losses 1017.31 1,440.61

Depreciation on Fixed Assets 10.41 14.65

Taxable Income / (Loss) 123.75 123.75

Provision made as per IRAC Norms for certain specific Standard Assets

160.95 -

Total 1599.59 1,927.51

Deferred Tax Liabilities on account of

Pension - Prepayment 4.08 8.45

Long Term Finance Income 495.16 495.16

Gratuity Fund (Pre-payment) 0.06 0.06

Loss on Sale of Assets to ARC 4.30 12.90

Total 503.60 516.57

Net Deferred tax (Liabilities) / Assets 1095.99 1,410.94

Deferred Tax Assets (Net) `1095.99 Crore (Previous Year Deferred Tax Assets (Net) `1410.96 Crores) is included under “other assets” (Previous year : “Other Liabilities and Provisions”).

AZwgyMr 18

boImo§ H$s {Qßn{U`m± Omo g_o{H V {dÎmr` {ddaU H m A§J h¢

1. AmñW{JV H a :

H ) ~¢H Zo _yë`m§H Z na boIm Am` Am¡a H a-`mo½` Am` Ho ~rM Ho A§Va H mo ñWmB© A§Va _mZm h¡&

I) ~¢H Zo ^maVr` gZXr boImH ma g§ñWmZ Ho boIm _mZH g§.22 (""EEg'') Ho AZwgma AmñW{JV H a AmpñV`m§ Am¡a Xo`VmE§ H mo {ZYm©[aV {H m h¡, Bg_o§ go _w»` KQH {ZåZdV² h¡&

(` H amo‹S _o§)

{ddaU31 _mM©,

201731 _mM©,

2016

AmñW{JV H a AmpñV`m§

NwÅr ZH XrH aU 85.53 85.61

{dÎmnmo{fV ã`mO _r`mXr G$U 201.64 262.89

G$U g§~§Yr hm{Z`m± 1017.31 1,440.61

pñWa AmpñV`mo§ na _yë`õmg 10.41 14.65

H a `mo½` Am`/(hm{Z) 123.75 123.75

Hw N {Z{X©îQ _mZH AmpñV`mo§ hoVw AmB©AmaEgr _mZX§Smo§ Ho AZwgma àmdYmZ

160.95 -

Hw b 1599.59 1,927.51

AmñW{JV H a Xo`VmE§

no§eZ- nyd© ^wJVmZ 4.08 8.45

XrKm©d{Y {dÎm Am` 495.16 495.16

J«¡À`wQr {Z{Y (nyd© ^wJVmZr) 0.06 0.06

EAmagr H mo AmpñV {~H«$s na hm{Z 4.30 12.90

Hw b 503.60 516.57

Hw b AmñW{JV H a (Xo`Vm)/AmpñV 1095.99 1,410.94

AmñW{JV H a AmpñV ({Zdb) `1095.99 H amo‹S (JV df© AmñW{JV H a AmpñV ({Zdb) `1410.96 H amo‹S) H mo ""AÝ` AmpñV`mo§'' Ho A§VJ©V em{_b {H m J`m (JV df© : ""AÝ` Xo`VmE§ Ed§ àmdYmZ'')&

214 dm{f©H$ [anmoQ>© 2016-17

2. SEGMENT REPORTING: In terms of “AS 17 - Segment Reporting”, issued by the Institute of Chartered Accountants of India is as follows:

(` H amo‹S _o§) (` in crore)HŒ .g§.

Sl. No.{ddaU

Particulars31 _mM©, 2017

31st March, 201731 _mM©, 2016

31st March, 2016

H ) a) àI§S amOñd Segment Revenue

i) Q—oµOar n[aMmbZ Treasury Operations 7,093.01 4,590.09

ii) WmoH ~¢qH J Wholesale Banking 8,592.59 9,215.17

iii) IwXam ~¢qH J Retail Banking 5,731.57 6,350.17

iv) AÝ` ~¢qH J n[aMmbZ Other Banking Operations 484.48 443.48

v) AZm~§{QV Unallocated 667.58 555.31

Hw b Total 22,569.23 21,154.22

I) b) àI§S n[aUm_ Segment Results àË`oH àI§S go H a nyd© Am¡a ã`mO nümV² bm^ (+) hm{Z (-)

Profit (+) Loss (-) before tax and after interest from each segment

i) Q—oµOar n[aMmbZ Treasury Operations 2,276.66 (616.24)

ii) WmoH ~¢qH J Wholesale Banking (479.52) (1,070.65)

iii) IwXam ~¢qH J Retail Banking 373.98 990.03


Hw b Total 2,654.70 (254.66)

J) c) AZm~§{QV ì`` Unallocated Expenses 1,811.55 1,669.79

K) d) H$a nyd© n[aMmbZ bm^/(hm{Z) Total Profit/(Loss) before Tax 843.15 (1,924.45)

L) e) Am` H a Income Tax 277.35 (1,422.45)

M) f ) AgmYmaU bm^/hm{Z Extraordinary Profit/Loss - -

N) g) {Zdb bm^ Net Profit 565.81 (502.00)

O) h) AÝ` gyMZm Other Information

Âm) i) àI§S AmpñV`m± Segment Assets

i) Q—oµOar n[aMmbZ Treasury Operations 65,448.52 64,486.16




v) AZm~§{QV AmpñV`m± Unallocated Assets 33,962.85 21,103.00

Hw b Total 247,919.80 234,866.78

àI§S Xo`VmE± Segment Liabilities:i) Q—oµOar n[aMmbZ Treasury Operations 60,723.62 60,288.51




v) AZm~§{QV Xo`VmE§ Unallocated liabilities 34,493.83 20,665.94

Hw b Total 235,169.90 223,467.21

ny±Or {Z`mo{OV (àI§S> AmpñV`m±-àI§S> Xo`VmE±) Capital Employed (Segment assets-Segment liabilities)i) Q—oµOar n[aMmbZ Treasury Operations 4724.90 4197.66

ii) WmoH ~¢qH J Wholesale Banking 3932.88 3294.87

iii) IwXam ~¢qH J Retail Banking 4594.13 3469.73

iv) AÝ` ~¢qH J n[aMmbZ Other Banking Operations 28.96 0.27v) AZm~§{QV Xo`VmE§ Unallocated Assets (530.97) 437.07

Hw b Total 12749.90 11399.59

{QßnUr Notes: ~¢H H$s H$moB© {dXoer emIm Zht h¡ AV: m¡Jmo{bH àI§S àñVwV Zht {H$`m J`m h¡& The Bank doesn’t have any foreign branches hence no geographic segment furnished.

2. àI§S [anmoqQ©J

^maVr` gZXr boImH ma g§ñWmZ Ûmam Omar ""boIm§H Z _mZH 17- àI§S [anmo{Q>ªJ'' Ho AZwgma àH QZ {ZåZdV² h¡:


3. g§~§{YV nmQr© àH QrH aU :

^maVr` [aµOd© ~¢H Ho {Xem{ZXo©emo§ Ho gmW n{RV maVr` gZXr boImH ma g§ñWmZ Ûmam Omar ""EEg 18-g§~§{YV nmQr© àH QZ'' Ho AZwnmbZ _o§ g§~§{YV nmQr© boZ-XoZ go g§~§{YV {ddaU {ZåZdV² h¢:

3. RELATED PARTY DISCLOSURES :

In compliance with “AS 18 - Related Party Disclosures”, issued by the Institute of Chartered Accountants of India read along with the Reserve Bank of India guidelines, the details of Related Party Transactions are disclosed as under:

g§~§{YV nm{Q©`mo§ H m Zm_ Ed§ ~¢H Ho gmW CZH m g§~§Y Name of the related parties and relationship with Corporation Bank

_w»` à~§YZ H m{_©H Key Management Personnel

HŒ . g§.Sr. No.

Zm_Name

g§~§YRelation

AXm H$s JB© nm[al{_H am{e (H amo‹S _o§)

Remuneration paid(` in crore)

31 _mM©, 201731st March, 2017

31 _mM©, 201631st March, 2016

1 lr O` Hw$_ma JJ© (01-02-2016 go)Shri Jai Kumar Garg

à~§Y {ZXoeH E§d _w»` H m`©nmbH A{YH marManaging Director & CEO

0.29 0.04

2 lr gwZrb _ohVm (22-01-2016 go)Shri Sunil Mehta


0.25 0.04

3 lr Jmonmb _wabr ^JV (24.08.2016 go)Shri Gopal Murli Bhagat (From 24.08.2016)


0.15 –

{QßnUr: _w»` à~§YZ H m{_©H mo§ Am¡a _w»` àd§YZ H m{_©H mo§ Ho [aíVoXma Ho gmW ~¢H a-J«mhH$ g§~§Y _o§ boZ-XoZmo§ H mo EEg 18 Ho AZwÀNoX 5 H$s eVmoª _o§ àH Q Zht {H m J`m h¡&

Note: Transactions in the nature of Banker-Customer relationship including those with Key Management Personnel and relatives of Key Management Personnel have not been disclosed in terms of Para 5 of AS 18.

4. EARNINGS PER SHARE:

Basic Earnings per Share:

Particulars31st March,

201731st March,

2016

Net profit/(loss) after tax available for equity shareholders (` in crores) 565.80 (502.00)

Weighted average number of equity shares (in crores)

108.56 92.35

Basic Earnings per Share (`) 5.21 (5.44)

Nominal Value per Share (`) 2.00 2.00

Diluted Earnings per Share: Not applicable as there are no dilutive potential equity shares.

5. CAPITAL ADEQUACY :Not applicable.

6. FIXED ASSETS:

i. Premises include properties costing `12.30 Crores (Previous Year `12.30 Crores) for which registration formalities are pending.

4. à{V eoà AO©Z :à{V eoà _yb AO©Z…

{ddaU 31 _mM©, 2017

31 _mM©, 2016

B©pŠdQ>r eoàYmaH mo§ hoVw CnbãY H a Ho ~mX {Zdb bm^/(hm{Z) (am{e H amo‹S _o§)

565.80 (502.00)

^m[aV Am¡gV B©pŠdQ>r eoàmo§ H$s g§»`m (H amo‹S _o§)

108.56 92.35

à{V eoà _yb AO©Z (`) 5.21 (5.44)

à{V eoà Zm__mÌ _yë` (`) 2.00 2.00

VZyH¥ V à{V eoà AO©Z: bmJy Zht Š`mo§{H H moB© VZyH¥$V g§^mì` B©pŠdQ>r eoà Zht h¡&

5. ny§Or n`m©ßVVm: bmJy Zht h¡&

6. pñWa AmpñV`m±: i. n[aga _o§ `12.30 H amo‹S (JV df© `12.30 H amo‹S) H$s bmJV

dmbr n[ag§n{Îm`m± ^r em{_b h¢ {OZHo {bE n§OrH aU H$s Am¡nMm[aH VmE§ b§{~V h¢&

216 dm{f©H$ [anmoQ>© 2016-17

ii. Fixed Assets include `Nil (Previous Year `0.38 Crores) in respect of Capital Work in Progress-Premises.

iii. During the year 2016-17, cost of software acquired is `45.54 Crores (Previous Year `17.38 Crores) and the amount amortized during the year is `15.99 Crores (Previous Year `16.24 Crores).

iv. Contracts pending execution on Capital account and not provided for is `93.91 Crores (Previous Year `100.92 Crores).

v. During the year the Bank has reversed `16.46 Crores from the revaluation reserve to the Revenue Reserve.

7. EMPLOYEE BENEFITS:

7.1 The Bank has accounted for Employee Benefits as per AS 15 issued by the Institute of Chartered Accountants of India.

(a) The Principal actuarial assumptions used as at the balance sheet date:

n[a^m{fV {hVbm^ {Z{YHDefined Benefits Funded

no§eZ ({Z{YH)Pension (Funded)

JŒ¡À`wQr ({Z{YH )Gratuity (Funded)

XrKm©d{Y à{VnyaH {hVbm^ (A{Z{YH)

Long Term compensated benefit (Un-funded)

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

~Åm Xa Discount Rate 7.35% 7.95% 7.35% 7.95% 7.35% 7.95%

doVZ d¥{Õ Salaries increase 5.00% 5.00% 5.00% 5.00% 5.00% 5.00%

no§eZ d¥{Õ Pension increase 5.00% 5.00% bmJy Zht NA bmJy Zht NA bmJy Zht NA bmJy Zht NA

EQ´>reZ Xa Attrition Rate 1.40% 1.35% 1.77% 2.28% 1.77% 2.28%

`moOZm AmpñV`mo§ na àË`m{eV à{Vbm^ XaExpected Rate of Return on Plan Assets

8.93% 8.85% 8.85% 8.85%bmJy Zht

NAbmJy Zht

NA

ii. pñWa AmpñV`mo§ _o§ ny±OrJV Mmby H m`©-n[aga go g§~§{YV ` eyÝ` (JV df© `0.38 H amo‹S) em{_b h¡&

iii. df© 2016-17 Ho Xm¡amZ A{O©V gm°âQdo`amo§ H$s bmJV `45.54 H amo‹S (JV df© `17.38 H amo‹S) h¡ Am¡a df© Ho Xm¡amZ n[aemo{YV am{e `15.99 H amo‹S (JV df© `16.24 H amo‹S) h¡&

iv. ny±OrJV ImVo na {ZînmXZ hoVw b§{~V g§{dXmE± {OZHo {bE àmdYmZ Zht {H m J`m, `93.91 H amo‹S (JV df© `100.92 H amo‹S) h¡&

v. df© Ho Xm¡amZ ~¢H Zo `16.46 H amo‹S H mo nwZ_y©ë`m§H Z Ama{jV {Z{Y`mo§ go amOñd Ama{jV {Z{Y`mo§ _| àË`md{V©V {H m&

7. H _©Mmar {hVbm^:

7.1 ^maVr` gZXr boImH ma g§ñWmZ Ûmam Omar boIm§H Z _mZH EEg 15 Ho AZwgma ~¢H Ûmam H _©Mmar {hVbm^ hoVw boIm§H Z {H m J`m h¡&

(H ) VwbZ-nÌ H$s VmarI H mo à`wº _w»` ~r_m§{H V YmaUmE§…


(I) n[a^m{fV {hVbm^ Xm{`Ëd Am¡a `moOZm AmpñV`m| Ho dV©_mZ _yë` Ho Ama§{^H Ed§ A§{V_ eof H m g_mYmZ {ZåZdV² àñVwV h¡…(b) A reconciliation of Opening and Closing Balances of the present value of the defined benefit obligation and Plan assets is as

under:

n[a^m{fV {hVbm^ Defined benefits

(` H amo‹S _o§) (` in crores)

Xm{`Ëd Obligations

no§eZ ({Z{YH$)Pension (Funded)

JŒ¡À`wQr ({Z{YH$)Gratuity (Funded)

XrKm©d{Y à{VnyaH {hVbm^(A{Z{YH$)

Long Term compensated benefit absences (Un-funded)

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

Ama§{^H eof Opening Balance 2975.91 2,779.59 451.25 465.03 247.36 236.56



{dJV godm bmJV - {ZYm©[aV Past service cost – recognized

- - - - - -

{dJV godm bmJV - A{ZYm©[aV Past service cost – unrecognized

- - - - - -

{dJV godm bmJV - n[aemoYZ hoVw AnmÌ Past service cost – Not eligible for amortization

- - - - - -

àXÎm {hVbm^ Benefit Paid (169.14) (210.34) (54.45) (64.35) (46.10) (43.77)

Xm{`Ëd na ~r_m§{H H$ (bm^)/hm{Z Actuarial (Gain) / Loss on obligation

89.20 118.10 (23.51) (28.81) (7.64) 5.56

A§{V_ eof Closing Balance 3206.07 2,975.91 460.38 451.25 247.16 247.36


`moOZm AmpñV`m± Plan Assets

no§eZ ({Z{YH$) Pension (Funded) JŒ¡À`wQr ({Z{YH$) Gratuity (Funded)

31 _mM©, 201731st March, 2017

31 _mM©, 201631st March, 2016

31 _mM©, 201731st March, 2017

31 _mM©, 201631st March, 2016

Aà¡b H mo `moOZm AmpñV`mo§ H m C{MV _yë`Fair Value of plan assets as on April

2985.32 2,809.49 468.42 478.85

`moOZm AmpñV A§eXmZmo§ na àË`m{eV à{Vbm^Expected Return on Plan Assets Contributions

265.36 246.69 39.49 40.22

{Z`moº$m A§eXmZ Employer Contribution 141.53 116.02 10.00 15.00

Xygao Ý`mg Am¡a gXñ`mo§ go A§VaU Transfer from other trust and members

- - - -

àXÎm {hVbm^ Benefits Paid (169.14) (210.34) (54.45) (64.35)

~r_m§{H H$ bm^/(-) hm{Z Actuarial gain / (-) loss (7.00) 23.46 (1.09) (1.30)

`moOZm AmpñV`mo§ H m A§{H V _yë` Fair Value of plan assets 3216.07 2985.32 462.37 468.42

218 dm{f©H$ [anmoQ>© 2016-17

(J) bm^ Ed§ hm{Z {ddaU _o§ {ZYm©[aV Hw b ì``…(c) Total Expenses recognized in the Profit and Loss Account :


n[a^m{fV {hVbm^ Defined benefits

no§eZ ({Z{YH )Pension (Funded)

JŒ¡À`wQr ({Z{YH ) Gratuity (Funded)

XrKm©d{Y à{VnyaH {hVbm^ (A{Z{YH)

Long Term compensated benefit absences

(Un-funded)

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016



`moOZm AmpñV`mo§ na àË`m{eV à{Vbm^Expected return on plan assets

(265.36) (246.69) (39.49) (40.22) - -

Ad{Y Ho Xm¡amZ {ZYm©[aV {Zdb ~r_m§{H H (bm^)/hm{ZNet Actuarial (Gain) / Loss recognized in the period

96.20 94.64 (22.42) (27.51) (7.64) 5.56

{dJV godm bmJV - {ZYm©[aV Past service cost–recognized - - - - - -

{dJV godm bmJV - n[aemoYZ hoVw AnmÌPast service cost–Not eligible for amortization

- - - - - -

bm^ Ed§ hm{Z {ddaU _o§ {ZYm©[aV ì``Expenses recognized in the Profit and Loss Account

140.94 136.51 25.18 11.65 45.90 54.57

(K) `moOZm AmpñV`mo§ H m g§KQZ…(d) The Compositions of Plan Assets:

(à{VeV _o§) (In Percentage)

no§eZ ({Z{YH )Pension (Funded)

JŒ¡À`wQr ({Z{YH )Gratuity (Funded)

31 _mM©, 201731st March, 2017

31 _mM©, 201631st March, 2016

31 _mM©, 201731st March, 2017

31 _mM©, 201631st March, 2016

gaH mar à{V^y{V`m± Government Securities - 0.28 - -

CÀM JwUdÎmm gaH mar ~m±S High Quality Corporate Bonds 4.46 5.75 9.98 15.95

{deof O_mam{e`m± Special Deposits 7.24 8.29 0.45 4.08

AÝ` (nrEg`y) Other (PSU) 0.31 0.41 0.46 0.81

~r_m `moOZmAmo§ Ho A§VJ©V AmpñV`m±Assets under Insurance Schemes

87.99 85.27 89.11 79.16

Hw b Total 100.00 100.00 100.00 100.00


(L) n[a^m{fV {hVbm^ Xm{`Ëdmo§ H$m dV©_mZ _yë`, `moOZm AmpñV`mo§ H$m C{MV _yë`, A{Yeof/H$_r VWm Mmby Ed§ JV df© Ho {bE AZw^d g_m`moOZ {ZåZmZwgma h¡…

(e) The present value of defined benefits obligations, the fair value of plan assets, Surplus/ Deficits and experience adjustments are as under:


no§eZ Pension

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2015

31st March, 2015

31 _mM©, 2014

31st March, 2014

31 _mM©, 2013

31st March, 2013

Xm{`Ëd H m dV©_mZ _yë` PV of Obligation 3,206.07 2,975.91 2,779.59 2,473.20 2,148.55

`moOZm AmpñV`mo§ H m C{MV _yë` Fair Value of Plan Assets 3,216.07 2,985.32 2,809.49 2,333.43 1,952.02

(A{Yeof)/H _r (Surplus) /Deficits 10.00 (9.41) (29.90) 139.77 196.53

An[aemo{YV Xo`Vm Un-amortized Liability - - - 110.49 221.00

(A{Yeof)/H _r [An[aemo{YV Xo`Vm H m {Zdb](Surplus) / Deficits [Net of Un-amortized Liability] 10.00 (9.41) (29.90) 250.26 417.53

`moOZm Xo`VmAmo§ na AZw^d g_m`moOZ (hm{Z)/bmÊxperience Adjustment on Plan Liabilities (Loss)/Gain 89.20

118.10 148.08

145.68 (164.18)

`moOZm AmpñV`mo§ na AZw^d g_m`moOZ (hm{Z)/bmÊxperience Adjustment on Plan Assets (Loss)/Gain 7.00 23.46 61.96 (55.40)

34.95

JŒ¡À`wQr Gratuity

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2015

31st March, 2015

31 _mM©, 2014

31st March, 2014

31 _mM©, 2013

31st March, 2013

Xm{`Ëd H m dV©_mZ _yë` PV of Obligation 460.38 451.25 465.03 452.54 420.65

`moOZm AmpñV`mo§ H m C{MV _yë` Fair Value of Plan Assets 462.37 468.42 478.85 439.95 439.90

(A{Yeof)/H _r (Surplus) /Deficits (1.99) (17.17) (13.82) 12.59 (19.25)

`moOZm Xo`VmAmo§ na AZw^d g_m`moOZ (hm{Z)/bmÊxperience Adjustment on Plan Liabilities (Loss)/ Gain (23.51) - (20.73)

(14.74)

(8.08)

`moOZm AmpñV`mo§ na AZw^d g_m`moOZ (hm{Z)/bmÊxperience Adjustment on Plan Assets (Loss)/ Gain 1.10 -

18.30 (14.00) 9.67

XrKm©d{Y à{VnyaH {hVbm^ AZwnpñW{VLong term compensated absence

31 _mM©, 2017

31st March, 2017

31 _mM©, 2016

31st March, 2016

31 _mM©, 2015

31st March, 2015

31 _mM©, 2014

31st March, 2014

31 _mM©, 2013

31st March, 2013

Xm{`Ëd H m dV©_mZ _yë` PV of Obligation 247.16 247.36 236.56 226.49 281.44

`moOZm AmpñV`mo§ H m C{MV _yë` Fair value of Plan Assets - - - - -

(A{Yeof)/H _r (Surplus) /Deficits 247.16 247.36 236.56 226.49 281.44

`moOZm Xo`VmAmo§ na AZw^d g_m`moOZ (hm{Z)/bmÊxperience Adjustment on Plan Liabilities (Loss)/ Gain (7.64) 5.56 (6.49) (11.00) (32.46)

`moOZm AmpñV`mo§ na AZw^d g_m`moOZ (hm{Z)/bmÊxperience Adjustment on Plan Assets (Loss)/Gain - - - - -

220 dm{f©H$ [anmoQ>© 2016-17

8. àmdYmZ, AmH pñ_H Xo`VmE§ Am¡a AmH pñ_H AmpñV`m±8. PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS

H ) àmdYmZ… a) Provisions: (` H amo‹S _o§) (` in crores)

àmdYmZ H$s àH¥ {V Nature of Provision

àma§{^H eofOpening Balance

df© Ho Xm¡amZ {H E JE A{V[aŠV

àmdYmZAdditions

during the year

df© Ho Xm¡amZ à`moJ {H E JE

àmdYmZUsed during

the year

df© Ho Xm¡amZ àË`md{V©V àmdYmZ

Reversed during the year

A§{V_ eofClosing Balance

i. J¡.{Z.Am. hoVw {H E JE àmdYmZProvision made towards NPAs

5278.21 (2607.15)

3860.65 (5378.65)

3573.68 (2595.44)

376.84 (112.15)

5188.34 (5278.21)

ii. {Zdoe na _yë`õmg hoVw àmdYmZ (J¡.{Z.Am. àmdYmZ g{hV)Provision for Depreciation on Investment (Including NPA provision)

382.29 (109.69)

76.16 (289.95)

-14.78

(17.35)443.67

(382.29)

iii. Am` H a/g§n{Îm H a hoVw àmdYmZProvision made towards Income Tax / Wealth Tax

304.79 179.88 - - 484.67

(556.85) - (252.06) - (304.79)iv. g^r AÝ` _X| * All other items * 2465.71 360.81 - 634.34 2192.18

(2648.41) (337.25) - (519.95) (2465.71)

* Bg_o§ H O© Ho ê$n _o§ ñdrH ma Z {H o J`o ~¢H Ho {déÕ Xmdmo§ hoVw àmdYmZ, H nQnyU© boZ-XoZmo§ hoVw àmdYmZ VWm AÝ` {d{dY boZ-XoZ em{_b h¢& H$moîQ>H$ _| JV df© Ho$ Am±H$‹S>o h¢&* This includes provision for claims against the Bank not acknowledged as debt, provision towards fraudulent transactions and

other miscellaneous transactions.Figures in brackets represent Previous Year figures.

I) AmH pñ_H Xo`Vm… b) Contingent Liabilities:

i) H O© Ho ê$n _o§ ñdrH$ma Z {H o J`o ~¢H Ho {déÕ Xmdo… Claims against the Bank not acknowledged as debts:


{ddaU ParticularsXmdmo§ H$s g§

No. of ClaimsgH b Xmdo

Gross Claim{Zdb XmdoNet Claim

01-04-2016 H$mo ~H m`m Hw b Xmdo Total Claims outstanding as on 01-04-2016 107 2789.04 2782.06

KQmE§: df© Ho Xm¡amZ hQmE/g§emo{YV Xmdo Less: Claims deleted/revised during the year 23 401.86 401.71

Omo‹So§: df© Ho Xm¡amZ Omo‹So ZE Xmdo Add : Claims added during the year 6 160.04 160.04

31-03-2017 H mo ~H m`m Hw b Xmdo Total Claims outstanding as on 31-03-2017 90 2547.22 2540.39

31 _mM©, 2017 H mo ~H m`m Xmdmo§ H m {df`dma dJr©H aU… Subject-wise classification of the claims outstanding as on 31st March, 2017: (` H amo‹S _o§) (` in crores)

{ddaU ParticularsXmdmo§ H$s g§.

No. of ClaimsgH b Xmdo

Gross Claim{Zdb XmdoNet Claim

~¢H Jma§Qr Bank Guarantees 2 0.16 0.01

MoH /_m±J S—mâQ/^wJVmZ AmXoe Am{X H$s CJmhr Cheques/DD/PO etc., collection 9 0.79 0.23

G$U g§{d^mJ Credit Portfolio 16 1.16 0.83

O_m g§{d^mJ Deposits Portfolio 3 0.34 0.01

gVH© Vm Vigilance 37 2538.27 2537.60

{d{dY [Am` H$a _m±Jmo§ go g§~§{YV Xmdmo§ g{hV]Miscellaneous [Including claims on account of Income Tax Demands]

23 6.50 1.71

`moJ* Total* 90 2547.22 2540.39

* ewéAmV go boH a Ohm± bmJy hmo Xmdmo§ na ã`mO H mo Nmo‹SH a/Excluding interest on claims, wherever applicable, since inception.


(O` Hw$_ma JJ©) (Jmonmb _wabr ^JV) (_Zrf JwßVm) à~§Y {ZXoeH$ Ed§ _w»` H$m`©H$mar A{YH$mar H$m¶©nmbH {ZXoeH {ZXoeH

(àÚwåZ Ho . OoZm) (XodamH mo§Sm XrpßV{dbmg) (gwemo^Z gaH$ma) ({MÌm Jm¡ar bmb) {ZXoeH {ZXoeH {ZXoeH {ZXoeH

(a_oe Hw _ma ^Q²) (E_.~r. JUoe) (kmZ a§OZ gma§Jr) {ZXoeH _hm à~§YH$ ghm`H$ _hm à~§YH


H¥ Vo E_. AmZ§X_ EÊS H§ .gZXr boImH ma

FRN-000125S


gXñ`Vm g§.212187

H¥ Vo XÎmm qgJbm EÊS H§ .gZXr boImH ma

FRN-006185N

(grE g§Xrn XÎmm) gmPoXmagXñ`Vm g§.092413

H¥ Vo E.Ho . g~V EÊS H§ .gZXr boImH ma

FRN-321012E

(grE AéU Hw _ma g~V) gmPoXma

gXñ`Vm g§.030310

H¥ Vo à_moX EÊS Egmo{gEQ²ggZXr boImH ma

FRN-001557C

(grE adtÐ aZrdmbm) gmPoXmagXñ`Vm g§.073191

H¥ Vo nmoZamO EÊS H§ .gZXr boImH ma

FRN-002672S

(grE Ho$. na_mZ§X_) gmPoXma

gXñ`Vm g§.020635

ñWmZ … _§Jbyé{XZm§H $… 20 ‘B©, 2017


[Jai Kumar Garg]Managing Director & Chief Executive Officer


[Manish Gupta] Director

[Pradyumna K. Jena]Director

[Deverakonda Diptivilasa] Director

[Sushobhan Sarker] Director

[Ms. Chitra Gouri Lal]Director

[Ramesh Kumar Bhat]Director


[Gyana Ranjan Sarangi]Asst. General Manager


For M. Anandam & Co.Chartered Accountants

FRN: 000125S[CA B. V. Suresh Kumar]

PartnerMembership No. 212187


FRN: 006185N[CA Sandeep Datta]


For A. K. Sabat & Co.Chartered Accountants

FRN: 321012E[CA Arun Kumar Sabat]



FRN: 001557C[CA Ravindra Raniwala]


For Ponraj & Co.Chartered Accountants

FRN: 002672S[CA K. Paramanandham]


9. AmpñV dJr©H aU VWm EZnrE hoVw àmdYmZrH aU _o§ {dMbZ: df© Ho Xm¡amZ, ~¢H Zo df© 2015-16 hoVw Ama~rEg [anmoQ© Ho

AZwgma g^r {dM{bV ImVmo§ hoVw àmdYmZ {H m& VWm{n, 1249.00 H amo‹S H$s am{e dmbo Nh {dM{bV ImVmo§ hoVw, dJr©H aU hoVw nwZ{d©Mma hoVw ~¢H Ho à{V{Z{YËd b§{hV ahVo, ~¢H Zo "_mZH ' Ho ê n _o§ AmpñV dJr©H aU H mo ~ZmE aIm h¡&

10. Ohm± Amdí`H h¡, {nNbo df© Ho Am§H Smo§ H mo dV©_mZ df© H$s àñVw{V Ho AZwê n ~ZmZo Ho {bE nwZ…dJr©H¥ V/nwZì`©dpñWV {H m J`m h¡&

9. Divergence in Asset Classification and Provisioning for NPAs:

During the year, the Bank has made provision with respect to all divergent accounts as per RBS Report for the Year 2015-16. However, with respect to six divergent accounts amounting to `1249.00 Crores, pending representation of the Bank for re-consideration of classification, the Bank has retained the assets classification as ‘Standard’.

10. Previous year’s figures have been regrouped/rearranged wherever necessary in order to confirm with the current year presentation.

222

H$mnm}aoeZ ~¢H$ CORPORATION BANK31 _mM©, 2017 H$mo g_mßV df© hoVw g_o{H$V ZH$Xr àdmh {ddaU

Consolidated Cash Flow Statement for the year ended 31st March, 2017

(Ÿ` in ’000 _|)

{ddaU PARTICulARS

31.03.2017 H$mo g_mßV df©


31.03.2016 H$mo g_mßV df©


H$.A.

n[aMmbZ H$m`©H$bmnm| go ZH$Xr àdmhCASH FlOW FROM OPERATING ACTIVITIESH$a Cnam§V {Zdb bm^/hm{Z (-) Net Profit/Loss (-) after Tax 565,80,83 -502,00,38Omo‹S>|… H$a hoVw àmdYmZ Add: Provision for Tax 277,34,54 -1422,44,88H$a nyd© {Zdb bm^/hm{Z (-) Net Profit/loss (-) before Tax 843,15,37 -1924,45,26i {ZåZ hoVw g‘m¶moOZ Adjustment for : pñWa AmpñV¶m| na ‘yë¶õmg Depreciation on Fixed Assets 161,43,54 137,89,24 {Zdoem| na ‘yë¶õmg Depreciation on Investments 76,15,68 288,00,62 EZnrE hoVw ‘yë¶õmg Provision for NPAs 3508,66,20 5266,50,60 ‘mZH$ AmpñV¶m| hoVw àmdYmZ Provision for Standard Assets 353,35,81 41,00,00 {Q>¶a I Am¡a {Q>¶a II ~m±S>m| na àXÎm ã¶mO Interest paid on Tier I & Tier II Bonds 500,35,16 522,45,58 AmH$pñ‘H$VmAm| Am¡a AÝ¶ hoVw àmdYmZ Provision for Contingencies and Others -158,02,78 -497,29,26

H$_©Mmar H$ë`mU {Z{Y hoVw, _yë`õmg Provision for Staff welfare fund -15,00,00 – pñWa AmpñV¶m| H$s {~H«$s na (bm^)/hm{Z (Profit)/Loss on Sale of Fixed Assets -73,51 -17,24 àmßV ã`mO/bm^m§e Interest/Dividend Received -66,44 -46,58 å`yMwAb \§$S> Ho$ _moMZ na àmpßV Gain on redemption of Mutual Funds -3,13 - 2,48 AZwf§{J¶m| Am¡a gh¶mo{J¶m| go bm^m§e Am{X Ûmam A{O©V Am¶ Income earned by way of Dividend etc. from Subsidiaries and Associates – – àË¶j H$a (àXÎm)/dmng {H$¶m J¶m (H$mn© ~¢H$ Ûmam)

Direct Taxes (paid)/Refund (by Corp Bank) -329,44,32 -354,56,51 àË¶j H$a (àXÎm)/dmng {H$¶m J¶m (H$mn© ~¢H$ {gŠ`y[a{Q>O {b. Ûmam) Direct Taxes (paid)/Refund (by Corp Bank Securities Ltd.) -1,51,73 -1,48,16 ã¶mO ny±OrH$aU hoVw àmdYmZ Provision for Interest Capitalisation -176,99,00 -71,89,00ii n[aMmbZ AmpñV¶m| Ed§ Xo¶VmAm| ‘| n[adV©Z go nhbo ZH$Xr àdmh Cash Flow before change in Operating Assets and liabilities 4760,70,85 3405,51,54

{ZåZ hoVw g‘m¶moOZ Adjustment for: O‘mam{e¶m| ‘| d¥{Õ/(H$‘r) Increase/(Decrease) in Deposits 15409,81,69 5797,52,68 CYma ‘| d¥{Õ/(H$‘r) Increase/(Decrease) in Borrowings -7144,02,09 2997,29,03 AÝ¶ Xo¶VmAm| Ed§ àmdYmZ ‘| d¥{Õ/(H$‘r) Increase/(Decrease) in other liabilities & provisions -846,60,53 -5168,35,52 {Zdoem| ‘| (d¥{Õ)/H$‘r (Increase)/Decrease in Investments -792,30,76 -9983,81,68 A{J«‘m| ‘| (d¥{Õ)/H$‘r (Increase)/Decrease in Advances -34,55,30 4743,79,50 AÝ¶ AmpñV¶m| ‘| (d¥{Õ)/H$‘r (Increase)/Decrease in Other Assets -2 110,94,56 1110,82,93 ~Å>o ImVo {bIZo/A§V[aV H$aZo Ho$ {bE Ama{jV {Z{Y¶m| ‘|/go g‘m¶moOZ Adjustments to/from Reserves for Write Off/trf 308,32,04 -291,85,72 n[aMmbZ {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmh (H$) NET CASH FlOW FROM OPERATING ACTIVITIES [A] 9550,41,34 2610,92,76


{ddaU PARTICulARS

31.03.2017 H$mo g_mßV df©


31.03.2016 H$mo g_mßV df©


I.B.

{Zdoe {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmhCASH FlOW FROM INVESTING ACTIVITIESpñWa AmpñV¶m| H$s {~H«$s/{ZnQ>mZ Sale/Disposal of Fixed Assets -8,05,03 2,34,85{~H«$s AmpñV¶m| H$s IarX/Purchase of Fixed Assets -181,84,49 -211,35,60AZwf§{J`m±/g§¶wº$ CÚ‘/gh¶mo{J¶m| ‘| A{V[aº$ {ZdoeAdditional Investment in Subsidiary/Joint Ventures/Associates – – àmßV ã`mO/bm^m§e Interest/Dividend Received 55,98 1,92,42å`yMwAb \§$S> Ho$ _moMZ na àmpßVGain on redemption of Mutual Funds 3,13 2,48AZwf§{J¶m| Am¡a gh¶mo{J¶m| ‘| bm^m§e Am{X Ûmam A{O©V Am¶Income earned by way of Dividend etc. from Subsidiaries and Associates – –

{Zdoe {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmh (I)NET CASH FlOW FROM INVESTING ACTIVITIES [B] -189,30,41 -207,05,85

J.C.

{dÎmr¶Z {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmhCASH FlOW FROM FINANCING ACTIVITIESeo¶a ny±Or Ho$ {ZJ©‘Z go AmJ‘ Proceeds from Issuance of Share Capital 508,00,00 1000,00,00{Q>¶a I Am¡a {Q>¶a II ~m±S>m| go AmJ‘ Proceeds of Tier I & Tier II Bonds 500,00,00 –{Q>¶a I Am¡a {Q>¶a II ~m±S>m| H$m à{VXmZ Redemption of Tier I & Tier II Bonds – -300,00,00{Q>¶a I Am¡a {Q>¶a II ~m±S>m| na àXÎm ã¶mO Interest paid on Tier I & Tier II Bonds -500,35,16 -522,45,58àXÎm bm^m§e (A§V[a‘ d A§{V_) Dividend (Interim & Final) paid – -117,27,93àXÎm bm^m§e g§{dVaU H$a Dividend Distribution Tax paid – -21,83,95{dÎmr`Z {H«$¶mH$bmnm| go {Zdb ZH$Xr àdmh (J)NET CASH FlOW FROM FINANCING ACTIVITIES [C] 507,64,84 38,42,53

K.D.

ZH$Xr Am¡a ZH$Xr g‘Vwë¶ ‘| {Zdb d¥{Õ/(H$‘r) (H$+I+J) ¶m (M-L>)NET INCREASE/(DECREASE) IN CASH AND CASH EQuIVAlENTS [A+B+C] or [F-E] 9868,75,77 2442,29,44

>L.E.

df© Ho$ àma§^ ‘| ZH$Xr Am¡a ZH$Xr g‘Vwë¶ CASH AND CASH EQuIVAlENTS AT THE BEGINNING OF THE YEAR

ZH$Xr Am¡a ^m.[a.~¢. Ho$ nmg ~¢H$ eof Cash and Bank Balance with RBI 10087,21,49 10148,93,42

~¢H$ Ho$$ nmg eof am{e¶m± Am¡a ‘m±J na Am¡a Aën gyMZm na YZBalance with Banks and Money at Call and Short Notice 5093,98,42 2589,97,06

df© Ho$ àma§^ ‘| {Zdb ZH$Xr Am¡a ZH$Xr g‘Vwë¶ (L>)NET CASH AND CASH EQuIVAlENTS AT THE BEGINNING OF THE YEAR [E] 15181,19,91 12738,90,48

M.F.

df© Ho$ A§V ‘| {Zdb ZH$Xr Am¡a ZH$Xr g‘Vwë¶ CASH AND CASH EQuIVAlENTS AT THE END OF THE YEAR

ZH$Xr Am¡a ^m.[a.~¢. Ho$ nmg ~¢H$ eof Cash and Bank Balance with RBI 17496,63,54 10087,21,50

~¢H$ Ho$ nmg eof am{e¶m± Am¡a ‘m±J na Am¡a Aën gyMZm na YZBalance with Banks and Money at Call and Short Notice 7553,32,14 5093,98,42

df© Ho$ A§V ‘| {Zdb ZH$Xr Am¡a ZH$Xr g‘Vwë¶ (M)NET CASH AND CASH EQuIVAlENTS AT THE END OF THE YEAR [F] 25049,95,68 15181,19,92

(` in ’000 _|)

224

INDEPENDENT AUDITORS’ REPORT

To the Members of Corpbank Securities Limited

1. Report on the Standalone Financial Statements

We have audited the accompanying standalone financial statements of Corpbank Securities Limited which comprise the Balance Sheet as at March 31, 2017, Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

2. Management’s Responsibility for the Standalone Financial Statements

The Company’s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (“the Act”) with respect to the preparation and presentation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

3. Auditors’ Responsibility

Our responsibility is to express an opinion on these standalone financial statements based on our audit.

We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the

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financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company’s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company’s Directors, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.

4. Opinion

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2017, and its profit and its cash flows for the year ended on that date.

5. Report on Other Legal and Regulatory Requirements

I. As required by the Companies (Auditor’s Report) Order, 2016 (“the Order”), issued by the Central Government of India in terms of section 143(11) of the Act, we give in the Annexure 1 a statement on the matters specified in paragraph 3 and 4 of the said Order, to the extent applicable.

II. As required by Section 143(3) of the Act, we report that:

(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.

(c) The Balance Sheet, the Statement of Profit and Loss and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.

(d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

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226

(e) On the basis of the written representations received from the directors as on March 31, 2017 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2017 from being appointed as a director in terms of Section 164(2) of the Act.

(f ) With respect to the adequacy of the Internal Financial Controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in Annexure 2.

(g) With respect to the other matters to be included in the Auditor’s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us: (i) The Company does not have any pending

litigations which would impact its financial position in its financial statements;

(ii) The Company does not have any long term contracts including derivative contracts for which there were any material foreseeable losses;

(iii) There were no amounts that were required to be transferred, to the Investor Education and Protection Fund by the Company; and

(iv) The Company has provided requisite disclosures in the financial statements as to holdings as well as dealings in Specified Bank Notes during the period from 8th November, 2016 to 30th December, 2016. Based on audit procedures and relying on the management representation, we report that the disclosures are in accordance with the books of account maintained by the Company and as produced to us by the Management (Refer Note 28 to the financial statements).

III. As required by Section 143(5) of the Act, we give in Annexure 3 a statement on the direction/sub directions issued by the Comptroller and Auditor-General of India.

For R. C. RESHAMWALA & CO.CHARTERED ACCOUNTANTSFRN: 108832W

MANISH R. RESHAMWALA PARTNERMEMB. NO. 106586

MUMBAI: 13TH MAY, 2017

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à~§YZ V§Ì Ûmam h_o§ àñVw{V Ho AZwgma h¡ ({dÎmr`

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III. A{Y{Z`_ H$s Ymam 143(5) Ho AZwgma h_Zo {Z`§ÌH Am¡a

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H¥ Vo Ama.gr. aoe_dmbm EÊS H§ .gZXr boImH$ma\ _© n§OrH aU g§. 108832W

_Zrf Ama. aoe_dmbmgmÂmoXmagXñ`Vm g§. 106586

_w§~B©… 13 _B©, 2017


CORPBANK SECURITIES LIMITED – ANNEXURE 1

Annexure 1 referred to in Paragraph 5 - I titled as “Report on Other Legal and Regulatory Requirements” of Auditor’s report to the members of CORPBANK SECURITIES LIMITED for the year ended 31st March, 2017.

On the basis of such checks as we considered appropriate and in terms of information and explanations given to us, we state that:

(i) (a) The company has maintained proper records, showing full particulars including quantitative details and situation of fixed assets.

(b) As explained to us, the fixed assets have been physically verified by the management during the year according to a phased programme of verification. In our opinion such programme is reasonable considering the size and nature of its assets. We have been further informed that no material discrepancies were noticed on such verification, by the management, between the book records and the physical verification.

(c) According to the information and explanation given to us and on the basis of our examination of records of the Company, the company does not have any immovable property and hence verification of title deeds being held in the name of the Company does not arise.

(ii) The Company is dealing in certificate of deposits and interest bearing securities which are in dematerialized form. Accordingly the question of physical verification of such certificate of deposits or securities does not arise. Accordingly, clause 3 (ii) of the Order is not applicable to the Company. On the basis of our examination of the records of inventories, we are of the opinion that the Company is maintaining proper records of inventories.

(iii) As explained to us the directors of the Company are nominees of the Corporation Bank and are not be regarded as concerned or interested under Section 189 of the Act. The Company has not granted loans, secured or unsecured, to companies, firms, Limited Liability Partnerships or other parties covered in the register maintained under Section 189 of the Act. Hence, the question of reporting under sub clauses (a), (b) & (c) of the clause 3(iii) of the Order does not arise.

(iv) The Company has not granted any loans or advances under Section 185, made any investment, provide any guarantee or security under Section 186. Hence, the question of reporting under clause 3(iv) of the Order does not arise.

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(v) In our opinion and according to the information and explanations given to us, the Company has not accepted any deposits and hence the question of compliance with the directives issued by the Reserve Bank of India and the provisions of Sections 73 to 76 or any other relevant provisions of the Act and the rules framed there under do not apply. We are informed by the Management that no order has been passed by the Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other Tribunal in this regard.

(vi) The Central Government has not prescribed the maintenance of cost records under Section 148(1) of the Act for any of the products of the Company. Accordingly clause 3 (vi) of the Order is not applicable to the Company.

(vii) (a) According to the information and explanations given to us and according to the records of the Company examined by us, in our opinion, the Company is generally regular in depositing with the appropriate authorities undisputed statutory dues including Provident Fund, Employees’ State Insurance, Income-tax, Sales-tax, Service Tax, duty of Custom, duty of excise, value added tax, Cess and any other statutory dues, wherever applicable. There are no arrears of outstanding statutory dues as at the last day of the financial year for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us and the records of the Company examined by us, there are no dues of Sales-tax, Custom Duty, Service Tax, Excise Duty, VAT, Cess, which have not been deposited on account of dispute except one disputed statutory due of Tax deducted at source on salary of `48,500/- which as per the information provided to us has not been deposited based on stay order issued by the Honorable High Court of Kerala.

(viii) In our opinion and according to the information and explanations given to us, the Company has not taken any loans nor has any borrowings from financial institution, bank, government or dues to debenture holders. Accordingly clause 3(viii) of the Order is not applicable to the Company.

(ix) The Company has not raised money by way of initial public offer or further public offer (including debt instruments). According to the information and explanations given to us and on the basis of the records

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examined by us, we state that the Company has not raised any monies by way of term loans.

(x) During the course of our examination of the books and records of the Company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us, no fraud on or by the company by its officers or employees has been noticed or reported during the year by the Company.

(xi) The managerial remuneration has been paid in accordance with the requisite approvals mandated by the provisions of Section 197 read with Schedule V to the Act.

(xii) The Company is not a chit fund or a Nidhi company. Hence, the question of reporting under clause 3(xii) of the Order does not arise.

(xiii) The Company has complied with the provisions of Sections 177 and 188 of the Act in respect of transactions with the related parties and the details have been disclosed in the Financial Statements etc., as required by the applicable accounting standards.

(xiv) The Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year.

(xv) The Company has not entered into any non-cash transactions with directors or persons connected with him covered under the provisions of Section 192 of the Act.

(xvi) The Company is not required to be registered under Section 45-IA of the of the Reserve Bank of India Act, 1934 as the Company is already registered with SEBI under the provisions of Stock Brokers and Sub Brokers Regulations 1992.




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(xvi) H§$nZr eo`a Xbmb VWm Cn Xbmb A{Y{Z`_ 1992 Ho$ àmdYmZm| Ho$ VhV n§OrH¥$V hmoZo Ho$ H$maU ^maVr` [aOd© ~¢H$ A{Y{Z`_ 1934 H$s Ymam 45 AmB©E Ho$ VhV n§OrH¥$V H$aZo H$s Amdí`H$Vm Zht h¡&

H¥ Vo Ama.gr. aoe_dmbm EÊS H§ .gZXr boImH$ma\ _© n§OrH aU g§. 108832W

_Zrf Ama. aoe_dmbmgmÂmoXmagXñ`Vm g§. 106586

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Annexure 2 referred to in Paragraph 5 - II (f ) titled as “Report on Other Legal & Regulatory Requirements” of our report of even date

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (“the Act”)

We have audited the internal financial controls over financial reporting of Corpbank Securities Limited (“the Company”) as of March 31, 2017 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.

Management’s Responsibility for Internal Financial Controls

The Company’s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (ICAI). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company’s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.

Auditors’ Responsibility

Our responsibility is to express an opinion on the Company’s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the “Guidance Note”) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under Section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial

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controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company’s internal financial controls system over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A Company’s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future years

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{dÎmr` [anmo{Q>ªJ _o§ Am§V[aH {dÎmr` {Z`§ÌU H$m AW©

{H$gr H§ nZr Ho$ {dÎmr` [anmo{Q>ªJ _o§ Am§V[aH {dÎmr` {Z`§ÌU EH Eogr

{Z{_©V à{H«$`m h¡ Omo {dÎmr` [anmo{Q>ªJ H$s {dœZr`Vm Am¡a dmø CÔoí`mo§ go

{dÎmr` {ddaUmo§ H$mo gm_mÝ`V… ñdrH¥ V boIm {gÕm§Vmo§ Ho AZwgma V¡`ma

{H E OmZo hoVw `Wmo{MV AmœñV H ao§& {H gr H§ nZr Ho$ {dÎmr` [anmo{Q>ªJ _o§

Am§V[aH {dÎmr` {Z`§ÌU _o§ Omo Zr{V Am¡a à{H«$`m em{_b h¢ dh h¢ – (1)

[aH$mS© H$mo ~ZmE aIZo Ho g§~§Y _o§ O¡go `Wmo{MV {ddaU, ^br^m§{V Am¡a

ñnîQ Vm¡a na H§ nZr H$s AmpñV`mo§ H$mo g_mßV H aZoo VWm boZ-XoZ H$mo

{XIm`m OmZm & (2) `h `Wmo{MV {dœmg {XbmZm {H g_mÝ`V… àM{bV

boIm {gÕm§Vmo§ Ho AZwgma {dÎmr` {ddaU V¡`ma H aZoo hoVw AZw_{V XoZo Ho

{bE-boZ XoZmo§ H$mo Amdí`H Vm¡a na [aH$mS© {H m J`m hmo Am¡a H§ nZr

àmpßV`m± Am¡a ì`` Ho$db H§ nZr Ho à~§YZ Am¡a {ZXoeH$mo§ Ho A{YH$ma

go {H E JE hmo§ Am¡a (3) H§ nZr H$s AmpñV Ho Ad¡Y A{YJ«hU, Cn`moJ

Am¡a g_mßV H aZm Omo {dÎmr` {ddaUmo§ na dñVwJV à^md Smb gH$Vm h¡ Ho

g§~§Y _o§ ~Mmd Am¡a BZH$s g_` na nhMmZ Ho {bE `Wmo{MV AmœmgZ

XoZm &

{dÎmr` [anmo{Q>ªJ _o§ Am§V[aH {dÎmr` {Z`§ÌU H$s Am§V[aH gr_mE±

{_br^JV H$s g§^mdZm `m {Z`§ÌUmo§ H$s AdhobZm H$m AZw{MV à~§YZ

g{hV {dÎmr` [anmo{Q>ªJ _o§ {dÎmr` {Z`§ÌUmo§ H$s {Z{hV gr_mAmo§ Ho H$maU

X¥pîQ `m H nQ H$s dOh go dñVwJV A`WmW© K{QV hmo gH Vo h¢ Am¡a

nH S _o§ Zht Am gH Vo h¢& gmW hr ^{dî` Ho dfmoª hoVw {dÎmr` [anmo{Q>ªJ

232

are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2017, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.




na Am§V[aH {dÎmr` {Z`§ÌU Ho {H gr _yë`m§H Z H$m àjonU Omo{I_ ^am

hmo gH Vm h¡ Š`mo§{H n[apñW{V`mo§ _o§ n[adV©Z `m {Z`_mo§ Ed§ à{H«$`mAmo§ Ho

AZwnmbZ _o§ H _r hmoZo go {dÎmr` [anmo{Q>ªJ na Am§V[aH {dÎmr` {Z`§ÌU

An`m©ßV hmo gH Vm h¡&

A{^_V

h_mar am` _o§, H§ nZr Ho nmg, g^r nhbwAmo§ _o§, {dÎmr` [anmo{Q>ªJ _o§ n`m©ßV

Am§V[aH {dÎmr` {Z`§ÌU ì`dñWm h¡ Am¡a Eogo Am§V[aH {dÎmr` {Z`§ÌUmo§ H$mo

^maVr` gZXr boImH$ma g§ñWmZ Ûmam {dÎmr` [anmo{Q>ªJ na Am§V[aH {dÎmr`

{Z`§ÌU H$s boImnarjm na _mJ©Xe©Z {QßnUr _o§ C{„{IV Am§V[aH {Z`§ÌU

H$s Amdí`H KQH$mo§ _o§ H§ nZr Ûmam ñWm{nV {dÎmr` [anmo{Q>ªJ _mZX§S na

Am§V[aH ì`dñWm Ho AmYma na `Wm 31 _mM©, 2017 H$mo à^mdr ê n go

n[aMm{bV {H m J`m h¡&

H¥ Vo Ama.gr. aoe_dmbm EÊS H§ .

gZXr boImH$ma

\ _© n§OrH aU g§. 108832W

_Zrf Ama. aoe_dmbm

gmÂmoXma

gXñ`Vm g§. 106586

_w§~B© :13 _B©, 2017



Annexure 3 referred to in Paragraph 5 - III titled as “Report on Other Legal and Regulatory Requirements” of our report of even date

Based on the verification of records of the Company and based on information and explanation given to us, we give below a report on the directions issued by the Comptroller and Auditor-General of India in terms of Section 143(5) of the Act.

H«$.g§.Sr. No.

Om§M {H$E OmZo dmbo joÌ Areas to be examined {Q>ßn{U`m§ Observation / Finding

1 Š`m H§$nZr Ho$ nmg \«$s hmoëS> Am¡a brOYm[aV ^y{_ H$m ñnîQ> ñdËd{dboI h¡Whether the Company has clear title / lease deeds for freehold and leasehold land.

H§$nZr Ho$ nmg H$moB© ^r AMb g§npËV Ho$ Zm_ _| Ym[aV ñdËd{dboI H$s Om§M H$s Amdí`H$Vm Zht h¡&The company does not have any immovable property and hence verification of title deeds being held in the name of the Company does not arise.

2 Š`m Ny>Q>/F$U ~Q²>Q>o ImVo S>mbZm/F$Um|/ã`mO Am{X H$m H$moB© _m_bm h¡, `{X hm±, BgH$m H$maU Š`m h¡ Am¡a Cg_| {H$VZr am{e em{_b h¡Ÿ&Whether there are any cases of waiver / write off of debts / loans / interest etc., if yes, the reasons there for and the amount involved.

Ny>Q>/F$U ~Q²>Qo ImVo S>mbZm/F$U/ã`mO H$m H$moB© _m_bm Zht h¡Ÿ&There are no cases of waiver / write off of debts / loans / interest.

3 Š`m V¥Vr` nmQ>u Ho$ BÝd|Q>[a`m| hoVw Am¡a gaH$ma H$m AÝ` àm{YH$m[a`m| go Cnhma/AZwXmZ Ho$ ê$n _| àmßV AmpñV`m| H$m C{MV [aH$mS>© AZwa{jV {H$`m J`m h¡ Ÿ&Whether proper records are maintained for inventories lying with third parties and assets received as gift / grant from Government or other authorities

H$) My±{H$ H§$nZr H$s H$moB© BÝd|Q>ar Zht h¡ AV: h I§S> Mmby Zht h¡Ÿ& A§{V_ ñQ>mH$ S>r _¡ Q> ImVo _| H§$nZr Ho$ Zm_ _| h¡ Am¡a Bg{bE Bgo V¥Vr` nmQ>u Ho$ ê$n _| Zhr§ {b`m J`mŸ&

a. Since the Company has no inventories lying with third parties this clause is not applicable. The closing stock lying in demats accounts, is in the name of the company and hence is not considered at third party holdings.

I) df© Ho$ Xm¡amZ H§$nZr H$mo gaH$ma `m AÝ` àm{YH$m[a`mo§ go Cnhma AZwXmZ Ho$ ê$n _| H$moB© AmpñV àmßV Zht hþB©Ÿ&

b. During the year the Company has not received any assets as gifts / grants from Government or other authorities.

4 Š`m ewëH$ H$s Ny>Q>/boImqH$V ewëH$ H$s à{Vdmngr, Omo Xo` h¡ qH$Vw AàmßV/~Q²>Q>o ImVo S>mbZo H$m H$moB© _m_bm b§{~V h¡, `{X hmo, Vmo CgH$m H$maU Am¡a Cg_| em{_b am{eŸ&Whether there any cases of waiver of fees/reversal of accounted fees which was due but not received / written off. If yes, the reasons therefore and amount involved.

boImnarjm Ho$ Xm¡amZ h_Zo H§$nZr Ûmam [a`m`V/H$moB© ewëH$ ~Q²>Q>o ImVo S>mbZo H$m H$moB© ^r boZ-XoZ Zht XoIm Ÿ&During the course of our audit we have not come across any transaction where the company has waived / written off any fees receivable nor any reversal of accounted fees.

H$mn© ~¢H$ {gŠ`w[aQ>rg {b{_Q>oS> - AZw~§Y - 3

h_mar g_{XZm§{H$V [anmoQ>© Ho$ ""AÝ` {d{YH$ Am¡a {d{Z`m_H$ Amdí`H$VmAm| na [anmoQ>©'' Ho$ AZwÀN>oX 5 - III _| g§X{^©V AZw~§Y - 3.

H§$nZr Ho$ [aH$mS>© Ho$ gË`mnZ Ho$ AmYma na Am¡a h_| {XE JE ñnîQ>rH$aU Ho$ AmYma, h_ A{Y{Z`_ H$s Ûmam 143(5) Ho$ AZwgma ^maV Ho$ {Z`§ÌH$ Am¡a _hm boImnarjH$ Ûmam Omar {ZX}em| na h_ {ZåZdV [anmoQ>© Xo aho h¡Ÿ&


MANISH R. RESHAMWALAPARTNERMEMB. NO. 106586


H¥ Vo Ama.gr. aoe_dmbm EÊS H§ .gZXr boImH$ma\ _© n§OrH$aU g§. 108832W

_Zrf Ama. aoe_dmbmgmÂmoXma

gXñ`Vm g§. 106586

_w§~B© : 13 _B©, 2017

234

H mn©~¢H {gŠ`w[aQrµO {b. Corpbank Securities Ltd.

31 _mM©, 2017 H$s pñW{V HŸm VwbZ-nÌ BALANCE SHEET AS AT 31st MARCH, 2017

(` h‹Omam| _|/` in thousands)

{ddaU Particulars{QßnUr g§. Note No.

`Wm As on 31st March, 2017

`Wm As on 31st March, 2016

I. B©{¹ŸQr Ed§ Xo`VmE§ EQUITY AND LIABILITIES1) eo`aYmaHŸmo§ H$s {Z{Y`m± Shareholder’s funds

H a) eo`a ny±Or Share Capital 2 750,000 750,000

I b) Ama{jV {Z{Y`m± Ed§ A{Yeof Reserves & Surplus 3 379,556 337,0472) Mmby Xo`VmE§ Current liabilities

H a) ì`mnma XoZXm{a`m± Trade payables 4 bKw CÚ_ Am¡a N>moQ>m CÚ_ Micro Enterprises and Small Enterprises – 302AÝ` CÚ_ Other Enterprises 264 195

I b) AÝ` Mmby Xo`VmE§ Other current liabilities 5 109 49 HwŸb TOTAL 1,129,929 1,087,593

II. AmpñV`m± ASSETS 1) J¡a-Mmby AmpñV`m± Non-current Assets

H a) pñWa AmpñV`m± Fixed assets 6_yV© AmpñV`m± Tangible assets 1,337 2,822A_yV© AmpñV`m± Intangible assets 1 2

I b) J¡a-Mmby {Zdoe Non - Current Investment 7 5,000 5,000 J c) AmñW{JV H a AmpñV`m± Deferred tax assets 8 182 144K d) XrKm©d{Y G$U Am¡a A{JŒ_ Long - term loans and advances 9 47,203 56,230

2) Mmby AmpñV`m± Current AssetsH a) BZdo§Qar Inventories 10 976,632 713,206

I b) ZH Xr Ed§ ZH$Xr g_H$j Cash & Cash Equivalents 11 94,650 305,068J c) Aënmd{Y-G$U Ed§ A{JŒ_ Short Term-Loans and advances 12 2,774 4,286K d) AÝ` Mmby AmpñV`m± Other Current assets 13 2,150 835

Hw b TOTAL 1,129,929 1,087,593

_hËdnyU© boIm-Zr{V`m± Ed§ boImo§ na {Qßn{U`m± SIGNIFICANT ACCOUNTING POLICIES & NOTES TO ACCOUNTS

1 to 29

h_mar g§b½Z g_{XZm§{HŸV {anmoQ© Ho AZwgma as per our report of even date attached

H¥ŸVo Ama. gr. aoe_dmbm EÊS> H§$For R. C. Reshamwala & Co.gZXr boImHŸma ChaRTERED aCCOuNTaNTS\$_© n§OrH aU g§. 108832WFRN No. 108832W

_Zrf Ama. aoe_dmbmManish R. Reshamwala gmÂmoXma Partner gXñ`Vm g§§. 106586Membership No. 106586

O` Hw _ma JJ©Jai Kumar GargAÜ`j Chairman

Jmonmb E_. ^JV>Gopal M. Bhagat{ZXoeH Director

S>r. nyU©M§Ð amd D. Purnachandra Rao

{ZXoeH Director

nr. Ho$. AmMm`m© P. K. Acharya

{ZXoeH Director

nr. gÝ`mb P. Sanyal

{ZXoeH Director

E. AmB©. Ooåg A. I. James

nyU©H$m{bH$ {ZXoeH$ Ed§ H§$nZr g{Md Whole time Director & Company Secretary

{Z{Y Aamoam gr.E\$.Amo.

Nidhi Arora C.F.O.

H mn©~¢H {gŠ`w{aQrµO {b{_QoS Ho {ZXoeH _§Sb Ho {bE d CZH r Amoa go For and on behalf of the Board of Directors of CorpBank Securities Limited

ñWmZ Place : _w§~B© Mumbai{XZm§H Dated : 13th _B© May, 2017


H mn©~¢H {gŠ`w[aQrµO {b. Corpbank Securities Ltd.

31 _mM©, 2017 H$mo g_mßV df© hoVw bm^-hm{Z boIm STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31st MARCH, 2017

{ddaU Particulars {QßnUr g§. Note No.

g_mßV df©Year ended 31st

March, 2017

g_mßV df©Year ended 31st

March, 2016

n{aMmbZ go amOñd Revenue from operation 14 72,702 76,752

AÝ` Am` Other income 15 7,663 5,064

Hw b amOñd Total Revenue 80,365 81,816

ì`` Expenses:H _©Mmar {hVbm^ ì`` Employee benefit expenses 16 6,308 5,702

_yë`õmg Ed§ n[aemoYZ ì`` Depreciation & amortization expenses 6 1,486 786

AÝ` ì`` Other Expenses 17 4,732 6,730

Hw b ì`` Total Expenses 12,526 13,218

AndmXmË_H Am¡a AgmYmaU _X Ed§ H$a nyd© bm^ Profit before exceptional and extraordinary items & tax

67,839 68,598

AndmXmË_H _Xo§ Exceptional Items - -

AgmYmaU _Xmo§ Am¡a HŸa go nyd© bm^ Profit before extraordinary items and tax 67,839 68,598

AgmYmaU _Xo§ Extraordinary Items - -

HŸa nyd© bm^ Profit before tax 67,839 68,598

OmoS>| (KQmE§): HŸa ì`` add/(Less) : Tax expenses

(1) Am` HŸa Income tax

Mmby dfmoª H m of Current years 13,550 14,500

JV dfmoª H m of Earlier years (724) 0

(2) AmñW{JV H a Deferred tax 38 41

(3) g_§OZ hoVw E_EQr O_m MaT credit set off 9,028 9,373

Ad{Y hoVw bm^/(hm{Z) Profit / (Loss) for the period 46,023 44,766

à{V eo`a AO©Z: Earning per share:à{V eo`a _yb Ed§ VZwH¥$V> AO©Z Basic and Diluted Earnings per share 18 0.61 0.60

h_mar g§b½Z g_{XZm§{HŸV {anmoQ© Ho AZwgma as per our report of even date attachedH¥ŸVo Ama. gr. aoe_dmbm EÊS> H§$For R. C. Reshamwala & Co.gZXr boImHŸma ChaRTERED aCCOuNTaNTS\$_© n§OrH aU g§. 108832WFRN No. 108832W





{ZXoeH Director


{ZXoeH Director


{ZXoeH Director




Nidhi Arora C.F.O.

(` h‹Omam| _|/` in thousands)



236

31 _mM© 2017 H$s pñW{V H m ZH Xr àdmh {ddaU CASH FLOW STATEMENT AS ON 31ST MARCH, 2017

(` h‹Omam| _o|/` in thousands) 2016-2017 2015-2016

H ) A)

n{aMmbZ {H«$`mH$bmnm| go ZHŸXr àdmh CASH FLOW FROM OPERATING ACTIVITIES HŸa Ed§ AgmYmaU _Xmo§ go nyd© {Zdb bm^Net Profit before tax & Extraordinary Items

67,839 68,598

{ZåZ hoVw g_m`moOZ: Adjustment for: àmßV bm^m§e Dividend Received (1,500) (1,500)

å`yMwAb \§$S>m| Ho$ _moMZ na bm^ Gain on Redemption of Mutual Funds (313) (248)

pñWa AmpñV`m| H$s {~H«$s go àmßV Gain on Sale of Fixed Assets 0 (39)pñWa AmpñV`mo§ na _yë`õmg Depreciation on Fixed Assets 1,486 786 àmßV ã`mO Interest Received (5,144) (3,158)

(5,471) (4,159)

HŸm`©erb ny±Or n[adV©Zmo§ go nyd© n{aMmbZ bm^ OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES 62,368 64,439 HŸm`©erb ny±Or n[adV©Zmo§ Ho$ {bE g_m`moOZ: ADJUSTMENTS FOR WORKING CAPITAL CHANGES : Mmby Xo`VmE§ Current Liabilities (174) (20)ì`mnmaJV ñQm°H Stock in trade (263,426) 220,779 XrKm©d{Y G U Ed§ A{J«_ Long term Loans & Advances (0) (11,040)Aënmd{Y G U Ed§ A{J«_ Short term Loans & Advances 345 (622)AÝ` Mmby AmpñV`m± Other Current Assets (268) 201

(263,523) 209,298

n{aMmbZmo§ go A{O©V ZHŸX Cash Generated from Operations (201,155) 273,737

àXÎm àË`j H$a Direct Taxes paid (15,173) (14,816)

n{aMmbZ {HŒ `mHŸbmnm| go {Zdb ZHŸXr (H ) NET CASH FROM OPERATING ACTIVITIES (A)

(216,328) 258,921

I) B)

{Zdoe {HŒ `mH bmnmo§ go ZH Xr àdmh CASH FLOW FROM INVESTING ACTIVITIES

àmßV ã`mO (ZmoQ> g§. 2) Interest Received (Note No. 2) 4,098 17,742

àmßV bm^m§e Dividend Received 1,500 1,500

å`yMwAb \§$S>m| H$m _moMZ Redemption of Mutual Funds 313 248

pñWa AmpñV`m| H$s {~H«$s Sale of Fixed Assets 0 47

IarXr JB© pñWa AmpñV`m± Purchase of Fixed Assets 0 (3,475)

{Zdoe {H«Ÿ`mHŸbmn _o§ à`wº {Zdb ZHŸXr (I) NET CASH USED IN INVESTING ACTIVITY (B) 5,910 16,062

J) C)

{dÎm {HŒ mHŸbmnm| go ZHŸXr àdmh CASH FLOW FROM FINANCING ACTIVITIES

àXÎm bm^m§e (bm^m§e g§{dVaU H$a g{hV) Dividend Paid (Includes Dividend Distribution Tax) 0 –

{dÎm {HŒ `mHŸbmn _o§ à`wº {Zdb ZHŸXr (J) NET CASH USED IN FINANCING ACTIVITY (C) 0 –

ZHŸXr Ed§ ZHŸXr g_Vwë` _o§ {Zdb n{adV©Z(H +I+J) NET CHANGES IN CASH & CASH EQUIVALENTS (A+B+C) (210,417) 274,983


ZHŸXr Ed§ ZHŸXr g_Vwë` H m àma§{^H eofOPENING BALANCE OF CASH & CASH EQUIVALENTS

305,068 30,085

ZHŸXr Ed§ ZHŸXr g_Vwë` H m A§{V_ eof CLOSING BALANCE OF CASH & CASH EQUIVALENTS

94,650 305,068

(210,417) 274,983

{Qßn{U`m§ Notes :

ZHŸXr Ed§ ZHŸXr g_Vwë` H m A§{V_ eofClosing Balance of Cash & Cash Equivalents 1. ZHŸXr Ed§ ZHŸXr g_Vwë` _o§ em{_b h¢ Cash and Cash Equivalents includes:

hñVJV ZHŸXr Cash in Hand 5 10

AZwgy{MV ~¢H mo§ _o§ eof Balance with Scheduled Banks

- Mmby ImVo _o§ In Current Account 915 483

- Eogo O_m ImVo {OZH$s n[anŠdVm Ad{Y 12 _hrZm| go H$_ hmo In Deposit account having maturity below 12 months

93,730 304,575

94,650 305,068

2. AàË`j nÕ{V go ZH$Xr àdmh [anmoQ>© H$s OmVr h¡& Cash flows are reported using the indirected Method.

3. Mmby df© Ho Am§H ‹Smo§ Ho gmW VwbZr` ~ZmZo Ho {bE Ohm± H ht Amdí`H g_Âmm J`m JV df© Ho Am§H ‹Smo§ H mo nwZ… g_y{hV Ed§ nwZì`©dpñWV {H `m J`m h¡& Previous year figures have been regrouped and rearranged wherever considered necessary to make them comparable with those of the current year.

h_mar g§b½Z g_{XZm§{HŸV {anmoQ© Ho AZwgma As per our report of even date attached

H¥ŸVo Ama. gr. aoe_dmbm EÊS> H§$For R. C. Reshamwala & Co.gZXr boImHŸma CHARTERED ACCOUNTANTS\$_© n§OrH aU g§. 108832WFRN No. 108832W





{ZXoeH Director


{ZXoeH Director




{ZXoeH Director




Nidhi Arora C.F.O.

238

31.03.2017 H mo g_mßV df© hoVw {dÎmr` {ddaU H$m ZmoQ>NOTES TO FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31.03.2017

Note 1: Summary of Significant Accounting Policies followed by The Company

Company Overview

Corpbank Securities Ltd. (the Company) was registered as a Non-Banking Financial Company (NBFC) with the Reserve Bank of India and had been functioning as Primary Dealer till March 2007. Further to the discontinuation of its Primary Dealership activity, the Company had ceased to be the NBFC and accordingly the Certificate of Registration under Section 45-IA (6) of the RBI Act, 1934 was cancelled in the year 2007. Thereafter the Company started the distribution of Mutual Fund products. Besides, the Company has been deploying its funds by way of trading in approved instruments including Certificate of Deposits, Commercial Papers, Central Govt. Securities and Treasury Bills as part of its business activity. After securing the requisite regulatory approvals and registering with the NSE/BSE the Company commenced equity broking business for institutional investors during the financial year 2015-16.

Basis of preparation of Financial Statements:

These financial statements have been prepared on accrual basis and under historical cost convention and in compliance, in all material aspects, with the applicable accounting principles in India, the applicable accounting standards prescribed under Section 129 and 133 and the other relevant provisions of the Companies Act, 2013 (the Act) read with rule 7 of the Companies (Accounts) Rules, 2014.

Use of EstimatesThe preparation of financial statements are in confirmity with generally accepted accounting principles which require estimates and assumptions to be made by the management that affects the reported amounts of assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting year. Difference between the actual results and estimates are recognised in the year in which the results are known/materialised.

1 Significant accounting policies

1.1 Method of Accounting

(i) The financial statements are prepared on historical cost basis conforming to the statutory provisions, in accordance with Generally Accepted Accounting Principles.

(ii) The company follows accrual system of accounting.

ZmoQ 1: H§$nZr Ûmam AZwnm{bV _hËdnyU© boIm-Zr{V`mo§ H$m

gmam§e

H§$nZr H$m ì`m¡am

H$mn© ~¢H$ goŠ`y[a{QO {b. (H§$nZr) hJ¡a ~¢qH$J {dÎmr` H§$nZr Ho$ ê$n _o§ maVr`

[aOd© ~¢H$ _o§ n§OrH¥$V hwB© Wr VWm _mM© 2007 VH$ àmW{_H$ Srba Ho$ ê$n

_o§ H$m`©aV Wr& AmJo àmW{_H$ Srba{en H$s g_mpßV na H§$nZr EZ~rE\$gr

Zht ahr VXZwgma Ama~rAmB© A{Y{Z`_ 1934 H$s Ymam 45-AmB©E (6) Ho$

A§VJ©V n§OrH$aU df© 2007 _o§ {ZañV hmo J`m& CgHo$ ~mX H§$nZr Zo å`wMwAb

\§$S Ho$ {dVaU H$m H$m`© ewê {H$`m & BgHo$ A{V[aº H§$nZr ì`dgm{`H$

J{V{d{Y`mo§ Ho$ A§VJ©V AnZr {Z{Y`mo§ H$m {d{Z`moOZ AZw_mo{XV à{V^y{V`mo§

O¡go O_m à_mUnÌ, dm{UpÁ`H$ nÌ, gaH$mar à{V^y{V`mo§ VWm Q—oOar {~bmo§

_o§ H$aVr h¡& df© 2015-16 _o§ EZEgB©/~rEgB© go Amdí`H$ {d{Z`m_H$

AZw_moXZ àmßV H$aHo$ H§$nZr Zo g§ñWmJV {ZdoeH$mo§ Ho$ {bE Bp¹Qr ~ŒmoqH$J

ì`dgm` H$mo ewê {H$`m h¡&

{dÎmr` {ddaUmo§ Ho$ {Z_m©U H$m AmYma

{dÎmr` {ddaUmo§ H$mo CnM` AmYma na ^maV _o§ bmJy g^r {dÎmr` _mZH$mo§ Ho$

AZwgma g^r VÏ`JV nhbwAmo§ H$mo Ü`mZ _o§ aIH$a Eo{Vhm{gH$ bmJV na§nam

Ho$ AZwnmbZ _o§ ~Zm`m J`m h¡, H§$nZr A{Y{Z`_, 2013 (A{Y{Z`_) H$s

Ymam 129 VWm 133 Ed§ AÝ` g§~§{YV àmdYmZ Ho$ A§VJ©V {ZYm©[aV bmJy

boIm§H$Z _mZH$ H$mo H§$nZr (boIm) {Z`_, 2014 Ho$ gmW n‹T>m OmE&

AmH$bZ H$m à`moJ

{dÎmr` {ddaUmo§ H$m {Z_m©U gm_mÝ`V… boIm {gÕmVmo§ Ho$ AZwgma ~Zm`m J`m

h¡ {Og_o§ à~§YZ V§Ì Ûmam AmH$bZ Ed§ àmH$bZ H$aZo H$s Amdí`H$Vm hmoVr h¡

Omo {dÎmr` {ddaU Ho$ {XZm§H$ na [anmoQ© H$s JB© AmpñV`mo§ Ed§ Xo`VmAmo§ H$s am{e

Ed§ [anmoqQ©J df© Ho$ Xm¡amZ [anmoQ© {H$E JE Am` Ed§ ì`` H$s am{e H$mo à^m{dV

H$aVo h¢& _yb n[aUm_ VWm AmH$bZ Ho$ A§Va H$mo n[aUm_ Kmo{fV/~VmE OmZo

dmbo df© _o§ {XIm`m OmVm h¡&

1 _hËdnyU© boIm-Zr{V`m±

1.1 boIm§H$Z {d{Y

(i) {dÎmr` {ddaU gm_mÝ`V… ñdrH¥$V boIm§H$Z {gÕm§Vmo§ Ho$

AZwgaU _o§ gm§{d{YH$ àmdYmZmo§ Ho$ AZwgma Eo{Vhm{gH$

bmJV AmYma na V¡`ma {H$E OmVo h¢&

(ii) H§$nZr, boIm§H$Z H$s àmoØdZ àUmbr AnZmVr h¡&


1.2 Fixed Assets & Depreciation

(i) Fixed assets are valued at original cost less accumulated depreciation. Costs include all direct costs attributable to acquisition, installation and commissioning.

(ii) Depreciation on fixed assets is provided on “Written Down Value” (WDV) method, at the rates specified in and in the manner as laid down by Schedule II of the Companies Act, 2013.

1.3 Investments

(i) The securities acquired with the intention of short term holding and trading positions is considered as “Stock-in-Trade” and shown under current assets. Other securities acquired with the intention of long term holding are treated as “Investments.”

(ii) Securities held as investments and held till maturity are valued at cost.

(iii) Any diminution in the value of securities held as investment individually is provided for, wherever such diminution is permanent.

1.4 Stock-in-trade

(i) The Quoted securities are valued at cost or market price, whichever is lower. In the absence of market quotes, market prices are determined at the rates derived from the prevailing yield of securities having similar standing and maturity period.

(ii) Each type of security is regarded as a separate category. Under each category, valuation is done scrip-wise and depreciation is provided, while appreciation is ignored. The depreciation in one category of securities is not set off against appreciation in another category.

(iii) Treasury Bills held on the balance sheet date are valued at carrying cost or market value whichever is lower. The market value of Treasury Bills held on the Balance Sheet date is determined as per the rates provided by Clearing Corporation of India Limited. The Certificate of Deposits, and Commercial Papers held on the balance sheet date, are valued at carrying cost as explained in 1.6 below.

(iv) The market value of Central Government Dated Securities is determined as per the rates provided by Fixed Income and Money Market Dealers Association (FIMMDA).

1.5 Payments to and Provision for Employees Payments made to parent organization viz.,

Corporation Bank’s staff, towards emoluments/provident funds of their employees/officials, whose

1.2 pñWa AmpñV`m± Ed§ _yë`õmg (i) pñWa AmpñV`mo§ H$m _yë`m§H$Z CZH$s _yb bmJV _o§ go g§{MV

_yë`õmg KQmH$a {H$`m OmVm h¡& bmJV _o§ A{YJŒhU, g§ñWmnZ VWm H$m`©-Ama§^ go Ow‹Sr g_ñV àË`j bmJV em{_b h¡&

(ii) pñWa AmpñV`mo§ na _yë`õmg H$m {ZYm©aU H§$nZr A{Y{Z`_, 2013 H$s AZwgyMr II _o§ {Z{X©îQ Xamo§ Ed§ {ZYm©[aV T§J go "Ad{b{IV _yë`’ (Sãë`ySrdr) nÕ{V go {H$`m OmVm h¡&

1.3 {Zdoe (i) Aënmd{Y YmaU VWm ì`mnm[aH$ H«$`-{dH«$` Ho$ CÔoí` go

A{O©V à{V^y{V`mo§ H$mo "{dH«o$` ñQm°H$’ Ho$ ê$n _o§ _mZm OmVm h¡ Am¡a Mmby AmpñV`mo§ Ho$ AYrZ Xem©`m OmVm h¡& XrKm©d{Y YmaU Ho$ CÔoí` go A{O©V AÝ` AmpñV`mo§ H$mo ‘{Zdoe’ Ho$ ê$n _o§ _mZm OmVm h¡&

(ii) {Zdoemo§ `m ñQm°H$ BZ Q—oS Ho$ ê$n _o§ Ym[aV VWm n[an¹Vm VH$ Ym[aV à{V^y{V`mo§ H$mo bmJV na _yë`m§{H$V {H$`m OmVm h¡&

(iii) {Zdoe Ho$ ê$n _o§ aIr à{V^y{V`mo§ Ho$ _yë`õmg hoVw, Ohm± H$ht `h õmg ñWmB© h¡, àmdYmZ {H$`m OmVm h¡&

1.4 ì`mnma hoVw ñQmH$ (i) H$moQ H$s JB© à{V^y{V`mo§ H$mo bmJV `m ~mµOma _yë`, Omo ^r

H$_ h¡, na _yë`m§{H$V {H$`m OmVm h¡& ~mµOma ^md CnbãY Z hmoZo na, g_mZ àH¥${V Ed§ n[an¹Vm Ad{Y dmbr à{V^y{V`mo§ Ho$ {dÚ_mZ à{V\$b Ho$ AmYma na n[aH${bV Xamo§ na ~mµOma _yë` {ZYm©[aV {H$E OmVo h¢&

(ii) àËòH$ àH$ma H$s à{V^y{V H$mo EH$ àËòH$ àdJ© _mZm OmVm h¡& àËòH$ àdJ© Ho$ A§VJ©V, _yë`m§H$Z pñH«$n-dma {H$`m OmVm h¡ VWm _yë`õmg H$m àmdYmZ {H$`m OmVm h¡ O~{H$ _yë`-d¥{Õ H$mo Nmo‹S {X`m OmVm h¡& EH$ àdJ© H$s à{V^y{V`mo§ Ho$ _yë`õmg H$mo Xygao àdJ© _o§ _yë`d¥{Õ Ho$ ~Xbo g_§OZ Zht {H$`m OmVm h¡&

(iii) VwbZ-nÌ H$s VmarI H$mo Ym[aV Q—oµOar {~b H$m _yë`m§H$Z aImd bmJV `m ~mµOma _yë`, Omo ^r H$_ hmo, na {H$`m OmVm h¡& VwbZ-nÌ H$s VmarI H$mo Ym[aV Q—oµOar {~bmo§ H$m ~mµOma _yë` ^maVr` g_memoYZ {ZJ_ {b{_QoS Ûmam CnbãY H$amB© Xamo§ Ho$ AZwgma {ZYm©[aV {H$`m OmVm h¡& VwbZ-nÌ H$s VmarI H$mo Ym[aV O_m à_mU-nÌ Am¡a dm{UÁ` nÌmo§ H$mo ZrMo 1.6 _o§ d{U©V AZwgma aImd bmJV na _yë`m§{H$V {H$`m OmVm h¡&

(iv) Ho$Ð gaH$ma {XZm§{H$V à{V^y{V`mo§ H$m ~mµOma _yë` ^maVr` {Z`V Am` _wÐm ~mµOma Am¡a ì`wËnÞr g§K (E\$AmB©E_E_SrE) Ûmam CnbãY H$amB© Xamo§ Ho$ AZwgma {ZYm©[aV {H$`m OmVm h¡&

1.5 H$_©Mm[a`mo§ H$mo ^wJVmZ d CZHo$ {bE àmdYmZ _yb g§JRZ AWm©V², H$mnmo©aoeZ ~¢H$ H$mo, CZHo$ H$_©Mm[a`mo§/

A{YH$m[a`mo§ H$s, {OZH$s godmE§ à{V{Z`w{º$ Ho$ AmYma na H§$nZr H$mo àXmZ H$s OmVr h¢, n[abpãY`mo§/^{dî` {Z{Y hoVw

240

services are lent to the Company on deputation basis, are regarded as Company’s costs.

Employee Retirement Benefits being the liability of the parent organization viz. Corporation Bank is not recognized in the Financial Statement. Similar is the case for termination benefits and leave encashment.

1.6 Revenue Recognition (i) Interest accrued on Dated Government

Securities is recognized at its coupon rate.

(ii) Purchase and sale price of fixed income securities is bifurcated into cost and accrued interest paid or realized. Amount paid as interest accrued on purchase and received on sale of fixed income securities (Broken period interest) is netted and reckoned as income/expense.

(iii) Commission on the business done as intermediaries is recognised on accrual basis.

(iv) Revenue from brokerage busines is recognised on the basis of the confirmed Contract note of the trade.

(v) Interest on investments is recognised on accrual basis. Dividend income on investments in the Units of Mutual Funds is recognised on the basis of declaration of the same.

1.7 Taxation

(i) Provision for current tax is made on the basis of estimated taxable income for the current accounting year in accordance with the provisions of the Income Tax Act, 1961.

(ii) Deferred Tax for timing differences between tax profit & book profit for the year is accounted for using the tax rate & laws that have been enacted or substantially enacted as of the Balance Sheet date. Deferred Tax assets arising from timing differences are recognised to the extent there is a virtual certainity that these assets would be realised in future and reviewed for the appropriateness of their respective carrying values at each Balance Sheet date.

1.8 Impairment of Assets

The carrying amount of assets is reviewed at each balance sheet date for indications of any impairment based on internal/external factors. An impairment loss is recognised wherever the carrying amount of the assets exceeds its recoverable amount. Any such impairment loss is recognised by charging it to the profit and loss

{H$E JE ^wJVmZ H$mo H§$nZr H$s bmJV Ho$ ê$n _o§ _mZm OmVm h¡&

H$_©Mmar godm{Zd¥{Îm bm^ _yb g§JRZ H$mnmo©aoeZ ~¢H H$m CÎmaXm{`Ëd h¡ {Ogo {dÎmr` {ddaU _o§ _mÝ`Vm Zht Xr JB© h¡& godm§V bm^ Am¡a NwÅr ZH$XrH$aU Ho$ _m_bo _o§ ^r `hr hwAm h¡&

1.6 amOñd H$m {ZYm©aU

(i) {XZm§{H$V gaH$mar à{V^y{V`mo§ na Cn{MV ã`mO H$mo CgH$s Hy$nZ Xa na {ZYm©[aV {H$`m OmVm h¡&

(ii) pñWa Am` à{V^y{V`mo§ H$s IarX Ed§ {~H«$s _yë` H$mo bmJV Am¡a àXÎm Ed§ dgyb Cn{MV ã`mO Ho$ ê$n _o§ {d^m{OV {H$`m OmVm h¡& pñWa Am` à{V^y{V`mo§ H$s IarX na Cn{MV `m {~H«$r na àmßV ã`mO (I§{SV Ad{Y ã`mO) Ho$ ê$n _o§ àXÎm am{e H$m {Zdb {ZH$mbm J`m Am¡a Am`/ì`` Ho$ ê$n _o§ _mZm OmVm h¡&

(iii) _Ü`dVr© Ho$ ê$n _o§ {H$E JE H$mamo~ma na H$_reZ/Xbmbr H$m {ZYm©aU CnM` AmYma na {H$`m OmVm h¡&

(iv) ~ŒmoH$aoO ì`dgm` go amOñd H$s nhMmZ ì`mnma H$s nwîQ g§{dXm ZmoQ Ho$ AmYma na H$s OmVr h¡ &

(v) {Zdoemo§ na ã`mO H$m {ZYm©aU CnM` AmYma na {H$`m OmVm h¡& å`yMwAb \§$Smo§ H$s `y{ZQmo§ _o§ {Zdoe na bm^m§e Am` CZH$s KmofUm Ho$ AmYma na {ZYm©[aV H$s OmVr h¡&

1.7 H$amYmZ

(i) Mmby H$a H$m àmdYmZ Am` H$a A{Y{Z`_, 1961 Ho$ àmdYmZmo§ Ho$ AZwgma Mmby boIm§H$Z df© hoVw AZw_m{ZV H$a-`mo½` Am` Ho$ AmYma na {H$`m OmVm h¡&

(ii) df© Ho$ H$a bm^ Ed§ ~hr bm^ Ho$ g_`mÝVa hoVw AmñW{JV H$a H$s JUZm VwbZ-nÌ H$s VmarI H$mo {dÚ_mZ H$a Xa VWm A{Y{Z`{_V `m VËdV… A{Y{Z`{_V {d{Y`mo§ H$m à`moJ H$aVo hwE H$s OmVr h¡& g_`mÝVa go CËnÞ AmñW{JV H$a AmpñV`mo§ H$m {ZYm©aU Bg gr_m VH$ {H$`m OmVm h¡ {OVZm {H$ ^{dî` _o§ Cº AmpñV`mo§ H$s dgybr H$s {Z{üVVm hmo Am¡a ha VwbZ-nÌ H$s VmarI H$mo CZHo$ g§~§{YV _yë`mo§ H$s Cn`wºVm H$s g_rjm H$s OmVr h¡&

1.8 AmpñV`mo§ H$s j{V Am§V[aH$/~mø KQH$mo§ Ho$ AmYma na {H$gr j{V Ho$ g§Ho$V H$s

X¥pîQ go AmpñV`mo§ H$s {Z{hV am{e H$s àË`oH$ VwbZ-nÌ VmarI H$mo g_rjm H$s OmVr h¡& Ohm± H$ht {Z{hV am{e CgH$s dgybr-`mo½` am{e go A{YH$ hmo OmVr h¡, j{VJV hm{Z {ZYm©[aV H$s OmVr h¡& Eogr {H$gr j{VJV hm{Z H$mo bm^-hm{Z boIo _o§ à^m[aV H$aVo hwE {ZYm©[aV {H$`m OmVm h¡& O~ {H$gr nyd© {ZYm©[aV j{VJV


account. A previously recognised impairment loss is reversed when it ceases to exist and the asset is restated to that effect.

1.9 Provisions, Contingent Assets and Contingent Liabilities

The Company creates a provision when there is a present obligation as a result of a past event that probably requires an outflow of resourses and a realiable estimate can be made of the amount of the obligation. A disclosure for contingent liability is made when there is possible obligation or a present obligation that may, but probably will not, require any outflow of resourses.Where there is a possible obligation or a present obligation in respect of which the likelihood of outflow of resources is remote no provision or disclosure is made.

Contingent assets are not recognized nor disclosed in the Financial Statements.

1.10 Cash & Cash Equivalents

Cash and cash equivalents comprise cash and cash on deposit with banks and financial institutions. The Company considers all highly liquid investments with a remaining maturity at the date of purchase of three months or less and that are readily convertible to known amounts of cash to be cash equivalents.

1.11 Cash Flow Statement

Cash flows are reported using the indirect method where by the profit for the period is adjusted for the effects of the transactions of a non-cash nature, any deferrals or accruals of any past or future operating cash receipts and payments and item of income and expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are segregated.

1.12 Earnings Per Share (EPS)

Earnings per equity share is computed by dividng the net profit attributable to the equity shareholders of the Company by the weighted average number of equity shares outstanding during the period. The Company has not issued any Shares/ESOP nor is there any change in the number of shares during the year and hence diluted earning per share are same as basic earnings per share.

1.13 Intangible assets

Intangible assets consist of acquisition cost of application software. This is being amortised over a useful life of the asset or 3 years which ever is less, with residual value @5%.

hm{Z H$s _m¡OyXJr IË_ hmo OmVr h¡, Cgo àË`md{V©V {H$`m OmVm h¡ Am¡a Cg hX VH$ nwZ{Z©Ym©[aV {H$`m OmVm h¡&

1.9 àmdYmZ, AmH$pñ_H$ AmpñV`m± Ed§ AmH$pñ_H$ Xo`Vm {dJV H$s {H$gr KQZm Ho$ H$maU O~ dV©_mZ _o§ H$moB© Xm{`Ëd hmo

{OgHo$ {bE g§gmYZmo§ H$mo ~{hJ©_Z Ano{jV hmo Am¡a Cº Xm{`Ëd H$s am{e H$m H$moB© {dœgZr` AZw_mZ bJm`m Om gH$Vm hmo H§$nZr BgHo$ {bE àmdYmZ H$aVr h¡& AmH$pñ_H$ Xo`Vm H$m àH$QZ V~ {H$`m OmVm h¡ O~ Eogm H$moB© g§^m{dV Xm{`Ëd m dV©_mZ Xm{`Ëd hmo {OgHo$ {bE g§^dV… g§gmYZmo§ Ho$ ~{hJ©_Z Ano{jV Z hmo& Ohm± Eogm H$moB© g§^m{dV Xm{`Ëd `m dV©_mZ Xm{`Ëd hmo {OgHo$ g§~§Y _o§ g§gmYZmo§ Ho$ ~{hJ©_Z H$s g§^mdZm ZJÊ` h¡, dhm± H$moB© àmdYmZ `m àH$QZ Zht {H$`m OmVm h¡&

{dÎmr` {ddaUmo§ _o§ AmH$pñ_H$ AmpñV`mo§ H$moo Z Vmo _mÝ`Vm Xr JB© Z hr CX²¿mm{QV {H$`m J`m h¡&

1.10 ZH$Xr VWm ZH$Xr g_mZ ZH$Xr Am¡a ZH$Xr g_mZ Ho$ A§VJ©V ZH$Xr VWm {dÎmr` g§ñWmAmo§

VWm ~¢H$mo§ _o§ O_mE± em{_b h¢& H§$nZr g^r CÀM VabVm dmbo {Zdoemo§ H$mo eof n[an¹Vm AmYma na IarX H$s VmarI go VrZ _mh `m H$_ H$s Ad{Y àXmZ H$aVr h¡ VWm ò ZH$Xr H$s kmV am{e `m ZH$Xr g_mZ _o§ AmgmZr go n[adV©Zr` h¢&

1.11 ZH$Xr àdmh ZH$Xr àdmh H$mo Anamoj {d{Y Ûmam [anmoQ© {H$`m OmVm h¡ {Og_o§

Ad{Y Ho$ Xm¡amZ hwE bm^ H$mo J¡a-ZH$Xr dmbo boZ-XoZ, {H$gr Qmbo JE `m Cn{MV ^yV `m ^{dî` H$s n[aMm{bV ZH$X nmdVr `m ^wJVmZ VWm ZH$Xr àdmh Ho$ {dÎmnmofU `m {Zdoe go g§~§{YV ì`` Ho$ gmnoj g_m`mo{OV {H$`m OmVm h¡ & n[aMmbZ, {Zdoe VWm {dÎmnmofU J{V{d{Y`mo§ go àmßV ZH$Xr H$mo AbJ AbJ {XIm`m OmVm h¡&

1.12 à{V eoà AO©Z (B©nrEg ) à{V eoà AO©Z H$s JUZm H§$nZr Ho$ Bp¹Qr eoàYmaH$mo§ H$mo XoZo

`mo½` {Zdb bm^ _o§ Ad{Y Ho$ Xm¡amZ eof Bp¹Qr eoàmo§ H$s ^m[aV Am¡gV g§»`m go ^mJ XoH$a H$s OmVr h¡& H§$nZr Zo df© Ho$ Xm¡amZ H$mo eoà/BEgAmonr Omar Zht {H$E h¢ Am¡a eoàmo§ H$s g§»`m _o§ H$moB© ~Xbmd ^r AV… à{V eoà VZwH¥$V Am` à{V eoà H$s _yb Am` Ho$ g_mZ h¡&

1.13 A_yV© AmpñV`m± A_yV© AmpñV`mo§ _o§ EßbrHo$eZ gm\$Q²doà em{_b h¢& BgH$m

n[aemoYZ 5 % Adeof _yë` Ho$ AmYma na AmpñV`mo§ Ho$ Cn`moJr OrdZ `m 3 df© H$s Ad{Y Omo H$_ hmo na {H$`m OmVm h¡&

242

31 _mM©, 2017 H$mo g_mßV Ad{Y hoVw boImo§ H$s {Qßn{U`m± NOTES TO FINANCIAL STATEMENTS FOR THE yEAR ENDED 31ST MARCH, 2017

2 eoà ny±Or SHARE CAPITAL (` hµOmamo§ _| ` in thousands)

{ddaU Particulars `Wm As at

March 31, 2017 `Wm As at

March 31, 2016

àm{YH¥ V Authorized12,50,00,000 B©pŠdQ>r eoà, `10/- g_ _yë` Ho 12,50,00,000 Equity shares, `10/- par value 1,250,000 1,250,000(JV df© 12,50,00,000 B©pŠdQ>r eoà `10/- g_ _yë` Ho ) (Previous Year 12,50,00,000 equity shares `10/- par value) 1,250,000 1,250,000

{ZJ©{_V, A{^XÎm Ed§ àXÎm Issued, Subscribed and Paid Up7,50,00,000 B©pŠdQ>r eoà, `10/- g_ _yë` Ho , nyU©V… àXÎm 7,50,00,000 Equity shares, `10/- par value, fully paid up 750,000 750,000 (7,50,00,000 eoà YmaH H§$nZr H$mnmo©aoeZ ~¢H Am¡a CgHo Zm{_{V`mo§ Ûmam Ym[aV) (7,50,00,000 Shares held by Holding Company Corporation Bank and its Nominees) 750,000 750,000

{Q>ßnUr g§. 2.1… 31.3.2017 Am¡a 31.3.2016 H$mo ~H$m`m eoàm| H$m g_mYmZ `hm§ ZrMo àñVwV h¡… Note No. 2.1 : The reconciliation of the number of shares outstanding as at 31.3.2017 and 31.3.2016 is set out below :

{ddaU Particulars31 _mM©, 2017 H$mo 31 _mM©, 2016 H$mo

As at March 31, 2017 As at March 31, 2016 Ama§^ _| eoàm| H$s g§»`m Number of shares at the beginning 75000 75000 OmoS>|… df© Ho$ Xm¡amZ Omar eoà Add: Shares issued during the year

– – KQ>mE§… dmng IarXo JE eoà (AJa H$moB© hmo Vmo)

Less : Shares bought back (if any) – – A§V _| eoàm| H$s g§»`m Number of Shares at the end 75000 75000 H§ nZr Ho nmg Ho db EH hr loUr Ho B{¹$Q>r eoà h¡ {OgH m g_ _yë` `10 à{V eoà h¡& B{¹$Q>r eoà H m ha YmaH à{V eoà Ho {bE EH dmoQ H m hH Xma h¡& H§ nZr bm^m§e H m ^wJVmZ KmofUm Ed§ ^maVr` énE _o§ H aVr h¡&`{X {ZXoeH _§Sb Ûmam bm^m§e H m àñVmd h¡, Vmo AJm_r dm{f©H gm_mÝ` _hm g^m _o§ eoàYmaH mo§ go BgH m AZw_moXZ àmßV H aZm Mm{hE&H§ nZr Ho n[ag_mnZ Ho Adga na, B{¹$Q>r eoàYmaH A{Y_mÝ` am{e Ho {dVaU Ho ~mX H§ nZr Ho eof AmpñV H mo àmßV H aZo H m hH Xma hmo§Jo& {dVaU eoàYmaH Ûmam aIo B{¹$Q>r eoàmo§ H r g§»`m Ho AZwnmV _o§ hmoJm & The Company has only one class of equity shares having a par value of `10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees.The dividend proposed, if any, by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General meeting.In the event of liquidation of the Company, the hoders of the equity shares will be entitled to receive remaining assets of the Company, after distribution of preferential amounts. The distribution will be in proportion to the number of equity shares held by the Shareholders.

{Q>ßnUr g§. 2.2 … 31.3.2017 Am¡a 31.3.2016 H$mo 5% eoàmo§ go A{YH Ym[aV H$aZo dmbo eoàYmaH$mo§ Ho ã`moao ZrMo àñVwV h¡ :Note No. 2.2 : The details of shareholders holding more than 5% shares as at 31.3.2017 and 31.3.2016 is set out below :

eoàYmaH$mo§ Ho Zm_ Name of the Shareholders

Ym[aV eoàmo§ H$s g§.

No. of shares held

31 _mM©, 2017 H$mo Ym[aV

As at March 31, 2017

Ym[aV eoàmo§ H$s g§.

No. of shares held

31 _mM©, 2016 H$mo Ym[aV

As at March 31,2016

H mnmo©aoeZ ~¢H (YmaH$ H§$nZr) Am¡a CgHo Zm{_Vr Corporation Bank (Holding Company) and its Nominees 75000 100% 75000 100%


3 Ama{jV {Z{Y`m± d A{Yeof RESERVES & SURPLUS (` hµOmamo§ _| ` in thousands)

{ddaU Particulars `Wm 31 _mM©, 2017

As at March 31, 2017 `Wm 31 _mM©, 2016


ny±Or _moMZ Ama{jV {Z{Y Capital Redemption Reserveàma§{^H eof Opening Balance H /A 250,000 250,000 gm_mÝ` Ama{jV {Z{Y General Reserveàma§{^H eof Opening Balance 11,627 11,627

Omo‹So§: A{Yeof go A§VaU Add: Transferred from surplus – – I/B 11,627 11,627

A{Yeof-àma§{^H$ eof Surplus – Opening balance 75,420 30,654OmoS>|… bm^-hm{Z {ddaU go H$a H$m A§VaU H$aZo Ho$ ~mX {Zdb bm^Add: Net profit after tax transferred from 46,023 44,766

bm^ d hm{Z {ddaU Statement of Profit & Loss – –{d{Z`moOZ hoVw CnbãY am{e Amount available for appropriation 121,443 75,420KQmE§ : {d{Z`moOZ Less : Appropriations

A§{V_ bm^m§e Final Devidend – –

A§V[a_ bm^m§e Interim Dividend – –Hw$b bm^m§e Total Dividend – –{dJV df© hoVw bm^m§e g§{dVaU H$a Dividend Distribution Tax for earlier year 3,514

–

gm_mÝ` Ama{jV {Z{Y H$mo A§V[aV am{e Amount transferred to General Reserve – –

A{Yeof A§{V_ eof Surplus Closing Balance J/C 117,929 75,420

Hw$b Ama{jV {Z{Y Am¡a A{Yeof Total Reserves & Surplus (H$+I+J/A+B+C)

379,556 337,047

4 ì`mnma XoZXm[a`m± TRADE PAyABLES (` hµOmamo§ _| ` in thousands)

{ddaU Particulars`Wm 31 _mM©, 2017

As at March 31, 2017`Wm 31 _mM©, 2016


gyú_ Am¡a bKw CÚ_mo§ H$s ~H$m`m Xo` Outstanding dues of Micro Enterprices and Small enterprises – 302

AÝ` CÚ_mo§ go ~H$m`m Xo`Outstanding dues of Other enterprises 264 195

264 497

{Q>ßnUr g§. 4.1gyú_, bKw VWm _Ü`_ CÚmoJ {dH$mg A{Y{Z`_ 2006 Ho$ A§VJ©V d|S>am| H$s pñW{V H$mo CZgo àmßV gyMZm Ho$ AmYma na H§$nZr Zo àH$Q> {H$`m h¡& gyú_ VWm bKw CÚmoJ d|S>am| H$mo wJVmZ _| H$moB© {db§~ Zhr hþAm h¡ AV: {H$gr ã`mO m AÝ` X§S> am{e Ho$ àmdYmZ H$m àíZ Zht h¡& à~§YZ Ûmam àñVwV àË`mdoXZ H$mo boIm narjH$m| Zo ñdrH$ma {H$`m h¡&Note No. 4.1 : The Company has made the disclosure based on the information received from vendors regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006. There are no delays in the payment to micro or small vendors and as such the question of provision of any interest or other penal sum does not arise.The representation of the management has been relied upon by the Auditors.

5 AÝ` Mmby Xo`VmE§ OTHER CURRENT LIABILITIES (` hµOmamo§ _| ` in thousands)


As at March 31, 2017 `Wm 31 _mM©, 201 6


AÝ` Xo`VmE§ Other payables – –

gm§{d{YH$ Xo`VmE§ (QrSrEg) Statutory Liabilities 109 49109 49

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7 J¡a Mmby {Zdoe NON-CURRENT INVESTMENT (` hµOmamo§ _| ` in thousands)


As at March 31, 2017`Wm 31 _mM©, 2016


A§{H V _yë` Face Value

_mÌm Qty. am{e (`) Amount

`

am{e (`) Amount

`H$moQ Z {H E JE UnquotedB©pŠdQ>r {bIVmo§ _o§ In Equity Instruments

pŠb`qaJ H$mnmo©aoeZ Am°\ B§{S`m {b{_QoS Clearing Corporation of India Limited 10 500 5,000 5,000

H$moQ Z {H E JE {Zdoemo§ H$m Hw b _yë`Total Value of Unquoted Investments 5,000 5,000

XrKm©d{Y {Zdoemo§ H$m `moJ Total of Long Term Investments 5,000 5,000 KQmE§ : {Zdoemo§ Ho _yë` _o§ õmg hoVw àmdYmZ Less : Provision for Diminution in the value of Investment – –

{Zdoe H$m {Zdb _yë` Net Value of Investment 5,000 5,000

8 AmñW{JV H$a AmpñV`m± DEFERRED TAx ASSETS (` hµOmamo§ _| ` in thousands)


As at March 31, 2017 `Wm 31 _mM©, 2016


~{h`mo§ Am¡a Am` H$a A{Y{Z`_ Ho AZwgma _yë`õmg _o§ A§Va Ho H$maUOn account of Difference in Depreciation as per books and as per Income Tax Act 182 144

182 144{Q>ßnUr:

1. H§ nZr Zo gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H Z _mZH 22- Am` na H amo§ hoVw boIm§H Z, Omo A{Zdm`© h¡, bmJy {H `m h¡&

2. H§ nZr Zo BZ AmñW{JV H amo§ H$mo _mÝ`Vm Xr h¡ Omo ~hr,bm^ VWm H a bm^ Ho ~rM Ho g_` ^oX Ho H$maU EH Ad{Y _o§ CËnÞ hmoVo h¢ Am¡a EH `m Cggo A{YH H$s ~mX H$s Ad{Y`mo§ _o§ àË`mdV©Z hoVw gj_ h¡&

3. n[aUm_ñdên, Ad{Y Ho {bE AmñW{JV H a AmpñV`mo§ Ho `37,810/- (nyd© df© H$s Xo`Vm `40,842/-) H$m `moJ Ad{Y Ho {bE bm^ Am¡a hm{Z {ddaU _o§ _mÝ` {H `m J`m h¡&

4. Am` H a {d{Y`mo§ Ho AZwgma H§ nZr H$s {dÎm df© 2008-09 Ho {bE AZdemo{fV H$mamo~ma hm{Z h¡& H§ nZr Ho à~§YZ Zo dfmªV H$s pñW{V H$s g_rjm H$s h¡ Am¡a AmñW{JV H a AmpñV Ho {bE àmdYmZ Zht {H m J`m h¡ My±{H H§ nZr H$mo {ZH Q ^{dî` _o§ H$moB© XrKm©d{Y ny±Or \ m`Xo H$s Cå_rX Zht h¡& VXZwgma boIm§H Z _mZH 22 - Am` na H amo§ H$m boIm§H Z - Ho AZwgma H§ nZr Zo AmJo bo OmB© JB© hm{Z`mo§ na AmñW{JV H a H$m {ZYm©aU Zht {H `m h¡&

Note:1. The Company has implemented Accounting Standard 22-Accounting for taxes on income, issued by the Institute of Chartered Accountants

of India, which is mandatory in nature. 2. The Company has recognized Deferred Taxes which result from the timing difference between the Book Profits and Tax Profits that

originate in one period and are capable of reversal in one or more subsequent periods.3. As a result, the Deferred Tax Asset for the period aggregating to `37,810 (Previous year asset of `40,842) has been recognised in the

Statement of Profit & Loss for the period.4. The Company has unabsorbed Long term capital loss for FY 2008-09 as per Income tax laws. The management of the Company has

reviewed the position at the year end and the deferred tax asset has not been provided since it does not foresee any long term capital gains in the near future. Accordingly, as per accounting Standard 22-Accounting for Taxes on income, the Company has not recognised deferred tax on unabsorbed long term capital loss.

246

9 XrKm©d{Y G$U Ed§ A{JŒ_ LONG TERM LOANS & ADVANCES (` hµOmamo§ _| ` in thousands)

{ddaU Particulars `Wm 31 _mM©, 2017 As at March 31, 2017

`Wm 31 _mM©, 2016 As at March 31, 2016

(Aà{V^yV, AÝ`Wm Z ~VmE OmZo na emoÜ` _mZo JE) (Unsecured, considered good unless stated otherwise)

à{V^y{V O_mE± Security Deposits 11,240 11,240

àmß` A`H a à{VXmZ (df© 11-12)Income Tax Refund Receivable (AY11-12) 57 57

Ý`yZV_ d¡H$pënH H$a O_m Minimum Alternate Tax Credit 35,906 44,933

47,203 56,230

10 BZdo§Qar INVENTORIES (` hµOmamo§ _| ` in thousands)


As at March 31, 2017 `Wm 31 _mM©, 2016


O_m à_mUnÌ Certificate of Deposits 492,918 713,206nÌ Commercial Papers 483,715 –

976,632 713,206

11 ZH$Xr Ed§ ZH$Xr g_Vwë` CASH & CASH EQUIVALENTS (` hµOmamo§ _| ` in thousands)


`Wm 31 _mM©, 2016As at March 31, 2016

ZH$Xr Ed§ ~¢H$ eof am{e Cash & Bank Balances

~¢H$m| _o§ eof Balance with Banks

– Mmby ImVo _o§ In Current account

i) {M{•VMmbyImVoEarmarked Current Accounts 404 177

ii) AÝ` Mmby ImVo Other Current Accounts 511 306

- 12 _mh go H _ n[an¹ Vmdmbo O_m ImVo _o§ In Deposit account having maturity below 12 months

i) {M{•VO_mEEarmarked Deposits 4,875 3,875

ii) AÝ` O_mE Other Deposits 88,855 300,700

hmW _| ZH$Xr Cash in Hand 5 10

94,650 305,068

Cnamoº {M{•V O_mE§ H§ nZr H$s gwajm Am¡a Jma§Qr Ho CÔoí` hoVw CgH$s EZEgB©/~rEgB© _o§ _m{O©Z Am¡a ~H$m`m go g§~§{YV h¡&The deposits earmarked above are for the purposes of security and guarantee of the company towards its margin and outstandings with NSE/ BSE in the course of its broking business.


12 Aënmd{Y G$U Ed§ A{J«_ SHORT TERM LOANS & ADVANCES (` hµOmamo§ _| ` in thousands)


As at March 31, 2017 `Wm 31 _mM©, 2016


(Aà{V^yV, AÝ`Wm Z ~VmE OmZo na emoÜ` _mZo JE) (Unsecured, considered good unless stated otherwise)

godm H$a – Ho$Zd¡Q> O_m Service Tax – Cenvat Credit 121 418

nyd©XÎm ì`` Prepaid Expenses 239 302

godm àXmVm H$mo A{J«_Advance to Service Provider – –

A{J«_ Am` H$a ({Zdb àmdYmZ) Advance Income Tax (Net of Provisions) 2,314 3,481

{d{dY O_mE± Sundry Deposits 100 85

2,774 4,286

13 AÝ` Mmby AmpñV`m± OTHER CURRENT ASSETS (` hµOmamo§ _| ` in thousands)


`Wm 31 _mM©, 2016 As at March 31, 2016

(Aà{V^yV, AÝ`Wm Z ~VmE OmZo na emoÜ` _mZo JE) (Unsecured, considered good unless stated otherwise)Cn{MV {Zdb Xbmbr Accrued net brokerage 64 16àmß` ã`mO/~Q²>Q>m Interest/Discount Receivable 1,866 819àmß` H$_reZ Commission Receivable 220 –

2,150 835

{ZXoeH$m| Ho$ {dMma Ho$ AZwgma Mmby AmpñV`m±, F$U VWm A{J«_ Cpëb{IV _yë` Ho$ bJ^J ~am~a h¢ Ed§ ì`dgm` Ho$ gm_mÝ` H«$_ _| àmßV hþE h¢&In the opinion of the Directors, the current assets, loans and advances are approximately of the value stated, if realized in the ordinary course of business.

14 n[aMmbZ go amOñd REVENUE FROM OPERATION (` hµOmamo§ _| ` in thousands)

{ddaU ParticularsMmby df© Current year JV df© Previous Year

2016-17 2015-16

O_m à_mUnÌm| _o§ boZ-XoZ (XoI| {Q>ßnUr g§ 14.1) Trading in Certificate of Deposits (Refer Note No. 14.1) àma§{^H ñQm°H Opening Stock 713,206 949,190 H«$` Purchases 1,459,830 1,690,589

H$ A 2,173,036 2,639,779KQmE§: {~H«$s/_moMZ Less: Sales/Redemption 1,749,718 2,000,000 A§{V_ ñQm°H Closing Stock 492,918 713,206

I B 2.242,635 2,713,206I-H$ B-A 69,599 73,427

dm{UpÁ`H$ nÌ _| Q´>oqS>J (XoI| {Q>ßnUr g§. 14.1)Trading in Commercial Paper (Refer Note No. 14.1)

àma§{^H ñQm°H Opening Stock – – H«$` Purchases 483,715 –

H$ A 483,715 –

KQmE§: {~H«$s/_moMZ Less Sales/Redeption – –

A§{V_ ñQm°H Closing Stock 483,715 –

I B 483,715 –

I-H$ B-A – –

å`yMwAb \§$S> Ho$ g§{dVaU na H$_reZ/Xbmbr Commission/Brokerage on Distribution of Mutual Fund 3,103 3,325

72,702 76,752

248

{Q>ßnUr g§. Note No. 14.1:1) O_m à_mUnÌmo§ na ~Åm A{O©V H aZo Ho CÔoí` go O_m à_mUnÌmo§ H$mo ~oMm/_mo{MV {H m OmVm h¡& BgH$m CÔoí` _mÌ ~Åm AO©Z hmoVm h¡, {Og dOh go Cgo

Cn`w©ºmZwgma bmJV a{hV Xem©`m J`m h¡&

2) df© Ho Xm¡amZ 6 O_m à_mUnÌ IarXo JE, df© H$s g_mpßV na 7 {d_mo{MV/{~H«$s {H$E JE VWm df© Ho$ A§V VH$ 2 ~H$m`m h¡ Omo {ZåZdV h¡:1) Certificate of Deposits are purchased and sold/redeemed with a view to earn discount on the same. In substance it is to earn

discount only, due to the same, it has been shown as net of cost as above.2) During the year 6 Certificate of deposits were purchased, 7 Redeem/Sale and 2 are outstanding as at year end details of

which are:1. AmB©Sr~rAmB© ~¢H grSr INDUSIND BANk CD 01.06.17 2,46,6582. Am§YŒm ~¢H grSr C.D. OF RBL 20.06.17 2,46,260

3) df© Ho$ Xm¡amZ 2 ì`dgm{`H$ nÌ IarXo JE Am¡a df© Ho$ A§V _| 2 ~H$m`m h¡ {OgH$m {ddaU Bg àH$ma h¡: 3) During the year 2 Commercial Paper were purchased and 2 are outstanding as at year end details of which are:

1. AmB©Sr~rAmB© ~¢H grSr HDFC CP 25.05.17 2,45,6412. Am§YŒm ~¢H grSr C.D. FINANCIAL SERVICES CP 2,38,073

15 AÝ` Am` OTHER INCOME (` hµOmamo§ _| ` in thousands)


2016-17 2015-16 gmd{Y O_mam{e`mo§ na àmßV ã`mO Interest Received on Fixed Deposits 5,144 3,158

Aënmd{Y {Zdoemo§ na àmßV bm^m§e Income from Broking Business 698 108XrKm©d{Y {Zdoe na àmßV bm^m§e Dividend Received on Long Term Investments 1,500 1,500

bKw Ad{Y {Zdoem| Ho$ _moMZ na bm^Gain on Rdemption of Short Term Investments 313 248pñWa AmpñV`m| H$s {~H«$s na bm^ Profit on sale of Fixed Assets – 39{d{dY Am` Miscellaneous Income 8 11

7,663 5,064

16 H$_©Mmar {hVbm^ ì`` EMPLOyEE BENEFIT ExPENSES


2016-17 2015-16

doVZ Ed§ _µOXyar (XoI| {Q>ßnUr g§ 16.1)

Salaries & Wages (Refer Note No. 16.1) 5,752 5,140

^{dî` Am¡a AÝ` {Z{Y`m| Ho$ à{V A§eXmZ (XoI| {Q>ßnUr g§ 16.1)

Contribution to Provident and other funds

(Refer Note No. 16.1) 387 442

ñQ>m\$ H$ë`mU ì`` Staff welfare expenses 169 120

6,308 5,702

{Q>ßnUr g§. 16.1 :

doVZ Ed§ _µOXyar _o§ em{_b h¡ `17,18/- (JV df© `18,01/-) H$m {ZXoeH$ H$m nm[al{_H &

({dÎmr` {ddaUm| H$mo ZmoQ> g§. 22 XoI|)

Note No. 16.1 :

Salaries & Wages includes Director’s Remuneration of ` 17,18/- (Previous Year `18,01/-)

(Refer Note No. 22 of the notes to financial statements)


17 AÝ` ì`` OTHER ExPENSES (` hµOmamo§ _| ` in thousands)


2016-17 2015-16

{H$am`m Rent 755 428

_aå_V Ed§ aI-aImd Repairs & Maintenance - Others 49 307

{ZXoeH$m|§ H$m ~¡RH ewëH Directors Sitting fees 167 161

boIm-narjH$ H$mo ^wJVmZ Payment to Auditor:

boIm-narjm ewëH Audit Fees 55 50

H$a boIm-narjm ewëH Tax Audit Fees 35 30

godm H$a Service tax 6 12

96 92

EE_gr Ed§ S>rnr à^ma AMC & DP Charges 218 86

Egmo{gEeZ gXñ`Vm ewëH$ Association Membership Fee 43 74

~moS©/boIm-narjm g{_{V/dm{f©H _hmg^m ì`` Board/Audit Committee/AGM Expenses

~rEgB©/EZEgB© Xbmbr H$mamo~ma ì``BSE/NSE broking business expenses

51

418

39

401

n[adhZ à^ma Conveyance Charges 177 122

Hw$[a`a/S>mH$ à^ma Courier/Postage ChargesgrEgAma ì`` CSR expense

1231,733

1172,170

{~Obr à^ma Electricity Charges 90 10

_moQ>a H$ma aI-aImd Motor Car Maintenance 276 273

_wÐU Ed§ boIZ gm_J«r Printing & Stationery 98 106

ì`mdgm{`H Ed§ {d{YH ewëH Professional & Legal fees 119 1,911

Qo{b\$moZ à^ma Telephone Charges 220 183

gËH$ma/H$mamo~ma {dH$mg ì`` Entertainment/Business Dev. Expenses 11 135

{d{dY ì`` Miscellaneous Expenses 88 116

4,732 6,730

{Q>ßnUr:1. H§ nZr Zo df© Ho Xm¡amZ `17.33 (JV df© `21.70 bmI) bmI H$m ì`` grEgAma ì`` Ho ên _o§ {H `m Am¡a grEgAma CÔoí` hoVw {H E JE ì`` H$s JB© am{e H$m H$mnmo©aoeZ ~¢H Am{W©H

{dH$mg \$mC§SoeZ (Omo _yb H§$nZr Ho$ gh`moJr gyMr~Õ BH$mB© h¡&)

2. df© Ho Xm¡amZ {ZåZdV na IM© H$s JB© am{e (` bmI _o§)

df© Ho Xm¡amZ H§ nZr Ûmam grEgAma {HŒ `mH bmnmo§ na {H$`m J`m ì`` `17.33 bmI (JV df© `21.70 bmI) h¡&

Notes: 1. The company has during the year incurred a sum of 17.33 lakhs as CSR Expenses (Previous year 21.70 lakhs) and paid the sum to Corporation

Bank Economic Development Foundation (in collaboration with its parent company which is a listed entity) to incur the expenses for the purposes of CSR.

2. Amount (in `lakhs) spent during the year on -

Gross amount required to be spent by the Company on CSR activities during the year `17.33 lakhs (Prev year `21.70 lakhs)

250

ZH Xr _o§ In cash

ZH$X ^wJVmZ hoVwyet to be paid in cash

Hw$b Total

(i) H§ ñQ—ŠeZ/ {H gr AmpñV`mo§ H$m AO©Z Construction / Acquisition of any asset

0 (0)

0 (0)

0 (0)

(ii) Cnamoº (i) Ho Abmdm AÝ` CÔoí` on purpose other than (i) above

17.33 (21.70)

0 (0)

17.33 (21.70)

Hw b Total 17.33

(21.70) 0

(0) 17.33

(21.70)

3. Ý`yZV_ Xo` ^mdr nÅm {H am`m {ZåZdV h¡ Minimum future lease rentals payable are: 2016-17 2015-16

H$)/a) EH df© Ho A§Xa Xo` Payable within one year 755 755

I)/b) EH df© Ed§ nm§M df© Ho A§Xa Xo` Payable within one year & five years – –

J)/c) nm§M df© Ho ~mX Xo` Payable after five years – –H$mn© ~¢H$ goŠ`y[aQ>rO {b{_Q>oS> CORP BANk SECURITIES LIMITED

31 _mM©, 2017 H$mo g_mßV df© Ho$ {bE {dÎmr` {ddaU hoVw {Q>ßn{U`m± NOTE TO FINANCIAL STATEMENTS FOR THE YEAR ENDED 31st MARCH, 2017

18 à{V eoà AO©Z EARNING PER SHARE (` µhOmam| _o| in thousands)


2016-17 2015-16

(H /A) B©pŠdQ>r eoàYmaH$m| H$mo {Z`moÁ` bm^ Profit attributable to Equity Shareholders 46,023 44,766(I/B) df© Ho Xm¡amZ ~H$m`m B©pŠdQ>r eoàmo§ H$s g§»`m No. of Equity Shares outstanding during the year 75,000 75,000(J/C) àËòH B©pŠdQ>r eoà H$m A§{H$V _yë` (`) Face Value of each Equity Share (`) 10 10 (K/D) à{V eoà _yb Ed§ VZyH¥$V AO©Z (`) Basic & Diluted earning per Share (`) 0.61 0.60

19 H§ nZr Ho g^r H _©Mmar H$mnmo©aoeZ ~¢H go à{V{Z`w{º na h¢ Am¡a ~¢H H$s H _©Mmar ^{dî` {Z{Y Ho gXñ` h¢ Am¡a ~¢H H$s no§eZ {Z{Y Ho ^r gXñ` h¢, BZ XmoZmo§ H$mo Am` H$a A{Y{Z`_, 1961 Ho A§VJ©V AmZo dmbo Ý`mg Ho ê n _o§ _mÝ`Vm-àmßV h¡& no§eZ {Z{Y Ho g§~§Y _o§, no§eZ {dH ënXmVmAmo§ Ho doVZ go 10% Ho _m{gH A§eXmZ Ho Abmdm ~¢H , no§eZ Xo`VmAmo§ H$s Xo`VmAmo§ H$s ny{V© hoVw ~r_m§{H H _yë`m§H Z Ho AmYma na EH _wíV ê n go {Z{Y _o§ A§eXmZ H aVm h¡& godm{Zd¥{Îm bm^ H$m àmdYmZ H$mnmo©aoeZ ~¢H Ûmam {H$`m OmVm h¡& Bgr àH$ma, CnM` AmYma na NwÅr ZH XrH aU H$m àmdYmZ H$mnmo©aoeZ ~¢H Ûmam {H$`m OmVm h¡ Am¡a AV… godm{Zd¥{Îm Xo` H$mo H§ nZr Ûmam Xo`Vm Ho ê n _o§ _mÝ`Vm Zht Xr JB© h¢&

All the employees of the Company are on deputation from Corporation Bank and are the members of Bank’s Staff Provident Fund and also the members of Bank’s Pension Fund, both are recognised as Trusts coming under Income Tax Act, 1961. In regard to Pension Fund, apart from the monthly contribution of 10% of the salary of pension optees, the Bank contributes to the Fund in lump sum, based on the actuarial valuation to meet the pension liabilities. The provision for retirement benefits is made by Corporation Bank. Similarly provision for Leave Encashment and Gratuity on accrual basis is made by Corporation Bank and hence retirement dues are not recognised as a liability by the company.

20 àI§S [anmo{Q>ªJ… H§ nZr AnZm H$mamo~ma _w»`V… ^maV H$s joÌr` n[a{Y Ho A§Xa H aVr ahr h¡& VXZwgma, {dÎmr` {ddaU ^m¡Jmo{bH àI§S Ho AmYma na àI§Sr` gyMZm H$m àmW{_H AmYma g§b¾ bm^-hm{Z boIm VWm VwbZ-nÌ Ho AZwgma h¡ {Og_o§ ^maVr` gZXr boImH$ma g§ñWmZ Ûmam Omar boIm§H$Z _mZH (EEg-17) "àI§S [anmo{Q>ªJ' Ho AYrZ `Wm Ano{jV g^r àmW{_H àH QZ O¡go àI§S amOñd, àI§S n[aUm_, àI§S AmpñV`m±, àI§S Xo`VmE§ Am{X {XE JE h¢& BgHo Abmdm, H§ nZr Xmo AbJ-AbJ H$mamo~a {H«$`mH bmnmo§ AWm©V² 1. å`wMwAb \§ S CËnmXmo§ Ho g§{dVaU Am¡a 2. O_m à_mUnÌmo§, Q—oµOar {~b Am¡a {XZm§{H V gaH$mar à{V^y{V`mo§ Ho boZ-XoZ _o§ bJr h¡& df© Ho$ Xm¡amZ H§$nZr Ho$ nmg g§ñWmJV {ZXoeH$m| Ho$ eoà ~«moqH$J H$m ì`dgm` {H$`m h¡& VWm{n boIm§H$Z _mZH$-17 Ho$ AZwgma `h ì`dgm` AbJ go [anmoQ>© {H$E hoVw nmÌ Zht h¡& AV… Cn`w©º Xmo H$mamo~ma àI§Smo§ na AmYm[aV àmW{_H$ àI§Sr` [anm{Q>ªJ {ZåZdV h¡…


“Segment Reporting: The Company has been predominantly carrying on its business within the territorial limits of India. Accordingly, the primary basis of segmental information on the basis of geographical segment in the financial statement is as per the attached Profit and Loss account and Balance Sheet that give all the necessary primary disclosures such as Segment Revenue, Segment Result, Segment Assets, Segment Liabilities, etc., as required under Accounting Standard (AS-17) “Segment Reporting” issued by the Institute of Chartered Accountants of India.

Further the Company is engaged in the business of two separate business activities, viz. 1. Distribution of Mutual Fund Products and 2. Dealing in Certificate of Deposits, Treasury Bills and Dated Govt. Securities. The Company also has a business segment of sharebroking for institutional investors during the year. However the business does not qualify for reporting as a separate segment based in parameters of AS-17. Therefore, the primary segmental reporting based on the above mentioned two business segments is as under”:

àmW{_H H$mamo~ma àI§S go g§~§{YV gyMZm Information about Primary business segment (` hµOmamo§ _| ` in thousands)

{ddaU Particulars

2016-17 2015-16

àI§S Segments

AZm~§{QV Unallocated Hw$b Total

àI§S Segments

AZm~§{QV Unallocated Hw$b Total

å`wMwAb \§$S> CËnmXmo§ H$m g§{dVaU

Distribution of Mutual

Fund Products

O_m à_mUnÌ/Q—o. {~b/gaH$mar à{V^y{V`mo§ _o§

boZ-XoZDealing

in CDs/T.Bills/Govt. Securities

å`wMwAb \§$S> CËnmXmo§ H$m g§{dVaU

Distribution of Mutual Fund

Products

O_m à_mUnÌ/Q—o. {~b/gaH$mar à{V^y{V`mo§ _o§

boZ-XoZDealing

in CDs/T.Bills/Govt. Securities

amOñd Revenue

àI§S amOñd Segment Revenue 3,103 69,599 7,663 80,365 3,325 73,427 5,064 81,817

n[aUm_ Result

KQmE§: ì`` Less: Expenses

484 10,848 1194 12,526 537 11,862 818 13,218

KQmE§ : AgmYmaU _Xo§Less : Extraordinary items

– – – – – – – –

H$a nyd© bm^ Profit Before Tax 2,619 58,751 6,470 67,839 2,788 61,565 4,246 68,598

KQmE§: H$a hoVw àmdYmZ (AmñW{JV H$a H$m {Zdb)Less: Provision for Tax (Net of Deferred Tax)

– – – 21,816 – – – 23,832

H$a Ho$ Cnam§V Am¡a nyd© Ad{Y g_m`moOZ go nhbo bm^Net Profit After Tax & Before Prior Period Adjustments

– – – 46,023 – – – 44,766

Omo‹So§ : nyd© Ad{Y H$a g_m`moOZAdd : Prior Period Tax

Adjustments– – – – – – – –

nyd© Ad{Y g_m`moOZ Ho ~mX {Zdb bm^Net Profit After Prior Period Adjustments

– – – 46,023 – – – 44,766

AÝ` gyMZm Other Information

àI§S AmpñV`m± Segment Assets – 976,632 153,297 1,129,929 – 713,206 374,388 1,087,594

àI§S Xo`VmE§ Segment Liabilities – – 372 372 – – 546 546

ny±OrJV ì`` Capital Expenditure – – – – – – 3,475 3,475

_yë`õmg/n[aemoYZ Depreciation/Amortisation

– – 1,486 1,486 – – 786 786

252

21 H§$nZr, H$mnmo©aoeZ ~¢H Ho nyU© ñdm{_Ëd dmbr AZwf§Jr h¡& H§$nZr H$m g_J« n`©dojU Ed§ {Z`§ÌU BgHo {ZXoeH _§Sb Ho hmWmo§ _o§ h¡& H§$nZr Ho à~§Y {ZXoeH g{hV g^r à_wI à~§YH$s` H$m{_©H Omo H§$nZr _o§ H$m_ H a aho h¢, do H$mnmo©aoeZ ~¢H go à{V{Z`w{º na AmE h¢& do H§$nZr _o§ nyU©H$mbrZ H$m`© H a aho h¢&

The company is a fully owned subsidiary of Corporation Bank. The overall supervision and control of the company vests with the Board of Directors. All the key managerial personnel including the Whole time Director & Co. Secretary of the company, who are on the rolls of the company, are on deputation from Corporation Bank. They are working full-time with the company.

22 g§~§{YV nmQr© àH$Q>Z RELATED PARTy DISCLOSURES

g§~§{YV nmQr© àH$QZ na boIm§H Z _mZH (EEg)-18 Ho n¡am 9 Ho AZwgma, amÁ` gaH$ma Ho {Z`§ÌUmYrZ CÚ_ hmoZo Ho ZmVo H§$nZr Ho {bE `h Ano{jV Zht h¡ {H dh gaH$ma Ho {Z`§ÌUmYrZ AÝ` CÚ_mo§ Ho gmW g§~§{YV nmQr© boZ-XoZmo§ Am¡a Eogo CÚ_mo§ Ho gmW boZ-XoZmo§ H$m àH QZ H ao§& AV: H$mnm}aoeZ ~¢H$ (_yb H§$nZr) Ho$ gmW boZXoZ H$mo àH$Q> Zht {H$`m J`m h¡&

As per Para 9 of the Accounting Standard (AS)-18 on Related Party Disclosures, the company being a state-controlled enterprise is not required to make disclosures of related party transactions with other state controlled enterprises and transactions with such enterprises. Hence, transactions with Corporation Bank (Parent Company) is not disclosed.

df© Ho Xm¡amZ g§~§{YV nm{Q>©`mo§ Ho gmW {H$E JE boZ-XoZ:Deatils of Related Party transactions during the year:

g§~§{YV nm{Q©`mo§ H$m Zm_ Name of Related Parties g§~§Y H$m ñdê$n Nature of Relationship

H$mnm}aoeZ ~¢H$ Corporation Bank YmaH$ H§$nZr Holding Company

E. AmB©. Ooåg A. I. James nyU©H$m{bH$ {ZXoeH$ Ed§ H§$nZr g{Md (10 OwZ, 2014 go-AmO H$s VmarI VH$)Whole-time Director & Co. Secretary (10 June, 2014 - Till Date)

{Z{Y Aamoam Nidhi Arora àYmZ {dÎm A{YH$mar Chief Financial Officer

df© Ho Xm¡amZ H§$nZr Ûmam g§~§{YV nm{Q>©`mo§ Ho gmW {H$E JE boZ-XoZ:Transactions that have taken place during the year with related parties by the Company: (` µhOmam| ‘| ` in thousands)

g§~§{YV nm{Q>©`mo§ H$m Zm_

Name of Related Parties

df© Ho Xm¡amZ boZ-XoZ H$m ñdê$n Nature of Transaction during the year

2016-2017 2015-2016

H$mnmo©aoeZ ~¢H Corporation Bank

gmd{Y O_mAm| na ã`mOInterest on Fixed Deposits 4,979 3,158


{H$am`m `m bmJV eo`[a¨JRent Cost Sharing 755 428


{~Obr VWm aIaImd eo`[a¨JElectricity and Maintenance Cost Sharing 126 37


à{V{Z`wpŠV na AÝ` ñQ>m\$ Ho$ bmJV H$s à{Vny{V©Reimbursement of cost of other staff on deputation 3,492 3,901

E. AmB©. OoågA. I. James

{ZXoeH$m| H$mo nm[al{_H$Directors Remuneration 1,718 1,801

{Z{Y Aamoam Nidhi Arora

nm[al{_H$ Remuneration 1,098

bmJy Zht N.A


23 Ohm± VH pŠb`qaJ H$mnmo©aoeZ Am°\ B§{S`m {b{_QoS Ho B©{¹$Qr eoàmo§ _o§ {H E JE `50 bmI {Zdoe H$m g§~§Y h¡, VwbZ-nÌ H$s VmarI H$mo BgH$m ~mµOma _yë` nVm Zht bJm`m Om gH Vm My±{H ò eoà gyMr~Õ Zht h¢& VWm{n, bmJV na _yë` {b`m J`m h¡ Am¡a ZdrZV_ CnbãY dm{f©H {anmoQ© Ho AZwgma Cº {Zdoe Ho _yë` _o§ H$moB© {JamdQ `m õmg Zht hþAm h¡&

As regards the Investment of `50 lakhs made in Equity Shares of Clearing Corporation of India Limited, market value as on Balance Sheet date is not ascertainable, as the shares are not listed. However, as certified by the management the value is taken at cost and there is no deterioration or depreciation in the value of Investment as ascertained from the latest available audited annual report.

24 _yë`õmg Am¡a g^r kmV Xo`VmAmo§ Ho {bE àmdYmZ n`m©ßV h¡ Am¡a Amdí`H am{e go A{YH Zht h¡& The provision for depreciation and all known liabilities are adequate and not in excess of the amounts reasonably necessary.

25 {d{dY XoZXmamo§, G$Umo§ Ed§ A{JŒ_mo§ H$s eofam{e, nwîQrH aU Am¡a n{aUm_r g_m`moOZ, `{X H$moB© hmo Vmo CgHo AYrZ h¡& Balances of Sundry Creditors, Loans & Advances are subject to confirmation and consequential adjustments, if any.

26 H§$nZr _| 5 df© H$s godm nyU© H$aZo dmbo H$moB© H$_©Mmar Zht h¡ Am¡a Bg{bE CnXmZ g§Xm` A{Y{Z`_ Ho$ AZwgma CnXmZ Ho$ {bE do nmÌ Zht h¡& gmW hr Ym[aVr H§$nZr H$_©Mm[a`m| H$mo J«oÀ`wQ>r hoVw `mo½` hmoZo go nhbo dmng ~wbm boVr h¡& AV: H§$nZr H$mo H$_©Mm[a`m| H$s J«oÀ`wQ>r hoVw A§eXmZ Zht H$aZm nS>Vm h¡, AV: EgEg-15 Ho$ àmdYmZ bmJy Zht h¡&

The Company does not have any employees who have completed 5 years in service and hence they are not eligible for gratuity as per the Payment of Gratuity act. Further the holding company recalls the employees once they are about to become entitled for gratuity. Hence the company does not have to contribute towards gratuity of the employees and hence provisions of AS-15 are not applicable.

27 bm^ VWm hm{Z {ddaU Ho$ {Z_m©U hoVw gm_mÝ` {ZX}em| Ho$ AZwÀN>oX 5 (viii) Ho$ A§VJ©V {Z{X©îQ> {dXoer _wÐm _| boZXoZ na A{V[aŠV gyMZm$ Additional information on transactions in foreign currency as specified under Para 5 (viii) of the General Instructions for preparation

of statement of profit and loss

dV©_mZ df ©Current year

2016-17

JV df©Previous Year

2015-16

H$ÀMm _mb, ny±Or gm_mZ, Ad`d VWm A{V[aŠV nmQ²>©g hoVw {Z`m©V _yë` H$mo grAmB©E\$ AmYma na {b`m J`m h¡&Value of imports calculated on CIF basis for raw materials, capital goods, components and spare parts

eyÝ` NIL eyÝ` NIL

am`ëQ>r, ì`dgm{`H$ `m VH$ZrH$s nam_e© ewëH$, OmZH$mar, ã`mO `m AÝ` _Xm| na {dXoer _wÐm _| ì``&Expenditure in foreign currency on royalty, professional or technical consultancy fees, knowhow, interest or other matters

eyÝ` NIL eyÝ` NIL

{dÎm df© Ho$ Xm¡amZ H$ÀMo _mb, ñnoà nmQ²>©g VWm Ad`d Ho$ à^mJ hoVw {Z`m©V _yë`& Value of all imported raw materials, spare parts and components consumed during the financial year

eyÝ` NIL eyÝ` NIL

df© Ho$ Xm¡amZ bm^m§e Ho$ ê$n _| ào{fV am{e& Amount remitted during the financial year on account of dividends eyÝ` NIL eyÝ` NIL

dñVwAm| Ho$ Am`mV hoVw {dXoer _wÐm _| A{O©V Am` H$s JUZ, E\$Amo~r AmYma na H$s JB© h¡& Earnings in foreign exchange calculated on FOB basis for export of goods eyÝ` NIL eyÝ` NIL

am`ëQ>r, ã`mO, bm^m§e, OmZH$mar, ì`dgm{`H$m `m VH$ZrH$s nam_e© ewëH$ go {dXoer _wÐm _| Am`& Earnings in foreign exchange on account of royalty, interest, dividend, knowhow, professional or technical consultancy fees

eyÝ` NIL eyÝ` NIL

28 H$mnm}aoQ> _m_bm| Ho$ _§Ìmb` H$s A{YgyMZm OrEgAma 308 (B©) {XZm§{H$V 30 _mM©, 2017 Ho$ AZwgma 8 Zd§~a, 2016 go 30 {Xg§~a, 2016 VH$ H$s Ad{Y _| {Z{X©îQ> ~¢H$ ZmoQ> VWm AÝ` ZmoQ> go g§~§{YV boZo-XoZ {ZåZdV h¡:

As required by the Ministry of Corporate Affairs vide Notification GSR 308(E) dated 30th March, 2017 the details of Specified Bank Notes and Other Denominations held and transacted dring the period 8th November, 2016 to 30th December, 2016 are as follows - (Amount in INR)

254

H mn©~¢H {gŠ`w{aQrµO {b{_QoS Ho {ZXoeH _§Sb Ho {bE d CZH r Amoa go For and on behalf of the Board of Directors of CorpBank Securities LimitedH¥ŸVo Ama. gr. aoe_dmbm EÊS> H§$

For R. C. Reshamwala & Co.gZXr boImHŸma CHARTERED ACCOUNTANTS\$_© n§OrH aU g§. 108832WFirm Registration No. 108832W

_Zrf Ama. aoe_dmbmManish R. Reshamwala gmÂmoXma Partner


Jmonmb E_. ^JVGopal M. Bhagat{ZXoeH Director


{ZXoeH DirectorgXñ`Vm g§. 106586 Membership No. 106586


nyU©H$m{bH$ {ZXoeH$ Ed§ H§$nZr g{MdWhole time Director &

Company Secretary


{ZXoeH Director


{ZXoeH Director

{Z{Y AamoamNidhi Arora

gr.E\ .$Amo. C.F.O.

ñWmZ Place : _w§~B© Mumbai

{XZm§H Dated : 13 _B© May, 2017

h_mar g§b½Z g_{XZm§{H$V [anmoQ>© Ho$ AZwgmaAs per our report of even date attached.

Eg~rEZ SBN’s (`)

AÝ` _yë`dJ© _wÐm Other

Denomination Notes (`)

Hw$b Total (`)

08.11.2016 H$o eof ZH$XrClosing cash in hand as on 08.11.2016

3,000 508 3,508

(+) AZw_V àmpßV`m± Permitted Receipts - - -

(+) ~¢H$m| go Amh[aV am{eAmount Withdrawn from Banks

- 30,000 30,000

(-) AZw_V ^wJVmZ Permitted Payments - 23,584 23,584

(-) ~¢H$m| _| O_m H$s JB© am{eAmount deposited in Banks

3,000 - 3,000

30.12.2016 H$mo eof ZH$XrClosing Cash as on 30.12.2016

- 6,924 6,924

29 Ohm± H$ht Amdí`H$ g_Pm J`m, JV df© Ho$ Am§H$‹S>m| H$mo nwZ: g_y{hV, nwZ: ì`dpñWV `m nwZ: dJuH¥$V {H$`m J`m h¡& Previous year figures have been regrouped, rearranged or reclassified wherever necessary to make them comparable with those of the

current year.


H$mnm}aoeZ ~¢H$Zm‘m§H$Z ’$m‘©

(AHo$bo ¶m Ho$db Xmo ì¶{º$¶m| VH$ AmdoooXZ H$aZodmbo ì¶{º$ Ûmam ^am OmE)

‘¢/h‘.......................................................... Am¡a ............................................................Am¡a.................................................... , ’$mo{b¶mo g§. gr~rB© .................. Ho$ Ûmam H$mnm}aoeZ ~¢H$ Ho$ {d{eï> g§..................... go .................... VH$ ................ B©{¹$Q>r eo¶a Ho$ YmaH$ h¢ Am¡a Zm‘m§H$Z H$aZm MmhVo h¢ VWm EVX²Ûmam {ZåZ{b{IV ì¶{º$(¶m|) H$mo Zm‘m§{H$V H$aVo h¢, {OÝh| ‘oar/h‘mar ‘¥Ë¶w hmoZo H$s pñW{V ‘| Cº$ eo¶am| Ho$ g§~§Y ‘| A§VaU Ho$ g^r A{YH$ma/Xo¶ am{e {Z{hV hmoJr&Zm‘m§{H$Vr (Zm‘m§{H${V¶m|) H$m Zm‘ Am¡a nVm/nVoZm‘ ...............................................nVm ...................................................................................................OÝ‘ H$s {V{W* ................................... ...........................................(* ¶{X Zm‘m§{H$Vr Ad¶ñH$ hmo Vmo àñVwV H$a|) Zm‘m§{H$Vr Ho$ hñVmja (d¡H$pënH$)** Zm‘m§{H$Vr Ad¶ñH$ h¢, CZHo$ A{^^mdH$ h¢…Zm‘ .....................................................................................................................................nVm .....................................................................................................................................(** ¶{X bmJy Zht Vmo H$mQ> X|)

YmaH$(H$m|) Ho$ hñVmjahñVmja… 1.................................... 2........................................ 3....................................Zm‘… 1.................................... 2........................................ 3....................................nVm .....................................................................................................................................{XZm§H$ … ......../......../201

Xmo gm{j¶m| Ho$ hñVmjaZm‘ Am¡a nVm 1................................. 1................................. 2................................. 2.................................

{XZm§H$… {XZm§H$ g{hV hñVmja

AZwXoe…1. Ho$db AnZr Amoa go AHo$bo ¶m g§¶wº$ ê$n go AmdoXZ H$aZodmbo/eo¶a aIZodmbo ì¶{º$ hr Zm‘m§H$Z H$a gH$Vo h¢& gmogmBQ>r, Q´>ñQ>, H§$nZr {ZH$m¶, ^mJrXmar ’$‘©, {hÝXÿ

A{d^º$ n[adma Ho$ H$Vm©, ‘w»VmaZm‘m YmaH$ g{hV ì¶{º$¶m| H$mo N>mo‹S>H$a AÝ¶ Zm‘m§H$Z Zht H$a gH$Vo& AJa eo¶a g§¶wº$ ê$n go Ym[aV {H$E h¢, Vmo Zm‘m§H$Z ’$m‘© ‘| g^r hñVmja (~¢H$ Ho$ nmg n§OrH¥$V Z‘yZo Ho$ AZwgma) H$a|o&

2. eo¶am| Ho$ YmaH$ Ûmam {H$gr Ad¶ñH$ H$mo Zm‘m§{H$V {H$¶m Om gH$Vm h¡ Am¡a Eogr pñW{V ‘| YmaH$ Ûmam A{^^mdH$ H$m Zm‘ Am¡a nVm ^r {X¶m OmE&3. Zm‘m§{H$Vr H$moB© Q´>ñQ>, gmogmBQ>r, H§$nZr {ZH$m¶, ^mJrXmar ’$‘©, {hÝXÿ A{d^º$ n[adma H$m H$Vm© ¶m ‘w»VmaZm‘m YmaH$ Z hmo& A{Zdmgr ^maVr¶ àË¶mdV©Zr¶ AmYma na

Zm‘m§{H$Vr hmo gH$Vm h¡ ~eV} {H$ ^m.[a.~¡. Ûmam {XE JE AZw‘moXZ H$mo ~¢H$ Ho$ nmg n§OrH¥$V H$adm¶m hmo&4. eo¶am| H$m A§VaU hmoZo na Zm‘m§H$Z {ZañV hmo OmEJm&5. Zm‘m§{H$Vr Ho$ nj ‘| eo¶a H$m A§VaU H$mZyZr dm[ag Ho$ {déÕ ~¢H$ H$m d¡Y Xm{¶Ëd-‘moMZ hmoJm&6. Zm‘m§H$Z g§~§Yr gyMZm/Zm‘m§H$Z ’$m‘© ~¢H$/~¢H$ Ho$ a{OñQ´>ma/eo¶a A§VaU EO|Q> Ho$ nmg Xmo à{V¶m| ‘| Xm¶a {H$¶m OmE, Omo CgH$s EH$ à{V eo¶aYmaH$ H$mo bm¡Q>mE§Jo&

Ho$db H$m¶m©b¶ Ho$ Cn¶moJ hoVw

Zm‘m§H$Z n§OrH$aU g§. ....................... n§OrH$aU H$s VmarI…...........................

{Q>ßnUr… ......................................... Om±MH$Vm© Am¡a H$‘©Mmar Ho$ hñVmja …...........................................

256

CORPORATION BANKNOMINATION FORM

(To be filled in by individual applying singly or jointly, only upto two persons)

I/We__________________________________________ and____________________________________________________and _____________________________________________________________________________ the holder of __________________ equity shares bearing Distinctive Nos. from _______________to ____________ of Corporation Bank vide Folio No. CBE_____________ wish to make a nomination and do hereby nominate the following person(s) in whom all rights of transfer and/or amount payable inrespect of shares shall vest in the event of my/our death.

NAME(S) AND ADDRESS(S) OF NOMINEE(S)

Name ____________________________________________

Address___________________________________________

_________________________________________________

Date of Birth * ______________________________________ ___________________________________

(* To be furnished in case the nominee is a minor) Signature of Nominee (Optional)** The nominee is a minor, whose guardian is:

Name : ____________________________________________________________________________________

Address: ___________________________________________________________________________________(** To be deleted if not applicable)

Signature(s) of Holders(s)

Signature : 1. _______________________ 2._____________________________3.__________________________

Name : 1. _______________________ 2._____________________________3.__________________________

Address : ___________________________________________________________________________________

Date : _______/_______/201

Signature of two witnesses Name and Address 1. _____________________________ 1. _____________________________ 2. _____________________________ 2. _____________________________

Date: Signature with date

Instructions:

1. The nomination can be made by individuals’ only applying/holding shares on their own behalf singly or jointly. Non individuals including society, trust, body corporate, partnership firm, karta of Hindu Undivided family, holder of power of attorney cannot nominate. If the shares are held jointly, all joint holders will sign (as per the specimen registered with the Bank) the nomination form.

2. A minor can be nominated by a holder of shares and in that event the name and address of the Guardian shall be given by the holder.3. The nominee shall not be a trust, society, body corporate, partnership firm, Karta of Hindu Undivided Family or a power of attorney

holder. A non-resident Indian can be a nominee on a re-patriable basis, provided RBI approval granted is registered with the Bank.4. Nomination shall stand rescinded upon transfer of share(s).5. Transfer of share in favour of a nominee shall be a valid discharge by a Bank against the legal heir.6. The intimation regarding Nomination/Nomination form shall be filed in duplicate with Bank/Registrar & Share Transfer Agents of the

Bank who will return one copy thereof to the shareholder.

FOR OFFICE USE ONLY

Nomination Registration No. _____________________ Date of Registration:______________________

Remarks:___________________________________ Checked by and Signature of Employee: ___________________________


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B©pŠdQ>r eoàm| na bm^m§e Ho$ ^wJVmZ hoVw B©grEg/EZB©grEg/AmaQ>rOrEg/EZB©E\$Q>r A{YXoe \$m_©(H$mJµOr ê$n _| eoàm| Ho$ _m_bo _| - eoà A§VaU EOoÝQ> _ogg© H$mdu H$§ß`yQ>a eoà àm. {b. H$mo ôO|)

(S>r_¡Q> eoàm| Ho$ _m_bo _| - AnZo {S>nm°{µOQ>ar nm{Q>©{gnoÝQ> H$mo ôO|)

1. àW_ eoàYmaH$ H$m Zm_ (ñnï> Ajam| _|) :

2. nVm :

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(`{X S>r_¡Q> {H$`m J`m hmo) S>rnrAmB©S>r g§. ................. 4. ~¢H$ ImVo Ho$ {ddaU

H$. ~¢H$ H$m Zm_ :

I. emIm H$m Zm_ Am¡a eha `m ñWmZ H$m Zm_ ({nZ H$moS>) :

J. ImVm g§. (MoH$ ~wH$ _| `Wm C{„{IV) :

K. ImVo H$m àH$ma (H¥$n`m {Q>H$ H$a|) : ~.~¢. Mmby ZH$X CYma

S>. ~¢H$ Ûmam Omar E_AmB©grAma MoH$ na A§{H$V ~¢H$ Ed§ emIm H$s 9 A§H$s` E_AmB©grAma Hy$Q> g§. :

M. emIm H$m AmB©E\$Eggr Hy$Q> :

N>. g§nH©$ ã`m¡ao: _mo~mB©b g§......................................... B©-_ob AmB©S>r...........................................

5. Hy$Q> g§»`mAm| H$s n[aewÕVm gË`m{nV H$aZo Ho$ {bE H¥$n`m AnZo ~¢H$ Ûmam Omar AnZo Cn`©wŠV ImVo go g§~§{YV MoH$ nÞo H$s EH$ \$moQ>moà{V `m EH$ H$moam {ZañV MoH$ g§b¾ H$a| Ÿ&

KmofUm

_¢ EVX²Ûmam KmofUm H$aVm/H$aVr h±y {H$ D$na {Xò Jò {ddaU ghr Ed§ nyU© h¢ Ÿ& AnyU© `m JbV gyMZm Ho$ H$maU `{X boZ-XoZ {db§{~V hmoVm h¡ `m gånÞ Zht hmoVm h¡ Vmo _¢ H$mnm}aoeZ ~¢H$ H$mo CÎmaXm`r Zht R>hamD±$Jm/R>hamD±$Jr Ÿ& {H$gr H$maUde B©grEg/EZB©grEg/AmaQ>rOrEg/EZB©E\$Q>r gw{dYm CnbãY Z hmoZo na D$na C{„{IV ImVm {ddaUm| H$mo ^wJVmZ {bIV _| em{_b {H$`m OmE Ÿ&

ñWmZ : àW_ eoàYmaH$ Ho$ hñVmja{XZm§H$ :

à_m{UV {H$`m OmVm h¡ {H$ D$na C{„{IV {ddaU h_mao A{^boI Ho$ AZwgma ghr h¢Ÿ&

ñWmZ : g§~§{YV ~¢H$ Ho$ à~§YH$ Ho$ hñVmja{XZm§H$ :

{Q>ßnUr: 1. H¥$n`m g^r H$m°b_ â| Ÿ& AnyU© ànÌm| na {dMma Zht {H$`m OmEJm Ÿ& 2. `{X `h ànÌ nhbo hr àñVwV {H$`m Om MwH$m h¡ Vmo nwZ: XoZo H$s Amdí`H$Vm Zht h¡ Ÿ& 3. ~¢H$ go à_mU nÌ àmßV H$aZo Ho$ ñWmZ na eoàYmaH$ EH$ H$moam "{ZañV' MoH$ `m CgH$s \$moQ>moà{V g§b¾ H$a gH$Vo h¢Ÿ&

258

ECS/NECS/RTGS/NEFT MANDATE FORM FOR PAYMENT OF DIVIDEND ON EQUITY SHARES

(In case of physical shares – send to Share Transfer Agent, M/s. Karvy Computershare Pvt. Ltd.)(In case of demat shares – send to your Depository Participant)

1. First Shareholder’s Name (in Block letters) :

2. Address :

3. Regd. Folio No. : CBE ...................... (If not Dematerialised)

(If Dematerialised) : Client ID No……………………….:

DPID No……………………..

4. Particulars of Bank Account :

A. Bank Name :

B. Branch Name & City or name of ¡lace (Pin code) :

C. Account No. (as appearing on the Cheque Book) :

D. Account Type (Please tick) : SB Current Cash Credit

E. 9 Digit MICR code No. of the Bank & Branch : As appearing on the MICR cheque issued by the bank :

F. IFSC Code of the Branch :

G. Contact Details : Mobile No……………………………. E-mail id ………………………………………………..

5. Please attach a photocopy of a cheque leaf or a blank cancelled cheque issued by your Bank relating to your above account for verifying the accuracy of the code numbers.

DECLARATION

I hereby declare that the particulars given above are correct and complete. If the transaction is delayed or not effected at all for reasons of incomplete or incorrect information, I would not hold the Corporation Bank responsible. In case of ECS/NECS/RTGS/NEFT facility not being available for any reason, the account details provided above may be incorporated in the payment instrument.

Place :Date : Signature of the first shareholder Certified that the particulars furnished above are correct as per our records.

Place :Date : Signature of the Manager of the Bank Concerned

Notes : 1. Kindly fill all columns. Incomplete forms shall not be entertained. 2. Please ignore this form, if the same is already submitted. 3. In lieu of the Bank Certificate to be obtained, shareholders can attach a blank ‘cancelled’ cheque or a photocopy thereof.


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$H$mnm}aoeZ ~¢H$àYmZ H$m`m©b`: _§Jbyé � 575 001

\$m°_© "~r'

àm°Šgr \$m°_© (eoàYmaH$ Ûmam âH$a hñVmj[aV {H$`m OmE)

_¢/h_ .........................................................., .............................................. amÁ` Ho$ ................................. {Obo Ho$ .................H$m/

Ho$ {Zdmgr H$mnm}aoeZ ~¢H$ H$m/Ho$ eoàYmaH$ hmoZo Ho$ ZmVo EVX²Ûmam ................................. amÁ` Ho$ ......................................{Obo Ho$ {Zdmgr

lr/lr_Vr ..................................................................... H$mo AWdm CZHo$ CnpñWV Z hmo gH$Zo na ............................................... amÁ` Ho$ .................................... {Obo Ho$ {Zdmgr lr/lr_Vr .......................................................... H$mo ~wYdma, 28 OyZ, 2017 nydm©•10.30 ~Oo H$mo, ghòmpãX ^dZ, H$mnm}aoeZ ~¢H$, àYmZ> H$m`m©b`, _§Jbyé _| Am`mo{OV hmoZo dmbr ~¢H$ Ho$ eoàYmaH$m| H$s CÞrgdt _hmg^m _| VWm BgHo$ A{YñWJZ _| _oar/h_mar Amoa go _oao/h_mao {bE dmoQ> XoZo Ho$ {bE àm°Šgr {Z`wŠV H$aVm h±y /H$aVo h¢ Ÿ&

......................... _mh Ho$ .................... {XZ, 2017 H$mo hñVmj[aVŸ&

....................................................................... ............................................................................. àm°Šgr Ho$ hñVmja àW_ YmaH$/EH$_mÌ YmaH$ Ho$ hñVmja

Zm_: ............................................................................ nVm: ............................................................................ ............................................................................ ............................................................................

àm°Šgr \$m_© na hñVmja H$aZo Am¡a àñVwV H$aZo g§~§Yr AZwXoe 1. àm°Šgr {bIV d¡Y hmoZo Ho {bE `h µOê ar h¡ {H ,

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hñVmj{aV hmo&J. {H gr H mnmo©aoQ {ZH m` Ho _m_bo _o§ `h gm_mÝ` _moha AJa H moB© h¡, Ho gmW BgHo A{YH mar Ûmam hñVmj{aV Ed§ {Zînm{XV {H `m OmEJm `m

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H . _w»VmaZm_m `m AÝ` àm{YH ma (`{X H moB© h¡) {OgHo VhV `h hñVmj{aV {H `m J`m `mI. ZmoQar npãbH `m {H gr _{OñQ—oQ Ûmam à_m{UV Cg _w»VmaZm_m `m àm{YH ma H$s à{V _hmg^m àma§^ hmoZo H$s VmarI go Mma {XZ nhbo AWm©V²

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n§OrH¥$V \$mo{b`mo g§. gr~rB© ............................(`{X S>r_oQ> Z {H$`m J`m hmo)

S>rnrAmB©S>r g§. .......................................... J«mhH$ AmB©S>r g§. ......................................... (`{X S>r_oQ> {H$`m J`m hmo)

H¥$n`mn§Ðh n¡go H$magrXr {Q>H$Q>

{MnH$mE§

260

Corporation BankHead Office : Mangaluru – 575 001

FORM ‘B’

FORM OF PROXY(To be filled in and signed by the shareholder)

I/We, ............................................................................................................................................................................... Resident of .............................................................................................. in the District of ......................................................................... in the State of................................................................................................being a shareholder/s of CORPORATION BANK, hereby appoint Shri/Smt. ........................................................................................................................... resident of ……...............................................................………....................................................................................... in the district of ................................................................................................................in the State of...............................................................or failing him/her, Shri/Smt. ............................................resident of ......................................................................................................

in the District of ..................................................................... in the State of ....................................................................................as my/our proxy to vote for me/us on my/our behalf at the ANNUAL GENERAL MEETING of the shareholders of the Bank to be held at 10.30 a.m. on Wednesday, 28th June, 2017, at MILLENNIUM BUILDING, CORPORATION BANK, HEAD OFFICE, MANGALURU and at any adjournment thereof.

Signed this …………………….. day of ………………………… 2017.

....................................................................... ............................................................................. Signature of the Proxy Signature of the first holder/sole holder Name : .......................................................................... Address : .......................................................................... .......................................................................... ..........................................................................

INSTRUCTIONS FOR SIGNING AND LODGING THE PROXY FORM 1. The instrument of proxy to be valid,

a. in case of an individual shareholder, shall be signed by him/her or by his/her attorney duly authorised in writing. b. in the case of joint holders, shall be signed by the shareholder first named in the Register of Members or by his/her attorney

duly authorised in writing.c. in the case of a body corporate, shall be signed by its officer and executed under its Common Seal, if any, or otherwise signed

by its attorney duly authorised in writing. 2. An instrument of proxy, in which the thumb impression of the shareholder is affixed, will be valid provided it is attested by a

Judge, Magistrate, Sub-Registrar of Assurances or any other Government Gazetted Officer or an officer of Corporation Bank. 3. The proxy together with

a. the power of attorney or other authority (if any) under which it is signed orb. a copy of that power of attorney or authority, certified by a Notary Public or a Magistrate, should be deposited at the Head

Office of Corporation Bank, not later than FOUR DAYS before the date of the Annual General Meeting, i.e. on or before closing hours i.e. 5.00 p.m. of Friday 23rd June, 2017.

4. In case the relevant power of attorney is already registered with Corporation Bank or its Share Transfer Agent, the registration number of the power of attorney and the date of such registration may be mentioned.

5. No proxy shall be valid unless it is duly stamped. 6. An instrument of proxy deposited with the Bank shall be irrevocable and final. 7. In the case of an instrument of proxy granted in favour of two grantees in the alternative, not more than one form shall be

executed. 8. The shareholder who has executed an instrument of proxy shall not be entitled to vote in person at the meeting to which such

instrument relates. 9. No person shall be appointed as duly authorised representative or a proxy who is an officer or an employee of CORPORATION

BANK. 10. No instrument of proxy shall be valid unless it is in Form “B”.

Please affixfifteen paise

revenuestamp

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Regd. Folio No. CBE ..........................(If not Dematerialised)

DPID No. ........................................... Client ID No. ..................................... (If Dematerialised)

CORPORATION BANK

iu41'ng: 4 ,11" 1W #W ii Head Office: Mangala Devi Temple Road

*T9 MANGALURU-575001

wr. SI. No.:

i Rao VqW49 T ROT TT 15 4 f11 q ATTENDANCE SLIP-CUM-ENTRY PASS FOR ANNUAL GENERAL MEETING

fat: 28 TT, 2017

WR : ' g1'i 10.30

rqWTr qw, iw 01 g1cig *t 575 001.

Date: 28th June 2017

Time: 10.30 A. M.

Place: Auditorium, Millennium Building

Corporation Bank, Head Office,

Mangaluru-575001.

411 XPM ATTENDANCE SLIP (wr RT fiT WM To be surrendered at the time of entrv

9TTT?t*NAME IN BLOCK LETTERS

(Rqm Member/1flrroxy/ aftyff SORM Authorised Representative)

I FOLIO/DPID/CLIENT ID NO. No. of Shares

f?.iufl :t irfkn cITT ff vim A q ulTq TTr 11TI

Note: Entry restricted only to the first named shareholder in case of joint holding.

rcffrr t/i11l1 47 7ffTw Signature of Shareholder/Proxy/Representative present

................................................................................. x...................................................................................... kW W ENTRY PASS

9T NAME IN BLOCK LETTERS (T114T7 Member/sftProxy/

4IpcI Okf4ft Authorised Representative)

Iwt* t FOLIO/DPID/CLIENT ID NO.

I If *t t No. of Shares

i1;l Wr 1gVJI ELECTRONIC VOTING PARTICULARS

W EVEN

(-*iW TIR arrt 1tUSER ID tf PASSWORD E-VOTING EVENT NUMBER)

arrtr f tT ir r rffi1 q ?t IfIX rrt *ti r- T1T Writ IT?t/ /ifMfftt ft fT wTrn7 f* Trt t3 WTR 1* 7w Sfl* TTit Twu TftI ftT ft, TkRT airic,i ii . airit

I1rt/ c 3ftT 1irn fTF1 itr rfrfit t ift rrftt Shareholders/Proxy holders/Representatives are requested to produce this Attendance Slip-cum-entry Pass duly signed, for admission to the meeting hail. The Entry Pass portion will be handed back to the Shareholders/Proxy holders/ Representatives, who should retain it till the conclusion of the meeting. The admission may, however, be subject to further verification/checks, as may be deemed necessary. Under no circumstances, will any duplicate Attendance Slip-cum-Entry Pass be issued at the entrance to the meeting hall.

R 0 Rd T# Zft 7Trt;fti P.S. : No gifts/gift coupons will be distributed at the meeting. Copies of the Annual Report will not be distributed at the venue.

· & policy reform measures. these changes are taking place in the country at a time when...

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