WISH YOU A VERY HAPPY NEW YEAR...

OPEN BROWSERS FOR SAFETY AND SECURITY

As of now, as the IT world is reigned by Microsoft, we are learning computing as the slaves of Microsoft. The Windows Operating system of Microsoft is a proprietary software; that is we have to pay for its usage and there are constraints for the number of users for a copy of that OS. as these softwares are a product of knowledge, the spread of knowledge is in chains when it comes to a proprietary software. There are a number of free and open source operating systems like Linux. There are a number of versions for Linux itself. Popular linux distributions like UBUNTU, FEDORA, RED HAT, DEBIAN, OPEN SUSE, MANDRIVA etc. are a treasure of knowledge. There are no restrictions for the usage. We can freely use it, share it, develop it etc. The virus and malware attacks for these operating systems are almost nil, as there are no financial components behind these distros. the viruses and malwares are mainly attacking the windows and related software components. as a windows component, the 'internet explorer' browser is under continuous threat from these virus and malware softwares.

In a study, it was understood that almost 90% UCBs in Kerala state uses internet explorer as the browser and the virus attack is a regular and untamed dilemma of the staff of UCBs here. It is established among the IT experts that the Microsoft's products including Internet Explorer is not safe against virus attacks and hacking. We can use the open browsers like MOZILLA FIREFOX, GOOGLE CHROME, OPERA, APPLE SAFARI etc. instead of Internet Explorer to keep away from virus attacks. there are a number of newly added features like tabbed browsing, private / incognito browsing etc. which make the browsing easier and enjoyable. the anti virus software embedded with the browser is so powerful because of the free and frequent updating. also, the browsers are freely updated over the internet.

these browsers are downloadable freely from the following locations :

mozilla firefox google chrome

apple safari opera

I strongly recommend the 'firefox' and 'Chrome' because of the easy usage. Of course, there may be some initial inertia for the switchover, as we would be used with the IE's ways. But I am dead sure that you will enjoy the new ways of browsing.. safety and speed..

read some valuable tips : mozilla firefox : features

Google chrome : features

tips for safe browsing

securing your web browser

Please note that the Internet Explorer is to be compulsorily used for certain programs and for some applications. Hence, care is to be taken not to remove IE from your system. Similarly, the simultaneous usage of two browsers is to be avoided, as this may cause some mismatches. So select the apt browser of your taste.. and enjoy the freedom..

UMBRELLA ORGANISATION FOR UCB's

Courtesy : The Hindu Businessline

RBI panel suggests umbrella organisation to revive urban co-op banks

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The UCB sector is keen that the organisation should provide payment and settlement services and liquidity assistance.

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Our Bureau

Mumbai, Nov. 17 Urban co-operative banks (UCBs) are likely to heave a sigh of relief. A Reserve Bank of India working group has recommended that an umbrella organisation be floated to provide, among others, loans and advances, refinance, payment and settlement services, capital support, IT services and funds management to these banks.

Instead of setting up a Rs 2,500-crore revival fund for providing solvency support to weak and sick UCBs (23 per cent of the 1,721 UCBs fall in this category), the group has pitched for setting up State-specific Emergency Fund schemes to provide liquidity support.

The idea of creating a fund has been shelved as contribution from the profits would be resisted by UCBs. Moreover, the Central and State Governments are unlikely to come forward to contribute to the fund.

“The working group is convinced that an umbrella organisation that provides a variety of professional services to UCBs, helps them augment their capital and provides emergency liquidity support would be helpful for the sector (UCB),” according to the report of the working group on umbrella organisation and constitution of revival fund.

To be floated as a non-deposit taking non-banking finance company with a paid-up capital of Rs 100 crore, the organisation would also provide services such as ATM network, investment banking, management consultancy, and capacity building services. The conversion of the umbrella organisation to a banking company could be considered in due course in the light of experience gained.

The UCB sector is keen that the organisation should provide payment and settlement services and liquidity assistance. There are concerns that the new eligibility norms would make Magnetic Ink Cheque Recognition-based clearing, Real Time Gross Settlement, Securities General Ledger/ Constituent SGL accounts out of reach for a large number of banks and lack of avenues for temporary liquidity assistance (even against government securities) in case of need and urgency.

Centralised body

Many small UCBs are looking forward to a centralised organisation for buying, selling and managing government securities on their behalf in view of their lack of skill and expertise in the areas.

As on March-end 2009, there were 1,721 UCBs with an asset size of Rs 1,96,395 crore. If these banks initially contribute Rs 0.10 per every Rs 100 of assets, then Rs 196 crore could be raised by way of capital. However, since shareholding in the organisation would be voluntary for UCBs, their participation, according to the group, is expected to be 50-60 per cent in terms of assets, though it could be much more in terms of actual number.

The paid-up capital could be called up/ subscribed in two or more instalments. To begin with, a one-time fee of Rs 1 lakh a member could also be collected and kept in the reserve fund. The group felt that some kind of fiscal incentives by the Government to UCBs for their contribution would help the organisation mobilise the share capital.

To make the umbrella organisation sustainable, the RBI could reckon deposits kept by the UCBs with the organisation for the purpose of cash reserve ratio and statutory liquidity ratio, permit the organisation membership of Payment and Settlement systems; and setting up ATM networks, etc.

Being a non-deposit taking NBFC, it would be in a position to access working capital via borrowings from banks/ financial institutions; term deposits from UCBs; bonds/ debentures; and refinance against loans and advances/ securities.

AKCUBEA annual meeting concluded at Kodungallur

Kodungallur : The annual meeting of the largest union in UCB sector in Kerala, The All Kerala Co-op. Urban Bank Employees Organisation, concluded here at Kodungallur on 11th October 2009. The meeting held at the Kodungallur Town Coop. Bank Hall was inaugurated by Mr.C.Divakaran, Hon. Minister for food and Civil Supplies. Association President Mr. Chandrasekharan Nair presided over the function. Mr. K.P.Rajendran (Hon. Minister), Mr. M.P.Jackson, Mr. Paul Alappat, Mr. Chandramohan, Mr. Joy, Mr. Perunguzhi Sreedharan etc. were present at the occassion.

Notification ON DA HIKE w.e.f 1.07.09

click on the link below for downloading the Government Notification on DA hike applicable for UCB Employees :

Notification ON DA HIKE w.e.f 1.07.09

KYC guidelines-accounts of proprietary concerns

here is the latest circular from rbi on the above subject :

Circular No. RBI/2009-10/173
Ref No.UBD.BPD.CO/NSB1/11/ 12.03.000/2009-10 dated September 29, 2009

ഗഹാന്‍് എന്ന് വരും?

എന്താണ് ഗഹാന്‍്?
ബാങ്കുകള്‍ക്ക് വസ്തു പണയത്തിന്മേല്‍ വായ്പ കൊടുക്കുന്നതിനു പണയ വസ്തു ബാങ്കിന്റെ പേരില്‍ രജിസ്റ്റര്‍ ചെയ്യണം. ഇതിന് ബാങ്കുകള്‍ പല രീതികള്‍ സ്വീകരിക്കുന്നുണ്ട്.. (1) registered mortgage (2) equitable mortgage (3) gahan.

ആദ്യത്തെ രണ്ടു രീതികള്‍ എല്ലാവര്ക്കും അറിയാവുന്നതുതന്നെ.. മൂന്നാമത്തെ വഴിയായ ഗഹാന്‍് എന്നത് വളരെ മുന്പ് തന്നെ കാര്ഷിക വികസന ബാങ്കുകള്‍ സ്വീകരിച്ചിരുന്ന വഴിയാണ്. registration ബാങ്കില്‍ വെച്ചു തന്നെ നടത്തി വിവരം registrar ഓഫീസില്‍ അറിയിക്കുന്ന രീതിയാണ് ഇതു. 2004 ല്‍ ഈ രീതി അര്‍ബന്‍ ബാങ്കുകള്‍ ഒഴിച്ചുള്ള സഹകരണ സ്ഥാപനങ്ങള്‍ക്ക് ബാധകമാക്കുകയുണ്ടായി.

എന്താണ് ഗഹാന്‍് - ന്റെ മേന്മ?
registered mortgage - ല്‍ വായ്പക്കാരന്‍ വലിയൊരു സംഖ്യ registration ഫീ ആയി ഒടുക്കെണ്ടതുണ്ട്.. അതും രണ്ടു തവണ.. വായ്പ എടുക്കുമ്പോളും , വായ്പ അടച്ചു തീര്‍ക്കുംപോളും .. ഗഹാന്റെ കാര്യത്തില്‍ ഈ ഫീസ്‌ അടക്കേണ്ടതില്ല..
equitable mortgage ചെയ്യുമ്പോള്‍ ഈ പണയ ഇടപാട് പിന്നീട് encumbarance സര്‍ട്ടിഫിക്കറ്റ് ല്‍ വരില്ല.. അതുകൊണ്ടുതന്നെ, ബാങ്ക് അറിയാതെ ഇടപാടുകള്‍ നടക്കുവാന്‍ സാധ്യത ഉണ്ട്.. സുരക്ഷിതത്വം കുറവാണ്..
ഗഹാന്‍് മുഖേന mortgage നടത്തുമ്പോള്‍ ഇതു EC യില്‍ രേഖപ്പെടുത്തുന്നതാണ്..

ഇടപാടുകാര്‍ക്ക് താരതമ്യേന കുറഞ്ഞ ചെലവും , ലളിതമായ നടപടിക്രമങ്ങളും ഉള്ള രീതിയാണ് ഗഹാന്‍്. കൂടാതെ, ബാങ്കുകള്‍ക്ക് ഏറ്റവും സുരക്ഷിതമായ രീതിയുമാണ് ഗഹാന്‍്..

എന്തുകൊണ്ടാണ് ഗഹാന്‍് അര്‍ബന്‍ ബാങ്കുകള്‍ക്ക് ബാധകമാക്കതിരുന്നത്?
അതാണ്‌ പ്രശ്നം.. അജ്ഞാതമായ ആ കാരണം എന്താണ്? കേരളത്തിലെ സര്‍വീസ്‌ ബാങ്കുകള്‍, ജില്ലാ ബാങ്കുകള്‍, സംസ്ഥാന സഹകരണ ബാങ്ക്, ഭവന നിര്‍മാണ സംഘങ്ങള്‍, തുടങ്ങി മറ്റെല്ലാ സഹകരണ സംഘങ്ങളെയും ഗഹാന്‍് പദ്ധതിയില്‍ പെടുത്തിയപ്പോള്‍, എന്തുകൊണ്ടാണ് UCB കള്‍ ഒഴിവായി പോയത്?
unlicenced urban ബാങ്കുകള്‍ എന്ന പേരില്‍ അന്ന് തുടങ്ങിയ സംഘങ്ങള്‍ക്ക് നേരിട്ട പ്രശ്നങ്ങള്‍ക്ക് പിന്നില്‍ UCB കളാണെന്നു സര്‍ക്കാര്‍ കരുതിയിരുന്നോ?

അകാരണമായും അന്യായമായും അര്‍ബന്‍ ബാങ്കുകളെ ഈ പദ്ധതിയില്‍ നിന്നും ഒഴിവാക്കിയപ്പോള്‍ എല്ലാവരും സ്വന്തം പ്രതികരണം ഔപചാരികമായി അറിയിച്ചു.. ആരും തന്നെ ഇതിനെ ഗൌരവമായി എടുത്തു എന്ന് തോന്നുന്നില്ല. കാരണം, ഭൂരിഭാഗം അര്‍ബന്‍ ബാങ്കുകളും equitable mortgage നു നോട്ടിഫൈ ചെയ്ത മേഖലകളിലാണ് പ്രവര്‍ത്തിച്ചു വരുന്നത്. ചില ചെറിയ അര്‍ബന്‍ ബാങ്കുകള്‍ ആണ് സര്‍ക്കാരിന്റെ ഈ നടപടിയില്‍ രക്തസാക്ഷികള്‍ ആയത്‌. തൊട്ടടുത്ത സര്‍വീസ്‌ ബാങ്കുകളും മറ്റു സംഘങ്ങളും registration ഫീ ഇല്ലാതെ mortgage loans കൊടുക്കുമ്പോള്‍ ഭീമമായ തുക registration ഫീ ഒടുക്കി ഈ അര്‍ബന്‍ ബാങ്കുകളില്‍ നിന്നും ആര് കടം വാങ്ങും? അങ്ങിനെ ഈ ബാങ്കുകളുടെ CD ratio കുറയുകയും ചിലവ നഷ്ടത്തില്‍ പോകുകയും ചെയ്തു.. ഈ ബാങ്കുകള്‍ സര്‍ക്കാരിലേക്ക് കഴിഞ്ഞ അഞ്ചു വര്‍ഷമായി നടത്തി വന്ന നിവേദനങ്ങള്‍ക്ക് ഫലമുണ്ടായിലെന്നു പറയാനാവില്ല. സഹകരണ നിയമ ഭേദഗതി യില്‍ പെടുത്തി സെക്രട്ടേറിയറ്റ് ലെ ഏതോ മേശപ്പുറത്തു മയങ്ങുകയാണ് gahaan .

അര്‍ബന്‍ ബാങ്കുകളുടെ അനാഥത്വം:
ആരാണ് അര്‍ബന്‍ ബാന്കുകള്‍ക്കുവേണ്ടി ശബ്ദമുയര്തുന്നത്? സ്വരചെര്ച്ചയില്ലാത്ത വിചിത്ര ഘടനയുള്ള maanagement federation ഓ ? സര്‍ക്കാരോ? റിസര്‍വ്‌ ബാങ്കോ? തൊഴിലാളി യൂനിയനുകളോ? അഞ്ചു വര്‍ഷത്തിനിപ്പുറം ഇനിയും വരാത്ത ഗഹാനെ പറ്റി ഓര്‍ക്കുമ്പോള്‍ തികഞ്ഞ അനാഥത്വം തന്നെയാണ് തോന്നുന്നത്..

ഏക സോഫ്റ്റ്‌വെയര്‍ : ചര്ച്ച മാത്രം, തീരുമാനം ഇല്ല...

കേരളത്തിലെ അര്‍ബന്‍ ബാങ്കുകള്‍ക്ക് ഏക സോഫ്റ്റ്‌വെയര്‍ നടപ്പിലാക്കുന്നതിനെപ്പറ്റി കുറച്ചു ദിവസം മുന്പ് 'ഹിന്ദു' പത്രത്തില്‍ ഒരു വാര്‍ത്ത‍ വന്നിരുന്നു. അര്‍ബന്‍ ബാങ്ക് മാനേജ്മെന്റ് ഫെഡറേഷന്‍ അതിന്റെ ഈയിടെ നടന്ന സമ്മേളനത്തില്‍ ഏക സോഫ്റ്റ്‌വെയര്‍ നടപ്പിലാക്കുവാന്‍ തീരുമാനിച്ചുവെന്ന് പത്രം റിപ്പോര്ട്ട് ചെയ്തിരുന്നു. എന്നാല്‍, കൂടുതല്‍ അന്വേഷണത്തില്‍ നിന്നും ഈ വാര്ത്ത തെറ്റാണെന്ന് അറിയാന്‍ കഴിഞ്ഞു . സമ്മേളനത്തില്‍ ഇക്കാര്യം ചര്‍ച്ചയ്ക്ക് വന്നിരുന്നുവെന്നും, എന്നാല്‍, തീരുമാനം ഒന്നും എടുത്തില്ല എന്നും ഒരു ഫെഡറേഷന്‍ ഭാരവാഹി അര്‍ബന്‍ ബാങ്ക് ബുളറ്റിനോട് പറഞ്ഞു. ഈ വാര്ത്ത എങ്ങിനെയാണ് വന്നതെന്ന് അറിയില്ലെന്നും അദ്ദേഹം കൂട്ടിച്ചേര്‍ത്തു.

Agri. Debtwaiver scheme - OTS - last date extended upto Dec 31

RBI has issued a circular on Sep.3, 2009 informing the UCBs that the last date for OTS under the agricultural debt waiver scheme has been extended upto Dec. 31, 2009.

for downloading the circular, click here : circular no. UBD.BPD.PCB.Cir.No 8 /13.05.006/2009-10

RBI may hike HTM cap on bonds for banks

Mumbai, Sept. 16 The Reserve Bank of India may look at increasing the limit of the Held-to-Maturity portfolio of government bonds for banks, if it will help in the completion of the government borrowing programme, said Dr K.C. Chakrabarty, Deputy Governor, Reserve Bank of India. The department concerned was examining it, he added.

Speaking to reporters on the sidelines of a seminar on financial inclusion, organised by FINO, Dr Chakrabarty said, “The HTM issue has to be examined. Banks say they have reached the HTM limit.”

Currently, banks are allowed to hold up to 25 per cent of the government bonds portfolio under the HTM category. This means they need not mark to market the depreciation in the value of these bonds.

About increasing the HTM cap, Dr Chakrabarty said, “Globally HTM is not regulated. It is up to each player to decide. Here, we regulate it due a variety of reasons.”

He also said that the HTM provision did not change the financial strength of the bank’s balance-sheet, as it was only an accounting issue.

(from : Business Line)

banks are not interested in no frills accounts : BCSBI

Mumbai, Sept. 16 The financial inclusion drive by banks through the opening of ‘no-frills’ accounts leaves a lot to be desired, especially in the case of the urban poor.

The Banking Codes and Standards Board of India (BCSBI) has found that bank staff were generally unwilling to open such accounts for people of small means.

It has remarked on the poor awareness of banking staff about the relaxed know your customer (KYC) norms for opening of these accounts.

A study carried out by the board through incognito visits to 44 branches of 26 banks across Mumbai earlier this year confirmed its suspicion that banks in the urban areas are reluctant to open ‘no-frills accounts,’ that is, savings bank accounts with either nil or very low minimum balances and entailing low charges.

“At the outset, most of the branches did not come forward to open ‘no-frills’ accounts in the names of persons of small means, say, a maid or a driver.

“When it was mentioned that there are some savings accounts with limited facilities for people with low income, the staff expressed unwillingness to open such accounts, if the customer was not in a position to produce documents such as PAN card, voter’s ID, postal ID, and so on, as proof of identity and address,” said the board in its report.

Ms K. J. Udeshi, Chairperson, BCSBI, in a recent address, wondered what risks a bank would face when the balances in all the accounts taken together by the ‘no-frills’ account holder cannot exceed Rs 50,000, and the total credit in all the accounts taken together cannot exceed Rs 1 lakh in a year.

“Why can we not permit the opening of no-frills accounts on the basis of a simple self-declaration form regarding identity and address with photograph? Look at the post offices. Only one introducer from that particular post office is required. The account holder has cheque facility and can withdraw money,” she said.

When it comes to proof of identity and address, almost everyone knows everybody else in a village, such is not the case in urban areas.

As per the Board’s survey, none of the branches of foreign banks and those in SBI group visited were willing to open ‘no-frills’ accounts with relaxed KYC documents. The number of branches showing unwillingness to open ‘no-frills’ account was 12 out of 21 in the case of public sector banks (PSBs); five of nine in the case of new private sector banks; and three of five in the case of old private sector banks.

Officials in over 63 per cent of the branches visited were unaware of the RBI instructions on the simplified procedures for opening ‘no-frills’ accounts. It is estimated that as on March 31, 2009, over 3.3 crore ‘no-frills’ accounts have been opened by banks.

(from BUSINESS LINE)

DICGC settles claims worth Rs 195 cr from co-op banks

Mumbai, Sept. 2 The Deposit Insurance andCredit Guarantee Corporation (DICGC) has settled depositor claims aggregating Rs 195 crore from 28 liquidated co-operative banks, mainly from Karnataka and Maharashtra, in FY2009. This is against Rs 155 crore from 22 co-operative banks in FY2008.

The Corporation’s settlement figures highlight the fact that the number of co-operative banks whose licence has been cancelled by the banking regulator is steadily increasing. The regulator, in recent times, has come down heavily on some of these banks for mismanagement of operations, connected lending, failure to meet prudential norms and so on.

In the current financial year, so far, the Corporation has settled depositor claims aggregating Rs 68 crore from eight liquidated co-operative banks — four each from Maharashtra and Gujarat.

In FY2009, the single biggest settlement effected by DICGC was from the District Co-operative Bank Ltd, Gonda, Uttar Pradesh, for Rs 45.41 crore. Some of the other big settlements effected include Shree Balasaheb Satbhai Merchant Co-operative Bank Ltd, Copergaon, Maharashtra (Rs 22.93 crore) and the Maratha Co-operative Bank Ltd, Hubli, Karnataka (Rs 17.74 crore), and Parivartan Co-operative Bank Ltd, Mumbai (Rs 16.71 crore).

When a bank’s licence is cancelled by the Reserve Bank of India, the liquidator, who is appointed by the Registrar of Co-operative Societies, prepares a list of depositors holding deposits up to Rs 1 lakh and submits the same to the DICGC for settlement of claims.

All registered insured banks (commercial banks, including branches of foreign banks in India, regional rural banks, local area banks, and co-operative banks) are required to pay to the DICGC deposit insurance premium at the rate of 10 paise a year for every deposit of Rs 100 at half-yearly intervals. Governed by the DICGC Act, 1961, the corporation insures bank deposits such as savings, fixed, current, and recurring up to Rs 1 lakh a depositor/bank. The premium paid by the insured banks to DICGC is required to be absorbed by the banks themselves; for depositors, the benefit of this service is free of cost.

“Since DICGC is charging premium on all deposits, irrespective of whether the deposit is for Rs 100 or Rs 1 crore, there is no reason why deposit insurance coverage should be limited to a deposit holding of Rs 1 lakh. Depending on the gradation of a bank, the Corporation could consider introducing variable premium so that deposit insurance coverage could be upped substantially,” said Dr Vinayak Tarale, Secretary, Maharashtra State Co-operative Banks’ Association.

courtesy : The Business Line

COMMON SOFTWARE FOR UCBs

THIRUVANANTHAPURAM: Cooperative Urban Banks functioning under the control of the Reserve Bank of India in Kerala are going in for a common software. A decision to this effect was taken at the annual general body meeting of the Kerala Urban Banks Federation held recently. The Common Software will enable the introduction of core banking and ATM facilities in the over 300 branches of the over 60 Urban Co-operative Banks in Kerala. It is expected to revolutionise the co-operative banking sector of the state.

courtesy : the hindu

Payment of interest on Savings Bank Account on a Daily Product Basis – UCBs

RBI/2009-10/140
UBD (PCB) BPD Cir No. 7 /13.01.000/2009-10

September 01, 2009

Chief Executive Officer of
All Primary (urban) Cooperative Banks

Dear Sir/ Madam

Payment of interest on Savings Bank Account on a Daily Product Basis – UCBs.

Please refer to the Directive UBD.DC.102/V.1-86/87 dated June 25, 1987 in terms of which UCBs were instructed that interest on savings deposits should be calculated on the minimum balance to the credit of the deposit account during the period from the 10th to the last day of each calendar month.

2. On a review, it has been decided that interest on balances in savings bank accounts would be calculated on a daily product basis with effect from April 1, 2010. UCBs may ensure that they have the requisite infrastructure in place to effect a smooth transition to the revised procedure.

Yours faithfully,

(A. K. Khound)
Chief General Manager

19 cooperative banks in India go insolvent during 2008-09

courtesy : banknetindia.com

The Reserve Bank's credit insurance arm has paid over Rs 142 crore to depositors of 19 cooperative banks that have gone bankrupt in 2008-09.During 2007-08, as many as 22 cooperative banks closed operations.

The Deposit Insurance and Credit Guarantee Corporation (DICGC), a wholly-owned subsidiary of the RBI, pays a maximum of Rs 1 lakh per depositor in case a bank goes insolvent.

The following is the list of 19 co-operative banks that went bust and claims on which were settled by Deposit Insurance and Credit Guarantee Corporation Claims during 2008-09:

Among the 19 failed cooperative banks, the highest amount of Rs45.41 crore was paid to depositors of Co-operative Bank Ltd, Gonda, UP; followed by The Maratha Co-operative Bank Ltd, Hubli, Karnataka (Rs17.75 crore); Parivartan Co-operative Bank Ltd, Mumbai, Maharashtra (Rs16.71 crore); Ravi Co-op Bank Ltd, Kolhapur, Maharashtra (Rs16.23 crore) and Indira Priyadarshini Mahila Nagarik Sahakari Bank Ltd, Raipur, Chhattisgarh (Rs13.17 crore).

The following is the list of co-operative banks that went burst and claims on which were settled by Deposit Insurance and Credit Guarantee Corporation claims during 2008-09:

Cooperative banks seek tax exemption

Wed, Jul 15, 2009 09:01 PM

New Delhi, July 15 (PTI) A body of urban cooperative banks has appealed to Finance Minister Pranab Mukherjee to restore the income tax exemption they enjoyed till 2006. A delegation of Bangalore-based Forum of Urban Cooperative Banks, led by CPI(M) leader Basudeb Acharia, met Mukherjee and urged him to restore the concession under Section 80P of the Income Tax and withdraw the 30 per cent tax on their profits.

The delegation pointed out that several committees of the government and the RBI were of the opinion that cooperative banks need government''s helping hand and encouragement. Even the RBI, the Forum''s memorandum with 10,100 signatures claimed, had recently recommended that the decision of withdrawal of exemption be kept in abeyance.

It also said that while cooperative banks world over are exempted from paying tax, in India they faced discrimination as they are not not extended the facility of treatment of five-year deposits of commercial banks as savings. The delegation comprised Umapathy, N Premkumar, Chandrashekar, Badrinath, H K Srinivas, P T Satyanarayana and C V Kumar, Convenor of the Forum.

PTI.

(courtesy : yahoo news)

Urban co-operative banks ask for tax exemptions

National Federation of Urban Cooperative Banks and Credit Societies (NAFCUB), an apex level promotional body of urban cooperative banks and credit societies in India, has asked finance minister Pranab Mukherjee to restore deductions available under section 80 (P1) of the Indian income tax act while assessing the tax liabilities of its member banks and societies.

For the purpose, the representation was made to the finance ministry by an 8-member delegation of NAFCUB headed by Rahman Khan, deputy chairman of Rajya Sabha. Such an exemption in the income tax to urban cooperative banks and credit societies was allowed by the government till 2006. NAFCUB has also asked the government to include deposits with non-scheduled co-operative banks for eligibility under section 80 (C) of the income tax act.

KD Vora, member, executive committee, NAFCUB said, “Our body’s assessment is that the proposed income tax relief is expected to enhance the CRAR of each urban cooperative bank in the country by around 4%. It will also help the banks to consolidate among themselves and penetrate the rural parts of the country.” He said that at present, 18 countries including the US offer such a tax rebate facility to the urban cooperative banks.

The income tax paid for last fiscal by 1,780 urban cooperative banks and credit societies, mainly spread across Maharashtra, Andhra Pradesh, Gujarat, Karnataka and Tamil Nadu, was around Rs 1,000 crore.

courtesy : The financial express Updated: Jul 04, 2009 at 0112 hrs IST

CONCLAVE CONDUCTED

kozhikode : 2nd may 2009 :

SBI DFHI LTD., a state bank group company dealing in treasury operations, especially in government securities have conducted a conclave (seminar/meeting) here in kozhikode today. The conclave held at the gateway hotel (hotel taj) was opened by sri.Y.S.S. KAPDI, MD & CEO of SBI DFHI Ltd. Senior executives including Mr. Selvaraj, Mr. Mohanraj etc. were present in the meeting. They extended all the help, support and advice to the urban and district co-operative banks in dealing with government securities and other SLR/Non SLR instruments.

The conclave started at 10 am and ended at 2 pm. The conclave was attended by the CEOs, executives and directors of UCBs, DCBs and PF Trusts of northern districts of kerala.

The SBI DFHI LTD. intendes to conduct more colclaves this year.

Rs.1.53 Crores Profit for Tirur CUB Ltd

courtesy : Mathrubhumi Daily

തിരൂര്‍: തിരൂര്‍ അര്‍ബന്‍ കോ-ഓപ്‌. ബാങ്കിന്‌ 2007-08 സാമ്പത്തികവര്‍ഷത്തില്‍ 1.53 കോടിയുടെ ലാഭം. ആദായനികുതി കിഴിച്ച്‌ 1.13 കോടിയാണ്‌ അറ്റാദായം.

ഇതില്‍ 28.34 ലക്ഷംരൂപ റിസര്‍വ്‌ ഫണ്ടിലേക്കും 40,000 രൂപ വിദ്യാഭ്യാസഫണ്ടിലേക്കും അംഗങ്ങള്‍ക്ക്‌ 15 ശതമാനം ഡിവിഡന്റായി 39.77 ലക്ഷംരൂപയും നീക്കിവെച്ചു. അംഗങ്ങളുടെ വെല്‍ഫെയര്‍ ഫണ്ടിലേക്കും പൊതുനന്മ ഫണ്ടിലേക്കും രണ്ടുലക്ഷംരൂപ വീതവും ജീവനക്കാരുടെ റിലീഫ്‌ ഫണ്ടിലേക്ക്‌ 3.40 ലക്ഷംരൂപയും എന്‍.പി.എ അഡീഷണല്‍ റിസര്‍വായി 30.95 ലക്ഷംരൂപയും നീക്കിവെച്ചു.

ചെയര്‍മാന്‍ കൂട്ടായിബഷീറിന്റെ അധ്യക്ഷതയില്‍ ജന. മാനേജര്‍ പ്രവര്‍ത്തനറിപ്പോര്‍ട്ടും ഓഡിറ്റ്‌ റിപ്പോര്‍ട്ടും ബജറ്റും അവതരിപ്പിച്ചു. വൈസ്‌ചെയര്‍മാന്‍ ദിനേശ്‌ പൂക്കയില്‍ സ്വാഗതവും ഡയറക്ടര്‍ കെ. കൃഷ്‌ണന്‍നായര്‍ നന്ദിയും പറഞ്ഞു.

RBI WORKSHOP POSTPONED

the RBI workshop for internal auditors of the UCBs scheduled to be held on 27.03.2009 at hotel span, calicut has been postponed to 02.04.2009. there is no change in the venue and time of the program.

this is one of the first initiative by the reserve bank of india for training UCB staff after the signing of MOU between RBI and the State Government.

DA ORDER APPLICABLE TO UCB EMPLOYEES (W.E.F.01.01.2009)

the earlier DA order was applicable to employees whose scales of pay have been revised recently. as our pay is not yet revised, the DA relating to the revised scale is not applicable to us. the central government has issued fresh order for payment of DA to the employees with pre-revised scale. this order will be applicable to the employees of urban co-operative banks. click the following link to download the government order :

DA ORDER APPLICABLE TO UCB EMPLOYEES (W.E.F.01.01.2009)