17 february 2002
icici bank offers
bank has started offering internet trading from 1 february by
integrating an investor's savings, demat and broking accounts.
this three-in-one account
allows various alternatives such as cash, margin and on-the-spot
options while trading in shares.
the account for online
trading could be opened for a one time non-refundable fee of rs
750. the brokerage ranged from 0.1 per cent to 0.15 per cent for
margin trades, 0.2 to 0.425 per cent for squared-off trades and
between 0.4 and 0.85 per cent on delivery-based trades.
boi hikes rates on
of india has raised interest rates on certain categories of
domestic term deposits by 25-75 basis points effective from 18
for deposits less than rs
15 lakh but for maturities of 46 to 90 days and 91 to 179 days,
the rates have been revised to 6.75 per cent (6.00 per cent).
for deposits above rs 15
lakh and but less than rs 1 crore and for maturities of 46 to 90
days and 91 to 179 days the rate is now 6.75 per cent (6.50 per
the revised interest
rates will be applicable only on fresh deposits and on renewal of
bank credit up rs
credit has increased by rs 3,006 crore for the fortnight ended 25
january 2002 to rs 5,68,824 crore.
food credit has increased
by rs 1,485 crore to rs 54,680 crore while non-food credit has
risen by rs 1,521 crore to rs 5,14,144 crore.
provided by scheduled commercial banks to the commercial sector in
the form of bank credit and investments in shares, debentures,
bonds and commercial paper has increased by rs 45,851 crore to rs
5,94,151 crore as on 25 january 2002 from rs 5,48,300 crore as on
has cut interest rates on refinance for loans above rs 2 lakh for
farm mechanisation, rural godowns, setting up of agriclinics and
agribusiness centre from the existing rate of 10 per cent to 8.5
per cent per annum, making it a uniform rate for all loans above
the refinance rate
for loans up to rs 25,000 will be 7.5 per cent per annum for
commercial banks ( cbs), primary urban co-operative banks and
regional rural banks (rrbs) while state co-operative banks (scbs),
state co-operative agriculture and rural development banks (scardbs)
will be charged 7 per cent.
icici has made changes in portfolio allocations in its top tier of
while deputy managing director lalita gupte will head
international and business process outsourcing, the other deputy
md h n sinor will look after domestic banking.
n vaghul, the non-executive chairman of icici, will continue to
head the board of the merged entity that will be reconstituted in
compliance with the banking regulation act, 1949. k v kamath will
be the managing director and chief executive officer, with sinor
and gupte being second in command in the capacity of deputy
kalpana morparia, s mukherji, chanda d kochhar and nachiket m mor
- the four executive directors - have been demarcated separate
mor will continue to look after corporate and treasury operations
and kochhar will look after the retail sector wherein all personal
finance services and retail staff will report to her. the retail
portfolio has been identified as a focus area for the proposed
mukherji will head project finance and will be responsible for the
sticky assets. morparia will be responsible for all corporate
services including legal, human resources management, investors
and shareholder grievances, besides balance sheet and tax matters.
icici's chief financial officer, balaji swaminathan, will report
16 february 2002
bob to sell stakes
to foreign partners
bank of baroda will sell stakes in three units to foreign partners
to tap foreign financial expertise.
tying up with foreign partners is expected to revitalise the three
units and give them critical mass.
bank of baroda is looking for foreign investment for its credit
card, mortgage lending and asset management units.
bank of baroda's rival, the state bank of india, the country's
biggest commercial bank, has already sold a 49 per cent stake in
its card unit to ge capital.
15 february 2002
lic moots jv for uk
life insurance corporation (lic) has shortlisted three foreign
players for its proposed joint venture in uk.
the shortlisted players are mid-sized companies not having any
operations in india. all major international players --ing,
allianz, zurich, prudential, cgu, aig, tokio fire and marine,
standard life, metlife, new york life, sunalliance, cardif, sun
life, lombard and chubb --have already tied up with indian
insurance company has already forayed into nepal, gulf, mauritius
and other foreign countries. lic's board of directors have cleared
the proposed joint venture in the uk and the us.
lic plans foray
into sri lanka
life insurance corporation of india (lic) is scouting for a
partner in sri lanka to enter the insurance market there.
lic is looking for a
local company with a good network in sri lanka. under sri lankan
regulations, foreign companies necessarily need to team up with a
lic was a player in the
sri lankan insurance market till about 50 years ago. the insurer
stopped selling policies there after it was nationalised in 1956.
14 february 2002
lic housing fin
housing finance ltd has privately placed debentures for a total
amount of rs 392 crore. a total of 25 investors subscribed to the
the issue was for an
aggregate amount of rs 100 crore and was rated `aaa' by crisil.
the debentures, with face value of rs 1 crore each, were offered
under three options -- 5-year, 7-year and 10-year. the company
collected rs 139 crore under the 5-year option, rs 178 crore under
the 7-year option and rs 75 crore under the 10-year one.
13 february 2002
rupee co-op bank
the board of directors of rupee co-operative bank has been
superseded and the reserve bank of india (rbi) has appointed an
administrator for the management of the bank.
the action against the
bank follows the presentation of a report by the rbi, which has
been investigating charges of financial irregularities by the
board of directors.
b. yashod, additional
commissioner of co-operation, took charge as the new administrator
of the bank.
the 90-year-old rupee
co-operative bank is the third largest co-operative sector bank in
the state. the bank has an 8.5-lakh-strong customer base and a
44,000-strong shareholder base.
gtb e-payment pact
global trust bank (gtb) has tied up with rediff.com for providing
e-payment facility to its customers for online shopping.
gtb customers, registered
for the internet banking facility, will now be able to make their
payments towards purchases on the rediff online store.
gtb has also tied
up with other leading online shopping portals for a similar
e-payment facility. rediff.com hosts online stores of various
merchants who offer their merchandise for sale to customers on the
abn amro to enter
abn amro bank is planning to get into housing finance by the
second-half of this year.
the bank, which has
a presence in the car finance business, will enter the mortgage
business soon. the home loans would be issued by the bank
padamsee to promote
development credit bank (dcb) has hired alyque padamsee to advise
the bank in its media, image and advertising related activities.
mckinsey & co had
done a study of the bank in april 2000 and recommended certain
changes which the bank is undertaking at the moment. dcg is
setting up a new team out of which some have already joined the
bank while the rest are expected to join soon.
the bank will also be
tying up shortly with mutual funds and insurance companies as a
third-party distributor. the bank has a retail customer base of
about 4,00,000 accounts.
dcb is also in
talks with banks for use of their atm network.
gande to take over
as gtb md
sudhakar gande will take over as the managing director and chief
executive officer the global trust bank in the first week of
gande has worked at
american express bank for more than a decade in various
capacities. the last position he held was that of a senior
after leaving american express in 1995, sudhakar promoted lexicon
consultancy in mumbai. as a consultant, he was involved in roping
in bank brussels lambert (bbl), a subsidiary of ing barings, as a
strategic partner of vysya bank a few years ago.
12 february 2002
aig, fortis in
talks with uti bank
america international group and the french financial services
group fortis have evinced interest in uti bank and are in advanced
stages of negotiations for buying into the bank.
uti bank is also talking to lloyds tsb of uk and deg of germany.
the current price of the bank is pegged at approximately rs 50 per
share, which is higher than its earlier offered price of rs 34 per
share to south asia regional fund and cdc financial services
the exact stake that is in the offering is not known.
lic to sanction rs
200 crore to kerala
the life insurance corporation of india (lic) will sanction an
additional rs 200 crore to the kerala government.
the funding had been withheld as lic was examining whether or not
the state government had paid up its past dues. till date, lic has
extended rs 259.65 crore to kerala. the budgeted estimate for the
current fiscal had been at rs 191.58 crore. lic's funding to state
governments budgeted for the current fiscal stands at rs 1,337.37
11 february 2002
union bank launches
new scheme with hospitals
union bank of india has tied up with city-based lilavati and holy
family hospitals to introduce its union life guard scheme
designed to meet unforeseen hospitalisation expenses.
the scheme, currently being test launched through the bank's hill
road branch in bandra, ensures cashless hospitalisation in
the ulg card holders would receive admission into these hospitals
at any time of emergency. the scheme was supported by an assured
limit up to rs two lakh.
the bank customers with a gross income of rs one lakh and above
can avail of this scheme
greater bank plans
to disburse more housing loan
the greater bombay co-operative bank plans to disburse housing
loans worth rs 25 crore in the current fiscal ending march 2002.
the bank has already disbursed housing loans totalling rs 20 crore
and expects to disburse rs five crore in the remaining two months
of the current fiscal.
these loans can be given for up to 85 per cent of the value, which
has been recently raised from 75 per cent, and for a maximum
period of 15 years.
greater bank has applied to the reserve bank of india for opening
four new branches and two extension counters. the bank currently
has 15 branches and an extension counter.
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