Chapter 3

Chapter -III Profile of Selected Banks in Karnataka
3.1. Indian Banking System :
3.1.1. Origin :
Indian Banking System for the last two centuries has seen many
developments. An indigenous banking system was being carried out by the
businessmen called Sharoffs, Seths, Sahukars, Mahajans, Chettis, etc. since ancient
time. They performed the usual functions of lending moneys to traders and
craftsmen and sometimes placed funds at the disposal of kings for financing wars.
The indigenous bankers could not, however, develop to any considerable extent the
system of obtaining deposits from the public, which today is an important function
of a bank. Modern banking in India originated in the last decades of the 18th
century. The first banks were The General Bank of India which started in 1786, and
the Bank of Hindustan. Thereafter, three presidency banks namely the Bank of
Bengal (this bank was originally started in the year 1806 as Bank of Calcutta and
then in the year 1809 became the Bank of Bengal), the Bank of Bombay and the
Bank of Madras, were set up. For many years the Presidency banks acted as quasi-
central banks. The three banks merged in 1925 with the Imperial Bank of India.
Indian merchants in Kolkata established the Union Bank in 1839, but it failed in
1848 as a consequence of the economic crisis of 1848-49. Bank of Upper India was
established in 1863 but failed in 1913. The Allahabad Bank established in 1865,
which was oldest, survived Joint Stock bank in India. Oudh Commercial Bank,
established in 1881 in Faizabad, failed in 1958. The next was the Punjab National
Bank, established in Lahore in 1895, which is now one of the largest banks in India.
The Swadeshi movement inspired local businessmen and political figures to find
banks for the Indian community during 1906 to 1911. A number of banks were
established and survived, presently known as Bank of India, Corporation Bank,
Indian Bank, Bank of Baroda, Canara Bank and Central Bank of India. A major
landmark in Indian banking history took place in 1934 when a decision was taken to
establish ‘Reserve Bank of India’ which started functioning in 1935. Since then,
RBI, as a central bank of the country, has been regulating banking system.
3.1.2. Reserve Bank of India as a Central Bank of the Country:
The Reserve Bank, as the central bank of the country, started its operations
as a private shareholder’s bank. RBI replaced the Imperial Bank of India and started
“A Study on Corporate Social Responsibility with special Reference to Selected Banks in Karnataka” Page 111
issuing the currency notes and acting as the banker to the government. Imperial
Bank of India was allowed to act as an agent of the RBI. RBI covered its operations
all over the undivided India. In order to have close integration between policies of
the Reserve Bank and those of the Government, It was decided to nationalize the
Reserve Bank immediately after the independence of the country. From 1st January
1949, the Reserve Bank began functioning as a State-owned and State-controlled
Central Bank.. To streamline the functioning of commercial banks, the Government
of India enacted the Banking Companies Act, 1949 which was later changed as the
Banking Regulation Act 1949. RBI acts as a regulator of banks, banker to the
Government and banker’s bank. It controls financial system in the country through
various measures.
3.1.3. Structure of Banks in India:
Banks can be classified into scheduled and non- scheduled banks based on
certain factors
A. Scheduled Banks:
Scheduled Banks in India are the banks which are listed in the Second
Schedule of the Reserve Bank of India Act1934. The scheduled banks enjoy several
privileges as compared to non- scheduled banks. Scheduled banks are entitled to
receive refinance facilities from the Reserve Bank of India. They are also entitled for
currency chest facilities. They are entitled to become members of the Clearing
House. Besides commercial banks, cooperative banks may also become scheduled
banks if they fulfil the criteria stipulated by RBI.
3.1. Table: Scheduled Commercial Banks:
1. Scheduled Commercial Banks:

Public Sector Private Sector Foreign Regional
Banks Banks Banks Rural Banks
27 21 43 56
 Nationalized Banks  Old private
 SBI and its Associates Banks
 Other public sector Banks(IDBI)  New private
 Bhartiya Mahila Bank Banks
2. Scheduled Co-operative Banks:
 Scheduled Urban Co-operative Banks(55)
 Scheduled State Co-operative Banks(31)
B. Non-scheduled banks:
These are the banks which are not included in the Second Schedule of the
Reserve Bank of India. Usually those banks which do not conform to the norms of
the Reserve Bank of India within the meaning of the RBI Act or according to
specific functions etc. or according to the judgement of the Reserve Bank, are not
capable of serving and protecting the interest of depositors are classified as non-
scheduled banks.
3.1.4 Banks in India:
In India the banks are being segregated in different groups. Each group has
their own benefits and limitations in operating in India. Each has their own
dedicated target market. Few of them only work in rural sector while others in both
rural as well as urban. Many are only catering in cities. Some of them are Indian
origin banks and some are foreign banks. All these details and many more are
discussed over here. The banks and their relation with the customers, their mode of
operation, the names of banks under different groups and other such useful matters
are discussed about. One more section has been considered about the upcoming
banks in India. The RBI has shown certain interest to involve more of foreign banks
than the existing one recently. This step has paved a way for few more foreign banks
to start business in India.
1. Figure number:
3.1.5 Constituents of the Indian Banking System:
The constituents of the Indian Banking System can be broadly listed as under:
i. Commercial Banks:
a. Public Sector Banks
b. Private Sector Banks
c. Foreign Banks
d. RRB’s
ii. Cooperative Banks:
a. Short term agricultural institutions
b. Long term agricultural credit institutions
c. Non-agricultural credit institutions
iii. Development Banks:
a. National Bank for Agriculture and Rural Development (NABARD)
b. Small Industries Development Bank of India (SIDBI)
c. EXIM Bank
d. National Housing Bank
i. Commercial Banks:
a. Public Sector Banks:
The term ‘Public Sector Banks’ by itself connotes to a situation where the
major/full stake in the banks is held by the Government. Till July, 1969, there were
only 8 Public Sector Banks (SBI & its 7 associate banks). When 14 commercial
banks (total 20 banks) were nationalized in 1969, 100% ownership of these banks
was held by the Government of India. Subsequently, six more private banks were
nationalized in 1980. However, with the changing in time and environment, these
banks were allowed to raise capital through IPOs and there by the share holding
pattern has changed. By default the minimum 51% shares would be kept by the
Government of India, and the management control of these nationalized banks is
only with Central Government. Since all these banks have ownership of Central
Government, they can be classified as public sector banks. Apart from the
nationalized banks, State Bank of India, and its associate banks, IDBI Bank and
Regional Rural Banks are also included in the category of Public Sector banks.
b. Private Sector Banks:
The major stakeholders in the private sector banks are individuals and
corporate. When banks were nationalized under two tranches (in 1969 and in 1980),
all banks were not included. Those non nationalized banks which continue
operations even today are classified as Old Generation Private Sector Banks.. Like
The Jammu & Kashmir Bank Ltd, the Federal Bank, the Laxmi Vilas Bank etc. In
July 1993 on account of banking sector reforms the Reserve Bank of India allowed
many new banks to start banking operations. Some of the leading banks which were
given licenses are: UTI bank (presently called Axis Bank) ICICI Bank, HDFC Bank,
Kotak Mahindra Bank, Yes Bank etc., these banks are recognized as New
Generation Private Sector Banks. Ten banks were licensed on the basis of guidelines
issued in January 1993. The guidelines were revised in January 2001 based on the
experience gained from the functioning of these banks, and fresh applications were
invited. Of the 10 licences issued in 1993, four banks merged with other lenders
over a period of time. Times Bank merged with HDFC Bank, while Global Trust
Bank was amalgamated with the state-owned Oriental Bank of Commerce.
Centurion Bank took over Bank of Punjab to become Centurion Bank of Punjab,
which merged with HDFC Bank in 2008. On account of these new generation
private sector banks, a new competitive environment was created in the Indian
Banking System. These banks were having competitive advantages over their
counterparts (of the existing old private banks, public sector banks) in their IT
support system, innovative products, and pricing of their products. Private sector
banks have been rapidly increasing their presence in the recent times and offering a
variety of newer services to the customers and posing a stiff competition to the
group of public sector banks.
c. Foreign Banks
The other important segment of the commercial banking is that of foreign

banks. Foreign banks have their registered offices outside India, and through their
branches they operate in India. Foreign banks are allowed on reciprocal basis. They
are allowed to operate through branches or wholly owned subsidiaries. These
foreign banks are very active in Treasury (forex) and Trade Finance and Corporate
Banking activities. These banks assist their clients in raising External Commercial
Borrowings through their branches outside India or foreign correspondents. They are
active in loan syndication as well. Foreign banks have to adhere to all local laws as
well as guidelines and directives of Indian Regulators such as Reserve Bank of
India, Insurance and Regulatory Development Authority, Securities Exchange Board
of India. The foreign banks have to comply with the requirements of the Reserve
Bank of India in respect to Priority Sector lending, and Capital Adequacy ratio and
other norms.
3.2. Table no : Public Sector Banks and Private Sector Banks
Public Sector Banks Private Sector Banks

I. Nationalized Banks: I. Old Private Sector Banks:
1. Allahabad Bank 1. City Union Bank Ltd.

2. Andhra Bank 2. Tamilnad Mercantile Bank Ltd.
3. Bank of Baroda 3. The Catholic Syrian Bank Ltd.
4. Bank of India 4. Dhanlaxmi Bank Ltd
5. Bank of Maharashtra 5. The Federal Bank Ltd.
6. Canara Bank 6. The Jammu & Kashmir Bank Ltd.
7. Central Bank of India 7. The Karnataka Bank Ltd.
8. Corporation Bank 8. The Karur Vysya Bank Ltd.
9. Dena Bank 9. The Lakshmi Vilas Bank Ltd.
10. Indian Bank 10. Nainital Bank Ltd.
11. Indian Overseas Bank 11. RBL Bank
12. Oriental Bank of Commerce 12. The South Indian Bank Ltd.
13. Punjab & Sind Bank II. New Private Sector Banks:
14. Punjab National Bank 1. Axis Bank Ltd.
15. Syndicate Bank 2. Development Credit Bank Ltd.
16. UCO Bank 3. HDFC Bank Ltd.
17. Union Bank of India 4. ICICI Bank Ltd.
18. United Bank of India 5. Indusind Bank Ltd.
19. Vijaya Bank 6. Kotak Mahindra Bank Ltd.
7. YES Bank
II. SBI Group:
1. State Bank of India III. Others(In principle licenses
2. State Bank of Bikaner & Jaipur obtained from RBI)
1. IDFC
3. State Bank of Hyderabad
2. Bandhan Bankof Bandhan Financial
4. State Bank of Mysore
Services
5. State Bank of Patiala
6. State Bank of Travancore
III. Other Public Sector Banks

1. IDBI Ltd.
2. Bharatiya Mahila Bank
d. Regional Rural Banks: RRBs came into existence on Gandhi Jayanti in 1975
with the formation of a Prathama Grameen Bank. The rural banks had the
legislative backing of the Regional Rural Banks Act 1976. This act allowed the
government to set up banks from time to time wherever it considered necessary.
The RRBs were owned by three entities with their respective shares of 50% from
central government, 35% from sponsored bank and 15% from respective state
governments Banks were conceived as low cost institutions having a rural ethos,
local feel and pro poor focus. Every bank was to be sponsored by a “Public
Sector Bank”, however, they were planned as the self sustaining credit
institution which were able to refinance their internal resources in themselves
and were excepted from the statutory pre-emption.
3.3. Table no: List of RRBs in India.

List of
Name of Regional Rural
RRBs Sponsor Bank State
Bank
Sr. No.
1 Allahabad UP Gramin Bank Allahabad Bank Uttar Pradesh
Andhra Pradesh Grameena
2 State Bank of India Andhra Pradesh
Vikas Bank
Andhra Pragathi Grameena
3 Syndicate Bank Andhra Pradesh
Bank
4 Arunachal Pradesh Rural Bank State Bank of India Arunachal Pradesh
5 Assam Gramin Vikash Bank United Bank of India Assam
6 Bangiya Gramin Vikash Bank United Bank of India West Bengal
7 Baroda Gujarat Gramin Bank Bank of Baroda Gujarat
Baroda Rajasthan Kshetriya
8 Bank of Baroda Rajasthan
Gramin Bank
9 Baroda UP Gramin Bank Bank of Baroda Uttar Pradesh
10 Bihar Gramin Bank UCO Bank Bihar
Central Madhya Pradesh
11 Central Bank of India Madhya Pradesh
Gramin Bank
Chaitanya Godavari Grameena
12 Andhra Bank Andhra Pradesh
Bank
Chhattisgarh Rajya Gramin
13 State Bank of India Chhattisgarh
Bank
14 Dena Gujarat Gramin Bank Dena Bank Gujarat
15 Ellaquai Dehati Bank State Bank of India Jammu & Kashmir
16 Gramin Bank of Aryavart Bank of India Uttar Pradesh
17 Himachal Pradesh Gramin Bank Punjab National Bank Himachal Pradesh
18 J&K Grameen Bank J&K Bank Ltd. Jammu & Kashmir
19 Jharkhand Gramin Bank Bank of India Jharkhand
Karnataka Vikas Grameena
20 Syndicate Bank Karnataka
Bank
Kashi Gomti Samyut Gramin

21 Union Bank of India Uttar Pradesh
Bank
22 Kaveri Grameena Bank State Bank of Mysore Karnataka
23 Kerala Gramin Bank Canara Bank Kerala
24 Langpi Dehangi Rural Bank State Bank of India Assam
25 Madhyanchal Gramin Bank State Bank of India Madhya Pradesh
26 Madhya Bihar Gramin Bank Punjab National Bank Bihar
27 Maharashtra Gramin Bank Bank of Maharashtra Maharashtra
28 Malwa Gramin Bank State Bank of Patiala Punjab
29 Manipur Rural Bank United Bank of India Manipur
30 Meghalaya Rural Bank State Bank of India Meghalaya
31 Mizoram Rural Bank State Bank of India Mizoram
32 Nagaland Rural Bank State Bank of India Nagaland
33 Narmada Jhabua Gramin Bank Bank of India Madhya Pradesh
34 Odisha Gramya Bank Indian Overseas Bank Odisha
35 Pallavan Grama Bank Indian Bank Tamil Nadu
36 Pandyan Grama Bank Indian Overseas Bank Tamil Nadu
37 Paschim Banga Gramin Bank UCO Bank West Bengal
38 Pragathi Krishna Gramin Bank Canara Bank Karnataka
39 Prathama Bank Syndicate Bank Uttar Pradesh
40 Puduvai Bharthiar Grama Bank Indian Bank Puducherry
41 Punjab Gramin Bank Punjab National Bank Punjab
42 Purvanchal Bank State Bank of India Uttar Pradesh
Rajasthan Marudhara Gramin State Bank of Bikaner
43 Rajasthan
Bank and Jaipur
44 Saptagiri Grameena Bank Indian Bank Andhra Pradesh
45 Sarva Haryana Gramin Bank Punjab National Bank Haryana
46 Sarva UP Gramin Bank Punjab National Bank Uttar Pradesh
47 Saurashtra Gramin Bank State Bank of India Gujarat
48 Sutlej Gramin Bank Punjab and Sind Bank Punjab
State Bank of
49 Telangana Grameena Bank Telangana
Hyderabad
50 Tripura Gramin Bank United Bank of India Tripura
51 Utkal Grameen Bank State Bank of India Odisha
Uttar Banga Kshetriya Gramin
52 Central Bank of India West Bengal
Bank
53 Uttar Bihar Gramin Bank Central Bank of India Bihar
54 Uttarakhand Gramin Bank State Bank of India Uttarakhand
55 Vananchal Gramin Bank State Bank of India Jharkhand
Vidharbha Konkan Gramin
56 Bank of India Maharashtra
Bank
3.2. CSR in the Banking Industry:
3.2.1. Evolution of CSR in Banking:
Most private banks set up in the early 1990 s were established by founders of
business families, and this fact initially guided the banks towards some kind of
philanthropic activities. It was only in the second half of the 20 th century that
economic planning started in India. Then, as evolving public policy began to
emphasize the importance of banks fulfilling their social obligations, this emphasis
was reinforced by the nationalization of banks in 1969.
The initial banking policy reforms after the Third Five-Year Plan reflected a
clear focus on a decentralized economic development process, highlighting the role
of small, village and ancillary industries in the nation-building process. The banking
policy sought to provide financial assistance to these segments in order to create and
foster entrepreneurship, and thus generate self-employment opportunities. Therefore,
the initial spate of social responsibility activities arose from the very nature of the
banking policy and schemes thereof addressed to the underprivileged sectors.
It was assumed that if the schemes specifically designed to serve the needs of
these segments were implemented, the beneficiaries would be empowered in the
long run, and thus the objectives of CSR would be realized. Once the local
community got involved in some kind of banking habit and initiated economic
activities it would facilitate the much required capacity building at the decentralized
levels.
Further, once incomes are generated at the local level, the requisite skill set
will also tend to develop, to fully realize the potential of the local economic
development, and also if economic process is effective it will promote some kind of
social development. All these assumptions were implicit in the banking policy
statement of the 1970s through to the 1990s.
3.2.2. Assumptions Implicit in the Banking Policy:
The main assumptions are briefly enumerated below.

1. The local community will understand the banking policy objectives and
participate voluntarily in the process of economic and social development.
2. The banking institutions will develop core competencies and procedures to
realize the explicit social obligations as a consequence of economic
development.
3. The banks will develop appropriate and relevant strategies for integrating
financial and social parameters in their operating process.
4. Where necessary the banks will mobilize support from voluntary agencies and
other government departments to make the implementation of their schemes
effective.
5. The banks will over time develop a database and the requisite information
system for evolving an appropriate monitoring and follow-up mechanism.
6. The banks will set up supporting institutions and agencies in order to
complement the technical and financial input such that the local community is
adequately incentivized to participate and realize the intended benefits.
7. The social initiatives reflected in the financing schemes and special
developmental programmes will eventually be positively linked to financial
performance of the banking industry.
8. The banking industry will provide a lead and inspiration to other national and
sub-national financial institutions to develop appropriate social responsibility
initiatives.
9. The bank will be in a position to develop separate and exclusive schemes of
CSR, aside from their financing schemes to reflect the emerging social priorities
of the Indian economy.
10. Bank will be able to obtain competitive advantage in the banking industry by
utilizing CSR process and content over time.
11. Bank will create a sense of participation and collaboration among the borrowing
companies and individuals to adopt strategies of mutual benefits in the long run.
12. By adopting new product development and assessing different types of risks, the
banking industry will be better able to negotiate the changing business
environments through innovative CSR and CSR disclosure practices.
13. The banking industry will boost the relative confidence of investors, depositors
and other stakeholders in the long run to gain legitimacy as institutions in the
overall financial architecture of the country.
14. The banks in the long run will gain significant international exposure and
become more competitive in the international financial system.
15. Similarly, in the Indian market the banks would acquire the requisite competence
to face stiff competition from the newer private and multinational banks: for
which purpose they require innovative social and environmental programmes,
not only for their internal but also for their external stakeholders.
16. In the long run, the social obligations and social policy of banks will be directed
towards meeting the challenges posed by the needs for simultaneous growth of
agriculture and industry. In such a context, the banking industry will benefit by
adopting aggressive and innovative CSR and sustainability strategies. In the long
run, the banking industry will need to move more actively towards sustainability
financing, both at the national as also international levels.
3.2.3. Opportunities for Social Initiatives
The main opportunities for social initiatives came in the 1970 s, when the
government nationalized banks to move from class banking to mass banking.
Between 1970 and 1980, the banks had to prepare themselves for social lending and
meeting the social obligations by way of implementing the banking policy.
In the 1980s the banks were further asked to accelerate social and rural
entrepreneurship development programmes and schemes to spread entrepreneurial
culture. The thrust in this period was priority sector lending and rural development,
and to support this measure of public policy, the government established refinancing
agencies both in the sphere of agricultural and industrial financing domains.
Also in the period between the 1970s and 1990s, the banks were merely
implementing social schemes and policies formulated by the RBI and the
government. It is only since the 1990s, in the post-reform period, that the banking
industry evolved several distinctive initiatives in the social domain.
In such a context, unlike the manufacturing and other service sector

industries in India, the banking industry is a unique example of social relevance as it
was not only publicly owned but well regulated. In this sense, one of the outcomes
of public policy is that market regulation does not deter or discourage the
institutions from adopting or innovating social policy instruments; within this view
how many banks could actually do so is the research question.
Banks under the guidance and supervision of the RBI have expanded their
areas of activities, business portfolio, international branch expansion, customer
relations and have made a significant contribution to the process and content of
economic development in India. Since the 1990s, the banking industry was reviewed
constantly by a number of task forces and committees and several important reforms
of systemic nature were suggested. As a result of such reviews, several innovations
took place in the banking industry. Some of these are mentioned below:
 Lead district/bank scheme
 Agriculture financing
 Small industry/assistance programme
 Rural credit schemes
 Primary agricultural credit societies
 Branch expansion
 Regional rural banks
 Gram Vikas Kendra
 Customer service
 Anti-poverty schemes
 Adoption of long-range planning
 Entrepreneurship development programmes
These developments took place since the 1980 s and the pace of reform was
accelerated by the end of the 20th century. In fact, refinancing agencies for industry
and agriculture were set up by the RBI. As a result of these schemes, the banking
industry’s commitment to the social sector was reinforced.
4. The following further part of this chapter devoted for providing a brief profile of
selected banks which include:
Selected Scheduled Commercial Banks for this Study

Public sector Banks Private sector RRB’s
Banks
Canara Bank Karnataka Bank Pragathi Krishna
Ltd Grameena Bank
State Bank of Mysore
Kavery Grameena Bank
Corporation Bank
Karnataka Vikasa
Syndicate Bank
Pragathi Grameena
Vijaya Bank Bank
3.3. CANARA BANK
3.3.1. History of the Bank:
Widely known for customer centricity, Canara Bank was founded by Shri
Ammembal Subba Rao Pai, a great visionary and philanthropist, in July 1906, at
Mangalore, then a small port town in Karnataka. The Bank has gone through the
various phases of its growth trajectory over hundred years of its existence. Growth
of Canara Bank was phenomenal, especially after nationalization in the year 1969,
attaining the status of a national level player in terms of geographical reach and
clientele segments. Eighties was characterized by business diversification for the
Bank. In June 2006, the Bank completed a century of operation in the Indian
banking industry. The eventful journey of the Bank has been characterized by
several memorable milestones. Today, Canara Bank occupies a premier position in
the comity of Indian banks. With an unbroken record of profits since its inception,
Canara Bank has several firsts to its credit. These include:
 Launching of Inter-City ATM Network
 Obtaining ISO Certification for a Branch
 Articulation of ‘Good Banking’ – Bank’s Citizen Charter
 Commissioning of Exclusive Mahila Banking Branch
 Launching of Exclusive Subsidiary for IT Consultancy
 Issuing credit card for farmers
 Providing Agricultural Consultancy Services
3.3.2. Overview of the Bank:
Over the years, the Bank has been scaling up its market position to emerge as
a major 'Financial Conglomerate' with as many as nine subsidiaries/sponsored
institutions/joint ventures in India and abroad. As at December 2015, the Bank has
further expanded its domestic presence, with 5787 branches spread across all
geographical segments. Keeping customer convenience at the forefront, the Bank
provides a wide array of alternative delivery channels that include 9144 ATMs,
covering 4081 centres. Several IT initiatives were undertaken during the year. The
Bank set up 164 hi-tech E-lounges in select branches with facilities like ATM, Cash
Deposit Kiosk with voice guided system, Cheque Deposit Kiosk, Self Printing
Passbook Kiosk, Internet Banking Terminal, Online Trading Terminal and
Corporate Website Access. ‘Canara e-Infobook’ – an electronic passbook and
banking related information facility was introduced on mobile platforms - Android,
Windows8 & iOS. The Bank also launched Canara Bank RuPay Debit Card, Canara
Club Card – Debit, Canara Secured Credit Card, Canara Elite Debit Card, Canara
Bank Platinum Rupay Cards, Platinum Rupay Card and EMV Chip Cards under
debit and credit cards. Online Savings Bank and PPF account opening were
introduced during the year. The Bank has released Enquiry portal for social security
schemes and implemented Jeevan Praman (digital life certificate) for pensioners.
The Bank made several value additions under internet banking and mobile banking
services. The Bank has introduced enhanced version of CanMobile, Canara e-
InfoBook- an electronic passbook and banking related information facility on mobile
platforms - Android, Windows8 & iOS and Canara m-Wallet to provide more
convenience and facilities to customers. Canara Galaxy, a combo product launched,
comprising SB, Demat, OLT, Internet & Mobile Banking, Insurance, card services
and other add-ons. Canara Bank has extended facility to customers for request of
personalized cheque book for Galaxy Accounts without visiting branch through
ATM / Mobile Banking / Internet banking. Under education loan interest subsidy,
web portals released for Central Scheme for Interest Subsidy (CSIS), Ministry of
HRD, GOI, Dr. Ambedkar Central Sector Scheme of Interest Subsidy (ACSIS),
Ministry of Social Justice & Empowerment, GOI and Padho Pardesh, Ministry of
Minority Affairs, GOI.
Not just in commercial banking, the Bank has also carved a distinctive mark,
in various corporate social responsibilities, namely, serving national priorities,
promoting rural development, enhancing rural self-employment through several
training institutes and spearheading financial inclusion objective. Promoting an
inclusive growth strategy, which has been formed as the basic plank of national
policy agenda today, is in fact deeply rooted in the Bank's founding principles. "A
good bank is not only the financial heart of the community, but also one with an
obligation of helping in every possible manner to improve the economic conditions
of the common people". These insightful words of our founder continue to resonate
even today in serving the society with a purpose. The growth story of Canara Bank
in its first century was due, among others, to the continued patronage of its valued
customers, stakeholders, committed staff and uncanny leadership ability
demonstrated by its leaders at the helm of affairs. We strongly believe that the next
century is going to be equally rewarding and eventful not only in service of the
nation but also in helping the Bank emerge as a "Preferred Bank" by pursuing
global benchmarks in profitability, operational efficiency, asset quality, risk
management and expanding the global reach.
3.4. Table no: Canara Bank Profile:
CANARA BANK
Type Public((BSE:532483,NSE:CANBK)
Industry Banking, Financial services
Founded Canara Bank Hindu permanent Fund(1906)
Canara Bank Ltd(1910), Canara Bank(1969)
Headquarters Bangalore
Key people T.N.Manoharan(chairman)
Rakesh Sharma(MD & CEO)
Branches=5784
Product Investment Banking, Consumer Banking
Commercial Banking, Retail Banking,
Private Banking
Asset Management, Pension, Mortgages,
Credit Cards
Net income (2014-15) 2703crore
Total Business Turnover(2014-15) 803876crore
Net Worth (2014-15) 26453.38crore
Number of employees 53,506(2015)
Slogan Together we can, serving to grow, growing
to serve
Website Canarabank.in
3.3.3. Significant Milestones of the Bank:
1st July Canara Hindu Permanent Fund Ltd. formally registered with a capital of
1906 2000 shares of 50/- each, with 4 employees.
1910 Canara Hindu Permanent Fund renamed as Canara Bank Limited
14 major banks in the country, including Canara Bank, nationalized on July
1969
19
1976 1000th branch inaugurated
Overseas branch at London inaugurated Cancard (the Bank’s credit card)
1983
launched
Takeover of Lakshmi Commercial Bank Limited Commissioning of Indo
1985
Hong Kong International Finance Limited (now a fully fledged branch)
1987 Canbank Mutual Fund & Canfin Homes launched
1989 Canbank Venture Capital Fund started
1989-90 Canbank Factors Limited, the factoring subsidiary launched
Became the first Bank to articulate and adopt the directive principles of
1992-93
“Good Banking”.
Became the first Bank to be conferred with ISO 9002 certification for one of
1995-96
its branches in Bangalore
Opened a 'Mahila Banking Branch', first of its kind at Bangalore, for catering
2001-02
exclusively to the financial requirements of women clientele.
2002-03 Maiden IPO of the Bank
2003-04 Launched Internet Banking Services
2004-05 100% Branch computerization
Entered 100th Year in Banking Service. Launched Core Banking Solution in
2005-06 select branches. Number One Position in Aggregate Business among
Nationalized Banks.
Retained Number One Position in Aggregate Business among Nationalized
Banks. Signed MoUs for Commissioning Two JVs in Insurance and Asset
2006-07
Management with international major’s viz., HSBC (Asia Pacific) Holding
and Robeco Groep N.V respectively.
Launching of New Brand Identity. Incorporation of Insurance and Asset
2007-08 Management JVs. Launching of 'Online Trading' portal. Launching of a ‘Call
Centre’. Switchover to Basel II New Capital Adequacy Framework.
The Bank crossed the coveted 3 lakh crore in aggregate business. The
2008-09
Bank’s 3rd foreign branch at Shanghai commissioned.
The Bank’s aggregate business crossed 4 lakh crore marks.
2009-10 Net profit of the Bank crossed 3000 crore. The Bank’s branch network
crossed the 3000 mark.
The Bank’s aggregate business crossed 5 lakh crore marks. Net profit of the
Bank crossed 4000 crore. 100% coverage under Core Banking Solution.
2010-11 The Bank’s 4th foreign branch at Leicester and a Representative office at
Sharjah, UAE, opened. The Bank raised 1993 crore under QIP. Govt.
holding reduced to 67.72% post QIP.
Total number of branches reached 3600. The Bank’s 5th foreign branch at
2011-12
Manama, Bahrain opened.
2012-13 Highest Dividend of 130% paid for the year
1027 branches and 2786 ATMs opened during the year. Global business
2013-14 crossed the 7 lakh crore milestone. Switchover to Basel III New Capital
Adequacy Framework.
2014-15 Crossed 8 lakh crore in Total Business
3.4.3. CSR-Sustainable Development & Corporate Social Responsibility Policy:
1. Vision:
Vision of our founder Sri Ammembal Subba Rao Pai that a good Bank is not
only the financial heart of the community, but has also an obligation of helping in
every manner to improve the economic conditions of the common people has been
the guiding principles of the Bank’s CSR activities from the beginning. Bank has
been taking up various activities in helping people and has earned a distinction of
social heart of the community in which it operates. Major initiatives of the Bank
under CSR have been setting up of Trusts and Institutions which have created an
impact in serving the people and society.
1. Canara Centenary Rural Development Trust
2. Canara Financial Advisory Trust
Bank continues to actively fund and also involve in the activities of these
Trusts under its CSR. In addition Bank has facilitated setting up of below mentioned
Trusts as their founder member.
1. Canara Golden Jubilee Education Fund
2. Canara Relief & Welfare Society
Bank has also been partnering with likeminded organizations for CSR
activities in the area of livelihood creation, education, health and environment and
participated in meaningful activities. The contribution of the Bank has received wide
recognition and the Bank has been bestowed with various awards and accolades for
its efforts under CSR arena. Bank documented its CSR policy in the year 2011-12.
This policy was reviewed and updated basing on the Department of Public
Enterprises (DPE) guidelines on Corporate Social Responsibility and Sustainability
for Central Public Sector enterprises as Sustainable Development and Corporate
Social Responsibility (SD&CSR) Policy of Canara Bank 2013-14.
The new Companies Act 2013 (enacted on 29.08.2013) brought in important

provisions giving a direction to the CSR activities in the country, which has
necessitated the bank to review and update the policy in line with the expectations of
the new Companies Act. Hence, this policy for the year 2014 -15. Bank intends to
review and update the CSR policy on an annual basis basing on the inputs received
from implementation of the policy and guidelines received from time to time. Bank
will also display the policy in the corporate website of the Bank.
2. Corporate Social Responsibility:
CSR is an integration of business operations and values, whereby interests of

all stakeholders including investors, customers, employees, the community and
environment is reflected in company’s policies and actions. It is a concept whereby
companies integrate social and environmental concerns in their business operations
and interactions with their stakeholders on a voluntary basis. CSR is a tool that
invokes the participation of corporate citizens for addressing larger societal issues
such as poverty, hunger and social justice. It synergises efforts of corporate and
social sector agencies towards sustainable growth and development of social
objectives at large.
CSR was initially a voluntary effort of the corporate organization to

contribute to welfare of the society, to which it owes its existence and derives its
strength. Governments around the world are increasingly establishing mandates for
Corporates to shift from a purely bottom line approach (profit orientation) to triple
bottom line approach (people, planet and profit).
Companies Act 2013 is a step in that direction mandating companies to

spend a minimum of 2% of their net profit on developmental activities. As per
provisions of Section 135, a company with turnover of Rs.1000crores or more or a
net worth of Rs.500crores or more or net profit of Rs.5crore or more in any financial
year shall
a. Constitute a CSR Committee of the Board with 3 or more Directors of which at
least one Director will be an independent Director
b. Adopt a corporate social responsibility policy formulated and recommended by
the CSR Committee
c. Ensure that the company spends in every financial year at least 2% of the
average net profits of 3 immediately preceding financial years under the CSR
policy. The above provisions of the Companies Act relating to CSR and CSR
rules notified on 27.02.2014 come into force from 1.4.2014. CSR rules specifies
CSR activities and gives directions regarding CSR Policy, CSR Committee, CSR
expenses and CSR reporting. This CSR policy of the Bank takes into account the
expectations of the Govt. of India conveyed through Companies Act and rules
and other interactions through Finance Ministry, RBI and all other stakeholders.
The policy also draws from the Bank’s experience in the past in the field of rural
development, social banking and the experience in working with other
organizations under CSR activity.
3. Mission:
We realize that CSR for our Bank is not just compliance, but it is a strategic
business initiative to achieve sustainable triple bottom line growth. We understand
that well meaning and well implemented CSR will build corporate reputation and
trust. Such CSR will be an investment in building corporate reputation, employee
engagement and efforts of the bank in finding out innovative ways to serve the
people. We define our CSR objective as “to create a measurable positive impact on
economic, social and environmental success and brand image of our Bank and
group, through well designed, directed and sustainable interventions either own or in
partnership with other reputed likeminded organizations in thematic areas of
livelihood, education, health and environment aimed at improving the quality of life
of weaker and vulnerable sections of people”.
4. Focus & Target Group:
While development and welfare programmes in India address all the citizens
focus is on the disadvantaged, marginalized and excluded. Marginalization in India
is primarily on the basis of gender, disability, ethnicity and location. This leads to
social, physical and financial exclusion of such groups. Engaging the marginalized
in India is further complicated due to language and literacy variances, information
asymmetry, infrastructure constraints and geographical challenges. CSR should
ideally propose to target these excluded and marginalized groups. Accordingly,
following weaker and vulnerable sections of the people will be the broad focus of all
our CSR activities.
Small and marginal farmers

 Artisans
 Women and girl children
 Unemployed youth and school drop outs
 Differently abled people
 Scheduled Caste/Tribes
 Minority Community
 Prisoners and ex-convicts
 Victims of heinous crimes
 Victims of natural and manmade calamities
5. Strategy:
Provisions of Companies Act relating to CSR are both an opportunity and a

challenge. It provides an opportunity for regular funding substantially larger than the
past annual CSR spending which, when well spent and good impact created, will
enhance further the brand image and reputation of our Bank, which will in turn lead
to increased business opportunities and growth. Increase in business and profit will
in turn lead to increase in CSR allocation and in this way, bank will be on a
sustainable high growth trajectory. The challenge is in putting the CSR money to its
best use and creating a sustainable impact. Spending by way of grants and donations
for different requests received without a meaningful strategy will result in very little
sustainable impact. Hence, the following will be the strategic principles of the Bank
under CSR.
a. Bank will engage directly in CSR through Trusts and institutions already set up
by it and also explore setting up of new Trusts/institutions as may be required for
pursuing its CSR objectives.
b. Bank will also partner with likeminded reputed organizations like Government
and non-Government organizations, voluntary agencies, civil society
organizations, social entrepreneurs, companies, community based organizations,
trusts/missions, self help groups, institutes/academic organizations. In case of
such partnerships, bank will document a mutual expectations and impact matrix
in the form of Memorandum of Understanding (MOU).
c. There shall be an annual review of the activities of our own Trusts and
partnerships as well as the entire CSR portfolio to derive lessons and decide on
course corrections during implementation.
d. Bank will also follow an approach of documenting the impact created under its
CSR activities which may include a system of third party assessment and
evaluation.
e. Bank will try to engage the employees in the CSR activities and to the extent
possible provide managerial and administrative support in the form of deputation
of staff, nominating staff as ex-officio members of the Committee/Trusts, etc.
and arrange for training to staff members to carry out CSR activities. Banks may
also provide opportunities to employees to participate in the CSR activities on a
voluntary basis and initiate necessary awards/recognitions to motivate the
employees for such participation.
f. Bank at its sole discretion, may allow its and/or jointly sponsored centres to
accept grants, subsidies, donations, aids in any form of assets that will assist the
centres to carry out the defined objectives.
g. Bank shall adopt a policy to safeguard the assets and properties of Trust and
Centres established by it solo and/or jointly with others and shall not allow its
alienation, sale or transfer of any of its properties. The bank also reserves the
right to take over the ownership/physical possession of assets in the interest of
protecting the property from misuse. The Trusts/Centres shall generally be
barred from raising loans and advances without the specific consent of the bank.
This condition will not be applicable in case of projects initiated by other
agencies and funded by the Bank under CSR.
6. Activities:
Schedule VII of the Companies Act, duly amended by notification of

27.02.2014 has listed out the activities that can be taken under CSR by the
companies. Activities specified in Schedule VII and illustrative list of projects and
programmes that can be taken under each activity is listed below:
a. Eradicating hunger, poverty and malnutrition, promoting preventive health care

and sanitation and making available safe drinking water.
b. Promoting education, including special education and employment enhancing

vocation skills especially among children, women, elderly and the differently
abled and livelihood enhancement projects;
c. Promoting gender equality, empowering women, setting up homes and hostels
for women and orphans, setting up old age homes, day care centres and such
other facilities for senior citizens and measures for reducing inequalities faced
by socially and economically backward groups;
d. Ensuring environmental sustainability, ecological balance, protection of flora
and fauna, animal welfare, agro forestry, conservation of natural resources and
maintaining quality of soil, air and water.
e. Protection of national heritage, art and culture including restoration of buildings
and sites of historical importance and works of art, setting up public libraries,
promotion and developmental of traditional arts and handicrafts.
f. Measures for the benefit of armed forces veterans, war widows and their
dependents.
g. Training to promote rural sports, nationally recognized sports, Paralympics
sports and Olympic sports.
h. Contribution to the Prime Minister’s National Relief Fund or any other fund set
up by the Central Government for socio economic development and relief and
welfare of the Scheduled Castes, the Scheduled Tribes, other backward classes,
minorities and women.
i. Contributions or funds provided to technology incubators located within
academic institutions which are approved by the Central Government.
j. Rural development projects. CSR Rules specify that the CSR projects,
programmes or activities undertaken in India shall amount to CSR expenditure.
Rules also prescribe the activities that benefit only the employees and the
families of the company shall not be
Considered as CSR. DPE Guidelines permit creation of infrastructure

facilities like schools, hospitals, training institutes, primarily created for benefit of
underprivileged communities and society at large, but facilities are also availed by
employees of the company and their families, to be classified under CSR provided
they do not exceed 25% of the total number of beneficiaries of such facilities.
7. CSR Expenditure:
 Companies Act provides that CSR expenditure shall include all expenditure
including contribution to corpus for projects or programmes relating to CSR
activities approved by Board, except the expenditure on an item not in
conformity or not in line with activities under purview of Schedule VII. Hence,
all the expenditure including the establishment expenses of the manpower that
are engaged full time in CSR activities has to be reported under CSR.
 In case of projects and programmes funded by us through grants or

contributions, such manpower costs will be restricted to maximum of 20% of the
total project cost. This is not applicable to the Trusts set up by the Bank.
 CSR rules also permits companies to build CSR capacities of their own
personnel as well as the staff of implementing agencies through training
institutions with established track records of at least 3 years. The expenditure for
capacity building shall not exceed 5% of the total CSR expenditure of the
company in a year. This expenditure for capacity building will be included under
CSR.
 Funds released to our Trust including general corpus and specific grants during
the financial year will be accounted as CSR expenditure for the year wherever
the implementation has commenced and is in progress.
 Grants released as corpus or endowments to implementing agencies will be

treated as CSR expenditure for the year even in such cases where the
implementing agencies utilize the income out of the endowment for their
projects.
8. Geographic Areas:
Companies Act provides that the company should give preference to local
area and area around it where it operates. Ours being a Bank with a PAN INDIA
presence, CSR activities can be taken up anywhere in the country, Service
Area/command area of our branches, economically backward Districts (identified by
the Planning Commission for Backward Regions Grant Fund),Districts with
concentration of minorities, Scheduled Castes and Tribes and other vulnerable
sectors.
9. CSR Implementation:
Provisions of the Act permit implementation of CSR through the following methods.
a. Directly on its own
b. Through its own non-profit Trust or Foundation set up for CSR initiatives
c. Through Companies/organizations having a satisfactory track record of not less

than 3 years
d. Collaborating or pooling resources with other companies.
i. Companies Act provides that CSR activities can be undertaken through a

Registered Trust or a Registered Society or a company established by us or our
group companies. Bank has set up:
a. Centenary Rural Development Trust (Livelihood)
b. Financial Literacy Centre (education about financial products).
All the activities of the Trust are falling under the activities approved under
the Companies Act and not under normal business activities of Banking, hence
eligible to be covered under CSR budget and expenditure of the Bank. Surplus if any
earned by the Trusts and grants/reimbursements received by the Trusts is not part of
Bank’s earnings and are retained by the Trusts for furtherance of their activities,
which will be continued.
Hence all monies released by the Bank to the above Trusts and the Trust to
be set up exclusively for CSR activities are to be reported under CSR.
Bank will explore formation/setting up of another Trust/Society/company for

CSR activities for other than the activities carried out by the existing two Trusts.
Setting up of such Trusts would have the following advantages:
a. Exclusive focus on the CSR activities and the projects/programmes funded under
CSR.
b. Implementation and monitoring of certain CSR activities calls for special

exposure and expertise in social entrepreneurship. Flexibility of engaging those
specialists will be available to the Trust.
c. Projects/programmes of long duration and high scalability can be initiated and

monitored for long periods.
d. Bank will get more recognition through activities carried out by the Trust rather
than carrying on in partnership with other agencies.
ii. Companies Act and rules also permit undertaking CSR activities through other
organizations with the following conditions:
a. It should be a Registered Trust/society/company
b. Established track record of 3 years in undertaking CSR programmes/projects.
c. Projects and programmes to be undertaken to be specified.
d. Modalities for drawl and utilization of funds are fixed
e. Monitoring and reporting mechanism is prescribed.
Bank has been undertaking CSR activities by providing assistance to like

mined NGOs, Society, and Associations for taking well meaning projects and
programmes, such partnership would continue with agencies who satisfy the criteria
stipulated in Companies Act.
 Eligibility of Trust/Agencies for project Partnership:
a. Registered Society, Trust or a company
b. Satisfactory track record of 3 years
c. Either a non-profit organization or a charitable organization where profit is

flowed back for charity purpose.
iii. Projects and programmes that can be funded under CSR:
As per the Companies Act, projects/programmes/activities that fall under the

list of 10 activities prescribed under Schedule VII can be funded under CSR.
Generally, the project would have the following salient features:
a) Specific objective which is quantifiable, achievable and measurable (atleast

evaluable)
b) Specific time frame for implementation
c) Scientific planning including financial planning (cost of project and means of

finance)
d) On-going monetary mechanism
e) Evaluation on project closure DPE Guidelines on CSR prefers implementation of

CSR in project mode and recommends earmarking of 80% of the annual budget for
activities in project mode. Accordingly, it is proposed to allocate 80% of the CSR
budget for activities in project mode.
f) In addition to the projects, activities of short duration like organizing blood

donation camps, sports for differently abled people, entrepreneur development
programmes, awareness camps, etc. do serve the causes listed under the permitted
activities. Similarly, requests for one time assistance for purchase of equipments and
movables like vehicles by charitable organizations also contribute to the causes
listed under the permitted activities. Hence such needs also to be considered. The
balance 20% allocation can be utilized for such activities.
iv. Each CSR proposal to contain following features:
a. Organization – Details of organization and people involved – constitution,

category (profit/non-profit), nature (GO/NGO), standing, objectives of
organization, promoters/Directors (name, address ……..), activities for last 3
years, awards and recognitions.
b. Financial background – Sources of funding, net worth, last 3 years financial

status, names of Auditors, etc.
c. Nature of project/programme. The thematic area/sector (as per Companies Act),

location, project period, cost of project, sources of funds, type of assistance
(implementation + gestation + evaluation), implementation schedule, intended
benefits to people and planet in measurable terms, monitoring mechanism of
implementation, process of impact study, evaluation (methodology, valuation
agency, period)
d. Accounting, Audit (mode of access if revenue generating – Treatment of surplus

generated out of the asset/project)
v. Terms And Conditions:
a. Due diligence of the implementing agency has to be carried out with reference to
their eligibility, track record and impact created. Due diligence can be carried
out by site visits, interaction with the people behind the agency and financial
analysis.
b. Evaluation of the project. Deciding on the measurable outcomes and process of

evaluating the impact.
c. The agency should utilize the funds for the sanctioned project and purpose in
case of programmes and provide documentary evidence of utilization with bills
and vouchers. Auditor’s certificate should be submitted for projects above Rs.5
lacs.
d. Agency to submit periodical progress and monitoring reports (periodicity to be

specified to the Bank)
e. Agency to undertake to keep separate records relating to the activities funded by

us and make available whenever required.
f. Wherever an income generating asset is funded under CSR and agency generates
revenue out of it, the details of such revenue should be maintained separately
and not to be taken into the business profits of the organization.
g. Agency should agree for impact study and evaluation reports from third parties
approved by the bank. Agency should execute an MOU agreeing to the above
and other terms and conditions specified in the sanction.
10. Employee Engagements Under CSR:
Bank has been engaging employees and motivating the employees for
participation in CSR activities.
a. Bank has deputed Scale II and III Managers as Directors of RUDSETIs and
RSETIs under the Rural Development Trust. The performance at RUDSETIs
and RSETIS of the deputed Officers is reckoned while assessing the
performance of the Officers. Bank will consider such need based deputations for
pursuing the CSR activities.
b. Bank has encouraged the employees to contribute to CSR activities under

TRAM campaign. Bank is extending pay roll deduction for such voluntary
contributions by the employees. The funds pooled are utilized by the employees
committee constituted at HO/CO/Branches for social Action programmes.
c. Bank has established a Department of Community Development Section under

PC&FI Wing whose activities include organizing blood donation camps, health
check up camps, career guidance and other socially relevant programmes
involving the employees of the Bank.
d. Bank wishes to explore for further initiatives towards employee engagement

under CSR by way of
 Providing opportunities to employees to voluntarily participate in the Bank’s

CSR activities, utilizing their spare time.
 Opportunity to employees to engage full time for short duration in CSR activities
and considering that duration as one on Bank’s duty.
11. Monitoring, Review and Reporting:
The Sustainable Development and CSR Policy will be made available to all
employees, regulatory agencies, customers, business associates, general public and
other stakeholders through the Bank’s official website. The Policy shall be a part of
the training for all new employees, and all employees are expected to adhere to and
comply with the Policy and its individual elements.
Implementation and Monitoring of Sustainability and CSR activities will be

overseen by a three member sub-committee of Board named “Sustainable
Development & Corporate Social Responsibility (SD & CSR) committee” headed
by the Chairman & Managing Director having Executive Director overseeing PC &
FI Wing and an independent Director on rotation as members.
To exercise constant oversight over the implementation of the activities

General Manager, PC & FI Wing is designated as “Nodal officer” of the Bank for
Sustainable Development and Corporate Social Responsibility.
The SD & CSR Committee is responsible for reviewing and updating the
Policy periodically, to reflect any changes in the regulatory and business
environment. The Committee is also responsible for the overall monitoring and
review of the Policy, allied management systems and sustainability initiatives
undertaken by the Bank periodically to ensure their continuing applicability and
relevance to the Bank’s operations and evolving stakeholders’ expectations.
Regional/Branch Heads are responsible for ensuring the implementation of

the Policy in their respective jurisdictions.
Grievances related to this Policy would be brought to the notice of the SD &
CSR Committee which would evaluate them and address them appropriately.
Reports on the SD & CSR activities, expenditure, Impact created,

Innovations, lessons learnt, etc. will be placed to Board every year. An annual report
will be brought out by the Bank. The report apart from covering SD & CSR
initiatives of the Bank will also give details of Bank’s performance under Priority
Credit admits sub-segments, financial Inclusion, financial literacy and credit
Counselling, ICT based solutions, etc.
The Expenditure and impact study of the activities undertaken will be

audited every year. The audit findings will be placed before the sub-committee of
Board on SD & CSR.
The Policy will be reviewed as and when required to bring desired

modifications/improvements.
The Bank has adopted the CSR Policy only from 2013-2014 onwards
Sl. No Year Amount
1 2013-14 29.78crores
2 2014-15 30.40crores
3.4. STATE BANK OF MYSORE
3.4.1. Introduction of the Bank:
State Bank of Mysore is a nationalized bank in India, with headquarters

at Bangalore. It is one of the five associate banks of State Bank of India. State Bank
of Mysore was established in the year 1913 as The Bank of Mysore Ltd. under the
patronage of then Maharaja Krishna Raja Wadiyar IV of erstwhile Govt. of Mysore,
at the instance of the banking committee headed by the great Engineer-Statesman,
Bharat Ratna Sir M. Visvesvaraya. During 1953, "Mysore Bank" was appointed as
an agent of Reserve Bank of India to undertake Government business and treasury
operations, and in March 1960, it became a subsidiary of the State Bank of India
under the State Bank of India (subsidiary Banks) Act 1959. Now the bank is an
Associate Bank under State Bank Group and the State Bank of India holds 92.33%
of shares. The Bank's shares are listed in Bangalore, Chennai, and Mumbai stock
exchanges.
1. Branch Network:
The Bank has widespread network of 1,022 Branches (as on 30.09.2015)

and 9 Extension Counters spread all over India including 20 Small and Medium
Enterprise Branches, 8 Industrial Finance Branches, 3 Corporate Accounts
Branches, 7 Specialized Personal & Services Banking Branches, 9 Agricultural
Development Branches, 3 Government Business Branches, 2 Specialized NRI
Branches, offering wide range of services to the customers besides 5 Service
Branches and 1 Asset Recovery Branch rendering backup support to the Bank.
2. Financial Profile:
The Paid-up Capital of the Bank as on 30.09.2015 is Rs 48.01 crores of

which State Bank of India holds 90% share. The Bank has achieved a Capital
Adequacy Ratio of 11.29% under Basel-III guidelines. The Bank has an enviable
track record of continuously earning profits and payment of uninterrupted dividend
since its inception in 1913. The Bank earned a net profit of Rs 226 crores during the
half year ended September 2015 with a YoY growth of 29% (Sep’14: Rs 177crs).
3.5. Table no: State Bank of Mysore Profile:

State Bank of Mysore
Type Public
Founded The Bank of Mysore Ltd(1913)

Arundhati Bhattacharya(Chairman)
Key people
N.K.Chari(M.D)
Investment Banking
Consumer Banking
Commercial Banking
Retail Banking
Product Private Banking
Asset Management
Pension
Mortgages
Credit Cards
Net income (2014-15) 409crore
Total Business Turnover
118089.6crore
(2014-15)
Net Worth (2014-15) 4361.59crore
Number of employees 10,627(2014)
Slogan Working for a better Tomorrow
Website Statebankofmysore.co.in
3. Business Profile:
Total Deposits of the Bank as at the end of September 2015 stood at Rs

69,353 crores and the total Advances stood at Rs 51,926 crores including an export
credit of Rs 1,512 crores. The Bank is a major player in Foreign Exchange dealings
also and has recorded a merchant turnover of over Rs 24,030 crores and a trading
turnover of over Rs 2,78,439 crores during the half year ended September 2015.
4. Human Resources:
The Bank has a dedicated workforce of 10,116 employees consisting of

3,709 supervisory staff and 6,407 non-supervisory staff (as on 30.09.2015). The skill
and competence of the employees have been kept updated to meet the requirement
of our customers keeping in view the changes in the business environment.

1. 1913 - The Bank was established as 'Bank of Mysore Ltd.', on 19 May, with an
authorized capital of Rs.20.00 lakhs.
2. Commenced its business on 2 October 1913.
3. 1953 - During the year, the Bank was appointed as an Agent of Reserve Bank of
India to conduct Government business & treasury operations.
4. 1959 -The bank has formulated schemes for financing coffee planters/coffee
traders against coffee curer’s certificate, financing coffee traders, coffee
exporters & coffee curers who also engage in trading.
5. The Bank has sponsored two Regional Rural Banks, Cauvery Grameena Bank &
Kalpatharu Gameena Bank which were merged to form Kaveri-Kalpatharu
Gramin Bank, headquartered at Mysore with more than 250 branches for growth
of agriculture & rural industries.
6. The Bank has 3 specialized SSI branches to assist the SSI units & proposes to
establish 3 more such 551 branches shortly.
7. The Bank has correspondent & agency arrangements all over the world & offers
spot services in 18 major approved currencies.
8. State Bank of Mysore handles a significant part of day-to-day banking business
of both the Central & State Governments in the State of Karnataka & is a Banker
to various Public Sector Undertakings in various sectors of Economy.
9. The Bank has been actively participating in welfare banking needs of public
through its community services.
10. 1992 - The State Government has also taken up vigorously 'ASHRAYA', a new
housing scheme for weaker sections & 'VISHWA', a new rural & cottage
industry scheme. A new programmed called 'AKSHAYA' has also been
launched to help the children in primary education. The Konkan Railway Project
& the New Mangalore Port Project are also progressing satisfactorily.
11. 1994 - Several important measures have been introduced in the busy season
credit policy of November 1993 & slack season credit policy of May 1994,
announced by Reserve Bank of India.
12. 2001 - State Bank of Mysore has opened a foreign exchange cell at its Hirehally
Industrial estate branch in Tumkur district to enable small-scale industrialists to
manage their foreign exchange transactions.
13. 2003- Considers new method of appraisal for lending to the agricultural sector
more on the lines of industrial credit given to trade & commerce.-Declared a
dividend of 40% on equity capital for year ended.-Ties up with HMT Ltd &
launches SBM-HMT Agri Farm Scheme, to promote agricultural mechanization
in south India.-MarutiUdyog forges alliances with SBM to offer car finance.
14. 2004-Mr. Vijayanand assumes charges as Managing Director of bank from
01/03/2004-State Bank of Mysore has joined the Real Time Gross Settlement
Systems [RTGSs] network that facilitates inter-bank funds settlement on 22 July.
15. 2005: 100% computerization and Core Banking Solutions (CBS) introduced.
16. 2005 : SBM unveils new single window system
17. 2009: Sri Dilip Mavinkurve takes charge as Managing Director of the Bank. He
was earlier Chief General Manager of the Bank.
18. 2012: ShriSharad Sharma takes charge as Managing Director of the bank.
19. 2013: The Bank celebrated its Centenary year during the period 2nd October
2012 to 1st October 2013.
3.4.3. Corporate Social Responsibility –(CSR) Policy Document-2015:
1. Concept:
The concept of corporate social Responsibility (CSR) was introduced in our
Bank during 1984, under the name innovative Banking, covering both banking as
well as non-banking activities. The initial emphasis was on assisting groups
belonging to the weaker and down-trodden section of society, by providing avenues
for improvement of their economic conditions. Non-banking activities involved
participation in community activities which contributed to the communal good e.g.
blood donation camps, health camps, participation in local festivals, adult literacy
and tree planting, etc. As the scope of activities increased, the bank classified these
activities as community service Banking is now one of the activities through which
the bank plays the role of a responsible and responsive corporate citizen and
discharges its corporate social responsibility to the community.
iii. Corporate Philosophy:
 The Bank is a corporate citizen, with resources at its command and benefits,
which it derives from operating in society in general. It, therefore owes a
solemn duty to the less fortunate and under-privileged members of the same
society.
 Staff members are encouraged to make their contribution to the needs of the
society they live in, especially when natural calamities occur.
iv. Under community service banking, various welfare and social activities are
undertaken by the Bank, both in Banking and Non-Banking areas, to raise the
quality of life of the down-trodden and under-privileged sections of society.
2. Bank’s Donations: In terms of Reserve Bank of India instructions, the Bank can
sanction donations up to 1% of the previous year’s Net profits. The new
Companies Act, 2013, which mandates to spend 2% or aside 2% of the profit for
CSR, is not applicable to commercial Banks as they are set up under the Banking
Regulation Act, which does not mandate this. The Bank shall not carry forward
the unutilized amount of the permissible limit of any year for use in subsequent
years. The Board of Directors of the Bank is required to lay down the policy of
making donations, including the purpose for which donations may be given.
Banks donations are classified under two broad categories:
a) National Donations
b) Normal Donations
3. Ceiling:
 The annual ceiling for donations is 1% of the previous year’s published

profit which is divided equally between “Normal Donations” (0.75% of
profit) and “National Donations” (0.25%).
 However, in exceptionally deserving cases involving good social causes, the

utilized portion of either of the two categories of donations may, at the
discretion of the Managing Director, be utilized for the remaining category

of donations, in case its quota for the year has been exhausted.
4. National Donations:
 Donations granted to funds sponsored /recognized by central or state

Governments like prime minister’s National Relief Fund, National Defense fund,
chief Minister’s Relief Fund etc. for relief/rehabilitation during natural
calamities.
 25% of donations ceiling (0.25% of profit) is earmarked for National Donations.
 All National Donations are included while computing the 1% annual ceiling
applicable for overall donations in a year, except for donations to Prime
Minister’s National Relief Fund, which has been excluded by the Reserve Bank
of India.
5. Normal Donations:
Donations granted to voluntary organizations/NGOs/Charitable institutions

registered as societies or public charitable Trusts for implementing socially oriented
projects will be deemed as Normal donations.
6. Eligibility:
 Discretion to be exercised judiciously to ensure that assistance is extended for
worthy causes to well establish institutions/NGOs with proven track record, for
socially oriented projects. It should be ensured that donations are invariably
made directly to institutions/NGOs without any involvement of
agents/middlemen/consultants.
 Donations are routed through institutions having a long unblemished record of
public service.
 Institutions should preferably be registered as a society or a Charitable Trust.
 Donations may be given only to institutions /NGOs eligible for tax exemptions,
i.e. institution should have Income-Tax exemption certificate under Sec.80
(G)/35 Of IT Act, so that Bank can claim tax exemption.
 Donations may be made preferably to the Institutions/NGOs having a business
relationship with our Bank.
 Request for donations from institutions having Caste/religious/communal bias

and/or political overtones are not to be considered.
 Donations to Government Departments or organizations/institutions funded
exclusively by the Government are normally not given as these institutions are
expected to meet their financial requirements through government budgetary
grants. Donations given for promotion of Information Technology/Computer
educations and for promotion of sports are exceptions where proposals from
Government aided Departments/organizations/Institutions may also be
considered.
 Donations to institutions, which are having their own funds and /or can raise, on
their own, funds to meet costs of their project are to be avoided.
 Institutions with meager resources to be given preference.
 Donations are not to be given to individuals.
7. Purpose:
 To have a lasting impact, donations are to be released for the purchase of some
equipment for clearly identifiable projects, which seek to provide long term
advantages to the target beneficiaries (preferably underprivileged/deprived
sections of society) and are conductive to their sustained development.
 Preference may be given for donations for purchase of vehicles like
ambulance/school bus etc. which provide visibility for the Bank.
 Donations for construction activities should be discouraged. Only in very
exceptional circumstances, donations may be considered for construction
activities provided it directly benefits the target beneficiaries.
 Donations are not to be released as construction towards corpus funds. In very
exceptional and deserving cases, donations may also be considered for
augmentation of corpus fund or creation of endowment funds for awarding
scholarships to meritorious and economically weaker students pursuing
higher/technical/management education at reputed institutions like IIMs, IITs,
etc. Such donations may, however, be granted on extremely selective basis and
only to highly reputed Institutions.
 Donations should be given for a specific activity/purpose rather than a general
donation to discourage utilization of such funds at the discretion of the done
institutions.
 Donations for meeting recurring expenses should be discouraged.

 Donations for too many small value sundry items (like bed sheets, pillow-covers,
utensils, carpets, chairs, fans, mattresses, etc) should normally be avoided as it
becomes difficult to monitor utilization of such donations. Further, donations for
such items do not yield desired publicity to the Bank.
 Donations are to be distributed among different institutions and not limited to a
few done intuitions.
 Normal Donations may cover the following areas:

i. Health
ii. Education
iii. Sports and Games
iv. Women’s empowerment
v. Welfare and rehabilitation of poor and handicapped
vi. Assistance to poor and under privileged
vii. Entrepreneur development programmes
viii. Vocational guidance
ix. Thrust for assistance to IT education in Rural/Tribal/Unreached areas
x. Environment protection
xi. Adoption, maintenance, restoration of historic/heritage monuments/
buildings including activities such as audio visual and son et lumiere
shows(sound & light)
xii. Assistance during natural calamities like floods/droughts etc.
xiii. Child development
 Repeat donation to be considered only after a gap of three years from the
date of sanction of previous donation, if considered absolutely necessary.
However, in deserting cases, the Managing Director may allow deviation
from this rule.
 Donations can be considered for development of infrastructure, like laying of
tracks/ artificial turf at stadia, purchase of training equipment and sports
material to Central/State Governments as also reputed boards, sports
associations working / established at national / state level.
 Donation can be considered for motivating and ensuring involvement of
masses for social upliftment and beneficial / developmental activities by
utilizing services of eminent figures / prominent personalities for lectures

tours etc.
 Requests for high value donations will be considered carefully and on a very.
Selective basis and granted only to high reputed organization / institutions
with rowan track record.
8. Monetary Ceiling:
 Maximum ceiling for individual donation under “Normal Donation’’ is 3 % of
Normal donation quota.
 Ceiling for donation to each multi-branch organization like Indian Red Cross
Society, Ramakrishna Mission, etc. not to be exceed 5% of donation quota at
the Bank level. In deserving cases, donations in excess of 5% of the ceiling
may also be considered on a case- to- case basis, for highly reputed multi-
branch organizations.
 Each instance of donation should not exceed Rs.25 lacks. Under exceptional
circumstances, Executive committee may sanction beyond this cap.
In case old or used computers / equipment being donated, the depreciated
value of such item should be taken as the amount of donation (and not the original
value thereof).
9. Authority Structure:
The extant authority structure for sanction of donation per proposals is as under:
As per SBI Present Proposed
Corporate Policy sanctioning sanctioning
SL.
Authority sanctioning power-per powers-per
NO.
powers-per proposal proposal
proposal Rs. Rs. Rs.
Assistant General Manager
1 _ 2,500/- 10,000/-
(Public Relation)
General Manager
2 5,00,000/- 25,000/- 1,50,000/-*
(Network)
3 Chief General Manager 20,00,000/- 60,000/- 5,00,000/-
4 Managing Director 25,00,000/- 1,00,000/- 15,00,000/-
Beyond Beyond Beyond
5 Executive Committee 25,00,000/- & 1,00,000/- & 15,00,000/- &
above above above
*- within allocated budget for donations. In principle approval may be taken from the Chief
General Manager/ Managing Director in each instance, before granting financial sanction.
10. Direct Activities:

 As part of Community Services, the Bank undertakes a number of welfare
activities and programmes directly which have a high social Content through
its branches /offices by way of voluntary efforts of the staff members.
 These activities which are conducted on an ongoing basis showcase the
bank’s concern to the social needs / welfare.
 Some of such activities / programmes are:
 Blood donation camps
 Medical camps
 Family planning camps
 Veterinary camps
 Adult literacy classes
 Ladies club activities
 Tree planting camps
 Special programmes for children’s and
 Other cultural activities
Further, various community service banking activities are organized by

administrative offices/branches to make the observance of certain events for the
welfare of underprivileged sections of society.
11. Discretionary Powers:
When suitable Community Service activities are held, reasonable expenses

may be incurred in Carrying out such direct activities as per the discretionary
powers vested at various levels under the scheme of Delegation of Financial powers,
‘General Matters-Charges not enumerated’
12. Control Returns and Accounting Procedures:
a. Control Returns:
Control return in respect of donations sanctioned under Managing Director’s

discretionary powers is to be submitted to Executive committee. The Control Return
should also include a report on the utilization of donations sanctioned.
b. Follow-up for ensuring end-use of funds donated :
 Branches shall monitor the utilization of funds donated and ensure end-use
of funds for the purpose for which they are sanctioned.
 Stamped receipt for the amount of donation and an attested photocopy of

Income Tax exemption Certificate obtained from the donee institution are to
be sent to CSB Department for claiming the necessary tax exemption from
tax authorities.
As per
SL. existing
Particulars Amendments proposed in Revised policy Remarks
NO. policy-
2006
Bank’s donations are classified under two broad
Categories:
a) National Donations
b) Normal Donations Presently,
there is no
CEILING: such
The annual ceiling for donations is 1% of the classificat
previous year’s published profit which is divided ion and
between Normal Donations (0.75% of profit) and ceilings.
National Donations (0.25% of profit). For better
monitorin
However, in exceptionally deserving cases g and
involving good social causes, the utilized portion of formulate
Bank’s
either of the two categories of donations may, at the d
Donations
1 - discretion of the Managing Director, be utilized for approach
and
the remaining category of donations, in case its towards
Ceiling
quota for the year has been exhausted. our
donations
NATIONAL DONATIONS: to various
Donations granted to funds sponsored /recognized entities,
by central or State Governments, like Prime as also to
Ministers National Relief Fund, National Defence maintain
fund, Chief Ministers Relief Fund etc, for uniformit
relief/rehabilitation during natural calamities. All y with the
National Donations are included while computing practices
the 1% annual ceiling applicable for overall in SBI.
donations to prime Minister’s National Relief Fund,
which has been excluded by the Reserve Bank of
India.
NORMAL DONATIONS:
Donations granted to voluntary
organizations/NGOs/Charitable institutions
registered as Societies or Public Charitable
Trusts for implementing socially oriented
projects will be deemed as Normal
donations.
MONETARY CEILING:
Maximum ceiling for individual donation
under “Normal Donations” is 3% of Normal
donation quota.
Ceiling for donations to each multi-branch
organization like Indian Red Cross Society,
Ramakrishna Mission, etc. not to exceed 5%
of donation quota at the Bank level. In
deserving cases, donations in excess of 5%
of the ceiling may also be considered on a
case-to-case basis, for highly reputed multi-
branch organizations.
Each instance of donation should not exceed
Rs.25 lacs. Under exceptional circumstances,
Executive committee may sanction beyond
this cap.
In case old or used computers / equipment
being donated, the depreciated value of such
item should be taken as the amount of
donation (and not the original value thereof).
Authority Structure/Discretionary powers:
SL.NO. Authority Amount(Rs)
1 AGM-PR 10000
(Rs)
Chief 2500 2 GM 150000
Mana
ger 3 CGM 500000
(PR)
Gener 25000
al 4 MD 1500000 With a
Mana view to
Authority ger ensure
Structure/ (Net 5 Executive Beyond expeditio
2 committee 1500000
Discretion works us
ary powers ) disposal
CGM 60000 of
*Within allocated budget for donations. In
requests.
MD 10000 principle approval may be taken from the
0 chief GM/MD in each instance, before
granting financial sanction.
EC Beyon
When suitable community service activities
d
are held, reasonable expenses may be
10000
incurred in carrying out such direct activities
0
as per the discretionary powers vested at
various levels under the scheme of
Delegation of Financial Powers, “General
Matters-charges not enumerated”.
CSR Contribution details from last 5 years SBM
Sl.No Details of activity/ 2010-11 2011-12 2012-13 2013-14 2014-15

Areas
1 Education 73.35 58.75 259.00 291.74 36.50
2 Health 10.87 41.11 3.96 64.35 148.12

3 Social 13.49 26.16 27.27 33.28 55.39
4 Cultural 2.89 2.83 5.02 10.00 -
5 Sports 2.85 2.85 0.55 - -
Under Corporate Social Responsibility [CSR] SBM has donated 6 seater Mahendra
Bolero Jeep to Spastics Society of Karnataka, Bengalure on 21.10.2016
Relief Camp Chennai organized by Central Zone on 06.12.2015 and 07.12.2015 to

support most deserving flood victims.
3.5. CORPORATION BANK
Every institution has its start in modest initiatives but what makes it great is
the passion of the people behind it. Carrying the legacy forward with an undaunted
commitment to its vision, the journey of Corporation Bank truly epitomizes this.
Started about 109 years ago in 1906, with an initial capital of just Rs.5000/-,
Corporation Bank has recorded Rs. 3,46,800 Crore mark in business and even far
more, with over 10,047 service outlets across the nation, served by committed and
dedicated 18,000 plus Corp Bankers. Proof of which is seen in its enviable track
record in financial performance. We have many reasons to cheer; predominant of
them is, being able to participate in nation building by empowering the rural and
urban population alike. Today, we are proud that we are significant contributors to
the growth of the country's economy.
3.5.1. Early Mover:
Nationalised in 1980, Corporation Bank was the forerunner when it came to

evolving and adapting to the financial sector reforms. In 1997, it became the Second
Public Sector Bank in the country to enter capital market, the IPO of which was
oversubscribed by 13 times. the Bank has many " firsts " to its credit - Cash
Management Services, Gold Banking, m-Commerce, " Online " approvals for
Educational loans, 100% CBS Compliance and more recently, its pioneering efforts
to take the technology to the rural masses in remotest villages through low-cost
branchless banking - Business Correspondent model. All of which symbolise Bank's
answered commitment to its customers to provide convenience banking.
At Corporation Bank, what motivates us is the passion to excel in banking by

maintaining highest standards of service to our customers, backed by innovative
products and services which make us one of the leading Public Sector Banks in the
country, catering to a wide range of customers - from individuals to corporate
clients.
3.6. Table no: Corporation Bank Profile

CORPORATION BANK
Type Public
Founded Udupi (1906)

Headquarters Mangalore
Key people Jai Kumar Garg (CEO-MD)
Product Investment Banking
Consumer Banking
Commercial Banking
Retail Banking
Private Banking
Asset Management
Pension
Mortgages
Credit Cards
Net income (2014-15) 584
Total Business Turnover (2014-15) 344411.9
Net Worth 10484.48
(2014-15)
Slogan Prosperity for All
Website www.corpbank.com
The Bank's motto "Sarve Janah Sukhino Bhavanthu" in Sanskrit, which

means "Prosperity for All" is well-professed by the Bank in its day-to-day
operations. The Bank's logo has various components, namely Kamadhenu (denoting
wish-fulfilment), Kalpatharu (eternity), Balance (justice for all), Wheel (industrial
progress) and Wheat Grains (agricultural prosperity) which stand for universal
prosperity and as a wish-fulfilling credo. The logo in its present form was
incorporated in 1972 when the name of the Bank was changed from Canara Banking
Corporation (Udipi) Ltd. to Corporation Bank Ltd.
3.5.2. History and overview of the Bank:
Corporation Bank came into being as Canara Banking Corporation (Udipi)

Limited, on 12th March, 1906, in the temple town of Udupi, by the pioneering
efforts of a group of visionaries. The Bank started functioning with just Rs.5000/- as
its capital and at the end of the first day, the resources stood at 38 Rupees-13 Annas-
2 Pies. The founder president Khan Bahadur Haji Abdullah Haji Kasim Saheb
Bahadur, committed to fulfil the long felt banking needs of the people and also to
inculcate the habit of savings, provided the much-needed impetus to founding a
financial institution that would bring about prosperity to the society. The content of
the first Appeal to the public dated 19th February, 1906 speaks volume about the
lofty ideals and ethos behind the foundation. The Founder President Haji Abdullah
declared that: "The Primary object in forming ‘Corporation’ is not only to cultivate
habits of thrift amongst all classes of people, without distinction of caste or creed,
but also habits of co-operation amongst all classes”. “This is ‘Swadeshism’ pure and
simple and every lover of the country is expected to come forward and co-operate in
achieving this end in view”
1. The days that followed:
The initial growth was consciously cautious and need based. The first branch
of the Bank was opened at Kundapur in 1923, followed by the second in Mangalore
in 1926. The Bank stepped into the then Coorg State in 1934 by opening its seventh
branch at Madikeri. In 1937 the Bank was included in the second schedule of
Reserve Bank of India Act, 1934.
2. Prosperity to All:
In 1939, the Bank’s name changed from Canara Banking Corporation

(Udipi) Ltd., to “Canara Banking Corporation Ltd.,” and strongly put forth its vision
with the motto-“Sarve Janah Sukhino Bhavantu” which means “Prosperity to
All” .The second change in the name of the Bank occurred in 1972, from ‘Canara
Banking Corporation Ltd.’ to ‘Corporation Bank Limited.’ and finally ‘Corporation
Bank’ following its nationalization on 15th April, 1980.
3. Shouldering National objectives:
The Bank took on the priorities of nationalization in full stride and emerged
successful in fulfilling the national objectives, while sustaining its performance
oriented culture and profit augmenting record. Amidst all this, the Bank crossed
Rs.1000 crore-deposit mark in the year 1985 and launched into the 1990s with focus
on high quality growth by embracing newer technology.
The end of first phase of banking sector reforms in India had seen the Bank
emerging as the most innovative and dynamic bank in the public sector, outshining
other banks in terms of asset quality, capital adequacy, operational efficiency, well
diversified income base, profitability, productivity, and strong balance sheet. The
tremendous amount of confidence and loyalty reposed by the public in general and
customers in particular, manifested itself in the overwhelming response to the IPO
of the Bank in the year 1997.
A Big Leap to the Big League:
As on 30th September 2015, the Total Business of the Bank was Rs.3,
46,800 crore. The Total Deposit stood at Rs.2, 04,228 crore and the Total Advances
were at Rs.1, 42,572 crore. The Net worth rose to Rs.12, 422 crore.
4. Growing Bigger. Getting Closer.
Presently, the Bank has a network of 2364 fully automated CBS branches,
2998 ATMs and 4685 Branchless Banking Units across the country. The Bank has
Representative Offices at Dubai and at Hong Kong. The Bank has extended
Branchless Banking units to 4685 villages and has issued Smart Cards to all account
holders in these villages for enabling them to operate their accounts at their
doorsteps through the Business Correspondents appointed by the Bank.
5. Passionate Performer
From 38 Rupees-13 Annas-2 Pies to a business level of Rs.3, 46,800crore

and from a Net worth of Rs.5, 000/- to Rs.12, 422crore, the evolution of the Bank
from a Nidhi to graduate as a Premier Public Sector Bank and from the early days of
Swadeshism to post-Liberalisation days has been a corporate success
story. Weathering two world wars, economic depressions, imbibing the latest in
technology, responding to financial reforms and the unique record of uninterrupted
posting of profits right from its inception in 1906, only further strengthened its
commitment to the people.
3.5.3. CORPKIRAN(CSR):
CORPKIRAN Corporation Bank Welfare Association for undertaking CSR

Activities Corporate Social Responsibility [CSR] generally refers to activities
undertaken by Institutions towards its commitment for ethical values, community
and concern for environment. Keeping this objective in view, Corporation Bank has
set up an Association and has named it as “Corp Kiran”, a name suggested by its
own staff members. The Association will be managed by women in the Bank for
undertaking CSR activities at all Zonal/Circle Headquarters & Head Office.
The target group for all the activities shall be persons from weaker sections
of the society. The Association would enlist support of Banks’ employees / ex-
employees, their family members, NGOs, SHGs, State Governments, District
Administration, local bodies etc in project execution.
FY 2012-
FY201314 FY201415
13
SL.NO Name (Rs.in (Rs.in
(Rs.in
Lakhs) Lakhs)
Lakhs)
Corporate Bank Economic
1 Development 92.87 74.22 22.79
foundation(Rs)
Corporate Bank self
2 Employment Training 17.01 25.25 107.78
Institute(Rs)
Gramina Abyudhaya
3 Financial Literacy and 41.08 60.98 37.00
Credit counselling Trust(Rs)
The Bank sets up “CorpKiran” for CSR Activities

1. Smt. Sumitra Bansal, President, “CorpKiran” launching the emblem of
“CorpKiran” in the presence of Smt. Kanchan Daultani, Vice President, Corp
Kiran. Also seen in the photograph are Shri S R Bansal, Chairman &
Managing Director, Shri Amar Lal Daultani and Shri B K Srivastav,
Executive Directors. “CorpKiran” is an association of Wives of Senior
Executives of Corporation Bank for undertaking CSR activities.
2. Smt. Sumitra Bansal, President, Corp Kiran inaugurating the CSR Activity in
the presence of Shri S R Bansal, Chairman & Managing Director, Shri Amar
LalDaultani and Shri B K Srivastav, Executive Directors. Also seen are Smt.
Kanchan Daultani, Vice President, and CorpKiran. On the occasion of
Republic Day, the members of “Corp Kiran” distributed books, chairs and
utility items to the inmates of ‘AbhayaAshraya’ in Assaigoli, near
Deralakatte in Mangalore.
3. Smt. Sumitra Bansal, President, Corp Kiran handed over two Geysers to Shri
Mohd Salam, Executive Director, Bal Sahyog “Children Home” in Delhi on
05.01.2016
4. Smt. Sumitra Bansal, President, “Corp Kiran” handed over Water Purifier
and Refrigerator to Thripthi Public Charitable Trust, Elamakkara,
Ernakulum.
5. Shri S R Bansal, Chairman & Managing Director of the Bank handed over
Bed Sheets to “Maheshwari BlindSchool” at Nehrunagar, Belagavi.
6. Smt. Sumitra Bansal, President, Corp Kiran handed over 05 Wheel Chairs &
10 Chairs to Mr. Anupam Sharma, Administrator of Council for Child
welfare- Bal Chetana, Delhi on 20th Oct. 2015.
7. Smt. Sumitra Bansal, President, “Corp Kiran” CSR wing of Corporation
Bank handing over Blankets and Bed Sheets to “Apna Ghar” an orphanage
for boys and girls, located at Mansarovar, Jaipur.
8. Smt. Sumitra Bansal, President, “Corp Kiran” CSR wing of the Bank
handing over donation to “Bodhi Peet Home”, Kolkata (A Home for
Mentally Retarded Children), on 11th September, 2015. Smt.
9. Smt. Sumitra Bansal, President, “Corp Kiran” CSR wing of the Bank
handing over the computers to the school authorities at D. K. Jilla Panchyath
Higher Primary School, Pandeshwar, Mangaluru.
10. Smt. Sumitra Bansal, President, Corp Kiran, a CSR initiative of Corporation
Bank, handed over Molded Furniture to "Anugraha Institute for Special
Needs Children", Bhavani Nagara, Hubballi on 27th July 2015.
11. Smt. Sumitra Bansal, President, Corp Kiran, a CSR initiative of Corporation
Bank, handed over Ceiling Fans to Suhana Basera, old age home, New
Roshan pura, Najafgarh, New Delhi on 08.07.2015.The officials of
Corporation Bank, Zonal Office-Delhi South and office bearers of Corp
Kiran were present on the occasion.
12. Ms. Sumitra Bansal, President, Corp Kiran, presided over a function at Andh
Maha Vidyalaya, New Delhi on 17.06.2015 and handed over the Bank’s
donation of uniforms to the students in the presence of officials of Zonal
Office-Delhi North and office bearers of Corp Kiran.
13. Smt. Sumithra Bansal, President, Corp Kiran- a CSR wing of Corporation
Bank, handed over the Bank’s donation of Refrigerator and a Water purifier
to the inmates of Shreeshakthi Old Age Home- Kudige, on 2nd May, 2015.
Shreeshakthi Old Age Home- Kudige is a unit of a charitable trust
headquartered at Haveri in Karnataka. The Trust runs free old age homes for
the needy persons in several districts in Karnataka.
14. Corp Kiran, Bank’s CSR wing, as part of 110th Foundation Day, donated 5
Almirahs to Sweet Home Girls Ashram, 553, Delhi Main Road Najafgarh,
New Delhi - 110043. The function was presided over by Mrs. Sumitra
Bansal, President, CorpKiran, in the presence of Mrs. Devika Kulshekharan,
Mrs. Sheela Prakash, Shri K. Nagaraja Shetty, DGM & Zonal Head and
others on 12.03.2015.
15. Corp Kiran Donation of food grains for orphanage, Centre of Social service,
Hyderabad in the presence of Smt. D Vasundhara Ravi Kumar, Shri. D Ravi
Kumar, DGM and other Members.
16. Shri S. R. Bansal. CMD and Smt. Sumitra Bansal. President, Corp Kiran,
took part in the Bank’s CSR activities at Mirzapur and donated a water
cooler to Vriddh Mahila Ashram, an Old Age Home, at Vindhyachal,
Mirzapur in Uttar Pradesh
17. Smt. Sumitra Bansal, President of “Corp Kiran” handing over the Blankets to
the inmates of CSI School for Deaf, Mylapore, Chennai.
18. Smt. Sumitra Bansal, President, Corp Kiran participating in the CSR Activity
in the presence of the officials of Seth Anandi Lal Poddar Govt. Institute of
Deaf & Dumb, Jaipur on 12th February, 2014.
19. Smt. Sumitra Bansal, President, Corp Kiran participating in the CSR Activity
in the presence of Ms. Sheela Prakash (Wife of Mr. A V Surya Prakash,
DGM, Circle office, Delhi), Ms. Priya Bhandari (wife of Mr. S P Bhandari,
AGM, Ramprastha Branch and Ms. Anita Jain (Wife of Mr. D K Jain, CM,
Zonal Office, Delhi North) on 2nd June, 2014.
20. Smt. Geetha Kamath, Vice President Corp Kiran, Shri. N R Kamath, Zonal
Head Kolkata Zone and other members of Corp Kiran during donation of
medicines to Thalassaemia Society on 27.12.2014.
21. Donation of Clothes ( stitched ) to the inmates of the orphanage centre “
Ashrayadhama “ on 09.12.2014 on behalf of Corp Kiran by Smt. Bharati
Suresh in the presence of Shri A P Suresh, Zonal Head Belgaum and other
members.
22. A washing machine was donated to Our Lady of Perpetual Help Convent
Home for the aged at Guirim, Bardez Goa on 22.11.2014. The institution is
housing 20 inmates who are old, sick and some bedridden. The programme
was attended by members of Corp Kiran, Goa Zone, Mr Robert Menezes,
Zonal Head and Bank officials.
23. Donation of Water Purifier, Ceiling Fans and Bed sheets to Kishnapur
Adrasha Vidyamandir, Dumdum, Kolkata & Nalta Arindam Welfare
Association, Dumdum, Kolkata
24. Water Purifiers, Ceiling Fans and Bed sheets were donated to Kishnapur
Adrasha Vidyamandir, Dumdum, Kolkata & Nalta Arindam Welfare
Association, Dumdum, on behalf of CorpKiran, by Mrs. Sudha Shivakumar
in the presence of Shri. K B Shivakumar, Circle Head, Shri N. Ramesh
Kamath, Zonal Head, Kolkata Zone, other executives & office bearers.
25. Mrs Shantala Mahaveer, Vice President of Corp Kiran, Mr Robert Menezes,
Zonal Head, Goa Zone, Mrs Delia Dias, AGM, and Bank officials donated
School Bags to 75 children of “BETHESDA LIFE CENTRE”, St Cruz Goa -
a registered Charitable Institution running homes for children in distress,
children of and abused backgrounds.
26. The meeting was chaired by Ex-officio President Mrs Vijaya Kennedy (wife
of our Zonal Head Mr M P Kennedy). Apart from her the officials present in
the meeting were Mrs Prabha Sagar (Vice President), Ms Rashmi Kumar
(Secretary), Ms Priti Choudhary (Joint Secretary) & Ms Shayamli Bajpai
(Asst Manager, ZCC, Patna ZO).
27. Mrs Anita Tejappa, President presenting a cheque of Rs.25000/- to Alert
India representative. The representatives of Alert India profusely thanked
Corporation Bank and showed their eagerness with the Bank for conducting
such camps at a larger scale in near future so that provide benefits to larger
section of the poor and underprivileged society.
 Donation of School Bags and Water Purifier at Meerut
 Donation to Old Age Home at Tirucharapalli.
 Donation to Jai Bharat Primary School-Old Hubli.
28. On 08.02.2014 the Ex-Officio president, Smt. Kusuma Ranagaswamy, Mrs.
Vanitha Aithal, Smt. Shobha Kamat, and Smt. Madhavi Halyal, Secretary,
handed over the donation to Jai Bharat Primary School, Old Hubli.
29. Shri M. Rangaswamy, DGM, handed over the donation to Manovikas –
Institute of training and rehabilitation centre for the mentally challenged on
08.02.2014.
30. Mrs. Kusuma Rangaswamy, Ex-Officio president and DGM Shri

Rangaswamy M. handed over the donation to Mrathyunjay High School,
Kurubagonda on 07.02.2014.
31. Donation to Shasakara M. H. P. School, Karwar.
32. Smt. Kusuma Rangaswamy, President, handed over the donation to
Shasakara Madari Hiriya Prathamika School, Karwar on 23.01.2014 in the
presence pf DGM Shri M. Rangaswamy and Karwar Branch Head Shri D. S.
Hanchinamani.
33. Donation of Water filter to Surman Sansthan – the institution to restore the
lost childhood of neglected, street & working children, Jaipur
34. Smt. Naveen Fareed, President, donated facility for purifying water to the
Institution on behalf of Corp Kiran and addressed the children in the
presence of Shri. G.G. Agarwal, Chief Manager, Zonal Office, Jaipur.
35. Donation of Wheel Chairs & sewing machines to the Association of the
Physically Handicapped, Belgaum
36. Mrs. Bharati Suresh, President and Mrs. Asha Patil, Vice- President, handed
over the wheel Chairs & sewing machines to the beneficiaries -The
Physically Handicapped, Shahapur, Belgaum, in the presence of Shri. A P
Suresh, Deputy General Manager, Belgaum Zone.
3.6. SYNDICATE BANK
3.6.1. Brief History of the Bank:
Syndicate Bank was established in 1925 in Udupi, the abode of Lord Krishna
in coastal Karnataka with a capital of Rs.8000/- by three visionaries - Sri Upendra
Ananth Pai, a businessman, Sri Vaman Kudva, an engineer and Dr.T M A Pai, a
physician - who shared a strong commitment to social welfare. Their objective was
primarily to extend financial assistance to the local weavers who were crippled by a
crisis in the handloom industry through mobilising small savings from the
community. The bank collected as low as 2 annals daily at the doorsteps of the
depositors through its Agents under its Pigmy Deposit Scheme started in 1928. This
scheme is the Bank's brand equity today and the Bank collects around Rs.2crore per
day under the scheme.
The progress of Syndicate Bank has been synonymous with the phase of
progressive banking in India. Spanning over 80 years of pioneering expertise, the
Bank has created for itself a solid customer base comprising customers of two or
three generations. Being firmly rooted in rural India and understanding the grass
root realities, the Bank's perception had vision of future India. It has been
propagating innovations in Banking and also has been receptive to new ideas,
without however getting uprooted from its distinctive socio-economic and cultural
ethos. Its philosophy of growth by mutual sustenance of both the Bank and the
people has paid rich dividends. The Bank has been operating as a catalyst of
development across the country with particular reference to the common man at the
individual level and in rural/semi urban centres at the area level.
The Bank is well equipped to meet the challenges of the 21st century in the
areas of information technology, knowledge and competition. A comprehensive IT
plan is being put in place and the skills and knowledge of the Bank's personnel are
being upgraded through a variety of training programmes to promote customer
delight in every sphere of its activity. The Bank has launched an ambitious
technology plan called Centralised Banking Solution (CBS) whereby 500 of our
strategic branches with their ATMs are being networked nationwide over a 4 year
period. The Bank is pioneer among Public Sector Banks on launching CBS. Our
bank has already achieved CBS implementation among all its branches. Thus, the
bank is 100% CBS enabled.
Branch Expansion:
Bank has opened 303 branches during the year and reached a mile stone of
3552 branches as of 31 March 2015 (including a branch in London): 1150 Rural,
936 Semi Urban, 783 Urban and 682 Metro Branches. Bank has presence in all the
States and Union Territories of the country.
3.7. Table no: Syndicate Bank Profile
SYNDICATE BANK
Type Public
Founded Udupi(1925)
Headquarters Manipal, Udupi
Key people Arun Shrivastava(M.D & CEO)
Consumer Banking
Commercial Banking
Retail Banking
Private Banking
Asset Management
Pension
Mortgages
Credit Cards
Net income (2014-15) 1523

Net Worth (2014-15) 1523
Slogan Faithful and Friendly
Website www.syndicatebank.com
3.6.2. Growing far and wide :

1. 1925: On 10.11.1925, the business of the Bank commenced in Udupi with
the name "Canara Industrial and Banking Syndicate Ltd.," a joint Stock
Company with just one employee.
2. 1928:First branch of the Bank opened at Brahmavar in Dakshina Kannada
District
3. 1937: Bank became a member of the Clearing House for the first time at
Bombay.
4. 1946: 29 branches opened in a single day in rural areas.
5. 1953: Took over the assets and liabilities of 2 Local Banks viz. Maharashtra
Apex Bank Ltd. and Southern India Apex Bank Ltd. 20 Banks merged with
the Bank during the period 1953-1964.
6. 1957:100th branch opened at Ilkal in Karnataka 1962 Entered Foreign

Exchange business by opening Foreign Exchange Department at Bombay.
7. 1963: Name of the Bank changed from "Canara Industrial & Banking
Syndicate Ltd." to "Syndicate Bank Limited". Head Office was shifted to
Manipal on 19.4.1964. 1966 Economic Research Department set up. One of
the first few Banks to emphasize on research in Banking even before
nationalization.
8. 1969: Bank had 306 branches at the time of nationalization of which 66%
were in Rural and Semi Urban centers. Opened a branch at Port Blair in
Andaman and Nicobar islands.
9. 1970: First Staff Training College started at Head Office 1971 First
specialized branch in Foreign Exchange opened at Delhi.
10. 1972: Opened a branch at Lakshadweep islands
11. 1976: First overseas branch opened at London on 17.8.76.
12. 1983: Took up management of Al Shabei Finance and Exchange Co. in
Doha.
13. 1984: Took up management of Musandam Exchange Co. in Muscat 1000th
branch opened at Delhi Hauz Khas.
14. 1989: 1500th branch opened at Kanakumbi.
15. 1991: First Specialized Industrial Finance Branch opened at Mumbai.
16. 1995 :First Specialized Housing Finance Branch opened at Mangalore
17. 1999: Bank raised Capital of Rs.125 Crore in Oct.1999 from more than 4
lakh shareholders
18. 2000 :First Specialized Capital Market Services branch opened at Mumbai
19. 2001: First branch under CBS (Core Banking Solution) started operation at
Bangalore.
20. 2002: Centralized Banking Solution under the brand name "Syndicate-e-
banking" launched at Delhi, Mumbai, Bangalore and Manipal.
21. 2003:
 Bank enters into MOU with Bajaj Allianz for distribution of Life Insurance
products.
 Toll Free Voice Mail System for redressal of grievances introduced.
22. 2004:
 Bank ties up with United India Insurance Co. Ltd. for distribution of Non-
Life Insurance products
 Utility bill payment services through Internet banking introduced.
Introduced On-line reservation of Railway Tickets through Indian Railway
Catering & Tourism Corporation Ltd. (IRCTC) for Internet banking
customers of our Bank.
23. 2005:
 Bank approached the Capital Market with Rs.5 Crore equity shares at a
premium of Rs.40 through Book building route Bank collected Rs.250 Crore
and the issue was oversubscribed by 29.275 times.
 Amalgamation of 4 Regional Rural Banks of Karnataka to form Karnataka
Vikas Grameena Bank with Head Office at Dharwad.
 Implementation of Venture Capital Scheme of SMALL FARMERS AGRI-
BUSINESS CONSORTIUM (SFAC) Entered into MOU with SFAC for
promoting of investments in Agri-business products.
24. 2006 :
 Bank signs MOU with M/s.CMC Ltd., for making Syndicate Institute of
Bank Management (SIBM) a center of excellence of global standards and
provide quality management education.
 500th Branch of SyndicateBank in Karnataka opened at Navnagar, Bagalkot.
 2000th Branch of Syndicate Bank opened at Tondiarpet, Chennai on
23.03.2006.
 Inauguration of Sandbank Services Limited, the 1st BPO outfit of a
Nationalized Bank, a wholly owned subsidiary of Syndicate Bank & 525th
CBS Branch by Hon'ble Union Minister of Finance, Sri P Chidambaram on
24.03.2006 at Bangalore.
 2006th Branch of Syndicate Bank opened at Gangtok, Sikkim on 27.03.2006
 First Branch opened in Arunachal Pradesh at Ita Nagar on 16th October 2006
 Branches opened for the first time in 19 additional districts
25. 2007 :
 First Branch opened in Nagaland at Dimapur on 17.03.2007
 First Branch opened in Mizoram in Aizawl on 29.03.2007 Branches opened
for the first time in 13 additional districts
26. 2008:
 First Branch opened in Tripura at Agarthala on 11.01.2008
 Branch network expanded to all States and UTs except Manipur & Daman
Diu
 Branches opened for the first time in 6 new districts
27. 2009- 2010 :
 The Bank opened 3 new Regional Offices at Moradabad, Jaipur and
Guwahati for better administrative cover over branches in the respective
jurisdictions. The Regional Office at Gauwahati is also expected to help the
Bank to play a more active role in the development of the North Eastern
parts of the country.
 The Bank opened 50 branches on a single day (11.03.2010).
28. 2010- 2011 :
 The Bank opened 135 branches under the Financial Inclusion programme of
the Govt. of India.
29. Nationalization - Bank's Catalytic Role :
 1961 Industrial Finance Department was set up to encourage advances to
Small Industries and Entrepreneurs in keeping with the policy of assisting
the common man.
 1968 Bank's commitment to the philosophy of social lending since inception
provided the spark for introduction of social control measures in the country.
32% of the Bank's branches were in rural areas as against 22% for the entire
Banking system.
 1969 Bank was nationalized on 19th July 1969. Bank was acknowledged as a
live example of mass banking and as a powerful catalyst of social change.
Nationalization therefore merely meant change of ownership.
 1995 Established Hi Tech Agriculture Branches
3.6.3. Social Lending – Concern for the Underprivileged:

 Social lending is the Bank’s strong point since inception.
 Priority Sector Advances as at March 2014 were ` 52016 crore accounting for
43.19% of the Bank’s adjusted net credit as against the mandatory level of 40 %.
27.97 Lakh borrowers assisted under priority sector.
 Bank has adopted 13,820 Service Area / Operational Area Villages for extending
timely credit to meet all genuine credit needs. Credit to the extent of ` 21292
crore was disbursed to priority sector activities under Annual Action Plan in
these villages. The agricultural credit disbursed during the financial year 2013-
14 was ` 13317 crore.
 The Bank has taken various measures through Regional Offices and Lead
District Offices for publicizing among minority community about various credit
products available for their benefits. The advances to minorities as at 31.03.2014
were `8308 crore.
 Advances to Weaker Section were `12758 crore constituting 10.60 % of ANBC
as against the mandatory target of 10 %.
 SC/ST Advances under priority sector are ` 3498 crore. The total SC/ST
advances of the bank are ` 4243 crore covering 4.56 Lakh customers.
 35873 SHGs were credit linked with credit support of `1267 crore during 2013-
14. 90875 loan accounts of SHGs amounting to ` 1800 crore were outstanding as
at 31.03.2014.
 Agricultural Credit stood at `22071 crore constituting 18.33% of ANBC. 18.41
Lakh farmers were assisted under agriculture out of which, 39.80 % were Small
and Marginal Farmers.
 The disbursement under Special Plan for Agricultural Credit during the year
2013-14 amounted to `13317 crore. The disbursement under investment credit
was `2372 crore during the year 2013-14.
 1,45,321 new farmers were brought into Bank’s fold through 1888 rural and
semi urban branches up to March 2014 registering an average of 77 New farmers
per rural & semi urban branch.
 Bank has so far issued 17.92 Lakh Kisan Credit Cards to the farmers with credit
limits of over ` 12942 crore of which,7.36 Lakh cards with credit limits of `
6319 crore were outstanding as on 31.03.2014.
 The Bank has entered into a tie-up with Sugar Mills; Tobacco Board for
extending need based credit to farmers.
 Bank is actively involved in implementing the schemes for Financing Solar
Water Heating and Lighting Systems. Bank has financed 189 Solar Water
Heating Systems amounting to ` 0.72 crore and 442 Solar lighting systems
amounting to `1.61 crore during 2013-14. The cumulative number of Solar
Water Heating and Lighting Systems financed by the Bank is 35991 units with a
credit component of `102.68 crore and 11415 units with a credit component of
`122.85 crore respectively.
 As a result of Solar Water Heating and Lighting Systems financed by the Bank,
there is grid power saving to the extent of 9.72 crore units p.a. contributing to a
peak load saving of 61.45 MW.
 Bank has been in the forefront in promoting adoption of new technology in the
field of agriculture, enabling farmers to improve productivity/production. 354
Rural Extension Education Programmes benefiting 51918 farmers / villagers
were organized during 2013-14.
 Action Plan for development of UT of Lakshadweep through credit deployment
has been prepared.
3.6.4. Syndicate Bank CSR Policy:
As per the RBI directive banks may make donations during a financial year
aggregating up to 1% of the published profit of the Bank for the previous year.
The Board of Directors of our Bank has permitted us to undertake CSR

activities with regard to the followings:
a) Community development activities in the areas of operation of the Bank
b) Mitigating natural calamities
c) Development of Health Care facilities for poorer sections of the society
d) Development of Educational facilities at Institutions, not dependent on
capital fees
e) Promotion of Art and Culture
f) Activities to encourage research and development in fields related to
Banking
g) Any other worthy social causes
We have been undertaking various activities for welfare/development of

various facets of our society either at Head office/Corporate office level or through
our Regional offices level, situated all over the country.
Being a corporate citizen, Bank recognizes its responsibility towards the

society and considers CSR (Corporate Social Responsibility) as a part of its business
objectives. Over the years, Bank is actively involved in various CSR activities which
aimed at socio-economic transformation, rural uplift & sustainable development of
the society. By emphasizing on social responsibility, Bank aims at to create enabling
environment for sustainable development of the society.
Some of the CSR activities undertaken by the Bank during the year 2014-15
include distribution of blankets to needy persons; water coolers to Govt. school;
donation to temple, trust, charitable and philanthropic society for conducting various
service activities for poor people; providing training to the children with
development disorders such as SLI, DVD, PDD and Autism; donation to hospitals
for providing free meals for one day to the patients; donation towards river
rejuvenation project; donation to Hud Hud cyclone relief camps for victims in
Vishakhapatnam; donation towards making toilets in Government Schools under
Swachh Bharat Abhiyan; donation towards rehabilitation of flood victims in Jammu
& Kashmir; donation of Ambulance to Medical Colleges & Hospital; donation of
RO Water Purifier to colleges/Institutes; donation to special school for mentally
retarded and so on. Total Spending on Corporate Social Responsibility (CSR) as
percentage of Profit after Tax (%) Amount spent under CSR activity during 2014-15
is ` 214.14 lakh which is 0.13% of Profit after Tax
The details of contributions under CSR during the last 5 years
Financial Year Total amount of Contribution under

CSR (Rs in lakh )
2010-11 51.00
2011-12 27.62
2012-13 24.20
2013-14 93.14
2014-15 214.14
3.7.
3.8. VIJAYA BANK
Vijaya Bank was founded on 23rd October 1931 by late Shri A.B.Shetty and
other enterprising farmers in Mangalore, Karnataka. The objective of the founders
was essentially to promote banking habit, thrift and entrepreneurship among the
farming community of Dakshina Kannada district in Karnataka State. The bank
became a scheduled bank in 1958. Vijaya Bank steadily grew into a large All India
bank, with nine smaller banks merging with it during the 1963-68. The credit for this
merger as well as growth goes to late Shri M.Sunder Ram Shetty, who was then the
Chief Executive of the bank. The bank was nationalized on 15th April 1980. The
bank has built a network of 1786 branches, 50 Extension Counters and 1562 ATMs
that span all States and Union Territories in the country. Each branch provides
effective and efficient services and significantly contributes to the growth of the
individual, and the nation
Vijaya Bank today is a PAN India Institution, serving diverse sectors of the
society. The bank has built a network of 1786 branches, 50 Extension Counters and
1562 ATMs that span across all States and Union Territories in the country. The
Bank has the highest number of branches in its home state Karnataka.
Vijaya Bank offers a bouquet of innovative and attractive products and

services to the customers. Vijaya Bank also incorporated the latest technology to
provide the best services to our customers. The Bank offers several technology
products, such as, ATMs, cash deposit machines, Debit and Credit cards, internet
banking, Mobile Banking, Phone Banking, Funds transfer through RTGS and NEFT
etc. All Branches / offices are under RTGS / NEFT. The Bank also offers RuPay
cards to its customers. The driving force behind Vijaya Bank's every initiative has
been its 13000+ strong dedicated workforce.
3.8. Table no: Vijaya Bank Profile

VIJAYA BANK
Type Public
Founded 1931 at Mangalore
Key people Shri.Kishore Kumar Sansi
Consumer Banking
Commercial Banking
Retail Banking
Private Banking
Asset Management
Pension
Mortgages
Credit Cards
Net income (2014-15) 439
Net Worth (2014-15) 5923.24
Number of employees 13700(2014)
Slogan A friend you can bank upon
Website www.vijayabank.com
3.7.3. CSR Policy of Vijaya Bank
Vijaya Bank already has its CSR Policy latest being formulated and
approved vide Board Resolution Item No, A-09/2004 dated 17.01.2014 containing
social value creation, environment protection and sustainable development with the
following activities to be supported under CSR:
1. Social value creation:
a) Capacity building, skill development, infrastructural development for the

benefit of the marginalized and under privileged sections of the local
communities and also in the background regions for their livelihood,
employment and income generation.
b) Beneficiaries of the CSR activities should included weaker sections such as

SC,ST,OBC, Minorities, women and Children, BPL(Below Poverty Line)
families, old and aged ,physically challenged etc.
2. Environmental Protection:
a) Categories of activities under CSR for Environment protection: Water, waste or

energy management, promotion of renewable sources of energy, biodiversity
conservation,etc,projects for reduction,re-use and recycle of waste materials
,rain-water harvesting and replenishing the ground water supply, protection,
conservation and restoration of eco-system, reduction of carbon emissions
through energy efficient and renewable energy technologies, greening the
supply chain, and innovation in products and services which have a clear and
tangible impact on environmental sustainability.
b) Preservation and promotion of heritage, art, music and culture in keeping with
Indian tradition.
3. Sustainable Development:
a) Reputed and recognized ,non profit institutions which have the expertise and
professional competence for conducting training, skill development and
other capacity building activities that promote inclusive growth and
sustainable development and help in realization of IN millennium
development goals through sectoral and regional co-operation can be
supported through CSR and Sustainability initiatives.
Bank recognizes SD and CSR which includes the following activities in
general:
b) Promotion of self employment and self Development.
c) Promotion of education specifies financial literacy with special focus on
promoting special education and employment enhancing vocation skills
especially among children, women, elderly, and the difficulty able and
livelihood enhancement projects.
d) Providing equipments like hearing aids, spectacles, mobility devices to the
visually differently challenged needy, poor students.
e) Assistance to Rural Schools and Govt.Schools for creating better facilities
for learning and Providing drinking water facility, sanitation facilities for girl
children.
f) Empowering the schools with focus on women, weaker section and
minorities.
g) Programmes for welfare of women ,SC/ST, artisans, minorities, weaker

sections
h) Adoption of backward villages for their integrated development.
i) Development of Agriculture and allied activities.
j) Rural Development.
k) Entrepreneurship development
l) Human Resource Development.
m) Capacity building programmes in schools.
n) Providing community drinking water facilities.
o) Promotion of Health and healthy living.
p) Supporting organization of health camps, assistance to Hospitals.
q) Promoting traditional skills in the field of art, rural vocation, Rejuvenation of
skills.
r) Concentration on up liftment of BPL families, SHG groups and financial
inclusion programmes.
s) Protection of national heritage ,art and culture including restoration of
buildings and sites of historical importance and works of art;
t) Setting up public libraries;
u) Contributions towards growth of technology;
v) Promoting green initiatives like promotion of renewal energy resources,
forestation, distilling of lakes and tanks, fertility of soil, organic manures etc.
w) Encouraging need based technologies in rural development.
x) Relief to victims of natural calamities
y) Supporting meritorious students of weaker sections.
z) Towards reenrollment of school dropouts ,student meal programmes,etc
aa) Encouraging willing members of the staff to involve in the social activities
like Right to Education, Health and Hygiene programmes.
bb) Assistance to orphanages, old age home centers, differently able persons,
dependents of chronically ill parents, dependents of life.
cc) Convicts, trauma care centers and any such other humanitarian causes.
dd) Providing incentives for formation and functioning of SHG and formers
clubs.
ee) Support to sports, spiritual and cultural events/organizations keeping in tune
with the ethos of the country.
ff) Preservation and promotion of heritage, art, music and culture in keeping
with Indian tradition.
gg) Any other activity and programmes that is aimed at positive development of
community/people either directly or indirectly.
hh) Activities pertaining to eradication of hunger, poverty and malnutrition;
ii) Support towards promoting gender equality empowering women, setting up
homes and hotels for women and orphans;
jj) Support towards setting up old age homes, day care centre’s and such other
facilities for senior citizen and measures for reducing inequalities faced by
socially and economically backward groups;
The activities planned above will be undertaken either directly by Bank and /
or by establishing necessary partnership with various stakeholders at local, state and
national level, including Non-Governmental organization (NGOs) Civil
societies,Trusts,Institutes, Academic organizations, Community Based
organizations(CBOs),Technological support organizations, Public representatives
and opinion makers ,other public sector undertakings (PSUs),private sector and
concerned Government departments having requisite expertise.
The policy shall be a part of the training for all new employees and all
employees are expected to adhere to and comply with the policy and its individual
elements .Regional /Branch Head are responsible for ensuring the implementation of
the policy in their respective Jurisdictions.
The details of contributions under CSR during the last 5 years
Financial Year Total amount of Contribution

under CSR (Rs in lakh )
2011-12 6.29
2012-13 28.73
2013-14 157.28
2014-15 142.49
2015-16(UP TO DEC) 178.00
Vijaya Bank donated a school bus to the Spastic Society of Karnataka, Bangalore.
Vijaya Bank adopted 47 girl students of poor economic background at Udipi,

wherein all the education expenses up to graduation will be borne by the bank
3.9. KARNATAKA BANK LIMITED
Karnataka Bank is a major banking institution based in the coastal city of

Mangaluru in Karnataka, India. The Reserve Bank of India has designated
Karnataka Bank as an A1+-class scheduled commercial bank. The bank now has a
national presence with a network of 715 branches and above 1100 ATM's across 21
states and two Union territories. It has over 6084 employees and 6.7 million
customers, including farmers and artisans in villages and small towns throughout the
country. Its shares are entirely privately owned by some 1, 29,862 shareholders.
3.9. Table no: Karnataka Bank Profile

KARNATAKA BANK
Type Private
Founded 1924
Headquarters Mangalore
Key people P.Jayarama Bhat(MD)
Investment Banking
Consumer Banking
Commercial Banking
Retail Banking
Product Private Banking
Asset Management
Pension
Mortgages
Credit Cards
Net income (2014-15) 451
Net Worth (2014-15) 3389.06
Number of employees 6500
Your family bank. Across
Slogan
India
Website Karnatakabank.com
Karnataka Bank was incorporated on 18 February 1924, and commenced

business on 23 May 1924. Its founders established it at Mangalore, a coastal town in
the Dakshina Kannada district of Madras Presidency. Among the founders, who
created the bank to serve the South Kanara region, was B. R. Vysaray Achar.
Another important personality associated with the bank was K. S. N. Adiga, who
served as Chairman from 1958 to 1979.
In the 1960s Karnataka Bank acquired three smaller banks. In 1960

Karnataka Bank acquired the Sringeri Sharada Bank, which was established in 1942
and which had four branches when Karnataka acquired it. Four years later,
Karnataka Bank took over the assets and liabilities of the Chitradurga Bank (also
known as Chitladurg Bank), which was established in 1868 in Mysore State and was
the oldest bank in Mysore. Lastly, in 1966 Karnataka Bank took over the assets and
liabilities of the Bank of Karnataka, in Hubli. Bank of Karnataka had been
established in 1946 and had opened one branch in Belgaum in 1947. At the time of
this acquisition, Bank of Karnataka had 13 branches.
In 2000, Karnataka Bank signed a memorandum of

understanding with Infosys Technologies to develop a core-banking solution
called FINACLE. Over 221 branches were networked up to 31 March 2004. The
main motto of this programme is "Anytime/Anywhere banking". In 2002, the bank
concluded a pact with Corporation Bank for sharing its ATMs. A year later, the bank
introduced the Moneyplant card that allows customers to withdraw money from any
of their Karnataka bank accounts. In September 2003, the bank shifted its head
office from Kodialbail to Kankanady
3.8.2. Products and Services:
The branches are available in 21 Indian states and 2 union territories. In

August 2008, the Karnataka Bank introduced Quick Remit, a facility to make money
transfer easy for Non-Resident Indians living in Canada, USA and the UK. The bank
also runs a 24-hour Internet banking service called Moneyclick. Karnataka Bank
offers multi-branch banking, deposit schemes as Abhyudaya cash certificate, fixed
deposits, ready money deposit, Soulabhya deposit, cumulative deposit, Platinum
lakhpathi, insurance linked savings bank deposit, K-Flexi deposit, resident foreign
currency (domestic) account, NRI services, Senior Citizens Deposit Scheme and
loan schemes as Vidyanidhi education loans, Apna ghar home loans, car finance
scheme, Varthak loans, Easy ride, Scheme for salaried persons, Udyog mithra,
Niveshan loans, Krishi card, K-Power, Lease ‘n’ Encash, Suvarna Nidhi, InstaCash
and VahanaMitra.
3.8.3. Corporate Social Responsibility (CSR) Policy:
1. Preamble:
Business organizations operate as part of society but not in isolation. Every

decision taken while doing the business involves financial implications and social
and environmental consequences. We, in Karnataka Bank strongly believe that
usefulness of existence of an entity is best judged not from the financial numbers it
reports over a period of time but its relevance to the society as judged by the
Stakeholders. We believe in the principle of sharing the earnings. CSR is a form of
corporate self regulation integrated into business model. It is the process aimed at
embracing the responsibility for the actions of the Bank and encourages a positive
impact through our activities on the environment, consumers, employees,
communities, stakeholders and all other members of the public who may also be
considered to be the stakeholders in general.
2. Purpose :
Karnataka Bank is committed to identify and support the projects and

programmes aimed at improving the well beings of the socially and economically
disadvantaged sections of the society. This Policy will serve as a guiding document
to help identify, execute and monitor CSR projects/programmes keeping in mind the
spirit of the provision of Section 135 of the Companies Act, 2013 and the rules
framed there under. The Policy attempts to adhere to law and best practices in
implementing society oriented programmes/projects.
3. Scope :
This Policy will apply to all projects/programmes undertaken as part of

Bank`s CSR activities and will be developed, reviewed and revised having regard to
the relevant codes of Corporate Governance or best practices in this regard. This
Policy is also in alignment with the CSR Rules framed under Section 135 of the
Companies Act, 2013.
4. CSR Committee :
The Board shall constitute a CSR Committee consisting of three or more

directors of which at least one director shall be an independent director. The CSR
Committee shall
 Formulate and recommend to the Board, a Corporate Social Responsibility
Policy indicating the activities to be undertaken by the Bank.
 Recommend the amount of expenditure to be incurred on the above
activities.
 Monitor the Corporate Social Responsibility Policy of the Bank from time to
time.
 Ensure legal and regulatory compliance from CSR view point.
 Promptly report to the Stakeholders about the various CSR activities
undertaken by the Bank.
 Periodically review the effectiveness of CSR spends.
5. Governance :
CSR Committee of the Board shall formulate and recommend to the Board,
CSR Policy and CSR budget and also ensure overall governance of the CSR
activities of the Bank. CSR Support Group will be responsible for administering and
executing the Policy. The Policy may further be revised and updated in due course
with the due approval of CSR Committee/Board to incorporate the evolving
activities of the Bank.
6. CSR Budget :
The overall amount to be committed to CSR project in each financial year in

accordance with the provisions of Companies Act, 2013 will be approved by the
Board. Within the overall CSR budget, specific CSR initiative/project will be
identified by the CSR Support Group in line with the process approved by the CSR
Committee of the Board.
7. Sanctions :
The amount to be sanctioned to eligible CSR activities/projects shall be as

per the delegated powers approved by the Board from time to time.
8. Disbursement :
Based on the nature and requirements of the project, the fund will be released
either in tranches or in lump sum. The terms and conditions and timing of
disbursement will be documented in the form of Memorandum of understanding to
be entered into with the project implementing partner, wherever found necessary.
9. Implementation :
In the implementation of CSR initiatives, the Bank will try to adopt

participative principle by involving local institutions and community at large based
on shared value principle.
The CSR Support Group would assist in implementation and monitoring the
CSR activities of the Bank. The actual implementation of various CSR activities will
be undertaken with the involvement of employees or implementing agencies such as
Trust, Societies or companies registered under Section 25 of the Companies Act,
1956/Section 8 of the Companies Act, 2013 or through collaborative projects with
other corporate. In case of implementing agency being
‘Not profit organization’, such an entity shall typically have not less than
three years of experience in implementing the CSR initiatives in the respective
areas. Based on the Bank`s internal screening criteria, the implementation partner/s
will also be screened to ascertain its/their credibility and ability to execute proposed
projects.
10. Supervision :
CSR activities of the Bank will be driven by exclusive CSR Support Group
under the guidance and support of Managing Director & CEO of the Bank. It is the
endeavour of the CSR Support Group/CSR Committee to ensure that CSR culture is
embedded in all the operations of the Bank and the CSR activities are in line with
the CSR Policy.
11. Reporting :
Major CSR activities and achievements will form part of Director`s Report
in the Annual Report of the Bank and also in any other statutory or other regulatory
requirements. Format for the annual report on CSR activities to be included in the
Board’s report will be as per Annexure-2.
12. CSR programmes/projects :
The Bank will endeavour to undertake and implement CSR

programmes/projects and focus CSR spends on specific pre-determined causes and
areas of intervention as disclosed in the Annexure-1 to the Policy. The particulars of

the proposed projects including implementation year, modalities of execution in the
areas/sectors chosen, implementation schedule etc will be placed to the CSR
Committee by the CSR Support Group. Consideration and approval of CSR
project/programmes to be undertaken during the year will be in line with the
following guidelines.
 It will be ensured that CSR projects are non –discriminatory in nature and do
not have any restrictive political or religious affiliations.
 The programmes/projects will be within the areas recommended by the CSR
Committee and mentioned in the CSR Policy.
 The programmes/projects will be implemented in India and preferably in the
areas where the Bank has its presence.
 Programmes/projects that integrate business models with social and
environmental priorities and processes in order to create shared value will be
encouraged.
 Programmes/projects should not be exclusively for the benefits of employees
or their family members or those that are conducted/undertaken exclusively in
pursuance of normal business of the Bank.
 Bank will consider programmes/projects closely linked with the principle of
sustainable development.
 Any surplus generated out of CSR activities will be ploughed back to the CSR
initiative of the Bank.
13. Projects/programmes selection Process:
CSR Projects/Programmes will be undertaken by CSR Committee/CSR

Support Group duly considering the factors such as target area/group, likely impact
on the well being of the people concerned, project cost/time for implementation,
involvement of the stakeholders including local bodies/associations etc in the
projects/programmes implementation.
13. Areas of CSR initiatives :
The following are the line of activities/initiatives to be undertaken under

Bank`s CSR project. This is not an exhaustive list but only an indicative list of areas
for CSR intervention which will be reviewed and revised from time to time by the
CSR Committee and specific initiative under these will be undertaken in line with
the CSR policy to achieve the overall objectives of these interventions.
a) Eradicating hunger, poverty and malnutrition, promoting health care including

preventive health care and sanitation and making available safe drinking water.
As part of poverty alleviation, financial assistance by way of contributions to
mid day meal programmes, disasters relief covering food supply, provisions for
aids and appliances to the differently- able persons etc. can also be undertaken.
(Category: Companies Act 2013- Schedule VII (1))
b) Promoting education including special education and employment enhancing

vocation skills especially among children, women, elderly and differently able
and livelihood enhancement project. Under this category, financial assistance to
private /public schools, aided or unaided, for construction
/renovation/modernization of existing school building or other infrastructure
such as purchase of laboratory equipments, computers and other allied
equipments, promotion of financial literacy among the people who are outside
the institutional banking facilities and Promotion of Road Safety awareness
programme through print, audio and visual media, Capacity building for farmers
covering best sustainable farm management practices, Training Agriculture
Labour on skill development, Providing effective consumer grievance redressed
mechanism, consumer’s health and safety, consumer service, support and
complaint resolution, Consumer protection activities can be undertaken.
(Category: Companies Act 2013- Schedule VII (2))
c) Promoting gender equality, empowering women, setting up of homes and hostels

for women and orphans; setting up of old age homes, day care centres and such
other facilities for senior citizens and measures for reducing inequalities faced
by socially and economically backward groups. (Category: Companies Act
2013- Schedule VII (3))
d) Ensuring environmental sustainability, ecological balance, protection of flora

and fauna, animal, welfare, agro forestry, conservation of natural resources and
maintaining quality of soil, air and water. In this regard Bank may contribute and
involve in tackling the environmental impacts of water use, waste disposal, slum
development, rural sanitation etc. The Bank will also encourage ‘Green
Initiative’ in its operations through paperless communication with all its
stakeholders. (Category: Companies Act 2013- Schedule VII (4))
e) protection of national heritage, art and culture including restoration of buildings

and sites of historical importance and works of art, setting up public libraries,
promotion and development of traditional arts and handicrafts. (Category:
Companies Act 2013- Schedule VII (5))
f) Measures for the benefit of armed forces veterans, war widows and their
dependents. (Category: Companies Act 2013- Schedule VII (6))
g) Training to promote rural sports, nationally recognized sports, Paralympics

sports and Olympic sports. (Category: Companies Act 2013- Schedule VII (7))
h) contribution to the Prime Minister`s National Relief or any other fund set up by
the Central Government for socio-economic development and relief and welfare
of the Scheduled Castes, the Scheduled Tribes or other backward classes,
minorities and women. (Category: Companies Act 2013- Schedule VII (8))
i) Contribution of funds to technology incubators located within academic

institutions which are approved by the Central Government. (Category:
Companies Act 2013- Schedule VII (9))
j) Rural development projects. (Category: Companies Act 2013- Schedule VII

(10))
3.8.4. Corporate Social Responsibility:
Business are an integral part of society and play a critical role in the
sustenance and improvement of a healthy ecosystem, in fostering social
inclusiveness and equity and in upholding the ethical practices and good
governance. It is believed that integrating social, environmental and ethical
responsibilities into governance of business ensures long term successes,
competencies and sustainability. With this in mind your Bank continues to fulfil its
various social responsibilities. Bank is designed to ensure that the Bank adds social,
environmental and economic value in all its activities to make a positive, sustainable
impact on both society and business. In this direction, your Bank has been
responding well over the years through various initiatives like participation in social
values, promotion of cultural heritage, knowledge, standard of living and the quality
of life of the people and the environment at large. The Bank firmly believes that
being an integral part of society, it is the inclusive growth of society which
contributes ultimately to the growth of the Bank and in this direction, your bank has
been strengthening its rural orientation through initiatives aimed at imparting
financial literacy and extending banking services to the people in rural unbanked
areas, In a fair and transparent manner, at an affordable cost. Towards this end, your
Bank had opened 19 branches in unbanked rural centres during the financial
inclusion initiative, thus taking the total financial inclusion branches to 79.
Further, pursuant to section 135 of the Companies Act,2013 read with

companies(Corporate Social Responsibility) Rules, 2014,the Board has setup a
committee of Directors namely, “Corporate Social Responsibility(CSR) Committee”
and has also put in place a policy on Corporate Social Responsibility(CSR Policy) to
undertake projects/programmes in pursuance to the above policy. The contents of
the CSR policy along with the report on amount spent on various
projects/programmes during the financial year 2014-15 is detailed in Annexure VI to
this report pursuant to Rule 8 of the Companies(Corporate Social
Responsibility)Rules,2014.
ANNEXURE VI
Annual Report on Corporate Social Responsibility Activities
A brief outline of the Companies CSR policy, including overview of the

projects or programmes proposed to be undertaken and a reference to the CSR
policy and projects or programs. Business organisations operate as part of society
but not in isolation. Every decision has taken while doing the business involves
financial implications and social and environmental consequences. We strongly
believe that usefulness of existence of an entity is judged by the stakeholders. We
believe in the principle of sharing the earnings. CSR the process aimed at embracing
the responsibility for the actions of the bank and encourage a positive impact
through our activities on the environment, consumers, employees, communities,
stakeholders and all other members of the public.
The area of focus for our CSR activities includes Education, Sanitation and
making available drinking water, Health care and social welfare and
Arts/sports and culture.
1. Overview of Activities
Pursuant to the CSR Policy of the Bank and in accordance with schedule VII
of the Companies Act 2013, your Bank has undertaken certain activities during the
year under report with a view to bring positive impact on the society. The key
initiatives undertaken were, in the field of education, accessibility to safe and clean
drinking water, health care, Arts/promoting sports, rejuvenation of places of
historical prominence, mid day meal to school children etc...
2. Web link to the CSR Policy
The CSR Policy of the Bank is posted in the website of the Bank and the
same can be accessed at the following web link:
www.karnatakabank.com/kik/CSR_policy_2014.pdf
3. Composition of CSR Committee
Your Board has constituted a CSR Committee consisting of following

Directors as members
1. Mr. Jayaram Bhat- Chairman of the committee
2. Mr. Harshendra kumar-Independent Director
3. Mr.Rammohan Rao Belle- Independent Director
Average net profit of the bank for the last three financial years: Rs.301.73 Crore
Prescribed CSR expenditure (two percent of the amounts above): Rs.6.03 Crore
4. Details of CSR Spent during the financial year:
a. Total amount spent for the FY Rs.6.03 crore
The Bank has spent Rs.2.04 crore during the FY 2014-15(including the amount to be
released in respect of already sanctioned project)
b. Amount unspent ,if any:Rs.3.99 crore
Note: Operating expenses stated in Schedule 16 to the profit and loss Account
includes Rs.2.04 Crore spent towards CSR Activities.
5. Manner in which the amount spent during the financial year is detailed below:
Sl.No CSR Project pr Sector in which the project is Project or Amount Amount spent on Cumulative expenditure Amount spent:
activity identified covered programs(1)Local area or outlay(budget) the project sub- up to the reporting Direct or
other(2)state and district Project or heads(1)direct period(31/03/2015) through
where the projects were program wise expenditure implementing
undertaken (2)overheads agency
1 Education Promoting Education, Karnataka, Maharashtra, 68.48 27.42 27.42 Direct
enhancing women employment A.P, Goa
2 Drinking Water Sanction and making available Karnataka, Maharashtra 6.66 3.79 3.79 Direct
safe drinking water
3 Restoration of Protection of art and culture Karnataka 23.05 15.70 15.70 Direct
Buildings and including restoration of
sales of historical buildings and sites of historical
importance importance, works of art
4 Swach Bharath Sanitation, encouraging Karnataka 19.75 6.10 6.10 Direct
cleanliness under swach
Bharath,Construction of Toilets
5 Health care Promoting health care including Karnataka, Maharashtra 45.26 24.17 24.17 Direct
preventive health care, Rjasthan,Tamilnadu
eradicating malnutrition
6 Women Empowering women, setting up Karnataka Tamilnadu 8.07 6.32 6.32 Direct
empowerment of homes/hostels for orphans,
and help to providing assistance to
orphans, physically disabled persons
physically
disabled persons
7 Rural Rural Development Karnataka 10.85 0.00 0.00 Direct
Development
8 others Eradicating hunger, poverty, Karnataka, ,Maharashtra, 21.88 13.29 13.29 Direct
promotion of Art & culture, UP
Development activities of
society, Green initiatives.
Environment sustainability
Total 204.00 96.79
The Bank has been involving itself in various socio-economic activities

intending to improve the life of the socially and economically weaker sections
besides promoting Arts/sports etc.CSR, being given statutory backing for the first
time, the Bank is in the process of re-aligning its resources to the
projects/programmes as indicated in schedule VII of the Companies Act, 2013. The
Bank having spent Rs.2.04 crore (including amount to be released in respect of
already committed projects), has plans to increase its CSR spend in the coming years
by taking up CSR activities on large scale. The CSR committee of the Board hereby
confirm that the implementation and monitoring of CSR policy is Compliance with
the CSR objectives and policy of the Bank.
For and on behalf of the CSR Committee

Sd/-
P Jayarama Bhat
MD & CEO
And Chairman of the CSR Committee
Shri P Jayarama Bhat, MD & CEO, of Karnataka Bank inaugurated the

Gingelly oil extraction unit in the artisan village at Dr Shivaram Karanth Pilikula
Nisarga Dham on 31-01-2016. The Bank sponsored this unit under its CSR initiative
to protect and showcase the traditional way of oil extraction. The unique feature of
this oil extraction unit is that Gingelly seeds oil is extracted in the traditional
wooden “Ghaana” using a pair of oxen.
3.10. PRAGATHI KRISHNA GRAMIN BANK
3.9.1. Origin of the Bank :
Pragathi Krishna Gramin Bank with Head Office at Bellary came into
existence on 23rd August 2013 with the amalgamation of 2 RRBs viz, erstwhile
Pragathi Gramin Bank (Sponsored by Canara Bank with Head Office at Bellary) and
erstwhile Krishna Grameena Bank (Sponsored by State Bank of India with Head
Office at Gulbarga. The Bank was formed as per gazette Notification of Government
of India No. F1/5/2011- RRB (Karnataka) dated 23.08.2013
3.10. Table no: Pragathi Krishna Gramin Bank profile
PRAGATHI KRISHNA GRAMEENA BANK
Type Regional Rural Bank(Public)

Founded 2013
Headquarters Bellary
Key people Mr. M G BHAT (chairman)
 Commercial Banking
 Private Banking
 SME Finance
 Small Business Finance
Product
 Mortgages
 Agricultural loans
 Government Sponsored
Programmes
Net income(2014-15) 61.0802
Total Business Turnover(2014-15) 951.48
Net Worth (2014-15) 18503
Website Pragathikrishnabank.com
3.9.2. Performance highlights for the year 2014-15:

 Total Business: Rose to Rs.19462 Crores with a growth of 16.55%.
 Aggregate Deposits: Improved to Rs 10105 Crores with a growth of 16%.
 Share of CASA: Stood at 38.20% of Aggregate Deposits
 NPA: Stands at Rs 409 Crores - Level 4.37% Net NPA: Stands at Rs 272
Crores – Level 2.95%.
3.9.3. Social Banking:
1. Financial inclusion wing:
Inclusive Finance India Awards: Our Bank has been awarded 1st Runner up
award for outstanding contribution in the field of Financial Literacy and Client
Sensitization and 2nd Runner Up for outstanding contribution in the field of
adaptation and implementation of Information Technology
2. Rural Development:
 Village development Committees

formed & 100 Grama Sabha meetings conducted.
 Village survey and house hold survey completed at all villages.
 Five Water purification (Reverse Osmosis) plants are installed at 5 Villages
Sl. No Name of the Village Link Branch Taluk District

1 Dayamanagudisalu KGF Br Bangarpet Kolar
2 Chandiganahalli KGF Br Bangarpet Kolar
3 Induvalli Induvalli Br Soraba Shimoga
4 B Gollarahatti Dharmapura Br Hiriyur Chitradurga
5 Kadlegundi D B Kere Br Davanagere Davanagere
 9027 Basic Savings Bank accounts are opened in these villages covering all indi
viduals.
 24 New SHGs are formed 100 % coverage of families ensured in the new Self H
elp Groups in all the Villages.
 1125 Rupay ATM cards issued covering both PKCC & SB accounts holders of t
hese Villages.
 726 KCCs are issued to unreached & eligible households covering all the village
s of Village Developments Programme.
 3854 Saplings are planted by conducting vanamahostava in all Villages with the
active involvement of Villages.
 24 Farmer Clubs were launched during the year.
 5454 Livestock were covered under Health Check up and Vaccination Camps
 90 solar units are finance:- coverage of households under solar home light
schemes has been commenced.
3. Development of weaker sections:
Performance of the Bank under Credit Flow to Priority Sector – Small and
Marginal Farmers, Women, Minorities, SCs / STs, Weaker Sections as at March
2016.
 Disbursement:
1) Total disbursement made during the year from 01.04.2015 to 31.03.2016 is Rs.
6243.24 crore.
2) Disbursement under Priority sector is Rs.3103.79 crore, which is 80.68 % of
total disbursement.
3) Out of total disbursement, Rs. 225.45 Crore disbursed to 35936 SC/ST
beneficiaries, Rs. 381.62 Crore to 186341 Minority Community beneficiaries
and Rs. 982.53 Crore to 133782 Women beneficiaries
 Outstanding:
1) Total outstanding advances, as at 31.03.2016 is Rs.11123.23 crore.
2) Of which under priority sector advances is Rs. 9682.39 crore, which is
89.45 % to Total advances.
3) Priority sector advances to total advances is 89.45% as against the mandatory
norms of 60%.
4) Out of total advances outstanding, Rs. 1412.32 Crore outstanding to SC/ST
beneficiaries, Rs. 1576.37 Crore under 348481 Minority Community
beneficiaries and Rs. 1924.56 Crore under Women beneficiaries.
4. Joint Liability Groups:
In order to develop effective products for small/marginal, tenant farmers, and

oral lessees and share croppers, and also entrepreneurs engaged in various types of
activities, Bank has formed Joint Liability Groups of farmers who cultivate land on
lease basis. The members of JLGs have successfully utilized financial assistance and
improved their economic condition. Progress under JLG Groups as at March 2016
Amount in crore
Particulars Target for 2015-16 Achievement

Accounts Amount Accounts Amount
Accounts Disbursed during the year 2500 37.00 3781 59.16
Accounts outstanding 5000 ------- 12162 117.66
5. Farmer Clubs:
Farmers Clubs are grass root level organizations of local Farming

community having strong link with the local people and influencing powers and
have knowledge of the local milieu and serve as a strong link between banks and the
local community. NABARD has been the driving force behind the initiation of this
Scheme in our Bank. In association with NABARD, Bank has launched a total of
1745 Farmer Clubs of which 35 new Farmer Clubs have been formed during the
year.
The functioning of the Farmer Clubs is monitored and guided by the Farmers
Club Development Cell constituted by Head Office. The Cell is giving focused
attention for active existence of Farmer Clubs, through various extension activities
organized at field level in co-ordination with developmental agencies and Branches.
All our Branches have at least one Farmer Club. The objective of the Farmer
Clubs is to help the farmers to update knowledge on scientific farming. Our
branches are organizing periodical extension activities involving Krishi Vigyan
Kendras, Agricultural Colleges, Agriculture/ Horticulture/ Animal Husbandry
Departments, Subject experts and successful farmers. These meets aim at creating
awareness about the latest scientific farming practices among the farmers.
6. Smart Card (Banking through ICT):
Banking through Information Communication Technology (ICT) Solution.

Ours is the first RRB in the State to implement SMART Card - based Banking to
SSP/MGNREGP beneficiaries.
Progress tasks completed:

 238 new Business Correspondent Agents are appointed. Total numbers of 808
BCAs are mapped to 2083 villages under 630 Gram Panchayaths. 196 New HH
Terminals are deployed this year taking the total Hand-held Terminals to 710.
 2.85 Lakh Smart Card enumerations during the year.
 344759 new ICT accounts opened including 166759 accounts added from old FI
& EBT locations.
 251270 Smart Cards are printed during the year taking the total number of cards
to 670680
 A total of 296978 cards were distributed during the year with overall 653853
cards distributed
 A total of 927391 cash transactions were conducted by the BCAs during the year
involving Rs. 47.60 Crore
 807472 Smart Card based accounts are outstanding as at March 2014 with
savings amounting to Rs. 6.12 crore
 Rs. 38 lakh fixed remuneration paid to the BCAs during the year.
3.11. KAVERI GRAMEENA BANK
Kaveri Grameena Bank formed on 01st November 2012 (sponsored by State

Bank of Mysore) on amalgamation of Cauvery Kalpatharu Grameena Bank,
Chikamagalur-Kodagu Grameena Bank and Vishvesvaraya Grameena Bank-all
Regional Rural Banks sponsored by State Bank of Mysore, Corporation Bank and
Vijaya Bank respectively The objective of amalgamation is to strengthen the Bank
so that it can better cater the needs of the clientele in the farm and non-farm sector
more effectively, efficiently and contribute more for the economic development of
the area.
Consequent upon amalgamation, the operational area of the Bank spreads to

ten southern districts of Karnataka State viz., Mysoru, Hassan, Bangaloru Rural,
Ramanagar, Bengaluru Urban, Tumakur, Chamarajanagar, Mandya, Kodagu and
Chikamagalur districts. The Bank has 475 Branches with a customer base of
28.03 lacs as on 31.12.2015.
The Bank is having its Central Office in Mysuru City and has Eight Regional
Offices at Mysuru; Mandya; Bengaluru; Tumakur; Hassan, Chikmagalur,
Chamarajanagar and Madikeri for operational convenience and effective control,
duly decentralizing, sanctioning and monitoring of the loans to the needy and to
solve operational gaps and customer grievances in an accelerated and effective way.
In the area of operation, the Bank is a forerunner catering the needs and aspirations
of farming community, business class, professional and self employed persons, rural
artisans engaged in cottage & tiny industries and other sections of the society,
almost covering 1/3rd of geographical area of Karnataka State.
3.11. Table no: Kaveri Grameena Bank profile
KAVERI GRAMEENA BANK

Founded 2012
Headquarters Mysore
Key people Mr.Bhuvanendra Takoor(chairman)
Product  Commercial Banking

 Private Banking
 SME Finance
 Mortgages
Programmes
Net income (2014-15) 69.44
Net Worth(2014-15) 1328
Slogan ನಿಮ್ಮ ನಂಬಿಕೆಯೇ ನಮ್ಮ ಆಸ್ತಿ
Website www.kaverigrameenabank.com
The Bank has registered business growth of 25.62% during the last financial
year, reaching a level of Rs.10554.20 crores. Growth in deposits is 26.53% whereas
advances growth is 24.48%. The net profit of the Bank has grown by 55.16%
registering Rs.69.44 crores. The Bank has credit linked 80979 SHGs and provided
financial assistance to an extent of Rs. 1336.73Crores (cumulative since inception
up to31.03.2015). The Bank has credit linked 7145 JLGs and provided financial
assistance to an extent of Rs. 78.91 Crores (cumulative since inception up to
31.03.2015). Bank has taken up implementation of Financial Inclusion and
appointment of Business correspondents in villages where population is more than
2000 in the command area of the Bank. The bank has covered all the 245 FI Villages
allotted by SLBC where population is above 2000 through either Brick and Martor
branches or B.Cs. Out of 2752 unbanked villages allotted to our Bank in respect of
villages having population below 2000 in 10 districts of our command area, 2667
villages are covered by existing and new Business Correspondent Agents. All
remaining unbanked villages with population less than 2000 will be provided
banking services through BC model or through Satellite branches before 15.08.2015
as per the Road Map submitted to RBI/NABARD.
The Bank has been actively involved in the Government of India’s much
acclaimed programme of DIRECT BENEFIT TRANSFER, Aadhar based payment
of Government subsidies/scholarships/pensions etc. and extending Banking facilities
through Business Correspondent out lets which have been appreciated in all forums.
As on 31.03.2015 the Bank has seeded 569388 AADHAAR card numbers to the
Bank accounts of the beneficiaries and an amount of Rs.19.48 crores is credited to
these accounts under Direct Benefit Transfer Scheme. The Bank has also introduced
RuPay –ATM-Debit cards and issued 392054 such RuPay cards during the year. The
Bank has also been issuing KCC RuPay cards to its entire KCC loan account holder
and the Bank has issued 50635 such RuPay KCC cards during the year. It is
endeavoured to cover all the KCC holders under RuPay net during the current year.
It is also planned to rollout full pledged Internet Banking and opening of NRI
accounts in the Bank during the current year.
For the year ended on 31.03.2015, the Bank achieved deposit level of
Rs.5904.88 Crores and advances level of Rs. 4649.33 Crores, disbursing loans of Rs.
3356.79 Crores, thereby registering turnover of Rs. 10554.20 Crores. The Bank has
planned for a turnover of Rs.12666.00 Crores by 31.03.2016. 347 personnel have
been recruited in the Bank during March-April’15 infusing new blood with
innovative thinking to the existing team of dedicated personnel. With the wide
spread fully computerized network of 450 branches under Core Banking Solution,
dedicated services of our staff and varied products suitable to the needs of our
customers we are hopeful of achieving greater heights with your valued support.

1. Financial Inclusion:
The Bank has exclusive Financial Inclusion Cell to oversee implementation

of FI policy and monitoring. The Bank has successfully completed first phase of
Financial Inclusion by completing survey of households and opening of no frills
accounts in all 10 districts of Bank’s area of operations. The Financial Inclusion
would act as a growth stimulus for the Bank to expand business by covering large
number of new customers as this provides opportunity to financially include low
income groups resulting in both business developments as well as discharging the
duty of corporate social responsibility.
2. Non- conventional banking activities:

The Bank has continued its involvement in the matter of Non-Conventional
Banking activities by way of formation of Self Help Group, nurturing and financing
with a mission and zeal. The work done by the Bank is well appreciated by various
Government agencies, NGOs and others. The Bank has continued its presence in
other areas like financing for solar lighting, Rural Toilets and affordable Insurance
coverage to economically weaker sections of the people especially in the rural areas.
The Bank`s thrust of Sampoorna Concept i.e. covering whole village under a
particular scheme rather than scattered coverage over a wide area is continued. The
Schemes covered under Sampoorna Concept are Sampoorna Solar Grama,
Sampoorna Smoke free Grama, Sampoorna Swacha Grama, Sampoorna Vima
Grama, Sampoorna Money Lenders Free Grama and Sampoorna Kisan Credit
Gramas. As of now 6 villages are covered under the Sampoorna Concept and 18
villages are completely declared as Sampoorna Solar Gramas.
3. Financial literacy centres:
Financial literacy is considered an important adjunct for promoting financial

inclusion and ultimately financial stability. All segments of the society need
financial literacy in one form or the other. Financial Literacy will help the unreached
sector realize the importance of financial services in improving the standard of
living. The centres’ educate the people as to where and how the services can be
availed, etc., and create a need and synergize the demand thus created with the
supply of financial services by the formal institutions.As per the directions of RBI
the Bank has opened 8 financial literacy center's at Pavagada, Chikkanayakanahally,
Devanahalli, Pandavapura, K.R.Pet, Arakalgud, H.D.Kote,and Yelandur.
4. Self Help Groups:
The Bank continued to promote SHGs on its own as a Self Help Promoting
Institution (SHPI), besides assisting groups formed by other NGOs. The NABARD
appreciating the progress achieved, advised the Bank to strengthen the SHGs by
continuing promotion / linkage even after end of NABARD assisted programme.
The cumulative linkage of SHGs is 74080 groups and the limit sanctioned is
Rs.1134.76 crores.
5. Joint Liability Groups:
The Bank has formed JLGs covering tenant farmers, who are without proper
land records for security, marginal farmers and agricultural laborers for financing
them for agriculture & other activities. The Bank has formed JLGs in respect of
farmers & persons undertaking non-farm activities also and financed 6051
(cumulative) groups with an amount of Rs 62.81. Crores.
6. Farmer Clubs:
The Bank has actively participated in formation of farmers’ clubs and has
launched 13 new farmers’ clubs during the year. Cumulatively there are 579
Farmers’ clubs, formed by the Bank and functional as at 31.03.2014. The Bank is
giving thrust to form exclusive women farmers’ clubs. The existing women’s
farmers’ clubs are functioning well-with better group dynamics and have conducted
family health check up, eye camps, animal health check up and awarded meritorious
students etc,. These clubs have developed entrepreneurial / group leadership
qualities.
3.11. KARNATAKA VIKAS GRAMEENA BANK
The Karnataka Vikas Grameena Bank (KVGB), a Regional Rural Bank, was
constituted on 12 September 2005 after amalgamation of four Regional Rural Banks
(RRBs) namely Malaprabha Grameena Bank, Bijapur Grameena Bank, Varada
Grameena Bank and Netravathi Grameena Banks as per recommendations of the
Narasimhan Committee under Government of India Notification dated 12 September
2005. All four amalgamated RRBs were sponsored by Syndicate Bank and were
located in Karnataka. The bank, thus formed, currently has 576 branches in rural
areas of Karnataka, around Dharwad. After amalgamation, the level of the bank’s
business was around 3263.73 Crores. After the merger, the RRB is called Karnataka
Vikas Grameena Bank with its head office at Dharwad under the sponsorship
of Syndicate Bank.
3.12. Table no: Karnataka Vikas Grameena Bank profile

KARNATAKA VIKAS GRAMEENA BANK

Founded 2005
Headquarters Dharwad
Key people S.Ravindran
Product  Commercial Banking
 Private Banking
 SME Finance
 Mortgages
Programmes
Net income (2014-15) 155
Total Business Turnover (2014-15) 17145
Net Worth (2014-15) 370.875
Website www.kvgbank.com
3.11.1. History of Bank:
One of the successful experiments of the Banking Sector in India has been
the formation of the Regional Rural Banks (RRBs). Experts in the field have
acknowledged this fact taking into account the recent enormous progress achieved
by the RRBs, which have travelled a long way in the last 30 years, on a journey that
can best be described as arduous. Close on the heels of Nationalization, when the
focus shifted from Class Banking to Mass Banking, the RRBs emerged as a low cost
Bank designed to cater to the needs of Small and Marginal Farmers, Rural Artisans,
Petty Traders etc., who operate in Rural Areas.
The initial period was marked with innumerable challenges as the RRBs had
to deal with illiterate, superstitious people, not exposed to the changing world
scene. It was indeed an uphill task, as they were expected to play the role of not just
a Banker, but also that of a friend, philosopher and guide, leading them on the path
of development. Malaprabha Grameena Bank, Bijapur Grameena Bank,
Varada Grameena Bank and Netravathi Grameena Banks were the four RRBs,
sponsored by Syndicate Bank, in the State of Karnataka. When the above RRBs
were established without much ado way back in the 1970/80s, people may not have
had the slightest idea about the ripple that these RRBs would create in the banking
industry and the impact that they would have on the rural scene. In the formative
years, the main concern was to reach out to the rural poor through its strong network
of branches. The Banks were playing a pivotal role in bringing about a
metamorphosis in their respective areas of operation through implementation of
the various schemes and programmes tailored to suit the requirements of their
customers.
As part of the measures which will lead to strong, efficient and vibrant
Banking System, the mergers and restructuring phase of the recommendations of the
Narasimhan Committee is now being implemented and thus the four RRBs
sponsored by Syndicate Bank in the State of Karnataka were amalgamated to form
the KARNATAKA VIKAS GRAMEENA BANK by a Government of India
Notification dated 12/09/2005. The combined business level of this Bank was
Rs.3263.73 Crores with Deposits of Rs.1620.46 Crores and Advances of Rs.1643.27
Crores as on 12/09/2005
The Banks have come a long way from those initial years and after
amalgamation the Bank has a network of 448 branches cutting across the length and
breadth of the nine districts forming its area of operation. Surmounting the initial
problems of bringing about uniformity in the working of these Branches after
amalgamation, the Bank was able to record a growth of 24% as on 31/03/2010 in
comparison to the figures as on 31/03/2009. The Bank plans to achieve a business
level of Rs 10000 Crores by the end of March 2011.
Karnataka Vikas Grameena Bank has come to be known as a partner in

progress in the northern districts of Karnataka viz. Dharwad, Bijapur, Bagalkot,
Gadag, Haveri, Belgaum along with the coastal districts of Udupi, Mangalore &
Uttara Kannada. Head quartered in Dharwad, it has nine Regional Offices situated
in the above nine districts of its jurisdiction. It has a network of 576 branches and a
total business of more than Rs.17000 Crore as on date.Ours is a scheduled Bank with
share capital contributed in the ratio of 50:15:35 by the Central Government,
Government of Karnataka and the Sponsor Bank respectively. The Bank has a net
worth of Rs. 1173 Crore and is considered as one of the strongest and most vibrant
RRBs in the country.
The Bank is actively involved in overall development of rural areas since the
very beginning. The Bank is on core banking platform and services offered by our
branches are excellent. “Customers Delight” is the motto of our Bank. On par with
other commercial Banks and also new generation Banks KVGB has been offering a
wide range of innovative products and services in tune with customer’s expectations
and aspirations. The upliftment of weaker sections and the down trodden has been
our major agenda. Besides this the Bank has been a front runner in catering to the
needs of the Farmers, Traders, Rural Artisans, Professional and self-employed,
Contractors and all sections of the society.
The Bank has many unique services and one such service is - ‘Dial for
account’ to its customers. Public can dial Bank’s toll free number 18004251666 to
open an SB account at their door step. Whoever wants to open a Savings Bank
account, can contact the Bank officials through this toll free number. In my opinion
this is another unique step towards achieving inclusive growth.
Another unique scheme is ‘Gram Sahayog’ (village assistance) programme.

Under this scheme each staff will adopt one village for its overall development.
Training in modern agricultural practices and organic farming will also be given
thrust under the scheme. Sanitation is another area where the bank has decided to
focus its attention for this project. The staff members will give priority for taking up
financial literacy activities in villages and be the brand ambassador for the bank’s
products and schemes in the villages allotted to them. Customers/Well wishers like
you share your thoughts with us. Who want to bring some change in village
development activities also can join hands with Bank and you are free to contact me
at any time.
The Corporate Social Responsibility (CSR) activities of the Bank continue

to gain momentum and earn great compliment. Our Bank's achievements in various
fields have received national recognition as enumerated below:
i. Surya Mitra Award–Award for solar lighting Initiatives
ii. NABARD State level Award– Recognizing the good work done in the field of
SHG and JLG credit linkage with innovative ideas.
The Bank is intricately involved in the social fabric of the people it

serves. The activities undertaken are –
 Recognizing that health is a neglected sector among the rural people, the Bank
has been organizing various health camps free of cost. Also in association with
the District Blindness Eradication Centre, it has conducted free Eye Check-up
Camps followed by cataract surgery and implantation of IOL. Bank also runs a
free clinic at one of the villages in its area of operation.
 When the river Krishna was in space, thousands of families were rendered
homeless. Bank was quick to respond by distributing rugs at a relief camp and
donating a day’s salary of the Staff to the Chief Minister’s Relief Fund.
 Responding positively to a news item in the local daily, a village situated close
to the Dharwad town was gifted solar light. This village had no electricity till the
Bank took it upon itself to provide it.
 Bank has adopted several balawadies run by the Akshara Foundation in the slum
areas, adopted a rural school for overall development, donated steel plates to the
children of Government Schools at many places, recognizes meritorious rural
students by awarding cash prizes etc., etc.
Thus, the Bank has fulfilled the aspirations of the rural people with its total
involvement. To continue as the leading and visible Grameena Bank, acting as a
catalyst for the growth of Agriculture/Allied and Non-Farm Activities, encouraging
customers to pursue gainful vocation to maximize returns for a decent living, to
liberate vulnerable sections from the clutches of money lenders and finally build a
vibrant and pro-active Financial Institution is the mission of Karnataka Vikas
Grameena Bank.

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Chapter -III Profile of Selected Banks in Karnataka

3.1. Indian Banking System :

3.1.2. Reserve Bank of India as a Central Bank of the Country:

3.1.3. Structure of Banks in India:

3.1. Table: Scheduled Commercial Banks:

1. Scheduled Commercial Banks:

2. Scheduled Co-operative Banks:

 Scheduled Urban Co-operative Banks(55)

 Scheduled State Co-operative Banks(31)

3.1.4 Banks in India:

3.1.5 Constituents of the Indian Banking System:

a. Public Sector Banks

b. Private Sector Banks

ii. Cooperative Banks:

a. Short term agricultural institutions

b. Long term agricultural credit institutions

c. Non-agricultural credit institutions

iii. Development Banks:

a. National Bank for Agriculture and Rural Development (NABARD)

b. Small Industries Development Bank of India (SIDBI)

d. National Housing Bank

a. Public Sector Banks:

b. Private Sector Banks:

The other important segment of the commercial banking is that of foreign

3.2. Table no : Public Sector Banks and Private Sector Banks

Public Sector Banks Private Sector Banks

1. Allahabad Bank 1. City Union Bank Ltd.

III. Other Public Sector Banks

3.3. Table no: List of RRBs in India.

Kashi Gomti Samyut Gramin

3.2. CSR in the Banking Industry:

3.2.1. Evolution of CSR in Banking:

3.2.2. Assumptions Implicit in the Banking Policy:

The main assumptions are briefly enumerated below.

3.2.3. Opportunities for Social Initiatives

In such a context, unlike the manufacturing and other service sector

Selected Scheduled Commercial Banks for this Study

3.3. CANARA BANK

3.3.1. History of the Bank:

3.3.2. Overview of the Bank:

3.4. Table no: Canara Bank Profile:

3.3.3. Significant Milestones of the Bank:

3.4.3. CSR-Sustainable Development & Corporate Social Responsibility Policy:

1. Canara Centenary Rural Development Trust

2. Canara Financial Advisory Trust

1. Canara Golden Jubilee Education Fund

2. Canara Relief & Welfare Society

The new Companies Act 2013 (enacted on 29.08.2013) brought in important

2. Corporate Social Responsibility:

CSR is an integration of business operations and values, whereby interests of

CSR was initially a voluntary effort of the corporate organization to

Companies Act 2013 is a step in that direction mandating companies to

4. Focus & Target Group:

Small and marginal farmers

Provisions of Companies Act relating to CSR are both an opportunity and a

Schedule VII of the Companies Act, duly amended by notification of

a. Eradicating hunger, poverty and malnutrition, promoting preventive health care

b. Promoting education, including special education and employment enhancing

Considered as CSR. DPE Guidelines permit creation of infrastructure

 In case of projects and programmes funded by us through grants or

 Grants released as corpus or endowments to implementing agencies will be

a. Directly on its own

c. Through Companies/organizations having a satisfactory track record of not less