If you want to make PSB like private bank then do the following things."Be capable enough to select some honest competent men who learn the job as the need arises and do it well sincerely and honestly.Control means measure the actual outcome against the desired outcome and take remedy at short notice .India willingly doesn't do it and befools the Public .If you cannot do all these, better don't be a Govt.Where the men folk are good everything turns out good there.DISCIPLINE FLOWS FROM THE TOP>This author wrote that RBI was winking at balance sheet fudging by banks until some three and half years back. Then ???"Where men folk tear away ledger sheets to destroy record of loan given , or have never known on his own study that there is a workable project there will be only unrecovered loan and Bank write off,R.Ponnambalam
The government's approach over the years has been to throw money at the problem"The Govt. might have made the policy of throwing money;but not the process of throwing money.The serial "Yes Minister" had been seen by all." All rule books can be thrown at the Govt. which one can not in PVT. Sector,.Two examples .This was over phone"Are you teaching me theory>"Another to a senior colleage whe he told "we should make planning"Mr.G. Don't you thatb we don't make plans.' R.Ponnambalam
“The government banks don't seem to know how to lend money and to whom, “add to it “or deliberately and dishonestly does it for commission or corruption or is pretty incompetent to learn the requirements of the job and become a master of the job.All demand that they are sacked.R.Ponnambalam
Out of the paid up capital of banks 15 Lakhs crores had been privatised by lending and not getting back and calling it NPA, then in the past 4 and a half years 2.7 lakh cores have been privatized by writing off the loans“.Public money had been given to the private for ever and so is privatized.This is the best Privatization imaginable,In the still lesser grade privatization the wealth accumulation that stood at 6% The income share of India’s top 1% rose from approximately 6% in 1982 -1983 to above 10% a decade later and then to 15% in 2000 and further still around by 23% by 2014 by giving loans like in the range of Rs.55500 Cores “lend someone money, you run the risk of not getting it back”No Indian should walk on the road as there is the risk of a motor vehicle coming and hitting him;no worker should work as there is the risk of falling down from height when a Power Plant building is built , or risk of molten steel falling on him if he works in front of a furnace in a steel Plant.Let us tell the whole world to give away their bank money to the pvt.”Let us never talk of the corrupt practices, commission culture, budging of balance sheets and what an article in rediff site by one time officer tells today.Hail Indian banks.They have been very Great.India you go down the drainR.Ponnambalam
Mr. T N Ninan, first go and study in depth about the difference between goal and functioning of Pvt. bank and PSB then only attempt to write on banking. It seems now a day, everybody is skilled banker and everybody is having almost some/same kind of opinion/solution. It just reflects the mental bankruptcy of most of the columnist and panelist. If you want to make PSB like private bank then do the following things. 1. Let the bankers only decide whom to lend, when to lend and how much to lend, not the bureaucrat or politician. 2. Forget about the social welfare. 3. Let the PSB be fully autonomous in policy making of banks. 4. Let the PSB to function in banking and only in banking sector. One of the arguments being used to call for the privatization of PSBs is the claim that private banks are more “efficient”. If this was the case, surely it could be expected that private banks would be more stable and less prone to failure. Then how come a total of 736 private banks failed, amalgamated, ceased to function or transferred their liabilities and assets, or went into liquidation between 1948 and 1968. Even from 1969 onwards, 36 private banks have been put under moratorium in public interest, due to mismanagement and have gone out of existence. Several of them were merged with healthy PSBs, such as the high-profile case of the Global Trust Bank which was merged with the Oriental Bank of Commerce in 2004. And one last thing, do not mix the capital market with money marke
Re: study before writing on banks
by Satheesh KR on Mar 06, 2018 10:48 AM
Do you mean to say now banks are giving out loans only because someone is pressurizing them ?. They give out loans to get 2% to 5% kickbacks without even doing due diligence. The best option is to privatize them so they work and earn their salary. Now they are all govt. employees and they enjoy even without doing work.
This issue has been discussed several times but no one could implement it Moraraji Desai Vajpai and Man mohan all of them ruled India but this decision no one could take. Because of one scam perpetarted by few influential people the entire system does not become like that. And mute point is why there are less NPAs in Private Banks because they do not do lot of term lending and such type of loans. In PSU Banks money invested by general public of this country is safe they are playing big role in national building agriculture and SME lending which generates jobs.How many people will trust private Banks and most private Banks are interested in giving retail loans for TWO/FOUR WHEELERS , consumer loans and housing loans nothing else.
Solution One Nation ,One PAN Card, One Adhar Card and one Bank Account only.Why Number of Banks Requires ? For doing frauds only,Honest person requires one bank only. How 16 Banks issues the NOC ? Matter to be enquired at all leveis
If privatization of a bank looks like a solution, it means the bank has failed as a business ! Keeping the same nincompoops and giving them autonomy or privatizing it, will be disastrous.
Both the people who committed the crime and those who watch it benignly for crumbs on the side - plots in bank colonies, etc, all must be summarily dismissed. An employment isn't an entitlement to live off public money. It can't be a lottery which gets you lucky for life at the expense of others.
If you privatization is the solution, read about how an IMF official was bribed by an IT services company to get the contract.
The only solution is to set in motion a change of the cadre and stop automatic promotions, pay commission rises for bureaucrats etc. There are enough people to do the job honestly, inefficient fellows have to be summarily dismissed.
But then, how can you let loose a thief to hunt a thief, however the true the adage? If one believes in such things, enjoy it like the Mother superior advised the nuns when the soldiers knocked on the convent doors!
Re: Be a business, public or private !
by R ponnabalam on Mar 08, 2018 09:27 AM
"There are enough people to do the job honestly,"who had worked for a simple 8o Rs. annual increment in Public sector in 1984 and are working like that.My superintendent in a Pvt. co. told me about my previous company then DSP"Your DSP is running because of willing workmen"You must be careful to recruit willing workmen;they will work even when increment is not adequate or promotion is not there..The secret of success lies there in having willing workmen.In banks we have recruited people who name unrecovered loan as Non performing asset.Rubbish; the banks currency has always performed.Banks have willing ---?
Re: Be a business, public or private !
by R ponnabalam on Mar 08, 2018 09:27 AM
"There are enough people to do the job honestly,"who had worked for a simple 8o Rs. annual increment in Public sector in 1984 and are working like that.My superintendent in a Pvt. co. told me about my previous company then DSP"Your DSP is running because of willing workmen"You must be careful to recruit willing workmen;they will work even when increment is not adequate or promotion is not there..The secret of success lies there in having willing workmen.In banks we have recruited people who name unrecovered loan as Non performing asset.Rubbish; the banks currency has always performed.Banks have willing ---?
Private party interest is reason for the corruption. If we allow a free pvt. administration banks itself will disappear. I feel absolute openness under govt. guarantee is only remedy.
