T M Bhasin, chairman and managing director of Indian Bank, was on 20 August 2014 elected as the chairman of Indian Banks Association for 2014-15.
UCO Bank chairman and managing director Arun Kaul, Oriental Bank of Commerce head S L Bansal and ICICI Bank managing director Chanda Kochhar have been elected deputy chairpersons of the association.
State Bank of India chairperson Arundhati Bhattacharya is the honorary secretary of IBA for the year.
My comment on above news is submitted below.
Some Old News related to Mr. Bhasin are submitted below:
Locked out of car, Indian Bank CMD Mr. T M Bhasin slams door on regional head Being locked out with car keys inside may be a common mistake, but a senior executive of a public sector unit (PSU) bank could pay with his job for it — for the person left stranded was his boss.
The Mumbai Zonal Manager of Indian Bank, Banabihari Panda, has been suspended for failing to provide "minimum basic courtesies" to the bank's Chairman and Managing Director (CMD) T M Bhasin on his arrival at Mumbai airport from Chennai last Thursday night. The charge faced by Panda, who holds the rank of General Manager, is that he kept the CMD waiting at the airport for over an hour as the keys got locked in when luggage was being loaded into the car.
Cobrapost fallout: Indian Bank suspends employee
Chennai, May 9:
State-owned Indian Bank today said it has suspended an official who is accused of wrong doings by an online portal in an expose.
The bank has also initiated the exercise to bring all operative accounts with it under KYC norms.
Indian Bank Chairman and Managing Director, T M Bhasin said here that the bank has placed under suspension R Manohar, Assistant General Manager at the South Delhi branch, for giving "hollow" advices to public.
"I got the information about 11.30 am on that day and immediately I went through the entire Webcast. He has given ’hollow’ advices...by hollow advices he has given wrong information. And since he has given such wrong advices, we took a call on suspending him," Bhasin said.
On Page 18, the Times of India’s Chennai edition dated August 31 2013 has a news item says:
The Central Vigilance Commission (CVC) has sought action against Indian Bank CMD TM Bhasin and former ED V Ramgopal for "high-handedness, arbitrariness and manipulation" of appraisal reports of Malay Mukherjee, a general manager in the bank, with a view to deny him a promotion.
While the finance ministry has not initiated action against the two executives, the CVC has also sought action against Shreya Guha, a director in the ministry, for lapses in conducting enquiry against Bhasin and Ramgopal. For the finance ministry, this the second embarrassment in less than a month as the watchdog was critical of the role performed by the Appointments Board in recommending M O Rego for the post of IDBI Bank deputy MD, the report further says.
Seeking regular departmental action (RDA) against the two top-raking Indian Bank executives, CVC had told the finance ministry that Mukherjee's performance for 2009 had been reviewed by the then ED A S Bhattacharya and M S Sundarrajan, who was then the CMD of the Chennai-headquartered bank. Bhasin and Ramgopal were not required to appraise Mukherjee for 2009-10 as he had not worked with the two executives, the report adds.
The Central Vigilance Commission (CVC) has sought action against Indian Bank CMD T M Bhasin and former ED V Ramgopal for "high-handedness, arbitrariness and manipulation" of appraisal reports of Malay Mukherjee, a general manager in the bank, with a view to deny him a promotion.http://dkjain4970901092007.blogspot.in/2013/08/cmd-indian-bank-and-ex-ed-caught-by-cvc.html
My Views on Appointment of ED and CMD in Banks is as follows
: Likewise you may trace out several news related to other five key members picked up for IBA and reflected in first paragraph of this letter.
Recent FD scam of Dena bank and OBC is adequate to enlighten on the nature and character of top level officials.
Investigation into wealth of top ranked officials named above by CBI and old files of CVC will tell enough about these fellows who have been given the charge of IBA and one of them is proposed for the post of CVC too.
We have in the recent past seen the scam of bad debts in United Bank also . Bad debts in United Bank has set a unbreakable record in NPA and there may be much more bad debts hidden . This bank has been headed by above officials in the past and misdeeds of them have surfaced now . When a Chief of a bank sanctions loan to a bad company after taking bribe in cash or in kind , such accounts remain standard as long as the sanctioning officer remains as chief of that bank. But as soon as new incumbent joins as CMD of such bank, real volume of NPA surfaces.
If CBI is entrusted the task of investigation into past of bad debts of U Co bank, United Bank, Indian Bank etc where above mentioned officials ( picked up for key post of IBA) have served in various capacities such as ED, CMD, GM or DGM, real root cause of volume of bad debts in these banks will come out and there is no doubt that onus of loss caused to these banks will come on them.
You should try to discover who are top officers who damaged the fundamental of United Bank, U Co bank, Indian Bank, Allahabad Bank, Central bank, PNB, SBI and stop blaming current chiefs of these banks or accusing global recession or economic slowdown or lack of risk management training to seniors.
Volume of NPA in SBI or in PNB is more than 5% and the same came to public domain when real guilty officers got retired from the bank. This happens almost in all banks, Heads of United Bank who worked during last ten years caused all loss and got promoted to higher level . If all banks declare NPA strictly as per RBI norms , I hope volume of bad debts will go up from 4 % to 24%
You will have to stop culture of promoting and awarding person who are responsible for bad health of many banks if you really and sincerely like to improve the health of public sector banks. You may not be right in saying that banks may improve if Top officials of all banks are advised to undergo training of Risk Management before they are picked up for the post of ED or CMD of a bank.
The bitter truth is that officers from scale I to scale VII all are well trained in risk management and they are supposed to be trained for safety of any bank. Because all loan proposals good or bad emanate from branches only where these junior or mid-level officers work as Branch Head or Credit processing officer. Top Officials have to be master in tools of risk mitigation. But it is not that corrupt officials of banks which came to light in public domain during last five years were unaware of risk mitigating mechanism. It is only due too their greed for money , power and status they the resorted to bad lending and caused loss to bank by adding more and more NPA .
The moment corrupt officers from top office gives instruction to subordinate offices for sanction of loans to persons and companies of choice of top officials , junior and mid level officers ignore all risk mitigating steps and recommend for sanction of credit without any murmur. Even a person expert in credit skill and risk management think it better to remain silent spectators of bad lending and ignore negative points of the credit proposals.
As such there is no linkage between training on risk management and bad lending. Rise in bad debts in PS banks to a great extent is due to the fact that almost all top officials have been able to occupy top post only by evil ways and means. Flattery and bribery only make a person successful in his career. UPA government led by Congress Party promoted culture of flattery and bribery only. This is root cause of worsening health of PS banks.
I am fully confident that new government led by Mr. Narndra Modi and Ministry of Finance led by a person like you will change the culture .
The first step in this direction will be to introduce culture of promotion strictly based on seniority. Bank needs maturity earned by experience and not mere passing of interview or possessing some degrees.
Second step will be to peep into past record of at least 100 current top officials and 100 retired officials followed by CBI inquiry into at least 20% of such officials to assess their wealth and punish them if found guilty of having disproportionate wealth compared to their earnings. This will send a good message down the line and help in inculcating good culture in branches and controlling offices working under Central Office .
Third step should be to carry out through scrutiny of files of top 50 borrowers of each bank to understand whether the reasons of loan account categorised as bad debts are genuine or it is only bribery, ill-motivated decision and negligence of sanctioning and monitoring officers.
Fourth , it is necessary to ascertain the role played by team of Chartered Accountants who prepared Financials of bad companies and bad banks and if found guilty of committing wilful mistakes , such CA must be brought to task immediately.
Lastly it is the need of the hour to strengthen , rectify and purify the legal and administrative machinery which are supposed to play major role in recovery of bad debts from bad borrowers and wilful defaulters. You will have to stop misuse of banks b politicians too.
I hope you will at least wait till CBI places before you investigation report on episode of scam related to Syndicate Bank, OBC and Dena Bank , reports submitted by RBI of forensic audit of United Bank and Allahabad Bank and reports precipitated b inquiry made by CBI and MOF on forgery in appointments of chiefs of various banks . You should know how marks of Yes-men and corrupt officials are fraudulent inflated in Annual confidential reports and Interviews . Such manipulation though takes place in all promotions taking place in banks from Scale I to Scale II , scale II to III, III to IV and IV to V , V to VI and finally scale VI to Scale VII. But I would like to focus on least fraudulent and ill-motivated transactions taking place in appointment of ED and CMD of banks.
Last but not the least , bank employees who were waiting for Achhe Din are disappointed to see recent exposures and latest developments in banks, your comments on bank scams, fraud in appointment and interview and bribery episode . Please look into genuine cases of good officers so that growth in credit is not adversely affected in the larger interest of the country but do not spare bad officers who are tarnishing the image of government banks and causing huge loss to stakeholders in PS banks.
Bank employees can imagine the fate of wage revision in the hands of newly appointed IBA Chairman Mr. T M Bhasin who had suspended his General Manager only because he could not open the gate of car of CMD when he reached Airport ( read full story below). It is he who suspended several employees when his bank was exposed by Cobrapost. God knows how cases related to T M Bhasin lodged with CVC has been closed.
I lastly may say that Mr. Bhasin has been awarded for his boldness in suspending his GM ranked officer for failing to open gate of his car on his arrival at Airport and suspending several employees when his bank was exposed in Cobrapost Disclosure.