MIRA
INFORM REPORT
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Report Date : |
14.05.2008 |
IDENTIFICATION
DETAILS
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Name : |
THE CATHOLIC SYRIAN BANK
LIMITED |
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Registered Office : |
Post Box No. 502, College View, St. Mary's College Road, Thrissur - 680 020, Kerala |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
26.11.1920 |
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Com. Reg. No.: |
000175 |
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CIN No.: [Company
Identification No.] |
U65191KL1920PLC000175 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHNC00212C / CHNC02159D / CHNC01728G |
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Legal Form : |
The Private Sector Bank |
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Line of Business : |
Banking Activities |
RATING &
COMMENTS
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MIRA’s Rating : |
Aa |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
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Maximum Credit Limit : |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed bank in Private sector.
General financial position is good. Fundamentals are strong and healthy. The bank is progressing well. Payments are reported as usually correct
and as per commitments. The bank can be considered good for normal business dealings at usual
trade terms and conditions. The bank can be considered as a promising business partner in a medium
to long term. |
LOCATIONS
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Registered Office/ Head Office : |
CSB Bhavan, Post Box No. 502, College View, St. Mary's College Road, Thrissur - 680 020, Kerala, INDIA. |
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Tel. No.: |
91-487-333020 / 2333020 / 233277 / 2333420 / 233477 / 2333493 /2333472/ 2333469/ 2333261/ 2338760/ 2338759/ 2338762/ 2321137/ 2332186/ 2332058/ 6451708/ 6451709 |
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Mobile No.: |
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Fax No.: |
91-487-333435 |
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E-Mail : |
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Website : |
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Branches : |
Located At
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SOLE
PROPRIETOR/PARTNERS/DIRECTORS
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Name : |
Mr. Ashok Kapoor |
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Designation : |
Director |
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Qualification : |
B. Com (Hons) |
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Name : |
Dr. A. M. Michael |
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Designation : |
Director |
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Qualification : |
M. Tech., Ph. D |
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Name : |
Mr. George Chemmanur |
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Designation : |
Director |
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Name : |
Mr. C. F. Joe |
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Designation : |
Director |
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Qualification : |
M.B.A. |
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Name : |
Mr. V. Venugopal |
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Designation : |
Director |
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Qualification : |
F. C. A. |
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Name : |
Mr. Joy Kavalakkat |
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Designation : |
Director |
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Name : |
Dr. Tony John Akkara |
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Designation : |
Managing Director |
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Address : |
Opposite Balya Hospital, Kokkalai, Thrissur - 680007 |
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Name : |
Mr. R. Soundararajan |
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Designation : |
Director |
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Qualification : |
B. Sc., C. A. LLB |
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Name : |
Mr. K. R. Thomas |
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Designation : |
Director |
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Name : |
Mr. R. P. Joshua |
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Designation : |
Chairman and Chief Executive Officer |
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Qualification : |
B.A., C.A.L.L.B |
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Name : |
Ms. Suma Varma |
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Designation : |
Additional Director - RBI Nominee |
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Name : |
Mr. K. P. M. Nambissan |
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Designation : |
Alternate Director - RBI Nominee |
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Name : |
Mr. R. Venkataraman |
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Designation : |
Chairman and Chief Executive Officer |
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Address : |
Plot No. 46, 2nd Gate, Hill Gardens, Kuttanellur, Anchery. P.O.,
Thrissur - 680006 |
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Name : |
Mr. S. Swaminathan |
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Designation : |
Director |
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Address : |
FF1, Sri. Lakshmi Apartments 4/23, Rengaih Garden Street, Mylapore,
Chennai – 600018 |
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Name : |
Mr. C. F. John |
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Designation : |
Director |
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Address : |
Chettupuzha House, Cheroor Road, Peringavu P. O., Thrissur - 680018 |
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Name : |
Mr. Tony Joe Pulkin |
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Designation : |
Director |
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Address : |
House No. VII/786 A, Muttom House, Plot No. 122, Mavelipuram Housing Colony,
Kakkanand P. O. , Kochi - 682030 |
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Name : |
Mr. K. A. Menon |
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Designation : |
Director |
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Address : |
“Amrith Varshini”, Cherpu, Thrissur 680561 |
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Name : |
Mr. George Sebastian |
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Designation : |
Director |
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Address : |
‘Church Gate’, Karimpanal, Kanjirappally, Kottayam (Dt) 686507 |
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Name : |
Mr. Prakash G Tole |
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Designation : |
Direcotr |
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Address : |
Gauri Tanaya Apartments, Plot No. 128/2/19, Navaketan Society,
Kothrud, Pune - 411038 |
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Name : |
Mr. Jos C Chakko |
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Designation : |
Director |
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Address : |
Chirakkekaran House, Bishop Palace Road, Thrissur - 680005 |
KEY EXECUTIVES
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Name : |
Mr Mohan Kumar K P |
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Designation : |
Company Secretary |
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Name : |
Mr. Rakesh Mathur |
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Designation : |
General Manager |
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Address : |
Reserve Bank of India Staff College, 359, Anna Salai, Taynampet,
Chennai -600018 |
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Name : |
Mr. G. Sreekumar |
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Designation : |
General Manager |
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Address : |
Reserve Bank of India Staff College, 359, Anna Salai, Taynampet,
Chennai - 600018 |
BUSINESS DETAILS
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Line of Business : |
Banking Activities |
GENERAL
INFORMATION
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Bankers : |
Reserve Bank of India |
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Facilities : |
-- |
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
George and Paulson Chartered Accountants |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
8,00,00,000 |
Equity Shares |
Rs. 10/- each |
Rs.800.000 millions |
|
20,00,000 |
Preference Shares |
Rs. 100/- each |
Rs.200.000 millions |
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Total |
|
Rs.1000.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10765200 |
Equity Shares |
Rs. 10/- each |
Rs. 107.652 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
Particulars |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
|
|
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Share Capital |
107.600 |
107.100 |
106.700 |
|
Reserves &
Surplus |
2186.300 |
2048.700 |
1991.800 |
|
Deposits |
47486.000 |
42888.500 |
40211.200 |
|
Borrowing |
42.100 |
3.000 |
4.600 |
|
Other Liabilities & Provisions |
3209.500 |
2991.700 |
2146.200 |
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TOTAL
|
53031.500 |
48039.000 |
44460.500 |
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Cash & Balances
with RBI
|
4710.500 |
3193.200 |
3637.400 |
Balances with Banks
& money at Call & Short Notice
|
817.700 |
1772.200 |
3205.800 |
Investments
|
15532.900 |
14315.900 |
13230.100 |
Advances
|
30126.400 |
26948.700 |
22893.300 |
Fixed Assets
|
598.600 |
481.400 |
433.600 |
Other Assets
|
1245.400 |
1327.600 |
1060.300 |
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TOTAL
|
53031.500 |
48039.000 |
44460.500 |
PROFIT & LOSS
ACCOUNT
|
Particulars |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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|
|
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Interest Earned |
4160.600 |
3652.900 |
3681.900 |
|
Other Income |
436.100 |
495.100 |
614.400 |
|
Total |
4596.700 |
4148.000 |
4296.300 |
|
|
|
|
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Interest Expended |
2515.200 |
2183.400 |
2220.000 |
|
Operating Expenses |
1452.600 |
1586.300 |
1230.100 |
|
Provisions and Contingencies |
438.200 |
316.900 |
739.600 |
|
Total |
4406.000 |
4086.600 |
4189.700 |
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|
|
|
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Net Profit for the year |
190.700 |
61.400 |
106.600 |
|
Prior Year Adjustments |
0.000 |
0.000 |
0.000 |
|
Profit brought Forward |
0.100 |
0.100 |
0.000 |
|
Total |
190.800 |
61.500 |
106.600 |
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2007 1st
Quarter |
30.09.2007 2nd
Quarter |
31.12.2007 3rd
Quarter |
|
Type |
1138.800 |
1210.300 |
1006.200 |
|
Sales Turnover |
125.600 |
137.800 |
118.900 |
|
Other Income |
1264.400 |
1348.100 |
1125.100 |
|
Total Income |
342.800 |
445.400 |
418.100 |
|
Total Expenditure |
921.600 |
902.700 |
707.000 |
|
Operating Profit |
720.300 |
776.000 |
647.100 |
|
Interest |
201.300 |
126.700 |
59.900 |
|
Gross Profit |
0.000 |
0.000 |
0.000 |
|
Depreciation |
69.800 |
59.300 |
39.000 |
|
Tax |
131.500 |
67.400 |
20.900 |
|
Reported PAT |
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KEY RATIOS
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
Credit Deposit Ration |
63.15 |
59.98 |
53.00 |
|
Investment Deposit Ratio |
33.03 |
33.15 |
39.76 |
|
Cash Deposit Ratio |
8.75 |
8.22 |
6.73 |
|
Interest Expended/Interest Earned |
60.45 |
59.77 |
60.29 |
|
Other Income/ Total Income |
9.49 |
11.94 |
14.30 |
|
Operating Expenses/ Total income |
31.60 |
38.24 |
28.63 |
|
Interest Income/ Total Funds |
8.28 |
7.93 |
8.44 |
|
Interest Expended/ total Funds |
5.00 |
4.74 |
5.09 |
|
Net Interest Income/Total Funds |
3.27 |
3.19 |
3.35 |
|
Non Interest Income/Total Funds |
0.87 |
1.08 |
1.41 |
|
Operating Expenses/ Total Income |
2.89 |
3.45 |
2.82 |
|
Profit Before Provisions/ Total Funds |
1.25 |
0.82 |
1.94 |
|
Net Profit/ Total Funds |
0.38 |
0.13 |
0.24 |
|
Return On Net Worth (%) |
9.71 |
3.20 |
5.79 |
LOCAL AGENCY
FURTHER INFORMATION
History
Catholic Syrian bank commenced business on January 1st, 1921 with an authorised capital of Rs.5 lakhs and a paid up capital of Rs. 45270/-
During the first two decades of its functioning, the Bank concentrated
only in Kerala. Banks and credit institutions which proliferated especially in
Kerala received a jolt and many of them came to their doom following the crash
of the Travancore National Quilon Bank in 1938 followed by Palai Central Bank
in1960. During the period many small banks came to the verge of collapse
shaking the confidence of the public and what followed was a process of
consolidation. The strategy of mergers and amalgamations of small banks with
bigger banks brought the number of banks within controllable limits, thereby
making the industry's base strong. In 1964-65, The Catholic Syrian Bank Ltd
took part in taking over the liabilities and assets of five small/medium sized
banks in Kerala. The expansion programme initiated during these years gathered
momentum in the subsequent years.
In August 1969, the Bank was included in the Second Schedule to the
Reserve Bank of India Act 1934. In 1975, the Bank attained the status of 'A' Class
Scheduled Bank when its total Deposits crossed Rs.25 crores. The necessity of
imparting training to staff looked very important and a modest beginning was
therefore, made in setting up a Training College in 1975. In the same year the
Bank entered the field of foreign Exchange. At a very early stage, the Bank
recognised mechanisation as an effective tool of management and streamlined its
accounting procedures by introduction of Data processing system. From November
1975, reconciliation of inter-branch accounts was mechanised by using IBM Data
processing machines.
The decade of the seventies saw the evolution of a new culture in Indian
Banking. Nationalisation of banks imposed 'Social Control' and imparted new
ethos to commercial banking . What followed was a massive expansion of bank
branches with a distinct thrust on remote rural belts. Special schemes were
formulated to cater to the diverse credit needs of small scale industries, road
transport operators, agriculturists,and other self employed entrepreneurs.
The Catholic Syrian Bank Ltd did not lag behind in taking up the
challenge and more than 75% of its clientele belong to small and economically
weaker strata of Society. The Bank has a strong rural base with around 80% of
the branches in rural and semi- urban areas.
Investments in money market and capital market instruments are being
expanded and steps are being taken to have an in house equity research wing so
as to face the challenges of the future. The Bank has also geared up its machinery
to increase its market share of corporate finance in the days to come.
The Bank has a Tie-up arrangment with Birla Sunlife Insurance Company Ltd for marketing their Life Insurance products and with New India Assurance Company Limited for marketing their General Insurance products. At Present, the Bank has tie-up arrangements with five companies to market their mutual fund products. At present, the bank has a network of 334 branches/extension counters which includes 5 NRI branches, 5 SSI branches, 5 industrial Finance branches and 4 Service branches. The Bank also plans to open more number of branches in a phased manner.
The Bank has installed 21 new ATMs at different locations during the
2005-2006. The Bank at present has 71 Atms.
The Bank has 109 ATM networked branches and it is proposed to bring the entire branches under the ATM Network by the end of March 2007.
Source:- http://www.capitalmarket.com
INDIAN ECONOMIC ENVIRONMENT
Indian economy has been on a high growth phase in the recent years
supported by strong performance of the industry and service sectors. GDP growth
in 2006-07 is expected to be at 9.2% with industry contributing 10.2%,
Agriculture and allied activities 2.7% and service sector 11%. Reflecting
congenial industrial climate, investment proposals have been growing in recent
years. Stock market has been booming with Sensex hovering around 14000-mark.
Money Supply (M(3)) on a year on year basis increased by 20.8% in 2006-07 as compared
with 17% in 2005-06, in tune with higher credit growth and buoyant overall
economic activity. Rate of inflation has been contained at around 5%. Foreign
exchange reserves of the country continued to be on the rising trend and now
stand at over US $ 185 bn.
INDIAN BANKING SCENARIO
Expansionary phase of Indian economy has triggered sustained growth in
Bank Credit. Non-food credit extended by Scheduled Commercial Banks increased
by 28% in 2006-07 as against 31.8% in the previous year. However, in tandem
with such surge in credit growth, banks have been experiencing pressures on
their resources. Aggregate deposits of SCBs increased by 23% in 2006-07 as
against 18.1% in the previous year. Financial markets experienced generally
stable conditions during 2006-07, although with some volatility in the second
half and interest rates firmed up in all segments. By virtue of the Reserve
Bank of India (Amendment) Act, 2006, the RBI has been empowered, inter alia, to
decide the percentage of CRR to be maintained by Banks without any ceiling or
floor, from 11st April 2007. So also, the Banking Regulation (Amendment) Act,
2007, inter alia, removed the floor rate of 25% for SLR to be maintained by
Banks, empowering the RBI to prescribe the SLR and to determine the SLR
eligible assets, effective from January 23, 2007. These measures will equip RBI
with more operational flexibility and greater manoeuvrability in monetary
management.
WORKING RESULTS AND APPROPRIATIONS
The key financial results of The Bank showed improvement during the year
under report. The Bank's total income increased to Rs. 452 crore from Rs.406
crore for the previous year. Total expenditure including provisions and
contingencies increased to Rs.432 crore from Rs.399 crore for the previous
year. The Bank's total income from Treasury operations for the year was Rs.115
crore as against Rs.116 crore for the previous year. Total income from other
banking operations increased to Rs.336 crore from Rs.290 crore for the previous
year. Operating profit of the Bank for the year was Rs.62.65 crore as against
Rs. 36.99 crore for the previous year. The Bank's Net profit for the year after
absorbing an amount of Rs. 11.98 crore being incremental liability in respect
employee benefits as per AS 15 (Revised) and after making the requisite and
necessary provisions under Prudential Accounting norms and other usual
provisions, was Rs.19.07 crore. With the balance profit amounting to Rs.0.01
crore brought forward from previous year, the total amount available for
appropriation is Rs. 19.08 crore, from which the following appropriations have
been made:
RISK MANAGEMENT - TOWARDS BASEL- II COMPLIANCE
The Bank is adopting and implementing an integrated approach to risk management.
The Bank has evolved suitable risk management architecture in order to manage
various financial and non-financial risks. While the Board of Directors remain
the fountainhead of all risk management policies and strategies, it is
supported by the Sub-Committee of the Board for Risk Management, which, in turn
is supported by Executive Level Committees. In order to manage the Credit Risk,
Bank's Credit Risk Management Department undertakes Industry/ Product / Loanee
Profile studies and makes them available to the credit operations officers.
Credit proposals of Rs.2 crore and above are subjected to CRMD Risk Evaluation.
Bank has also laid down exposure caps in various industries / sectors to
monitor the concentration of Credit Risk on an ongoing basis,
As regards management of market risk, The Bank has put in place Asset
Liability Management System in line with the RBI guidelines. The ALCO (Asset
Liability Management Committee) meets periodically to discuss the product
pricing for deposits and advances, maturity profiles of assets and liabilities,
articulating interest rate view of the Bank, funding policy, transfer pricing
policy and balance sheet management of the Bank. The structural liquidity and
interest rate sensitivity gap reports are prepared in line with the RBI
guidelines to monitor the liquidity and interest rate risk and are also
reported to RBI on a regular basis.
To deal with risks arising out of failed internal processes, people, and
systems and on account of external events, Bank's Operational Risk Management
Policy guidelines are based on the RBI's latest guidelines. The overall study
of The Bank's Operational Risk areas indicates stability and soundness in The
Bank's operations. So far as the Basel II readiness is concerned, in accordance
with the guidelines issued by RBI, The Bank is in readiness to migrate to the
Standardized Approach for Credit Risk and Basic Indicators Approach for
Operational Risk.
FOREX BUSINESS AND TREASURY OPERATIONS
Forex business turnover of the bank increased to Rs.11,571 crore for
2006-07 from Rs.8,296 crore for 200506. The total export bills turnover
increased to Rs. 925 crore from Rs.715 crore last year. Total income from Forex
business for the year increased to Rs.22.37 crore from Rs.21.33 crore in the
previous year. To facilitate remittance by NRIs, the Bank has drawing
arrangement with 16 institutions (1 Bank and 15 Exchange houses).
During the year, Bank's Integrated Treasury has continued to be a niche
player in the Inter-Bank Foreign Exchange market, where the volumes have gone
up. For a major part of the year under review, the rate of interest on US
dollar denominated Foreign Currency Loans was lower than those on rupee
borrowings, even on a fully hedged basis. Hence, the demand for such loans
remained high and The Bank could deploy its foreign currency resources
profitably. The Equity Desk at the Treasury made reasonable gains during the
year and recorded profits through prudent and agile market operations.
As part of managing the risk associated with Treasury Operations, The
Bank has taken a number of proactive measures in strengthening risk management
process, such as monitoring the exposures to counter-parties, groups and
countries, controlling the risks through Stop Loss limits, Daylight Limit,
Settlement Limit and VaR (Value at Risk) Limit etc.
NEW BUSINESS ACTIVITIES
As part of the strategy for augmenting fee based income, The Bank is
acting as Corporate Agent of Birla Sun Life Insurance Company Limited, The New
India Assurance Company Limited and Export Credit Guarantee Corporation of
India Limited for selling Life Insurance, General Insurance and Export Credit
Insurance products respectively. During the period under review, the Bank has
tied up with TATA Asset Management Limited, UTI Asset Management Company
Private Limited and DBS Chola Asset Management Company Limited for distribution
of their Mutual Fund Products. With these tie-ups, the bank is now distributing
products of ten Asset Management Companies. The Bank has also launched a unique
floater mediclaim policy viz. 'CSB Health Care Support' in association with New
India Assurance Company Ltd. Bank's Debit-cum-Shopping Card -'CSB Global
Support' is accepted at more than a million ATM locations and more than 24
million Merchant Establishments where the VISA Logo is exhibited. The Bank has
draft drawing arrangements with Centurion Bank of Punjab and HDFC Bank. The
Bank is also having Payable at Par (PAP) Cheque arrangements with IDBI Bank and
HDFC Bank. Negotiations are already on with few other Banks for a similar
arrangement.
BRANCH NETWORK
The Bank upgraded 24 Extension Counters into full-fledged branches during
the year under report. The Bank's branch network as on 31st March 2007 was as
under:
Area Branches % to total
Metro 47 13.66Urban 83 24.13Semi urban 177 51.45Rural 37 10.76Total 344
100.00
The Bank has 9 Zonal offices and 1 Extension Counter, The Bank has
obtained permission from RBI for opening 19 new Branches and an additional Zonal
Office at Thrissur.
IT INITIATIVES IN FY 2007
With a view to providing greater convenience and alternative delivery
channels to the customers, The Bank launched a slew of IT initiatives during
the year which include:
* Commissioning of 11 new ATMs across the country taking the total tally
to 82.4 more ATMs were commissioned during the current year taking the total to
86.
* Enlarging the Debit Card base to reach around 1 lakh.
* Roll out of Core Banking Solution is expected to happen by the end of
the year. 76 branches brought under RTGS.
* 130 branches brought under NEFT operation.
* Admitted to Centralised Fund Management System (CFMS) of RBI, which is
used for managing RBI accounts at various centers.
* Admitted as a member to the National Financial Switch (NFS), which
comprises a national switch to facilitate inter-connectivity between the Bank's
switches. NFS network now connects 8345 ATMs. This will facilitate CSB
customers to utilize all the ATMs belonging to 24 major Banks coming under NFS
at moderate charges.
HUMAN RESOURCES DEVELOPMENT
The Bank has the tradition of continuous enrichment of its human assets
so that they deliver value too business. During the year under report, the Bank
promoted 74 Clerical Staff to Officer Cadre besides promoting 121 officers in
different grades to the higher grades. The Bank also recruited 37 employees in
the officer cadre. Apart from this, during the current financial year, 58 staff
in clerical cadre were promoted to officer cadre. The Bank makes extensive use
of training resources of its Training College with a view to provide
specialized training in newer areas of skills and also to provide wider
exposure to executives and officers. During the year, 68 training programmes
were conducted at the Bank's Staff Training College, exposing 1745 of their
staff members at different levels to various trainings and 176 staff had been
sent for external training programmes in different functional, managerial and behavioral
areas. The Bank had a total staff strength of 2791 as on March 31, 2007
comprising of 1128 officers, 1221 clerks, 414 sub-staff and 28 permanent
part-time employees.
As per website
Profile
The genesis of Indian Banking is associated to a large extent with Swadeshi Movement, which inspired many Indians to promote Swadeshi Banks in the beginning of the 20th Century. The enterprising founders of Catholic Syrian Bank Ltd also found this period to be a moment of opportunity to promote the establishment of a bank. Thus was born The Catholic Syrian Bank Ltd, Eight decades ago, on 26th November 1920 to be exact at Thrissur,which in later years acquired the unique distinction of being a centre with the highest concentration of banks in the South. The founder directors of the bank were people of eminence known for their foresight, integrity and initiative. The policy they laid down has been consistently upheld by the successive generations who guided the destiny of the institution. The bank commenced business on January 1st, 1921 with an authorised capital of Rs.5 lakhs and a paid up capital of Rs. 45270/-
During the first two decades of its functioning, the Bank concentrated only in
Kerala. Banks and credit institutions which proliferated especially in Kerala
received a jolt and many of them came to their doom following the crash of the
Travancore National Quilon Bank in 1938 followed by Palai Central Bank in1960.
During the period many small banks came to the verge of collapse shaking the
confidence of the public and what followed was a process of consolidation. The
strategy of mergers and amalgamations of small banks with bigger banks brought
the number of banks within controllable limits, thereby making the industry's
base strong. In 1964-65, The Catholic Syrian Bank Ltd took part in taking over
the liabilities and assets of five small/medium sized banks in Kerala. The
expansion programme initiated during these years gathered momentum in the
subsequent years.
In August 1969, the Bank was included in the Second Schedule to the Reserve
Bank of India Act 1934. In 1975, the Bank attained the status of "A"
Class Scheduled Bank when its total Deposits crossed Rs.25 crores. The
necessity of imparting training to staff looked very important and a modest
beginning was therefore, made in setting up a Training College in 1975. In the
same year the Bank entered the field of foreign Exchange. At a very early
stage, the Bank recognised mechanisation as an effective tool of management and
streamlined its accounting procedures by introduction of Data processing
system. From November 1975, reconciliation of inter-branch accounts was
mechanised by using IBM Data processing machines.
The decade of the seventies saw the evolution of a new culture in Indian
Banking. Nationalisation of banks imposed "Social Control" and
imparted new ethos to commercial banking . What followed was a massive
expansion of bank branches with a distinct thrust on remote rural belts.
Special schemes were formulated to cater to the diverse credit needs of small
scale industries, road transport operators, agriculturists,and other self
employed entrepreneurs.
The Catholic Syrian Bank Ltd did not lag behind in taking up the challenge and
more than 75% of its clientele belong to small and economically weaker strata
of Society. The Bank has a strong rural base with around 80% of the branches in
rural and semi- urban areas.
Investments in money market and capital market instruments are being expanded
and steps are being taken to have an in house equity research wing so as to
face the challenges of the future. The Bank has also geared up its machinery to
increase its market share of corporate finance in the days to come.
The real inner strength of a growing organisation lies in its staff resources.
The Bank has been singularly fortunate all these years in creating an
environment in which the employees at all levels could play their role.
Their contribution to the growth of this institution has been invaluable. The
Bank has a very dynamic team on its Board of Directors who are guiding the
destiny of the Bank leading to growth and prosperity.
At present, the bank has a network of 348 branches and 1 extension counters
which includes NRI/SSI/Industrial Finance and Service branches. The Bank also
plans to open more number of branches in a phased manner.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 42.33 |
|
UK Pound |
1 |
Rs. 82.31 |
|
Euro |
1 |
Rs. 65.46 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
76 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING
EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|