|
|
|
MIRA INFORM REPORT
|
Report No. : |
494638 |
|
Report Date : |
26.02.2018 |
IDENTIFICATION DETAILS
|
Name : |
THE SARASWAT CO-OPERATIVE BANK LIMITED |
|
|
|
|
Registered
Office : |
Ekanath Thakur Bhavan, 953, Appasaheb Marathe Marg, Prabhadevi,
Mumbai - 400025, Maharashtra |
|
Tel. No.: |
91-22-66005555 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2017 |
|
|
|
|
Date of
Incorporation : |
14.09.1918 |
|
|
|
|
No. and Date of
RBI License: |
ACD-MH-220-P-Dated-27.08.1980 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
INR 2152.260 Million |
|
|
|
|
IEC No.: |
Not Divulged |
|
|
|
|
GSTIN : |
Not Divulged |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
|
|
|
|
PAN No.: [Permanent Account No.] |
Not Available |
|
|
|
|
Legal Form : |
Co-operative Bank |
|
|
|
|
Line of Business
: |
Provides a Complete Suite of Corporate and Retail Banking Products.
(Registered Activity) |
|
|
|
|
No. of Employees
: |
4122 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A++ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
Maximum Credit Limit : |
USD 96300000 |
|
|
|
|
Status : |
Excellent |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Saraswat Co-Operative Bank is an urban Co-Operative Banking Institution based in Maharashtra, India and operating as a co-operative bank since 1918. In 1988, the Bank was conferred with “Scheduled” status by Reserve Bank of India. It provides a complete suite of corporate and retail banking products. It is an old, well-established and reputed bank having good track. The bank is the first co-operative bank to provide Merchant Banking Services and had received a permanent license to deal in foreign exchange in 1978. The bank has gained a strong foundation in terms of its membership, resources, assets and profits. For the financial year 2017, the bank has healthy operational activity marked by excellent revenue profile along with impressive profitability. The bank has strong financial profile marked by healthy networth position and fair liquidity base. Rating also takes into consideration strong market position, experienced management, healthy capitalization supported by strong assets quality, robust earnings performance and well spread banking network. Trade relations are trustworthy. Business is active. Payments are regular and as per commitment. In view of the aforesaid, the bank can be considered good for business dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List
|
Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderately Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderately High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
D |
EXTERNAL AGENCY RATING
NOT AVAILABLE
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2016.
BIFR (Board for Industrial & Financial Reconstruction) LISTING
STATUS
Subject’s name is not listed as a Sick Unit in
the publicly available BIFR (Board for Industrial & Financial
Reconstruction) list as of 26.02.2018.
IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS
Subject’s name is not listed in the publicly
available IBBI (Insolvency and Bankruptcy Board of India) list as of report
date.
LOCATIONS
|
Registered Office : |
Ekanath Thakur Bhavan, 953, Appasaheb Marathe Marg,
Prabhadevi, Mumbai - 400025, Maharashtra, India |
|
Tel. No.: |
91-22-66005555 |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
Mittal Court, 'A'
Wing, First Floor, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400021,
Maharashtra, India |
|
Tel. No.: |
91-22-43682024 |
|
E-Mail : |
|
|
|
|
|
Customer Service Centre: |
Building No. 2 , Topiwala Wadi, Swami Vivekanand Road, Goregaon (West), Mumbai – 400062, Maharashtra, India |
|
|
|
|
Microfinance and
SME: |
Phatak Building, 1st Floor, 66, Nehru Road, Vile Parle (East), Mumbai – 400057, Maharashtra, India |
|
Tel. No.: |
91-22-24671227 / 26126401 |
DIRECTORS
AS ON 31.03.2017
|
Name : |
Mr. G.E. Thakur |
|
Designation : |
Chairman |
|
Qualification : |
B.E. (Civil), DFM |
|
|
|
|
Name : |
Mr. S.K. Sakhalkar |
|
Designation : |
Vice-Chairman |
|
Qualification : |
M.Com, PGD (IR), PGD (Comp. Sc.) |
|
|
|
|
Name : |
Mrs. Smita Sandhane |
|
Designation : |
Managing Director |
|
Qualification : |
B.Com., C.A.I.I.B., F.I.I.B.F. |
|
Date Appointment: |
01.04.2017 |
|
|
|
|
Name : |
Mrs. Padmashri M.M. Karnik |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. P.N. Joshi |
|
Designation : |
Director |
|
Qualification : |
M.A. |
|
|
|
|
Name : |
Mr. A. A. Pandit |
|
Designation : |
Director |
|
Qualification : |
B.Com., F.C.A., D.B.F. |
|
|
|
|
Name : |
Mr. S. V. Saudagar |
|
Designation : |
Director |
|
Qualification : |
B.Com., F.C.A., D.I.S.A. |
|
|
|
|
Name : |
Mr. S. S. Shirodkar |
|
Designation : |
Director |
|
Qualification : |
Dip. (Indl. Electronics), P.G.D.M. |
|
|
|
|
Name : |
Mr. A. G. Ambeskar |
|
Designation : |
Director |
|
Qualification : |
B.A., C.A.I.I.B. |
|
|
|
|
Name : |
Mr. S.N. Sawaikar |
|
Designation : |
Director |
|
Qualification : |
M.Com., D.M.A., C.A.I.I.B. |
|
|
|
|
Name : |
Mr. K.V. Rangnekar |
|
Designation : |
Director |
|
Qualification : |
M.A. |
|
|
|
|
Name : |
Mr. H.M. Rathi |
|
Designation : |
Director |
|
Qualification : |
B.Com |
|
|
|
|
Name : |
Dr. (Mrs.) A. P. Samant |
|
Designation : |
Director |
|
Qualification : |
M.B.B.S. |
|
|
|
|
Name : |
Mr. N.G. Pai |
|
Designation : |
Director |
|
Qualification : |
B.E. (Electrical) |
|
|
|
|
Name : |
Mr. S.M. Lotlikar |
|
Designation : |
Director |
|
Qualification : |
B.Sc. (Chemistry) |
|
|
|
|
Name : |
Mr. K.D. Umrootkar |
|
Designation : |
Chairman |
|
Qualification : |
B.Com. (Hons.), LL.B., F.I.I.B.F., M.C.I.P.D. (UK). |
|
|
|
|
Name : |
Mr. S. K. Banerji |
|
Designation : |
Advisor to the Board |
|
Qualification : |
B.Sc. (Hons.), D.B.M., LL.M., FIIBF |
|
Date Appointment: |
01.04.2017 |
SHAREHOLDING PATTERN
NOT AVAILABLE
BUSINESS DETAILS
|
Line of Business : |
Provides a Complete Suite of Corporate and Retail Banking Products.
(Registered Activity) |
|
|
|
|
Brand Names : |
Not Available |
|
|
|
|
Agencies Held : |
Not Available |
|
|
|
|
Exports : |
Not Available |
|
|
|
|
Imports : |
Not Available |
|
|
|
|
Terms : |
Not Available |
PRODUCTION STATUS – (NOT AVAILABLE)
GENERAL INFORMATION
|
Suppliers : |
|
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|
|||||||||||||||
|
Customers : |
|
|||||||||||||||
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|
|||||||||||||||
|
No. of Employees : |
4122 (Approximately) |
|||||||||||||||
|
|
|
|||||||||||||||
|
Bankers : |
|
|||||||||||||||
|
|
|
|||||||||||||||
|
Facilities : |
|
|
Auditors : |
|
|
Name : |
Kulkarni and Khanolkar Chartered Accountants |
|
|
|
|
Legal Advisors: |
|
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Associates/Subsidiaries : |
Not Available |
CAPITAL STRUCTURE
AS ON 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1000000000 |
Shares |
INR 10/- each |
INR 10000.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
160781543 |
Shares |
INR 10/- each |
INR 1607.815
Million |
|
54444500 |
Preference Share |
INR 10/- each |
INR 544.445 Million |
|
|
Total |
|
INR 2152.260
Million |
FINANCIAL DATA
[all figures are
INR Million]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
|
|
|
CAPITAL & LIABILITIES |
|
|
|
|
Capital |
2152.260 |
2027.576 |
1893.010 |
|
Reserves
Fund and Other Reserve |
31561.293 |
28635.162 |
28445.696 |
|
Deposits
and Other Accounts |
337374.187 |
314958.433 |
271708.405 |
|
Borrowings |
7929.460 |
7459.015 |
6930.409 |
|
Bills
for Collection Being Bills Receivable as per contra |
31444.837 |
23852.312 |
23597.311 |
|
Overdue
Interest Reserve on Loans and Advances as per contra |
1464.486 |
1290.174 |
1195.793 |
|
Interests
Payable |
480.845 |
884.023 |
1257.128 |
|
Other
Liabilities |
11788.593 |
12401.985 |
11346.302 |
|
Profit
and Loss |
2349.895 |
2120.380 |
1909.877 |
|
|
|
|
|
|
TOTAL |
426545.856 |
393629.060 |
348283.931 |
|
|
|
|
|
|
PROPERTY AND ASSETS |
|
|
|
|
Cash |
15150.577 |
13933.320 |
13618.584 |
|
Balances
with Other Banks |
33988.270 |
29218.753 |
31622.006 |
|
Money
at Call and Short Notice |
20327.217 |
6343.579 |
1371.918 |
|
Investment
|
88727.919 |
93884.777 |
77351.153 |
|
Advances |
215360.714 |
203661.150 |
177981.240 |
|
Interest Receivable on Loans and Advances as per contra |
1464.486 |
1290.174 |
1195.793 |
|
Bills
Receivable being Bills for Collection as per Contra |
31444.837 |
23852.312 |
23597.311 |
|
Branch
Adjustments |
5.142 |
20.528 |
9.805 |
|
Fixed
Assets |
9010.356 |
9318.554 |
9600.901 |
|
Other
Assets |
10991.721 |
12008.148 |
11846.650 |
|
Computer
Software |
74.617 |
97.765 |
88.297 |
|
Deferred
Amortization of Investments |
0.000 |
0.000 |
0.273 |
|
TOTAL |
426545.856 |
393629.060 |
348283.931 |
PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
INCOME
|
|
|
|
|
Interest and Discount |
30658.692 |
28706.438 |
26876.066 |
|
Commission |
402.753 |
383.005 |
385.704 |
|
Exchange |
398.681 |
471.082 |
361.435 |
|
Profit on |
2288.359 |
1647.248 |
1480.083 |
|
Dividend |
0.363 |
4.768 |
4.299 |
|
Other
Receipts |
|
|
|
|
Processing Fees |
347.707 |
365.777 |
288.779 |
|
Service Charges |
512.889 |
438.991 |
395.364 |
|
Recovery of Expenses |
13.489 |
12.293 |
11.304 |
|
Profit on Sale of Assets |
1.552 |
20.422 |
4.533 |
|
Acquirer's Fees and ATM Charges |
121.333 |
127.305 |
92.158 |
|
Miscellaneous Income |
146.865 |
162.269 |
72.056 |
|
|
|
|
|
|
Total
|
34892.683 |
32339.598 |
29971.781 |
|
|
|
|
|
|
Excess Provision of Earlier Years Written Back |
10.609 |
27.389 |
20.046 |
|
Bad Debts Earlier Written Off, Now Recovered |
79.907 |
153.768 |
146.820 |
|
Excess Provision for Restructured Assets written back |
0.000 |
22.600 |
85.500 |
|
Amount Received in excess of NBV on sale of assets to
SC/RC |
0.000 |
26.300 |
0.000 |
|
Excess provision for Depreciation on investments written
back |
2.855 |
0.000 |
0.000 |
|
|
|
|
|
|
TOTAL INCOME |
34986.054 |
32569.655 |
30224.147 |
|
|
|
|
|
|
EXPENDITURE |
|
|
|
|
Interests on deposits, Borrowings etc. |
22750.454 |
22255.052 |
21039.623 |
|
Salaries and Allowances, Bonus, Gratuity, Provident Fund
Contribution etc. |
3044.482 |
3468.926 |
3161.750 |
|
Directors Sitting Fees |
6.428 |
5.153 |
3.555 |
|
Rent, Taxes, Insurance, Lighting etc. |
1009.092 |
954.325 |
812.651 |
|
Law Charges |
4.632 |
6.100 |
4.767 |
|
Postage, Telegram and Telephone Charges |
64.912 |
66.973 |
59.218 |
|
Audit Fees (Statutory, Internal and Concurrent Auditors) |
40.026 |
38.105 |
35.488 |
|
Depreciation/ Amortization of Assets |
340.036 |
344.172 |
298.711 |
|
Printing and Stationery |
45.724 |
48.180 |
42.293 |
|
Advertisements |
132.469 |
138.061 |
82.687 |
|
|
|
|
|
|
Other Expenditure |
|
|
|
|
Repairs and
Maintenance of Assets |
92.031 |
112.637 |
98.212 |
|
Banker’s Indemnity Insurance |
14.052 |
8.900 |
5.539 |
|
Premium Paid to DICGC |
312.066 |
276.716 |
246.972 |
|
Premium Paid to ECGC |
17.906 |
19.115 |
19.845 |
|
Cheque Processing Charges |
13.703 |
12.408 |
12.289 |
|
Leased Line Expenditure |
62.825 |
51.384 |
36.596 |
|
Travelling and Conveyance |
25.558 |
23.512 |
22.369 |
|
Security Services Charges |
266.706 |
212.755 |
197.280 |
|
Amortization of Investment |
275.288 |
248.167 |
236.383 |
|
Professional Fees |
51.781 |
51.643 |
28.146 |
|
Bank Charges |
12.510 |
8.828 |
6.883 |
|
Card issue and operating expenses |
265.642 |
246.394 |
221.016 |
|
Card Expenses |
11.542 |
11.033 |
12.082 |
|
Housekeeping Charges |
22.513 |
20.512 |
19.381 |
|
Sundries |
325.732 |
243.905 |
196.836 |
|
|
|
|
|
|
Provisions |
|
|
|
|
Provision for Depreciation on Investments |
0.000 |
535.804 |
327.018 |
|
Bad and Doubtful Debts Reserve |
2400.631 |
369.954 |
108.969 |
|
Reserve for Restructured Assets |
59.332 |
0.000 |
0.000 |
|
Contingent Provision
against Standard Assets |
59.163 |
173.148 |
112.630 |
|
|
|
|
|
|
Income Tax Expenses |
|
|
|
|
Current Tax |
1330.000 |
330.000 |
362.500 |
|
Deferred Tax |
(332.766) |
518.160 |
427.930 |
|
Short/ (Excess) Provision for Tax of earlier years |
(108.948) |
(342.282) |
82.757 |
|
|
|
|
|
|
Net Profit After
Tax and Before Exceptional Items |
2340.532 |
2111.915 |
1901.771 |
|
|
|
|
|
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
Net
Profit After Tax and Exceptional Items
|
2340.532 |
2111.915 |
1901.771 |
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term debt |
NA |
NA |
NA |
|
Cash Generated from Operating Activities before tax |
16320.500 |
5649.000 |
7453.613 |
|
Net Cash Generated from Operating Activities after tax |
15601.300 |
5202.700 |
6889.129 |
FINANCIAL ANALYSIS
[all figures are
INR Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR In Million |
INR In Million |
INR In Million |
|
Capital |
1893.010 |
2027.576 |
2152.260 |
|
Reserves
Fund and Other Reserve |
28445.696 |
28635.162 |
31561.293 |
|
Net worth |
30338.706 |
30662.738 |
33713.553 |
|
|
|
|
|
|
Borrowings |
6930.409 |
7459.015 |
7929.460 |
|
Total borrowings |
6930.409 |
7459.015 |
7929.460 |
|
Debt/Equity ratio |
0.228 |
0.243 |
0.235 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR In Million |
INR In Million |
INR In Million |
|
Income |
29971.781 |
32339.598 |
34892.683 |
|
|
|
7.900 |
7.895 |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR In Million |
INR In Million |
INR In Million |
|
Income |
29971.781 |
32339.598 |
34892.683 |
|
Profit |
1901.771 |
2111.915 |
2340.532 |
|
|
6.35% |
6.53% |
6.71% |
LEGAL
CASE
|
CASE DETAILS |
|
BENCH-BOMBAY |
|
Presentation
Date: 04.08.2016 |
|
Lodging No.: CARBPL/75/2016 Filing Date: 04.08.2016 |
|
Petitioner: JUST I RETAILS INFRASTRUCTURE PRIVATE LIMITED RESPONDENT: THE
SARASWAT CO- OPERATIVE
BANK LIMITED Petn. Adv.: Puneet Kundanmal Gogad (I3669) District: Mumbai |
|
Bench: Single Status: Pre-Admission Category: Arbitration
petition U/S 34 of Arbitration and conciliation Act, 1996 Last Date: 18.10.2016
Stage: For rejection [Original Side Matters] Last Coram: Registrar (Os)/Prothonotary and Sr. Master |
|
Act: Arbitration and conciliation Act, 1996 Under Section: 34 |
|
CASE DETAILS |
|
BENCH-BOMBAY |
|
Presentation
Date: 15.05.2017 |
|
Lodging No.: ITXAL/1178/2017 Filing Date: 15.05.2017 |
|
Petitioner: PR. COMMISSIONER OF INCOME TAX RESPONDENT: THE
SARASWAT CO-
OPERATIVE
BANK LIMITED Petn. Adv.: Suresh Kumar (I2100) District: Mumbai |
|
Bench: Division Status: Pre-Admission
Category: Tax Appeals Last Date: 05.06.20176 Stage: --] Last Coram: Registrar (Os)/Prothonotary and Sr. Master |
|
Act: Income Tax Act, 1961
Under Section: 260A |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
No |
|
8 |
Designation of contact person |
No |
|
9 |
Promoter’s background |
No |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
No |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
No |
|
17 |
Details of sister concerns |
No |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
No |
|
32 |
Litigations that the firm/promoter
involved in |
Yes |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the Annual
Report |
No |
BACKGROUND:
The company was incorporated in 1918 and provides a complete suite of
corporate and retail banking products.
THE GLOBAL ECONOMY
AND INDIA
Global economic growth remained subdued during the initial part of 2016, while picking up pace towards the end of the year. Overall, the global economy grew 2.6 per cent in calendar year 2016. Two major political events, Brexit i.e. the vote of UK in favour of leaving the European Union and the outcome of the US Presidential elections threw surprises for financial markets.
The US economy grew at a slower pace of 1.6 per cent for calendar year 2016. However since then, US economic data has emerged strong and improvement is witnessed on the employment, manufacturing and retail sales fronts. The Federal Reserve increased its benchmark interest rates on three occasions Since December 2016, amid rising confidence that the economy is poised for more robust growth. The overnight funds rate has moved to a target range of 1 per cent to 1.25 per cent and has set the tone for a likely path of regular rate hikes, in the wake of higher Inflationary expectations, going forward.
The Euro area Gross Domestic Product (GDP) grew by 1.7 per cent during 2016, on the back of a strong labour market, high economic sentiment and easy Monetary Policy aiding the domestic economy. The Eurozone’s economy picked up steam especially in the second half of 2016, demonstrating remarkable resilience to geopolitical uncertainties during the year and defying expectations of a slower recovery post the Brexit shock.
The Japanese economy managed to expand by 1 percent during 2016 as weaker yen and strong global demand propelled export growth. Among BRICS countries, China recorded growth at 6.7 per cent.
Overall, broader outlook indicates that the slowdown during 2016 could be bottoming out and the world economy is expected to improve during calendar year 2017 - albeit at a slower pace.
INDIAN ECONOMY IN FY
2016-17:
India has emerged as the fastest growing major economy in the world as per the Central Statistical Organisation (CSO), with a growth of 7.1 per cent for the fiscal 2016-17 vis-à-vis 7.6 per cent for the preceding year. The lower growth was largely due to sharp moderation in manufacturing sector growth at 7.9 per cent. Services sector growth also faced marginal moderation at 7.7 per cent. Currency withdrawal (demonetization) seems to be a major factor behind the moderation, particularly due to sudden squeezing of cash-dominated Micro, Small and Medium Enterprises (MSMEs) business. However, agriculture sector with 4.9 per cent growth, on the back of a good monsoon, played a balancing role and helped to maintain the growth at 7.1 per cent.
INFLATION:
Inflation during FY 2016-17, was characterized by two features viz. a downward trend in Consumer Price Index (CPI) since July 2016 as a bountiful monsoon led to good agricultural produce and decline in food prices. CPI moderated continuously to a low of 3.17 per cent by January 2017 and firmed up to 3.89 per cent by March 2017. The other distinctive feature was in the form of reversal of Wholesale Price Index (WPI) inflation from negative territory to 5.51 per cent by March 2017. However, inflation rates have since softened with CPI and WPI at 2.18 per cent and 2.17 per cent respectively by May 2017 and are perceived to be in conformity with RBI's comfort zone.
FISCAL SITUATION:
The Government maintained its fiscal deficit target of 3.5 per cent for FY 2016-17, exhibiting consistent improvement in the fiscal situation over the past 3 years. The numbers have acquired more weight and credibility in the light of Government's commitment to fiscal consolidated in recent year. Tax buoyancy in general and widening of the tax on undisclosed cash following the demonetization strategy in particular, have largely contributed to improved fiscal performance of the Central Government.
CURRENT ACCOUNT DEFICIT:
The current account deficit to GDP ratio remained muted during FY 2016-17, at less than 1 per cent of GDP. The external sector position has remained comfortable despite moderation in exports as the downward spiral in international crude oil prices resulted in a lower oil import bill. There was also a sharp decline in gold imports, which led to overall reduction in the imports. Overall, the sharp contraction in trade deficit outweighted the decline in net invisible earnings.
MONETARY POLICY
STANCE:
The benchmark repo rate was reduced by 50 bps by the Reserve Bank of India (RBI) during FY 2016-17 i.e. 25 bps during April 2016 and 25 bps during October 2016, mirroring the inflationary trajectory. However, with an uptick in inflationary figures in February 2017, policymakers unexpectedly changed the stance from ‘accommodative ‘ to ‘neutral’.
SEGMENT–WISE
PERFORMANCE
SBU-RETAIL
BANKING:
MULTIPLE DELIVERY
CHANNELS:
DEBIT CARD:
The Bank issued 3.22 lac debit cards (RuPay/VISA) during the financial year 2016-17. The Bank has also launched Insta-Debit Card under which a customer can receive his/her Debit Card across the branch counter and transact with it the next moment itself. Insta-Debit Card has also helped the Bank to reduce the logistics cost and offer instant satisfaction to customers.
ATMs:
During the year, the Bank opened 9 new ATMs comprising 7 on-site and 2 off–site ATMs. Further, they have implemented additional options at their ATMs viz. Green PIN, Cardless Cash withdrawal, Mobile Banking registrations, Mobile number update, etc.
INTERNET BANKING:
The Bank added some new functionalities to the Internet Banking portal which has helped to take the total customer registrations to 387308.
CORPORATE INTERNET BANKING:
The Bank, during the year, also extended Internet Banking services to Corporate Customers such as partnership firms, companies, etc. For Corporate Internet Banking, multiple level authentication and varied transaction limits have been incorporated for secured operations. Corporates can do bulk NEFT upload, cheque book request, salary upload, funds transfer, etc. through Corporate Internet Banking facility.
SMS BANKING:
The Bank, during the year, has taken various initiatives for creating customer awareness as well as promoting the Bank’s products/services through the SMS banking facility of the Bank. The Bank has successfully registered more than 16 lac customers for the SMS banking facility.
SARASWAT BANK
CONNECT:
The Bank, during the year, has launched an App for Android Mobile users which provides Missed call and SMS services in an integrated way. Missed call options provide balance enquiry, blocking of cards while SMS provides applying for loan, cheque stop payment, etc.
MOBILE BANKING:
The Bank, during the year, launched a newer version of its Mobile banking application “GOMO” for customers using any type of Mobile Brand. With the “GOMO” application, customers can now register themselves for Mobile banking, create fixed deposits, register themselves for Mobile banking, create fixed deposits, register beneficiary,
undertake NEFT transactions, etc.
AWARDS:
The Bank was conferred with following prestigious awards during the year:
1. “Winner (Best Bank) in the category of the Technology Bank of the Year amongst Co-operative Banks” at the IBA Banking Technology Awards 2015-16.
2. “Best Co-operative Bank Award” at the ABP News Banking Financial Services and Insurance Awards.
3. “Stars of the Industry Award” for excellence in SME Loan at My FM Star of the Industry Awards.
4. Winner – CTS, Winner – NACH and Runner up – NFS at ‘National Payments Excellence Awards -2016’ under the Co-operative Banks category.
These awards are a vindication of the hard work and efforts made by the employees of the Bank at all levels.
CONTINGENT
LIABILITIES:
(INR in million)
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
|
Letters of Credit |
8228.065 |
8153.284 |
|
Guarantees |
4994.111 |
4332.888 |
|
Forward Sale/Purchase Contracts |
22087.076 |
29718.864 |
|
Unclaimed Liabilities under DEAF Scheme |
602.067 |
433.947 |
|
Total |
35911.319 |
42638.983 |
FIXED ASSETS:
·
Land
·
Premises
·
Leasehold improvement
·
Plant and machinery
·
Furniture and Fixtures
·
Computer
·
Motor car
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 records 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
|
INR |
|
US Dollar |
1 |
INR 64.82 |
|
UK Pound |
1 |
INR 90.40 |
|
Euro |
1 |
INR 79.76 |
INFORMATION DETAILS
|
Analysis Done by
: |
PRS |
|
|
|
|
Report Prepared
by : |
BHG |
SCORE FACTORS
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
A |
Acceptable Risk |
Business dealings permissible with moderate
risk of default |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
D |
High Risk |
Business dealing not recommended or on secured
terms only |
|
NB |
New Business |
No recommendation can be done due to
business in infancy stage |
|
NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.