Bank of Maharashtra
Directors Reports
Your Directors have pleasure in presenting the Annual Report of the
Bank with the audited Balance Sheet, Profit & Loss Account and the Report on Business
and Operations for the year ended March 31,2022.
1. MANAGEMENT DISCUSSION AND ANALYSIS:
1.1 Economic and Banking Scenario 2021-22:
The last couple of years have been difficult for world economy on
account of COVID-19 pandemic. Global growth is expected to decelerate from 5.5 percent in
2021 to 4.1 percent in 2022 reflecting continued COVID-19 flare-ups, diminished fiscal
support, and lingering supply bottlenecks. The lockdowns and social distancing norms have
reduced the growth momentum.
The economic shock of the pandemic has been weathered well by the
commercial banking system in India. Calibrated fiscal and monetary support was provided,
cushioning the vulnerable during the lockdown and boosting consumption and investment
while unlocking. A favorable monetary policy ensured abundant liquidity and immediate
relief to debtors while unclogging monetary policy transmission. Indian economy is
expected to expand 8.7% in FY 2021-22 after a contraction of 7.3 percent in FY 2020-21.
India's GDP is expected to grow by 7.2 percent in FY 2022-23 due to global geo-political
situation arising out of the Russia-Ukraine confilct and weak domestic demand coupled with
surging commodity prices.
Outlook:
Gradual unlocking of the economy, record vaccinations, improvement in
consumer demand, continued policy support towards industries by the government in the form
of AtmaNirbhar Bharat Abhiyan and further reinforcements in 2021-22 have led to an upturn
in the performance of the industrial sector. Rural Demand remains buoyant due to improved
agriculture production for 2021-22. Urban demand has been gaining strength due to
improvement in economic activity. RBI has projected real GDP growth for 2022-23 at 7.2%.
The government's thrust on capital expenditure coupled with initiatives such as the
production linked incentive (PLI) scheme should bolster private investment activity,
amidst improving capacity utilization, deleveraged corporate balance sheets, higher off
take of bank credit and congenial financial conditions.
2. PERFORMANCE HIGHLIGHTS 2021-22:
i. Total Business of the bank has increased from Rs. 2,81,660 crore as
on 31.03.2021 to Rs.3,37,534 crore as on 31.03.2022. Business of the Bank showcased annual
growth of 19.84%.
ii. Total deposits of the bank increased from Rs.1,74,006 crore as on
31.03.2021 to Rs. 2,02,294 crore as on 31.03.2022. Total deposits have showcased annual
growth of 16.26%.
iii. CASA deposits have increased from Rs.93,945 crore as on 31.03.2021
to Rs.1,17,036 crore as on 31.03.2022 showcasing annual growth of 24.58%.
iv. Gross advances have increased from Rs.1,07,654 crore as on
31.03.2021 to Rs.1,35,240 crore as on 31.03.2022. Gross Advances have shown year on year
growth of 25.62%.
v. Operating Profit increased 22.42% to Rs.4847.87 crore in year ended
31.03.2022 from Rs. 3960.08 crore in year ended 31.03.2021. During the same period Net
Profit increased 109.28% to Rs.1151.54 crore from Rs. 550.25 crore.
2.1 Sectoral Deployment of Credit:
(Rs in crore)
| Percentage to Total Outstanding |
O/s as on 31.03.2022 |
Percentage to total O/s |
O/s as on 31.03.2021 |
Percentage to total O/s |
| Industry |
44,045.15 |
32.57% |
34,129.68 |
31.70% |
| Of which |
|
|
|
|
| i. Infrastructure |
21,643.82 |
16.01% |
14,347.11 |
13.33% |
| ii. Chemicals, Dyes, Paints etc |
1,357.02 |
1.00% |
1,121.67 |
1.04% |
| iii. Petroleum |
600.74 |
0.44% |
588.66 |
0.55% |
| iv. Iron and Steel |
566.80 |
0.42% |
859.89 |
0.80% |
| v. NBFCs and Trading |
11,132.79 |
8.24% |
9,232.69 |
8.58% |
| vi. Engineering |
1,235.38 |
0.91% |
1,245.15 |
1.16% |
| vii. Construction |
128.57 |
0.10% |
80.94 |
0.08% |
| viii. Other Industries |
7,380.03 |
5.46% |
6,653.57 |
6.18% |
| Agriculture |
18,968.15 |
14.02% |
16,201.98 |
15.05% |
| MSME |
26,279.08 |
19.43% |
23,132.87 |
21.49% |
| Housing |
21,103.06 |
15.60% |
17,909.85 |
16.64% |
| Education |
1,458.85 |
1.08% |
1,287.73 |
1.20% |
| Exports |
1,385.01 |
1.02% |
1,310.99 |
1.22% |
| Commercial Real estate |
1,253.84 |
0.93% |
1,508.58 |
1.40% |
| Gross Advances |
1,35,240.00 |
|
1,07,653.77 |
|
2.2 Quality and NPA Management
• The Bank has set up "Asset Recovery Cells (ARC)" at
all zonal offices to ensure focused efforts for upgradation and NPA
recovery.
• Twelve Asset Recovery Branches (ARBs) have also been set
up across the Bank's Zones for large NPA a/cs more particularly where legal actions are in
progress so as to make focused follow up.
• Further, Bank has established Stressed Assets Management
Vertical by way of a separate dept at HO under which Bank has started 4 (four)
Stressed Assets Management (SAM) branches in Delhi, Mumbai, Hyderabad and Pune, where NPAs
with balance of Rs.5 crore and above are monitored. Focused follow up is undertaken to
improve NPA recovery.
• The Loan Tracking Cell has been established where Bank
undertakes telephonic follow up on daily basis with borrowers of stressed accounts /
slippages and repayment of overdues is insisted. This will result in improving recovery
and upgradation of NPAs.
• The Bank has also set up separate Cells at its Head Office for
identification of Wilful Defaulters, gearing up the actions under DRT / SARFAESI
Acts.
• Bank has been implementing Suo Motu nondiscriminatory and
non-discretionary One Time Settlement (OTS) Schemes. Monitoring of the performance under
the schemes is undertaken from Recovery Department, Head Office on daily basis. During FY
2021-22 the Bank introduced following such OTS schemes:
1. Maha Rah at Yojana 2021-22:- Scheme for the settlement of NPA
accounts in Doubtful-I, Doubtful-II, Doubtful-III, Loss and TWO accounts having Ledger
Balance up to Rs.1.00 crore as of 31.03.2021. This scheme is effective from 01.06.2021.
2. Maha Samadhan Yojana 2021-22 : Scheme for the settlement of NPA
accounts in Doubtful-I, Doubtful- II, Doubtful-III, Loss and TWO, RWO accounts having
Ledger Balance above Rs.1.00 crore and up to 50.00 crore as of 31.03.2021.
3. Maha Santavana OTS Scheme 2021-22 : All NPA
Housing Loan (& Top up Loan) accounts in DB1, DB2, Loss and TWO /
RWO as of 31/03/2021 where Borrower or Co-borrower is deceased.
Bank has also made intensive follow up with the defaulting borrowers
through visits, letters, notices, Recovery Camps, Lok Adalats, Mahabank Adalats, actions
under SARFAESI / DRT Act. Services of Recovery Agents / Resolution Agents are engaged so
as to have an early resolution. The Bank has also initiated action under the provisions of
the Insolvency & Bankruptcy Code 2016 against various large NPA borrowers.
Position of Non-Performing Assets is as under
2.3 Foreign Exchange Business
Currently, the bank has 37 B Category Branches across the country
catering to the International business needs of the customers of the Bank apart from TIBB
at Mumbai as "A" category Branch. The Merchant Business for FY 2021-22 stood at
Rs 34,251.01 crore. The performance during FY 2021-22 can be seen below:
(In Crore)
| Particulars |
2021-22 |
2020-21 |
Percentage of (+/-) |
|
| Total FEX Turnover |
Business |
5,55,982.93 |
6,34,389.59 |
(-12.36%) |
| Merchant Turnover |
Business |
34,251.01 |
30,451.46 |
12.48% |
| Profit in FEX Business |
129.48 |
153.09 |
(-15.42%) |
|
2.4 Investment
The breakup of Investments into SLR & Non-SLR investments is given
below:
• The Gross Investments as on 31.03.2022 stood at Rs 69,092.68
crore, of which Rs 54,718.95 crore are SLR securities and Rs 14,373.73 crore are Non-SLR
Securities. The excess SLR securities as on 31.03.2022 stood at Rs 20,144.61 crore.
• The net investments (net of provisions) stood at Rs 68,589.97
crore as on 31.03.2022 as compared to Rs 68,111.65 crore as on 31.03.2021. Investments
under Held to Maturity (HTM) category consist of 68.94%, while Available for Sale (AFS)
comprised of 31.06% of total investment portfolio as of 31.03.2022. The net interest
income from investment activity increased to Rs 4,387.93 crore from Rs 4,158.32 crore
during the last year (up by 5.52%).
• The Non-Performing Investments stood at Rs 446.37 crore as on
31.03.2022.
2.5 Merchant Banking
The Bank handled 30 issues (previous year 44 issues) of Commercial
paper amounting to Rs 30,950 crore (previous year Rs 32,745 crore) for its clients as an
Issuing and Paying Agent (IPA) during FY 2021-22.
2.6 Borrowings:
| Particular |
Amount as on 31.03.2022 |
Amount as on 31.03.2021 |
| Total Borrowing |
7,746.74 |
4,238.75 |
| of which Borrowing RBI under LAF |
500.00 |
500.00 |
| of which Borrowing Market REPO |
0.00 |
0.00 |
| Of which Borrowing TRePS (G-Sec) |
3,194.64 |
0.00 |
| Of which Refinance from |
|
|
| NABARD |
0.00 |
0.00 |
| EXIM BANK |
0.00 |
0.00 |
| NHB |
0.00 |
0.00 |
| MUDRA |
139.00 |
0.00 |
| SIDBI |
17.35 |
51.55 |
| Borrowings in the form of Bonds & debentures capital
instruments |
3,895.70 |
3,605.70 |
| Borrowings outside India |
0.00 |
81.45 |
| Others |
0.05 |
0.05 |
2.7 Depository Services
• Bank is Depository Participant (DP) of Central Depository
Services of India Ltd. (CDSL) since September 1999.
• The Bank has also introduced Basic Services DEMAT Account
Facility (BSDA)
• Bank has introduced ASBA through net-banking and UPI.
2.8 Bancassurance
• Bank is corporate agent for carrying out Bancassurance business
under all three segments i.e. Life Insurance, General Insurance and Health Insurance.
• Performance during FY 2021-22
(Rs. in Crore)
| Insurance |
No. of Policies |
Premium |
Commission |
| Life |
15,022 |
75.29 |
15.47 |
| General |
1,44,648 |
51.34 |
6.06 |
| Health |
31,298 |
50.30 |
6.77 |
| Total |
1,90,968 |
176.93 |
28.30 |
• Company wise insurance business from 01.04.2021 to 31.03.2022:
(Rs. In Crore)
| Category |
Insurer |
NOP |
Premium |
Commission |
| Life |
AVIVA Life Insurance |
11,682 |
61.44 |
13.60 |
| Insurance |
LIC of India |
3,340 |
13.85 |
1.87 |
| General |
Future Generali |
1,19,282 |
39.22 |
4.46 |
| Insurance |
United India |
44,849 |
29.89 |
3.49 |
| Health Insurance |
Manipal Cigna |
11,815 |
32.53 |
4.88 |
| Total |
|
1,90,968 |
176.93 |
28.30 |
2.9 Government Business
• During FY 2021-22, 536866 challans of Direct Taxes and 35419
challans of Indirect taxes were collected by the branches. Total commission to the tune of
Rs 0.65 Crore was received on tax collection business from Central/ state Government and
other business in current year.
• As a service to senior citizens, the Bank is processing and
crediting monthly pension payments of more than 1.05 lakh Central Government, Defence,
Railway and Telecom pensioners at Central Pension Processing Cell (CPPC), Pune. The
commission on Government Business (Pension) for the Year 2021-22 is Rs. 10.25 crore.
• Bank has opened 1,02,784 new PPF accounts, 18,045 new SCSS
accounts and 12,174 new accounts under Sukanya Samruddhi Scheme in FY 2021-22
2.10 Income, Expenditure and Profitability
The total income of the Bank stood at Rs 15,671.70 crore in FY
2021-22 as compared to Rs.14,496.21 crore in FY 2020-21.
The detailed income/expenditure components are as under:
(Rs in crore)
| Particulars |
2021-22 |
2020-21 |
Variation (in %) |
| Interest / discount on advances / bills |
8,231.56 |
7,153.93 |
15.06 |
| Income on investments |
4,384.69 |
4,153.40 |
5.57 |
| Interest on interbank lending & other Interest |
402.97 |
561.21 |
(28.20) |
| Total interest income |
13,019.22 |
11,868.54 |
9.70 |
| Non-interest income |
2,652.48 |
2,627.67 |
0.94 |
| Total Income |
15,671.70 |
14,496.21 |
8.11 |
| Interest on deposits |
6,458.17 |
6,525.95 |
(1.04) |
| Interest on borrowings |
30.91 |
49.65 |
(37.74) |
| Other Interest expenditure |
485.74 |
395.47 |
22.83 |
| Staff expenses |
2,070.59 |
2,255.21 |
(8.19) |
| Other Operating expenses |
1,778.42 |
1,309.84 |
35.77 |
| Total Non-interest expenses |
3,849.01 |
3,565.06 |
7.96 |
| Total Expenses |
10,823.83 |
10,536.13 |
2.73 |
| Operating Profit |
4,847.87 |
3,960.08 |
22.42 |
| Provisions and Contingencies |
3,696.33 |
3,409.84 |
8.40 |
| Net Profit |
1,151.54 |
550.25 |
109.28 |
2.11 Financial Ratios
The various financial parameters of the Bank during FY 202122 can be
seen below:
| Particulars |
2021-22 |
2020-21 |
| EPS (INR) |
1.72 |
0.88 |
| Cost to Income Ratio (percent) |
44.26 |
47.39 |
| Return on assets (percent) |
0.55 |
0.3 |
| Return on equity (per cent) |
11.45 |
7.17 |
| Book value per share (INR) |
15.12 |
12.22 |
| Profit per Branch (INR in Lakh) |
56.95 |
28.02 |
| Profit per employee(INR in Lakh) |
9.05 |
4.19 |
| Business per Branch (INR in Crore) |
166.65 |
143.11 |
| Business per employee(INR in Crore) |
26.53 |
21.45 |
| Interest income as per cent to Average working funds |
6.26 |
6.42 |
| Non-Interest income as per cent to average working funds |
1.27 |
1.42 |
| Net Interest Margin (per cent)* |
3.15 |
2.84 |
| Operating Profit as per cent to average working Funds |
2.33 |
2.14 |
| Staff expenses as a percent to average working funds |
1.00 |
1.22 |
| Proposed Dividend (per cent) |
5.00 |
0.00 |
| Net worth (' Crore) |
10,175.85 |
8,019.20 |
| CRAR (%) (Basel II) |
16.48 |
14.49 |
| Of which, Tier I CRAR (%) (Basel II) |
12.38 |
10.98 |
2.12 Capital
• Bank has raised capital of Rs. 403.70 crore through QIP in July
2021 @ Rs. 23.70 per share.
• Bank has raised Rs. 1000 Crore, Tier 2 Bond from LIC in the
month of October 2021.
• Bank has raised Rs.290 Crore, Tier 1 Bond in the month of March
2022.
2.13 Net worth
The Bank's Net Worth stood at 10,175.85 crore as on 31.03.2022 as
against Rs. 8,019.20 Crore as on 31.03.2021.
2.14 Capital Adequacy Ratio
The Capital Adequacy ratio stood at 16.48% as on 31.03.2022, against
the minimum requirement of 11.50% (including CCB) prescribed by RBI in terms of Basel III
norms. The Common Equity Tier 1 Ratio stood at 12.17%.
2.15 Dividend
The Board of Directors of your Bank has recommended a dividend of
Rs.0.50 per equity share(5%) of Rs. 10/- each on the paid-up Share Capital of the Bank for
the financial year 2021-22. The final dividend shall be paid to the members, whose names
appear in the Register of Members as well as the Beneficial Ownership Position provided by
NSDL/CDSL as at the close of business hours on 21st June, 2022 (Record date).
3. RESOURCES: BRANCH NETWORK, HUMAN RESOURCES, IT INFRASTRUCTURE,
CUSTOMERS RESPONSIVENESS AND OTHERS
3.1 Branch/ATM Network
As on 31.03.2022, the Bank had 2,072 banking outlets spread across all
the States and six union territories as compared to 1,964 as on 31.03.2021. The banking
outlets comprised of 2,022 branches and 50 fixed point outlets served by Bank Mitras,
named as Customer Service Point (CSP).
During the year ended 31.03.2022 the Bank opened 108 new branches and
set its footprint in 73 additional districts. Bank also opened 50 fixed point outlets
served by Bank Mitras, named as Customer Service Point (CSP). In the same period 1 branch
was converted into CSPs and one branch was merged with another branch. During the branch
conversion and merger utmost care was taken to ensure that customers are not put into any
inconvenience in availing banking services.
The branch network includes specialized branches in the area of Foreign
Exchange, Government Business, Treasury and International Banking, Industrial Finance,
Micro Small and Medium Enterprises, Hi-tech agriculture etc. Area wise classification of
branches as on 31.03.2022 is as under:
| Sr. No. Classification |
As on 31.03.2022 |
As on 31.03.2021 |
| 1 Rural |
611 |
611 |
| 2 Semi-Urban |
511 |
461 |
| 3 Urban |
412 |
372 |
| 4 Metro |
488 |
471 |
| Total |
2,022 |
1,915 |
ATM / CRM Network
The Bank had 2,128 automated teller machines (ATMs) and cash recycler
machines (CRM) as on 31.03.2021 as compared to 1,950 as on 31.03.2021. During the year
ended 31.03.2022, the Bank installed 91 ATMs and 87 CRMs.
|
31.03.2022 |
31.03.2021 |
| Offsite |
429 |
445 |
| Onsite |
1,699 |
1,505 |
| Total |
2,128 |
1,950 |
3.2 Human Resources ManagementThe Bank has put in place
comprehensive HRM Policies that provides the road map for acquiring appropriate & need
based human resources, its development through training, job enrichment, reward and
recognition for better performance, career progression, welfare and retention
Recruitment: During FY2021-22 the Bank has recruited employees as
under:
289 Officers in Scale I, 130 officers in Scale II, 1 in Scale III cadre
and 178 Clerks. During FY 2021-22, 1010 employees exited from service on account of
retirement, VRS, resignation, termination and death.
Inter scale promotions of officers were carried out during FY 2021-22.
Following number of Officers were promoted.
| JMGS-I TO |
MMGS- II to |
MMGS-III TO |
SMGS-IV TO |
SMGS-V TO |
SMGS-VI TO |
| MMGS-II |
MMGS III |
SMGS-IV |
SMGS-V |
SMGS-VI |
TEGS-VII |
| 171 |
156 |
70 |
36 |
13 |
6 |
During FY 2021-22, 58 Clerks were promoted to Officer Cadre in Scale I
and 667 Part time Sub-staffs were promoted to Substaff cadre. The Cadre wise staff
position as of 31.3.2022 with sex ratio percentage is as under:
| Category |
Male |
% |
Female |
% |
Total |
| Officers |
4,788 |
71.72 |
1,888 |
28.28 |
6676 |
| Clerks |
2,560 |
66.12 |
1,312 |
33.88 |
3872 |
| Sub-staff |
1,915 |
88.90 |
239 |
11.10 |
2154 |
| Part Time Substaffs |
19 |
100 |
- |
|
19 |
| Total |
9,282 |
72.97 |
3,439 |
27.03 |
12,721 |
The Bank has been complying with the reservation policy of Govt. of
India. Special Cells at Head Office and all Zonal
Offices are functioning to monitor the implementation of the
reservation policies and to redress grievances of SC/ ST/OBC & Physically challenged
employees as well as exservicemen. The Bank has designated Chief Liaison Officers at Head
Office and has set up SC/ST Cells at all Zonal Offices. The staff position details
category wise is as under,
| Caste category wise cadre strength as on 31.03.2022 |
|
|
|
|
|
|
|
|
| Cadre |
SC |
ST |
OBC |
EWS |
GEN |
Total |
PWD |
EX SERVICEMAN |
| Officer |
1,058 |
495 |
1759 |
32 |
3,332 |
6,676 |
164 |
35 |
| Clerk |
645 |
339 |
941 |
25 |
1,922 |
3,872 |
105 |
135 |
| Sub-Staff |
719 |
215 |
491 |
0 |
729 |
2,154 |
20 |
140 |
| PTS |
3 |
2 |
7 |
0 |
7 |
19 |
0 |
|
| Total |
2,425 |
1,051 |
3,198 |
57 |
5,990 |
12,721 |
289 |
310 |
| % of Total Staff Strength |
19.06% |
8.26% |
25.14% |
0.45% |
47.09% |
|
2.77% |
2.44% |
Compassionate Appointments - A Scheme for ‘Compassionate
Appointments' / Payment of Ex-gratia lumpsum amount" to /of heirs of employees dying
in harness or retiring due to incapacitation framed as per the directives of Government of
India, has been implemented. The details of compassionate appointments for the year
2021-22 is as under:
| Compassionate Appointments |
|
| Cadre |
No. of employees |
| Clerk |
23 |
| Sub-staff |
8 |
| Total |
31 |
The Contributory Group Insurance Mediclaim Policy for all employees
including retired employees, has been renewed w.e.f. 01.4.2020 and the Sum insured is upto
Rs.10.00 Lacs for existing employees. The details of renewal of policy are as under:
| Employees |
No.of Employees |
Premium paid (in Rs. ) |
| Existing |
697 |
1,19,65,432 |
| Retired |
1,440 |
2,35,54,126 |
| Total |
2,137 |
3,55,19,558 |
WELFARE SCHEMES:
The Bank has acknowledged the necessity of welfare measures beyond the
provisions of service conditions. With this motive bank has initiated and implemented
various Welfare measures through Staff Welfare Committee. The reimbursement of examination
fees and payment of cash incentive /Honorarium in respect of courses from Indian Institute
of Banking & Finance, MBA from reputed institutions, FRM, BIRD, PRM, CFA etc. This has
been widened by adding 38 courses eligible for reimbursement of examination fees. A policy
for granting special leave and 100% reimbursement of hospitalization expenses to officers
when he/she meets with an accident/ injury while on duty is in place. Bank has initiated a
scholarship scheme for wards of employees who have excel performance in academics.
| SN Course / Exam |
Award Rs. |
Stream |
Min. % of marks |
|
|
|
Others |
Sub staff |
| 1. 10th std. |
3,000 |
N.A. |
85 |
75 |
|
|
Science |
85 |
75 |
| 2. 12th std. |
5,000 |
Commerce |
75 |
70 |
|
|
Arts |
65 |
60 |
|
|
Science |
70 |
60 |
| 3. Graduation |
7,000 |
Commerce |
70 |
60 |
|
|
Arts |
60 |
55 |
| 4. Post-Graduation/ PGDBM |
10,000 |
N.A. |
65 |
60 |
| 5. Foreign MS / Graduation / PG |
20,000 |
N.A. |
-- |
-- |
|
|
BE / B. Arch / |
60 |
60 |
|
|
LL.M / Law |
60 |
60 |
| 6 Professional . Courses / Degree |
7,000 |
MBBS, BDS, BHMS, BAMS |
55 |
55 |
|
|
Hotel Mgmt / Pharmacy |
60 |
60 |
|
|
CA / CS / FCA / ICWA |
Pass Class |
|
| 7. Professional PG |
10,000 |
ME / M.Phil / MBA, MPM. M.Tech / MCA/Ph.D |
Pass Class |
|
In the name of Dr. Babasaheb Ambedkar, Bank has initiated Scheme to
felicitate & reward the top 3 performing branches in terms of disbursing credit
facilities to SC/ST communities.
LEARNING & DEVELOPMENT: The Bank has a training system which
facilitates attention to regular periodic assessment of skill gaps at various levels in
relation to existing and emerging business opportunities. Skill building in credit, Forex,
customer relationship management, marketing of products and services, credit monitoring
and recovery, risk management, technology based banking, branch management, complying with
statutory, legal and policy requirements and preventive vigilance received special
attention during the year. Learning and Development (L&D) strategy has been customized
for enriching employees through virtual / online training programs, enabling them to avail
these services from anywhere.
Training programs were also held on thrust areas like financing MSMEs,
retail lending, agriculture finance, soft skills and rural development.
Cadre-wise Break up of Employees trained during the period 1.4.2021 to
31.03.2022 are as under-
| Cadre |
No. of Programmes Training Days |
Employees Trained |
Cadre |
| Officers |
608 |
4,990 |
165 |
| Clerks |
308 |
2,119 |
107 |
| Sub-staff |
163 |
1,604 |
85 |
| Total |
1,079 |
8,713. |
357 |
3.3 Technology Initiatives
A. Customer Centric Initiatives FY 2021-22:
During FY 2021-22, Bank has taken multiple initiatives toward service
delivery to its customers for convenience:
• MeitY: Digital Score Card: Ministry of Electronics &
Information Technology (MeitY) has set target of 54 crore digital transactions for FY
2021-22 where bank has achieved 63.90 crore digital transaction for FY 2021-22. MeitY
monitors the progress of digital payment transactions, merchant acquisitions, UPI and AEPS
system resilience on monthly basis and communicates the scores to Banks. Our bank has
maintained "Good" category performance.
• Development of Online ‘Jeevan Pramaan Patra' tool.
This portal has been made available on Bank's website for pensioners to
submit video based online annual Life certificate without visiting the branch.
• WhatsApp Banking and Chatbot Solution for
providing customer services like real-time account balances enquiry, mini statement
reports, latest transaction records, real-time alerts, submit cheque book request, branch
locator, ATM locator etc. The solution is also enabled for application of loans through
digital channels.
• Cardless Cash Withdrawal along with other enhanced
features through its Mobile Banking platform, extending more convenience to its customers.
• Paperless processing of Credit Card to encourage
paperless & fast processing of credit card applications. Under this facility, an SMS
is sent to customer with a link to obtain customer's consent for availing credit card
service. On clicking the link, a webpage is displayed to customer where he/she will submit
his/her consent for credit card. Based on consent, branch process the credit card request
of the customer.
• Bank Debit Card Issuance has reached to 12.26 Million.
Bank's Mobile Banking and Internet customer base has reached to 1.89 Million and 1.93
Million respectively. During FY 2021-22, fresh Debit Card issuance to customers has
reached a milestone figure of 2.50 million & percentage of digital transactions
increased to 95.98%.
• Bank has introduced its own QR code Standy and onboarded more
than 1 lakh merchants, which includes more than 5,000 merchants in North East Region
B. Process Centric Initiatives:
Following process related enhancements have been achieved through
introduction of technology:
• Bank has launched rule based stress account monitoring tool
"HawkEye" developed by its IT department and the same has been launched for
the Branches & Zones. The tool has enabled real time monitoring and mitigation efforts
by the field functionaries towards improvement of overall asset quality for the bank. This
has resulted in substantial reduction in stress assets over the period with ease of
monitoring for field functionaries.
• Bank has successfully implemented LLMS Pan-India across
all its branches for processing of loan proposals within expected TAT. Bank has
successfully processed 38,000+ loan proposals through LLMS.
• Digital on-boarding of customers enabling application of loans
through Bank's Corporate Website & WhatsApp links.
• During FY 2021-22, Bank has tied up with many state governments
viz, Maharashtra, Madhya Pradesh, Bihar, Jharkhand, Goa as empaneled Agency Bank for
Single Nodal Agency Account and other related banking facilities. Bank has also tied up
with many Govt Corporations in enabling technology platforms to them for handling their
customer transactions, which extended transparency and convenience to the public at large.
C. Infrastructure & Regulatory Initiatives:
• Bank has implemented Aadhaar Data Vault. As per
directives of UIDAI all agencies which store Aadhaar number are required to implement an
Aadhaar Data Vault, a system where a unique Reference Number is allotted against every
Aadhaar Number.
• During Q2 of FY 21-22, Bank has taken up Pan-India migration of
all branches to New Front End (from Gateway based CBS present in the Bank since 2006). All
branches have been successfully migrated to New Front End Centralized CBS version. Bank of
Maharashtra is the first Bank having Bancs24 to migrate all its branches to such upgraded
version.
• Bank is in the process of setting up Private Cloud architecture
at Data Centre and has procured the necessary infrastructure for the same. Bank intends to
migrate some of its utilities to cloud during FY 2022-23.
• To strengthen the security architecture, Bank has also invested
in different industry established latest security tools like DLP (Data Leak
Prevention), DAM (Database Access Monitoring), EDR (Endpoint Detection and Response), WAF
(Web Application firewall), FRA (Firewall Rule Analyzer) etc to name a few.
• Bank has migrated 180 VSAT dependent branches during FY
2021-22 to high speed RF links enabling smooth customer service at the branches without
any infrastructure based disruptions.
• Bank's Board has approved Fintech policy which has
unlocked the Fintech adoption arena. With a clear direction & roadmap, Bank has
started onboarding Fintech companies so as to leverage the benefits of the technologies by
way of integration across various Alternate Delivery Channels of the Bank. Bank is also
digitalizing end to end journey of customers when it comes to offering the bouquet of
Bank's loan products. This will help in reducing the TAT and enhanced customer service.
D. Digital Literacy:
As part of its social banking awareness initiatives, Bank has been
conducting digital literacy and camps at various remote centers. List of some of the camps
conducted during FY 202122, are as under:
• Literacy camp was organized for BC Agents on Digital products
on-boarding at Aurangabad zone.
• Debit cards campaign at Tungan Village by Pimpalkhote
Branch-Malegaon Zone exclusively conducted for tribal women where 55 RuPay debit cards
were distributed and the women were trained for utilization.
• One Village One Bank- Our Modasa Branch, Ahmedabad Zone has
converted Charanwada Village into 100% digital village. During this drive more than 1000
Saving Banks Accounts were opened and Debit Cards and QR codes were given to all eligible
customers.
• Digital Literacy camp was organized for Senior Citizen at
Parbada Branch, Ahmedabad Zone.
• Various Digital Literacy camps were organized in Branches of
Nagpur Zone. Total 1000+ plus debit cards were distributed during the campaign.
E. Cyber Security Operations Center (CSOC):
Bank has implemented Cyber Security Operations Center
(CSOC) with state of the art technologies including:
• Security Information and Event Management (SIEM) solution.
• Anti-Advanced Persistent Threat (Anti-APT) Solution for
combatting advanced attacks.
• File Integrity Monitoring (FIM) for detecting unauthorized
changes to critical file servers.
• Privilege Identity Management tool (PIM) a centralized
portal-based console to access the privilege devices, servers and applications for all the
privilege users using 2FA.
• Network Behavioral Anomaly Detection (NBAD) tool for detecting
network anomalies.
F. Awards & Recognitions on Technology front:
• Bank was conferred with prestigious "DIGIW Utkarsh
Award" for securing 1st position, on 05.12.2021, by Ministry of Electronics &
Information Technology (MeitY), GOI, for achieving 1st highest percentage of digital
transactions under Small & Micro PSBs during 2019-20.
• Bank has also bagged the prestigious IBA Award on Best IT Risk
& Cyber Security initiatives & Best Fintech Adoption for 2020- 21.
3.4 Customer Centric Initiatives taken by the Bank
• The Bank has pursued high standards of customer service to
ensure customer satisfaction throughout the year by implementing all major recommendations
of Goiporia Committee, Dr. S.S. Tarapore Committee and Damodaran Committee. As a member of
Banking Codes and Standards Board of India (BCSBI), the Bank has adopted Code of Bank's
Commitment to Customer and Bank's Code of Commitment to MSMEs.
• Bank has printed folder called as "My Folder"
containing all customer service policies, information on service charges, guidelines on
Government Schematic Loans, Ombudsman and BCSBI Codes. The same is printed in Marathi,
Hindi and English and supplied to all branches and Zones for making the same available to
all customers on demand.
• Duly documented policies approved by the Board, on
"Deposit", "Collection of Cheques", "Redressal of
Grievances", "Compensation", "Operational Procedure for Settlement of
Claims of Deceased Depositors" and Customer Rights Policy are in place.
• Customer Service Committees are formed at all branches and their
meetings are conducted regularly on monthly basis. The Standing Committee on Customer
Service at Head Office and Zonal Level Customer Service Committees at Zones, meet
regularly to address and review various customer related matters and to take steps, for an
improvement, on an ongoing basis.
• The Committee of the Board on Customer Service meets on
quarterly basis to monitor the quality of the customer service, redresses of customer
grievances and to ensure customers satisfaction.
• Full-fledged grievances redressal machinery in place to respond
promptly to customer grievances. The Bank has started internet based mechanism,
Standardized Public Grievances Redressal System (SPGRS) for lodging the complaints or to
give suggestions / feedback on services by the customers and for providing acknowledgement
and status of their feedback / complaints as per the directions of Government of India.
| Sr. No. Particulars |
2021 22 |
2020 21 |
| 1 Customer complaints at the beginning of the year |
19 |
296 |
| 2 Complaints received during the year |
3,236 |
3,760 |
| 3 Complaints redressed during the year |
3,249 |
4,037 |
| 4 Complaints pending at the end of the year |
06 |
19 |
3.5 KYC / AML
The Bank has Board approved KYC-AML-CFT Policy in place. The Policy is
the foundation on which the Bank's implementation of KYC norms, AML standards and CFT
measures are based.
The full KYC compliance entails staff education as well as customer
education for which the Bank takes various measures on a regular basis. A comprehensive
list of KYC documents is uploaded on the Bank's web site for the benefit of customers.
Regular training sessions are conducted on KYC-AML-CFT guidelines at the Bank's training
establishments to sensitize the employees.
3.6 Risk Management
The Bank has put in place Risk Management Policies and Strategies,
which enables it to identify, measure, monitor and manage risk efficiently and establishes
control systems in line with the Bank's aggregate Risk Appetite. Bank has constituted Risk
Management Committee at Board level to monitor the risk at Bank level in accordance with
RBI Guidelines. Bank has also constituted sub-committees headed by Top Management of Bank.
The Bank is Compliant to the RBI guidelines on disclosure requirements
under Basel III Capital Regulations.
3.7 Marketing & Publicity
Bank adopted an integrated marketing strategy to promote Retail, Agri,
MSME products and Digital Banking Services. The marketing team participated in various
expos in the physical and virtual modes under the Retail, Agri & MSME sectors for
increasing our presence and business mobilization. Bank advertised in major sporting
events like International Cricket India Vs England, Property Expo at Sharjah, etc.
In FY 2021-22, Bank created new benchmarks in all mediums like TV,
Radio, Digital, Print, etc. Bank has done campaigns with various National & Regional
TV, Radio, Print & Digital Channels for creating awareness about the Bank and
Promotion of various products & services.
In Digital Marketing Bank has done advertisement campaigns in major
e-commerce, news portals & Google Ads. Bank emphasized SEO for making the corporate
website more user- friendly.
In social media, Bank reached 1 million followers on 4 major platforms
combined Facebook, Instagram, YouTube & Twitter.
3.8 Citizen's Charter
The Bank has adopted the Citizen's Charter since 2000-01, which details
the duties and responsibilities of the Bank towards its customers. The charter is
displayed at all the branches and Bank's website.
4. SOCIO/MICRO ECONOMIC DEVELOPMENT
4.1 Priority Sector Lending
It has been the constant endeavor of the Bank to facilitate equitable
and sustainable economic development by timely and hassle-free availability of credit for
productive purposes to Small and Marginal Farmers, Micro and Small Enterprises, Retail
Traders, Professional and Self Employed, Women Entrepreneurs and entrepreneurs from
economically weaker sections. Total Priority Sector Lending (PSL) of the Bank (including
investments & PSLC sale transaction) stood at 43.37% of ANBC as against the mandatory
target of 40%. The advances under Priority Sector (excluding investment & including
PSLC sale transaction) as of 31st March 2022 (Post Audit) stood at Rs. 42638.78 Crore
(40.89% of ANBC). Bank has carried PSLC Sale transaction of Rs. 12500 Crore and received
premium of Rs. 188 Crore during FY 2021-22.
Bank has achieved all mandatory targets as stipulated by RBI under
Priority Sector Lending during FY 2021-22 on Quarterly Average Basis.
4.2 Agriculture
Bank sanctioned fresh loans of Rs. 6,372 Crore for Agriculture and
allied activities during FY 2021-22. The total outstanding advances to agriculture sector
reached a level of Rs. 18,968.15 Crore (including PSLC Sale transaction of Rs. 1,000 Cr)
as on 31.03.2022. Total Agriculture (including investments & including PSLC sale
transaction) stood 18.81% of ANBC. Bank has achieved all mandatory targets (on Quarterly
average basis) under Priority Sector and Agriculture including sub-targets during FY
2021-22.
The bank focused on growth of Investment Credit under Agriculture
during FY 2021-22 and disbursed Rs.2,571 Crore. As a result, Investment Credit of Bank
grew by 23.62% and MKCC portfolio of the Bank grew by 10.04 % over previous year.
The bank also devised cluster based scheme "Mahabank Krishi
Samruddhi Yojana" to cover the major Agriculture Investment activities of Agro and
Food processing industries which is becoming popular due to competitive ROI and customer-
friendly features.
Over last few years, Agriculture sector has been repeatedly hit by
vagaries of natural calamities like drought, flood, hailstorms, etc. Within the regulatory
guidelines, Bank has extended the relief measures to farmers from time to time. Our bank
is also successfully implementing farm loan waiver scheme of Govt. of Maharashtra. Bank
has efficiently implemented various other Farm Loan Waiver schemes declared by respective
states.
The Bank undertook awareness/sensitization program and locational
trainings for the branches for increasing advances to agriculture by providing hassle free
credit to farmers.
4.2.1 Mahabank Kisan Credit Card
This scheme gained popularity especially in rural areas where it is
being propagated successfully and vigorously. The bank organized Credit Camps during
Kharif, 2021 season across the country. During, FY 2021-22 the bank sanctioned total 2.80
lakh Kisan Credit Cards to farmers amounting to Rs.4628 crore. Credit flow to MKCC
beneficiaries reached to a level of Rs.8255 Crore as on 31.03.2022. As per regulatory
guidelines, Bank has also implemented a special drive for issuing KCCs to farmers for
Agriculture as well as for Animal Husbandry and Fisheries. The scheme is helping small and
scattered dairy farmers, fishermen and entrepreneurs in animal husbandry to grow their
business and also becoming popular in rural and semi urban areas.
4.3 Micro, Small and Medium Enterprises (MSME)
MSMEs are the growth engine for Indian economy. They have highest
contribution in generating employment both directly as well as indirectly. During
FY2021-22, MSMEs were most affected due to second wave of COVID-19 related distress,
lockdown, labor migration etc. Bank has extended support to MSMEs and has implemented
various relief measures given to MSME borrowers by Government of India and Reserve Bank Of
India.
i. Additional Funding extended under Emergency Credit Line Guarantee
Scheme (ECLGS) to eligible borrowers.
ii. Additional finance extended under Adhoc Line of Credit COVID-19
Scheme
iii. For street vendors, Bank of Maharashtra has extended loans via
PMSVANIDHI scheme to revive their business.
iv. Finance is extended to eligible projects on the healtcare sector
under Loan Guarantee Scheme for Covid Affected Sectors (LGSCAS).
v. Finance is extended under Loan Guarantee Scheme under Covid Affected
Tourism Service Sector (LGSCATSS) to provide relief to eligible Travel & Tourism
Stakeholders viz. By of need based financial assistance who have been adversely impacted
by the Covid-19 pandemic.
Bank's lending to Micro, Small and Medium Enterprises increased by 14%
as compared to Mar 2021 and recorded growth of Rs. 3146 crore in absolute terms. Total
MSME advances of the bank stood at Rs.26,279.08 crore as on 31.03.2022.
Bank's performance in MSME portfolio in FY 2021-22 can be seen below in
the table -
| S. Particulars No |
Actual |
Target |
| 1 % of Micro to Adj. Net Bank Credit |
9.69% |
7.50% |
| 2 YOY Growth under Micro Enterprises |
-9.89% |
10% |
| 3 YOY Growth under Micro & Small enterprises O/s |
13.08% |
20% |
| 4 Share of Micro against to MSE O/s |
67.95% |
60% |
4.3.1 MUDRA
Bank is supporting credit needs of small business and nonfarm
enterprises engaged in manufacturing, trade and services up to Rs. 10 lakh by way of
Pradhan Mantri Mudra Yojana (PMMY). During the year ended 31.03.2022 the Bank has
sanctioned Rs.2704 crore under PMMY against the target of Rs. 2375 crore, thereby
achieving 113.85% of target.
Other Major Achievements
• To improve lending under MSME segment, Bank has taken various
initiatives. Bank has launched credit campaigns and conducted MSME Outreach Expos across
India. The Maha MSME Campaign was conducted from 09.08.2021 to 30.09.2021. During the
campaign, MSME advances amounting to Rs. 2332 crore were sanctioned and Rs. 1828 crore
were disbursed.
• The MSME Credit Outreach Campaign was conducted from 01.10.2021
to 31.12.2021. During the campaign period, MSME advances amounting Rs. 3843 crore were
sanctioned and Rs. 3211 crore were disbursed.
• The Maha MSME Campaign 2022 (M2 2022) was conducted from
19.01.2022 to 16.03.2022. During the campaign period, MSME advances amounting Rs. 1922
crore were sanctioned and Rs. 1633 crore were disbursed.
• To garner desired level of quality new/takeover MSME business,
Bank had launched a special drive - "Maha Swagatam" from 21.10.2021 to
31.03.2022.During the campaign, 343 accounts amounting Rs. 1103 crore were sanctioned.
• Bank has launched digital lending products under colending
arrangement with Loan Tap, Mas Financial Services Pvt Ltd and LendingKart Finance Pvt Ltd
which enable end to end digitization of MSME loans.
• Finance is being extended with very competitive ROI under Bank's
various customized schemes like Maha GST, Maha Contractor, Maha Hospitality scheme etc.
• Bank has launched Mahabank Channel Financing Scheme which meets
the credit demands of corporates and their MSME channel partners.
4.4 Banks exposure to select segments
(Rs. In Crore)
| Sr Sector No |
As on 31.03.2022 |
As on 31.03.2021 |
% increase (+/-) |
| 1 Micro / SHG Finance |
557 |
365 |
(7.12) |
| 2 Weaker Section |
12,735 |
11,863 |
7.67 |
| 3 SC/ ST Beneficiaries |
4,234 |
2,911 |
45.44 |
| 4 OBC Beneficiaries |
9,108 |
7,605 |
19.76 |
| 5 Minority Communities |
4,481 |
3,814 |
17.49 |
5. IMPORTANT SCHEMES/ PROJECTS OF THE BANK
5.1. Credit Flow to Retail Sector
Bank is providing retail loans for salaried persons, professionals,
businessmen and pensioners for purchase of housing properties/ plots, repair/ renovation
of house, purchase of consumer durables, two/four wheeler vehicles, education and loan for
other personal needs etc. Total Retail portfolio of the Bank as on Mar'22 is Rs. 35422.22
Crore.
| SN Scheme |
Brief Description |
Portfolio as of Mar '22 |
NPA % |
| 1 Maha Super Housing Loan Scheme |
Housing Sector being the thrust area, Bank has various
Housing Loan schemes in place to meet the needs of all economic segments. Bank offers
housing loan for "purchase / construction of new / existing house / flat, repairs/
renovation / alteration of existing house / flat, purchase of plot and construction
thereon" |
21,103.06 |
1.02 |
| 2 Maha Super Car Loan Scheme and Mahabank vehicle Loan scheme |
Bank has launched schemes for purchase of New four wheelers
i.e. Car, Multi Utility vehicles (MUVs), SUV etc. for personal use (i.e. not for hiring/
ferrying passengers) for individuals (18 years and above). |
2,089.99 |
1.24 |
| 3 Model Education Loan Scheme |
Bank has implemented Model Education Loan Scheme as per IBA
guidelines and provides hassle free Education loan to all meritorious and deserving
students for pursuing higher studies / education in India and abroad. |
1,458.85 |
1.60 |
| 4 Loan Against SelfOccupied Property |
Bank has introduced Loan Against Self-Occupied Property in
which loan is given to the borrower against the property. The end use of the loan is for
meeting varied personal needs like Children's Education, marriage of children, medical
treatment, travel/ tour expenses, buying vehicle or hi-tech gadgets, other domestic needs
etc. |
1,259.08 |
1.82 |
| 5 Mahabank Top up Loan Scheme |
In order to extend additional credit support to existing
housing loan borrower as well takeover of existing housing loans of other banks with
additional facility of Top-up Loan. Bank has launched "Mahabank Top Up loan
Scheme". Under this scheme credit is extended for repair / renovation / furnishing of
house, children's education, marriage of children, medical treatment, buying a vehicle or
hi-tech gadgets and other domestic needs etc. |
1,268.59 |
0.24 |
| 6 Mahabank Gold Loan Scheme |
To cater to the needs of meeting personal expenses,
whatsoever which include personal expenditure for varied needs like marriage, higher
education, medical emergencies, and business travel etc., Bank has a retail loan product
as "Mahabank Gold Loan Scheme". |
3,296.68 |
0.28 |
| 7 Mahabank Aadhar Loan Scheme |
To cater to the needs of our existing pension account holders
in meeting their personal expenses, pilgrimage, medical and domestic needs etc. Bank
offers "Mahabank Aadhar Loan Scheme". |
538.06 |
0.89 |
5.2. Centralized Processing of loans
Bank has established Centralised Processing Cells (CPCs) for processing
and sanctioning of commercial and retail advances at all its zones to improve the
turnaround time (TAT) in facilitating timely credit.
All mortgage based Retail loan or wherever immovable property are
offered as collateral for mortgage purpose irrespective of the loan amount to be processed
and sanctioned at the CPC-R.
These loans are as under:
• Housing Loan
• Top up Loan
• Loan against self-occupied Property
• Education Loan (Incase immovable property is offered as
collateral)
• Vehicle Loan (Incase immovable property is offered as
collateral)
• All other Retail Loans to be sanctioned by respective branches.
All Branches (Categorized up to Scale -4) within urban conglomerate or
within 25 km to 30 km radius in other place (as per discretion of ZMs) from location of
CPC-R will be mapped with it.
Work Flow Process - CPC Retail
• Mapped Branches within urban conglomerate or within 25 km to 30
km radius in other place (as per discretion of ZMs) will scout the proposals and send the
application to CPC-R for sanction, after verifying the relevant documents as per
checklist.
• Branches which are not mapped to CPC-R will be scouting,
appraisal, due diligence and sanction within their delegated powers. Additional due
diligence agencies will do supplementary verification, disbursement & Post sanction
follow up etc. will be carried out by branches. Beyond delegated powers proposals will be
send to next sanctioning authority routed through CPC -R.
• All Pune based CPC cells i.e. Pune City, Pune East and Pune West
CPCs are merged into one Maha Bank Retail Point for processing all the mortgaged based
loans in Pune at a single place for mapped branches and above the delegated sanctioning
powers of unmapped branches. Similarly, Mumbai City & Mumbai Suburb are also merged
into one Maha Bank Retail Point.
5.3 Housing Finance Branches:
Bank has already in place exclusive Specialized Housing Finance Branch
(HFB) at Yashomangal, Pune City (Br. Code- 1129) to capture the available opportunities in
Housing and Mortgage based loans. Major vision is establishing this specialized branch was
to adopt a focus approach on pilot basis without disturbing the existing structure.
As evident, Bank has witnessed a positive outcome with such exclusive
and at par with industrial standard outlet. Now, bank is with the opinion to explore and
extend this opportunity to other major metro centers like Mumbai, Bengaluru, Chennai,
Delhi, Hyderabad and Noida.
5.4 Door Step Banking Services
Bank is providing Door Step Banking Services for its retail customers
in 100 identified cities through its 555 branches. The services include financial
transaction like cash withdrawal. Non- financial transactions like delivery of account
statement and TDS certificate/ Form 16 as well as pickup service of cheque/DD, 15G/15H
form, standing instructions, life certificate, nomination etc. are also made available.
Looking at covid-19 pandemic the basic financial and non - financial services at doorstep
has been widely appreciated by the customers.
5.5 Alternate Delivery Channels
5.5.1 Internet Banking
1. There was an increase of 26.05% in Internet Banking user over the
previous year. As of 31.03.2022, total 19.31 lakh customers were enrolled for Internet
Banking facility.
2. In the internet Banking, additional 19 functionalities are added for
more customer ease and convenience.
5.5.2 Mobile Banking
1. Banking users increased by 38.18% during FY 2021-22. Total enrolled
users were 18.86 lakhs as on 31.03.2022.
2. Maha Mobile functionality has been customized and simplified with
addition of 4 services and 30 functionalities for increasing enrolments.
5.5.3 QR Code issuance
1. There was increase of 30.28% in QR code issuance over the previous
year. As of 31.03.2022, total 4.33 lakh QR codes issued to customers.
2. Bank has distributed 55189 QR stand to merchants during FY 2021-22.
6. CORPORATE SOCIAL RESPONSIBILITY
Following the legacy of the age-old convention of contributing to
socio-economic advancement & underprivileged, weaker areas and rural citizens, Bank
undertook various activities aligned with Govt. thrust areas:
Empowering MSMEs: Bank organized and participated in various events
like MCCI India Financial Gathering 2022, an Online event on "Finance for MSMEs"
organized by Mahratta Chamber of Commerce, Businesses & Farming (MCCIA) for empowering
the MSMEs, Bank received outstanding Banking Partner award for MSMEs.
Promoting Education & Sports: Bank has supported
Hindu College Delhi for setting up a research cell for Banking and
Finance; Srinivas College for organising an International conference on developing trends
in Computer Science; NICMAR College for a conference for organising an International
conference on Real estate, infrastructure, project management & construction. Olympic
day online event organised by sports and youth services, Govt. of Maharashtra,
Intercollege competition organised by Modern College, Pune, Bank organized yoga sessions
on International Yoga Day.
Promoting Healthcare/Sanitation:
Bank has provided Ventilators to Rajagiri Hospital, Ernakulam and 125
folding canes to Blind Organisation. Masks, sanitizers and other hygiene materials were
distributed to needy people
Women Empowerment: Helping Women SHGs by providing platforms like
Bhimthadi Jatra (a National level exhibition for women) to showcase their products.
Urban/Rural development: Bank is undertaking various rural
development activities through the Bank's Rural Development Centre like promoting soil
testing for farmers, planting 500 jackfruit seeding to 100 farmers; Bhopal Smart City
development; Pune Development Summit 2022 through Plannogram; Distribution of food and
necessities to flood- affected people in villages of Raigad & Ratnagiri District.
Rural Development & Women Empowerment:
Bank is undertaking various social activities through Rural Development
Centre (RDCs) and two trusts of Bank i.e. Mahabank Agricultural Research and Rural
Development Foundation (MARDEF) and Gramin Mahila Va Balak Vikas Mandal (GMBVM) in the
areas of Agriculture, Rural development & women empowerment.
a) Trainings through Mahabank Rural Self Employment Training Institutes
(MRSETIs)
• During FY 2021-22 Bank imparted EDP & skill based training
to 4044 trainees as against set target of 3797.
• A total of 3409 new businesses were started by these trained
entrepreneurs, showing settlement ratio of 84.30%; 2114 units are credit linked, showing
62.01 % achievement under credit linkage.
• All RSETIs of our Bank are "AA" Graded for FY 2020-21
by NACER.
• Mahabank RSETIs started to conduct unique training program apart
from their regular Training Programs which will include training for jail inmates. This
programme objective is not only to provide inmates with vocational knowledge and skills,
but also to strengthen their will to work, sense of self-help and spirit of cooperation
This program will comprise of two parts. In first part MRSETIs will try for reformation of
jail inmates through skill development training and in second part we will work on
rehabilitation of Jail Inmates
• MRSETIs have organized various programmes under
‘‘AZADI KA AMRIT MAHOTSAV'' like FIT India Freedom Run, Entrepreneurship
Mobilization camps, Blood donation camps. Pledge for Eye Donation camps etc.
b) Other initiatives SHGs
• Bank is undertaking various social activities through Rural
Development Centre (RDCs) and two trusts of Bank i.e. Mahabank Agricultural Research and
Rural Development Foundation (MARDEF) and Gramin Mahila Va Balak Vikas Mandal (GMBVM) in
the areas of Agriculture, Rural development & women empowerment.
• Bank received National Award for best performance in SHG
financing under DAY NRLM for FY 2019-20
• Bank is also implementing the social security schemes of Govt.
like PMJJBY, PMSBY, APY, etc. through Branches, BCs and other digital modes.
• GMBVM provided skill based training to rural women for
self-employment activities like Agarbatti, Candles, etc. to empower them for starting new
business. These women are running their business on individual as well as through SHGs.
7. LEAD BANK SCHEME
7.1 Lead Bank Scheme
The Bank has Lead Bank responsibility in seven districts of Maharashtra
State viz. Aurangabad, Jalna, Nasik, Palghar, Pune, Satara and Thane. Every year District
Credit Plans for the districts are prepared and implemented with the cooperation of other
Member Banks as well as in coordination with District Collectors of respective Districts.
7.2 State Level Bankers' Committee
The Bank is the Convenor of State Level bankers' Committee (SLBC) for
the State of Maharashtra.
SLBC prepares State Annual Credit Plan in consultation with Lead
District Managers, Member Banks, NABARD, Reserve Bank of India, etc. The Priority Sector
plan for the year 202122 was of Rs. 4,,61,080 crore, which was one of the highest credit
plan in the country. The same was approved in a special meeting held under the
Chairmanship of Hon'ble Chief Minister of Maharashtra.
SLBC also ensures holding of quarterly meetings regularly to review the
implementation of State Annual Credit Plans, Priority Sector lending and Govt. sponsored
schemes in the State. Apart from regular SLBC meetings, Sub-Committee meetings as per
guidelines as well as various other meetings are also organized by SLBC to coordinate
between various Member Banks, State Government, Government Agencies, Reserve Bank of
India, NABARD and the Central Government. SLBC, Maharashtra is having a network of more
than 16,500 bank branches in the state.
SLBC has always been very proactive in the event of natural calamities
if any, by issuing necessary guidelines in respect of relief measures, particularly for
the year dissemination of COVID-19 related advisories, organizing special meetings through
virtual mode and guiding the members, whenever necessary.
In case of specific events like announcement of Debt Waiver Scheme,
Relief Package for helping poorer sections of the society in the event of outbreak of a
pandemic, SLBC coordinates between Member Banks and State / Central Governments for
successful implementation of various measures / schemes.
As a SLBC convener, Bank of Maharashtra coordinated for implementation
of Pradhan Mantri Jan Dhan Yojana (PMJDY) in the State of Maharashtra. As of 31.03.2022,
total of 314 lakh PMJDY accounts have been opened in the State. The process of opening of
PMJDY accounts is continued. SLBC also coordinates implementation of other Social Security
Schemes of the Central Government in the State.
7.3. FINANCIAL INCLUSION / PMJDY: (FI)
|
Particulars |
2020-21 |
2021-22 |
| FI Plan |
No of Transactions by BCA (in lakhs) |
186.01 |
196.82 |
|
Amt of transactions (in Cr) |
12,896.05 |
14,624.74 |
| PMJDY |
No. of PMJDY accounts (in lakhs) |
68.15 |
71.64 |
|
Of Which Aadhaar Seeded (in lakhs) |
62.80 |
66.55 |
|
% OF Aadhaar Seeding (in lakhs) |
92.10% |
92.90% |
|
Of Which Mobile Seeding (in lakhs) |
56.47 |
59.56 |
|
% of Mobile Seeding (in lakhs) |
82.86% |
83.14% |
|
Of Which Ru-Pay Card issued (in lakhs) |
26.71 |
33.56 |
|
% of Ru-Pay Card issued (in lakhs) |
39.20% |
46.85% |
|
Balance in PMJDY A/c (in Cr) |
2,545.14 |
2,617.43 |
|
Average Bal. per account (actual) |
3735 |
3654 |
|
PMJDY - OD Count (in lakhs) |
2.66 |
1.83 |
|
PMJDY - OD Amount (in lakhs) |
3,202.08 |
2,023.48 |
|
Zero Bal. PMJDY A/cs (in lakhs) |
11.47 |
13.51 |
| Social Security Schemes |
Enrolment under PMJJBY (in lakh) |
16.41 |
19.10 |
|
Enrolment under PMSBY (in lakh) |
31.12 |
37.90 |
|
Enrolment under APY (in lakh) |
2.83 |
4.14 |
| BSBD Accounts |
Total BSBD Accounts (in lakhs) |
93.53 |
93.34 |
|
O/S Balance in BSBD A/c (in Cr) |
3,223.00 |
3,272.24 |
|
Average bal. per account (actual) |
3,445 |
3,506 |
|
Commission Paid towards BC Services (in Crore) |
34.23 |
38.64 |
8. SUBSIDIARIES/JOINT VENTURES AND SPONSORED INSTITUTIONS:
8.1 Performance of Regional Rural Bank
Maharashtra Gramin Bank (MGB) is a Regional Rural Bank sponsored by the
Bank, having its Head Office at Aurangabad, Maharashtra State. Total no. of branches as on
31/03/2022 stood at 415 in its area of operation covering 17 out of 36 districts of
Maharashtra state. These branches are controlled through the 7 Regional Offices.
All 415 branches and controlling offices are now under CBS Performance
highlights of Maharashtra Gramin Bank for the FY 2021-22 are as under:
• Bank has achieved total deposit level to Rs 14,677.75 Crore and
the CASA is 51.54 %.
• Bank has achieved total Business of Rs 22,706.71 Crore
• Bank has achieved operating profit of Rs 116.83 Crore Bank has
achieved most of the targets under MoU DAP given by sponsor Bank for the financial year
2021-22 in major key performance areas as under.
| Sr. Performance No. Parameter |
Actual as on 31/03/2021 |
MoU Target |
Actual as on 31/03/2022 |
% Achie vement |
Y-o-Y Growth(%) |
| 1. Total Deposits |
13,540.64 |
16,000 |
14,677.75 |
91.74 |
8.40 |
| 2. CASA deposits |
7,736.11 |
9,200 |
7,565.05 |
82.23 |
(2.21) |
| 3. % of CASA Deposits |
57.13% |
57.5 |
51.54% |
89.63 |
(9.78) |
| 4. Total Advances |
7,142.06 |
8,800 |
8,028.96 |
91.24 |
12.42 |
| 5. Total Business |
20,682.7 |
24,800 |
22,706.71 |
91.56 |
9.79 |
| 6. Interest Income |
979.49 |
1,090 |
803.96 |
73.76 |
(17.92) |
| 7. Non-Interest Income |
167.82 |
150 |
171.84 |
114.56 |
2.40 |
| 8. Operating Profit |
261.7 |
321 |
116.83 |
36.40 |
(55.36) |
| 9. Recovery in Write Off |
11.52 |
11 |
8.94 |
81.27 |
(22.40) |
Bank has deployed in all 1,275 Business correspondents in rural areas
to provide door step service to the customers. Bank has opened 26.51 Lakh PMJDY
accounts till 31/03/2022 and 12.25 Lakh debit cards are issued to the PMJDY account
holders.
Bank is actively participating in PMJJBY, PMSBY and APY as well as the
PMMY scheme declared by the GoI, DFS. During FY 2021-22, 3.40 Lakh customers are covered
under PMJJBY scheme and 11.33 Lakh customers are covered under PMSBY scheme. 1.61 Lakh
customers are covered under Atal Pension Yojana (APY).
PFRDA has appreciated the work done by the bank in the APY and the Bank
has received 10 awards in the different parameters during FY 2021-22.
8.2 Performance of METCO
The Maharashtra Executor & Trustee Company Pvt. Ltd ., the 100%
subsidiary of Bank of Maharashtra was established in 1946 with an aim to provide services
auxiliary to banking such as:
• Consultation, Drafting & Execution of will
• Consultation, Drafting and Management of private Trusts / Public
Trusts
• Management of investments & house properties as attorney
• Guardianship of minor's Property
• Consultation for sale/purchase of property
The company is located at Pune having its branch units at Pune, Mumbai,
Thane and Nagpur. It is managing about 1,117 Public & Private Trusts. During FY
2021-22, additional 76 wills were added making total 1,311 will in its custody for
execution. At Present, the company manages properties both movable and immovable of 21
Clients under the Power of Attorney. The Company also acts as the Trustee in respect of 99
policies under Married Women's Property Act and as court appointed Guardian of Minor's
property in 2 cases. The company also acts as Managing Trustee of nearly 20 trusts and
catalysts its social responsibility by extending help to poor people.
Company has followed all the instruction regarding safety during COVID
-19 ISSUED BY Government of India/ Ministry of corporate affairs. The Company has also
donated through its trusts Rs.184 lacs to 767 beneficiaries.
The net profit of METCO for FY 2021-22 stood at Rs. 54.58 lakh after
Income Tax Provisions.
9. IMPLEMENTATION OF OFFICIAL LANGUAGE POLICY
During FY 2021-22, the Bank has achieved various remarkable
achievements in the field of Official Language implementation:
i. Bank was awarded "Rajbhasha Kirti Puraskar" for better
implementation of Rajbhasha Hindi, which is the highest award for Rajbhasha. Shri A. S.
Rajeev, Managing Director & CEO, Bank of Maharashtra received this prestigious award
at the hands of Hon'ble Minister of State for Home Affairs, Shri Nisith Pramanik in a
grand function arranged at Vigyan Bhawan, New Delhi on 14th September, 2021.
ii. Bank was awarded "Skoch Gold Award" for Better
Implementation of Rajbhasha and became the first bank to receive this award for
implementation of official language. Shri Radhey Shyam Bansal, General Manager, HRM &
Rajbhasha has received this award in a virtual function.
iii. Bank was awarded "Vishesh Puraskar" by the Mumbai based
prestigious institution ‘Aashirwad' for better use of Hindi during the year.
iv. Our Kolkata Zonal Office received second prize for Eastern Region
in Regional Rajbhasha Puraskar from Department of Official Language, Ministry of Home
Affairs.
v. Town Official Language Implementation Committee (TOLIC) Mumbai has
secured special prize for better use of Hindi by Govt. of India, Department of Official
Language, Ministry of Home Affairs. Our Bank is the convener for this Committee.
vi. Various Town Official Language Implementation Committees (TOLIC)
convened by other Banks awarded our Kolkata, Hyderabad, Noida & Amravati Zonal Offices
for excellent implementation of Official Language.
vii. Monthly Rajbhasha e-Magazine ‘Rajbhasha E-Pragati' and
Quarterly House magazine ‘Mahabank Pragati' are being regularly published. As a new
initiative Rajbhasha E-Pragati in Brail script is also published for the benefit of
visually challenged employees of the Bank.
viii. Bank is the convener Bank for Town Official Language
Implementation Committee (TOLIC) in Mumbai, Pune, Solapur, Latur & Jalgaon. Meetings
of these committees were held regularly during the year and various activities of the
committees were organized throughout the year as per schedule.
ix. "Hindi Karya Diwas" (Hindi Working Day) is being observed
by all the branches & offices of the Bank on the third Saturday of every month. All
the staff are doing their maximum work in Hindi on this day.
x. Hindi version of Bank's mobile banking platform Maha- Mobile has
been made available. Information on Bank's website are also provided in Hindi.
xi. The facility of "Online Rajbhasha Kosh" &
"Online Hindi Roster" is made available on bank's Intranet for the use of
employees.
xii. "WhatsApp Banking Various Language Facility" was
launched by Shri A. S. Rajeev, MD & CEO during the Annual Rajbhasha Conference.
Customers can now avail WhatsApp Banking facility in Hindi and English as well as Marathi,
Tamil, Malayalam etc.
xiii. Hindi day function was arranged at Head Office, Pune on 27th
September, 2021. Shri A. S. Rajeev, Managing Director & CEO of the Bank presided over
the function. Shri Hemant Tamta, Executive Director, Shri A. B. Vijayakumar, Executive
Director and General Managers were also present in the function. Winners of the All India
Rajbhasha Trophy Scheme of the Bank were awarded during the function. All the Zonal
Managers and Official Language Officers from the Zonal Offices across the country joined
this program through video conferencing.
10 SECURITY
The Bank has put in place a comprehensive Security Policy covering the
entire Security arrangements in the Bank. The policy covers the following:-
• Protect the bank's assets such as Cash, Gold, Documents and
Valuables at branches, Administrative offices, Currency chests, Data Centre, other
critical centres and Security measures for Cash and Valuables.
• Create a secure, safe and conducive environment for Staff,
visitors and customers to conduct smooth and normal banking business.
• Measures to counter manmade disasters and natural calamities.
During FY 2021-22, proactive steps were taken on the physical security
requirements in the Bank after analysis of the threat perception, current crime scenario,
crime pattern, modus operandi of bank robberies, breaches of security and fire incidents
besides equipping and training the security personnel and other bank staff to counter any
eventuality.
11. PERFORMANCE EVALUATION OF THE DIRECTORS AND THE BOARD:
In terms of Regulation 25 of SEBI LODR, 2015, the performance of the
Board as a whole and non-independent directors including Whole Time Directors were
evaluated by the Independent Directors of Bank in a separate Meeting held on 30th March,
2022.
Further, the performance evaluation of Whole Time Directors is carried
out by Committee of Board for Performance Evaluation on the basis of guidelines prescribed
by Government of India. Further, Performance of non-official Directors/ Shareholder
Director is done by Board of Directors of Bank on annual basis.
12. DECLARATION BY INDEPENDENT DIRECTORS DURING THE YEAR:
All the Independent Directors of Bank have submitted the declaration
confirming that they meet the criteria of independence as required under Regulation 25 of
SEBI (LODR) Regulations, 2015.
13. BOARD AND ITS SUB-COMMITTEES:
The composition of the Board and its Sub-committees as required to be
constituted as per the SEBI (LODR) Regulations, Government of India / Reserve Bank India
Guidelines and the meetings held therein are mentioned in the Corporate Governance Report.
14. SECRETARIAL AUDIT:
Pursuant to Regulation 24A of SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015 and SEBI Circular No. CIR/CFD/CMD1/27/2019 dated February
08, 2019, Bank had appointed M/s.Joshi & Joshi, Practicing Company Secretaries, Pune
as a Secretarial Auditor to undertake Secretarial audit of Bank for the financial year
2021-22. The Secretarial Audit Report is annexed to this Report.
The Secretarial Auditor has observed that provisions of Regulation
17(1) of SEBI (LODR) Regulations, 2015 with regard to Composition of the Board of
Directors (including one Independent Woman Director) have not been complied with during
the financial year. In regard to above, it was explained that Bank of Maharashtra, being a
Government of India Undertaking, the power to appoint Directors vests with the Government
of India except the appointment of Shareholder Director and the Bank has taken up with the
Government of India for appointment of requisite number of Directors (including one
Independent Woman Director) against the existing vacancies of Directors on Board of Bank.
Further, composition of Audit Committee and Nomination &
Remuneration Committee have been complied with SEBI
(LODR) Regulations, 2015 w.e.f 20th January, 2022.
15 DIRECTORS' RESPONSIBILITY STATEMENT:
The Directors confirm that in the preparation of the annual accounts
for the Financial Year ended March 31,2022:
a) The applicable accounting standards had been followed along with
proper explanation relating to material departures, if any;
b) The accounting policies framed in accordance with the guidelines of
RBI were followed and the directors had selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and prudent so as to
give a true and fair view of the state of affairs of the Bank at the end of the financial
year and of the profit and loss of the Bank for that period;
c) The directors had taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the provisions of applicable
laws to the Bank for safeguarding the assets of the Bank and for preventing and detecting
fraud and other irregularities;
d) The directors had prepared the annual accounts on a going concern
basis
e) The directors had ensured that internal financial controls followed
by the Bank are in accordance with guidelines issued by RBI in this regard and that such
internal financial controls are adequate and were operating effectively.
f) The directors had devised proper systems to ensure compliance with
the provisions of all applicable laws and that such systems were adequate and operating
effectively.
16 CHANGES IN THE BOARD OF DIRECTORS:
During FY 2021-22, the following changes took place in the
Board of Directors:
• Shri Hrisheekesh Modak was appointed as Government of India
Nominee Director of Bank by the Central Government w.e.f. 13.05.2021 in place of Mrs.
Vandita Kaul, who ceased to be GOI Nominee Director of Bank on 12.05.2021.
• Shri Rakesh Kumar was elected as Shareholder Director w.e.f.
30.06.2021 for a period of three years consequent to completion of term of Shri R.
Thamodharan as Shareholder Director of Bank on 29.06.2021.
• Shri Lalit Kumar Chandel was appointed as Government of India
Nominee Director of Bank by the Central Government w.e.f. 18.08.2021 in place of Shri
Hrisheekesh Modak, who ceased to be GOI Nominee Director of Bank on 17.08.2021.
• Shri Shashank Shrivastava was appointed as Part time non
official Director of Bank by the Central Government w.e.f. 21.12.2021 for a period of
three years.
• Shri S Baljit Singh was appointed as Part time non official
Director of Bank by the Central Government w.e.f. 21.12.2021 for a period of three years.
• Shri Asheesh Pandey was appointed as an Executive Director of
Bank by the Central Government w.e.f.
31.12.2021 for a period of three years in place of Shri Hemant Tamta,
who ceased to be Executive Director of Bank on 30.12.2021 on completion of his term.
17 DIVIDEND DISTRIBUTION POLICY:
In terms of Clause 43A of SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015, Bank has formed a Dividend Distribution Policy and the
same is available on the Bank's website i.e. https://bankofmaharashtra.in
18 BUSINESS RESPONSIBILITY REPORT:
As per the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015, Business Responsibility Report (BRR) 2021-22 of the Bank is available
on the Bank's website i.e. https://bankofmaharashtra.in
19 ACKNOWLEDGEMENT:
The Board of Directors place on record their appreciation for the
contribution made by the outgoing Directors.
The Board of Directors wishes to express sincere gratitude to the
Government of India, the Reserve Bank of India, the Securities and Exchange Board of
India, Insurance Regulatory and Development Authority, Indian Banks' Association, Stock
Exchanges and Depositories for their valuable advice, guidance and support; to the
Customers and Stakeholders for their patronage; to the correspondents and associates for
their co-operation and to all the members of staff of "Mahabank Family" for
their unstinted commitment and contribution to the overall development of the Bank.
|
For and on behalf of the Board of Directors |
| Pune |
(A.S. RAJEEV) |
| Date : 25th May 2022 |
Managing Director and CEO |
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