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         Managing Director and Chief Executive  posits amounting to Rs 1.46 trillion as  acquire 16,76,72,702 fully paid-up eq-
         Officer of Chennai-headquartered In-  on August 2021. Of these, about 86%,  uity shares on preferential basis, i.e.,
         dian Bank from today.              or 368.6 million accounts, are opera-  up to 74.24 per cent of the post issue

         Prior to this, he served as Executive  tive.                          paid-up voting equity capital of the
         Director of Bank of Baroda since Sep-  Seven years after the initiative was  bank subject to compliance of regula-
         tember 2018, according to a state-  launched, the average deposit per ac-  tory requirements," J&K Bank said in
         ment.                              count is Rs 3,398, which has increased  a filing with stock exchanges.
         A Post-graduate in Commerce, and a  2.7 times over August 2015. About  Earlier this week, the bank's board
         qualified Chartered Accountant, Com-  312.3 million Rupay cards have been  approved a fund raise of up to Rs 2,000
         pany Secretary and CAIIB, Jain joined  issued to Jan Dhan accountholders.  crore through a mix of debt and equity.
         Allahabad Bank in 1993 in middle man-
                                            The government has also launched the  This includes raising of equity share
         agement cadre. In a career spanning
                                            Jan Dhan Darshak - a mobile applica-  capital up to Rs 1,000 crore in one or
         more than 25 years in banking, he
                                            tion to provide a citizen-centric plat-  more tranches and another Rs 1,000
         handled critical portfolios. Previously,
                                            form to locate banking touch points  crore by way of non-convertible Tier-2
         he had worked in a range of industries
                                            such as bank branches, ATMs, bank  bonds in the nature of debentures on
         for over six years.
                                            correspondents, and post offices in the  a private placement basis. LIC and East
                                            country.                           Bridge Capital Master Fund hold
         Family pension for bank                                               around 2 per cent stake each in the
                                            The app uses geographic information
         staff hiked to 30% of last         system (GIS) mapping facility to iden-  bank.
         pay                                tify inhabited villages that do not have
                                            a banking touch-point within a distance NPS: Banks to make addi-
         Family pension for bank employees is
                                            of 5 km. About 99.95 per cent villages
         set to increase with a uniform payout                                 tional provision
                                            are now covered either by a bank
         of 30 per cent of the last salary,                                    Public sector banks will have to make
                                            branch or bank correspondent within
         Debasish Panda, Secretary, Depart-                                    an additional provision of over Rs.
                                            a 5-km distance.
         ment of Financial Services, said.                                     21,300 crore annually on account of
         "In continuation of the 11th bi-partite  Union territory govt stake   revision of norms to calculate family
         settlement on wage revision of public                                 pension and higher contribution to-
         sector bank employees, which was   in J&K Bank to go up to            ward National Pension System (NPS).
         signed by the Indian Banks' Association 74.2%                         "Keeping in view the requirements of
         with the unions on November 11, 2020,  The Reserve Bank of India (RBI) has  the Accounting Standard (AS15R) is-
         there was a proposal for enhancement  allowed the government of Jammu &  sued by the Chartered Accountants of
         of family pension and also the employ-  Kashmir to acquire over 16.76 crore  India and also as per the Companies
         ers' contribution under the NPS. This
                                            shares in Jammu & Kashmir Bank on a  Accounting Rules (2006), the incre-
         has been approved by the Finance Min-
                                            preferential   basis.  The   J&K   mental provision towards the Family
         ister," Panda, who was accompanying
                                            government's equity stake will rise to  pension as per the actuarial estimate
         Finance Minister Nirmala Sitharaman,
                                            74.24 per cent in the bank after the  is Rs. 20,302.9 crore," a note prepared
                                            allotment. The issue follows a recent  for the proposal, said.
                                            decision of the J&K government to
         430 million Jan Dhan Ac-                                              The note also mentioned that special
                                            transfer 8.23 per cent stake in the bank  dispensation will be sought from the
         counts have Rs. 1.46 tril-         to the Union Territory of Ladakh.  Reserve Bank of India (RBI) to allow
         lion                               "The RBI vide its letter dated Septem-  provisions over next five years to avoid
         The PM Jan Dhan Yojana has about   ber 2, 2021, has accorded approval to  any immediate adverse impact on the
         430.4 million accounts with total de-  government of Jammu & Kashmir to  balance sheets of the banks. T

            BANKING FINANCE |                                                              OCTOBER | 2021 | 7
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