Canara Bank pays record dividend to Union Govt

Bangalore, June 28 (UNI) Public sector Canara Bank has handed over a record Rs 198 crore dividend to its largest shareholder, the Government of India, for the year 2005-06.

Bank Chairman and Managing Director M B N Rao presented the cheque for the amount to Union Finance Minister P Chidambaram in New Delhi today.

The amount was the highest ever the bank had paid to the government as annual dividend, a bank release here said.

The number one public sector bank in the country had recorded its highest ever net profit of Rs 13,43 crore in the just concluded financial year, a 21 per cent growth, over the previous year.

The release said enhancing returns for shareholders had been the prime focus of Canara Bank since it went public during November 2002. Befitting its landmark centenary and robust growth in profitability, the bank had declared a dividend of 66 per cent, the highest since it went public, as compared to 55 per cent declared the corresponding period the previous year.

UNI RS RG HVB1838