Mumbai based Shamrao Vittal Cooperative Bank to celebrate Centenary

Bangalore, Nov 3 (UNI) Introduction of reverse mortgage on properties, foreign exchange business and currency chest are some of the novel ideas that will be implemented during the centenary of the Mumbai based Shamrao Vittal Cooperative Bank Limited.

Disclosing this to newsmen here today, Bank's Chairman Suresh S Hemmady said the bank had also signed a Memorandum of Understanding with the city based Bangalore Central Cooperative Bank for merger.

A meeting with the bank's representatives and the Reserve Bank of India was scheduled to be held on November 15 and a final decision by RBI to permit the merger was expected soon, he hoped.

Replying to queries he said after the merger, the Bank would inherit Rs 12 crore loss and a Non Performing Asset of Rs 29 crore besides a deposit of Rs 141 crore as on date and advances of Rs 43 crore. It's 11 branches would become a part of Shamrao Vittal Cooperative Bank to provide a strong networking for the consumers, he added.

He said the bank had a turnover of Rs 4500 crore now and was expected to cross Rs 5500 crore by March 2007. The net profit during last year was Rs 51 crore and was expected to cross Rs 65 crore during 2007. The bank had 50 branches, mostly in Maharashtra and 10 extension counters. Its employee strength was 750, he added.

He said the bank was also finalysing negotiations with other banks such as ICICI and HSBC to widen its connectivity through ATMs.

The facility would be provided to bank's customers from December through over 7000 branches in addition to the bank's 39 ATM centres, he added.

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