The Hindu Business Line : TMB targets Rs 20,000-cr business this fiscal

Tamilnad Mercantile Bank expects to achieve a total business target of Rs 20,000 crore during the current financial year, according to its Managing Director and Chief Executive Officer, Mr G. Nagamal Reddy.

Launching TMB’s Smart Shoppers Visa Debit Card, he said the bank has cut its bulk deposits worth Rs 1,000 crore over the last few months to Rs 400 crore to reduce its cost of funds. TMB plans to increase its current account to saving account (CASA) deposits by Rs 650 crore by end of the current financial year. In the last six months it had added about Rs 230 crore of CASA deposits.

Mr K.R. Ananda, Regional Director, RBI, referring to the issue of the legal complications in the TMB share transfer issue, said depositors need not have any concern on the operations of the bank. In spite of having no board members, Tamilnad Mercantile Bank is financially sound as the Reserve Bank of India monitors the bank regularly.

Mr Ananda said that since there is no elected board, the RBI has nominated two members to monitor the working of the bank on a monthly basis.

A year ago, the Madras High Court dismissed the application seeking among other things, to null and void the transfer of 95,418 shares of TMB, a decision taken during the board meeting on May 18, 2008.

The court directed that only the managing director and two nominee directors of the RBI alone continue on the board until the sub-application in the contempt petition was disposed off. The case is pending with the court.

More Stories on : Private Banks | Tamil Nadu

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Banks’ international liabilities decline

Time to ease up on monetary throttle

Manappuram Finance net rises 177%

Moody’s downgrades ratings of 13 banks

Y.V. Reddy advocates Tobin Tax

Off-balance sheet exposures show sharp decline

TMB targets Rs 20,000-cr business this fiscal

Interest rates may not harden this fiscal: Bhatt

Credit growth falls from end-Sept high

Banks told to shore up core deposit base