On
13th January, 1977, Janab Dr. Mumtaz Ahmed Khan and Janab K.Rahman Khan
founded the Amanath Co-operative Bank and within a short span of 26 years,
the Bank has attained the status of Karnataka's
first scheduled Urban Co-operative Bank. With a small capitalbase
of Rs. 3 lakhs, the bank has grown to be the largest Urban Co-operative
Bank in the state,with a deposit of over Rs. 440 crores, working capital
of Rs.
505 crores and net owned funds of
Rs. 29.53 crores.
The Bank that began with just 3000 members, now boasts of nearly 41000
members. The depositors and account holders, who exceed 2.54
lakhs in number, are serviced by the 15 branches in the state. Many more
branches are scheduled to open shortly with the aim of extending the area
of operation in the state.
Amanath Co-operative Bank Ltd. offers ATM facility at its branches at
Brigade Road, Gangenahalli, N.R. Road, Shivajinagar, R.V. Road, Ilyas
Nagar, Mangalore and Gulbarga. The Bank has stepped into the new millennium
incorporating the latest development in banking and Information Technology
with a resolve to make banking with Amanath a pleasure.
The microcosm of its objective is "MASS BANKING"
right from its inception. Hence, the major thrust of the bank has been
to inculcate the banking habits among middle and lower strata of the society,
mostly in hitherto unbanked / underbanked areas. Keeping this objective
in view, Amanath Bank opened branches in such areas which are predominantly
resided by middle/lower income groups and the areas concentrated by minorities
and backward classes to whom commercial banks are not easily accessible.
The bank has, therefore adopted selective policy in the opening of branches
by identifying the centres where there is a good potential for inculcating
the habit of saving amongst the people and at the same time, providing
much needed finance to these people, not only to meet their domestic needs
but also for developing their businesses, and in the process helping them
become self-sufficient. Keeping this objective in view, Bank has introduced
a scheme called 'MICRO-CREDIT' for the benefit of poorest among poor by
involving SHGs and NGOs who are working for the economic upliftment of
the poor. The last decade has seen a meteoric rise of the bank in all
spheres which is reflected in the financial indicators furnished in the
table below.
The bank has 419 employees on its roll, including 74 Officers. Human resources
being the most important asset of the bank,all out efforts are made to
enhance the motivational level and efficiency of the employees. In-house
capabilities for imparting adequate training to the employees continued
to be a major strength of the bank. Training is being provided to make
them more competitive and customer oriented.
The Bank has bagged the "Best
Urban Co-operative Bank" award for the second successive
year from the Karnataka State Co-operative Federation and Karnataka State
urban Banks Federation.
The Reserve Bank of India conferred the "Scheduled
Status" on Amanath Bank effective from 29th January,
2000 and has included the name of the bank in the second schedule to the
Reserve Bank of India act, 1934. Amanath Bank is the first urban Co-operative
bank in Karnataka to be awarded this prestigious status. The conferment
of "Scheduled Status" will
enable it to render more service to the members, clientele and the society.
The past achievements are the source of inspiration for future progress
and prosperity.
The bank has also excelled in the field of sports by winning both the
"Inter-Bank Cricket Tournament"
organised by the Canara Bank and the "Inter
Co-operative Banks Cricket Tournament" in 2000.
August 9, 2003
Dear Patrons,
It gives me immense pleasure to inform you that, I have taken the charge of Amanath Co-operative Bank Limited, Bangalore, India, as its President with effect from 01/08/2003. As you are aware, Amanath Co-operative Bank Limited has a long history and the glorious tradition in serving the banking needs of about 2,40,000 depositors and 39000 Shareholders. True to the noble objectives of the founding fathers, the bank continues to serve the economic needs of the economically weaker sections of the society at large. It is a known fact that, due to its rich service culture and dynamic approach, the bank has become the first ever scheduled co-operative bank in the State of Karnataka with its 15 branches and 440 staff members. The bank has been growing, serving the needs of all the customers.
In view of the above, I, feel proud to represent the bank at this moment and spread the message of glorious banking service to all concerned. As In the personal life of an individual there are fluctuating moments of history, in the existence of our financial institution also. However, it is the missionary zeal in which the objectives of an institution has to be realized, in-to reality that leads to the success of such institutions. We, in Amanath Bank always thought that it has been our bounded duty to serve the legitimate banking needs of all our patrons at all times to their entire satisfaction.
Despite of certain moment of anxiety, I am of the firm conviction firmly that Amanath Bank shall always march forward in its true tradition of excellent service and dynamic approach to our customers for centuries to come. I shall strive in fine-tuning the above glorious tradition, to the best of my abilities during my tenure as the President of the Bank.
In the recent past, the Bank has undergone organizational and structural reforms improving the systems and procedures in various functional areas. I shall make efforts to further fine-tune the same to have excellent results in the near future. In the meanwhile, as a road map towards, reaching our goals of growth and progress, we have set a deposit target of Rs.550 Crs and credit level of Rs.350 Crs with considerable reduction in the existing NPA portfolio to be reached by 31st March 2004. Our Bank has also introduced new customer oriented and value added deposit products like Flexi-Deposit, Lending schemes like Amanath Cash loan scheme and Amanath Consumer Loan Scheme in the recent past.
It is needless to re-emphasize that Amanath Bank has always thrived on the strength of unstinted co-operation and sustained confidence, faith and trust of its vast clientele, throughout its existence. May I therefore, take this opportunity to seek your continuous support, trust and confidence in the bank and also my management so that your bank can continue to grow and prosper for our mutual benefit in the years to come.
I assure you that it shall be my sincere endeavour to render whatever the best possible for the growth of our bank and with all the resources, time and energy at my disposal. Let us work together and ensure the further growth of the beloved bank to greater heights in the years to come.
With Warm Regards, Yours sincerely,
Ziaulla
Sheriff
President
| CLARIFICATION BY Amanath Co-op Bank Ltd. | |
| In
the recent past, some of the Newspapers have repeatedly published
about the fraud of Rs.61 Crs in our Bank happened during 2001 and
early part of 2002. This has caused a lot of concern in the minds
of our depositors/members and general public, as to the safety of
their deposits in the Bank. This is to clarify that the fraud referred
to in the Newspapers, which also came in for discussion in the Legislative
Council, has not substantially affected the liquidity, solvency
and financial stability of the Bank. The Bank is sound enough to
meet the demands of the depositors, at any point of time since the
banks liquidity position is absolutely adequate to protect the interest
of our depositors as follows: |
|
| Liquidity of the Bank: | ||
| 1. | Cash on Hand and RBI | Rs. 63.15 Crs. |
| 2. | Current A/c and Term Deposits with Banks | |
| 3. | Investments | Rs. 116.41 Crs. |
| 4. | Premises | Rs. 13.32 Crs. |
| Total Amount | Rs. 192.88 Crs. | |
| Similarly, the financial stability of the bank is stable as can be verified from the details of the Net worth of the bank as given below. The capital adequacy of the Bank is 9.85%, which is above the norm prescribed by the Reserve Bank of India. |
| NET WORTH OF THE BANK: | ||
| 1. | Paid up Capital | Rs. 5.26 Crs. |
| 2. | Reserves | Rs. 22.53 Crs. |
| 3. | Profit for the year | Rs. 2.47 Crs. |
| 4. | NET WORTH | Rs. 30.26 Crs. |
| 5. | Provisions against BDDR | Rs. 20.00 Crs. |
As
regards the fraudulent accounts the bank has already filed an FIR
with police with a criminal complaint against the 3 officials. The
police are making further investigations in to the crime. The bank
has also separately held domestic enquiry after conducting investigations
and all the 3 involved officials have since been dismissed from
the service. It is also clarified that as against Rs.61 Crores (Rs.38
Crores principal + Rs.23 Crores Interest) of outstanding against
the 8 fraudulent accounts, bank holds 3 properties to the extent
of 38 acres in the city of Bangalore. Bank has already initiated
steps to regularize the documents related to these lands and sell
the same in due course of time, so as to adjust the outstanding
accounts under the fraud. |
The
Bank vehemently rejects with regrets about allegation made in the
Newspapers that it has got links with underworld don Dawood Ibrahim
and Stamp Paper racket of Kareem Lala. It is unfortunate that such
unfounded news are being reported in leading Newspapers without
even cross verifying the facts from our Bank. Such wrong information
is detrimental to a banking institution particularly a scheduled co-operative Bank. |
It
is further clarified that our Bank which is a Number 1 Scheduled
Co-operative Bank in the State has started 26 Years ago with its
15 Branches spread in 5 districts has 443 staff members, 39,000
share holders and 2,38,500 depositors and nearly 16,000 borrowers.
The business of the bank includes capital of Rs.5.26 Crores, Reserves
of Rs.43 Crores, deposit of Rs.440 Crores, total advances of Rs.298
Crores and a Gross Profit of Rs.2.47 Crores. As per the provisional
Balance Sheet, the bank is likely to declare a Net Profit after
audit. |
The
bank has been declaring profit through out its 26 years of existence.
Bank also holds more than Rs.20 Crores of provisioning against Bad
and Doubtful Debts. |
During
the last year, the bank has succeeded in reducing its NPA by almost
10% and during the current year it is expected to reduce the same
by 20% through continuous and concerted recovery process to the
extent of Rs.60 Crores. Hence, there is no reason for any anxiety
and concern for our patrons. It is further clarified that none of
the existing directors of the Bank has any NPA accounts. As regards
loans granted to Al-Ameen Education Charitable Trust and allied
institutions, it is clarified that all accounts are regular and
fully supported by securities. |
We
therefore, take this opportunity to appeal to all our depositors,
shareholders and the general public to please be reassured and not
be panicky on the basis of press reports. If any further information
is required by any of our patrons they are most welcome to get clarification
directly from the bank instead of depending upon the versions published
in the Newspapers. |
| Mohamed
Haneef General Manager (Acting) Amanath Co-operative Bank Ltd. |