SBI to recruit former officials for loan, sanction reviews

By: |
Mumbai | Published: May 28, 2016 7:31:56 AM

State Bank of India (SBI) has sought applications from its former officials to join on a contract basis for loan review mechanism (LRM) and early sanction review (ESR) system.

State Bank of India (SBI) has sought applications from its former officials to join on a contract basis for loan review mechanism (LRM) and early sanction review (ESR) system.

For the job of reviewing, retired deputy general managers (DGMs) will receive monthly remuneration of Rs 60,000 while retired assistant general managers or chief managers will be paid Rs 42,000. These payments will be besides pension.

While the role of LRM is to review sanctions of loans of above Rs 5 crore, the ESR department reviews sanctions of loans of above Rs 50 lakh and up to Rs 5 crore. According to the advertisement seeking applications from retired bankers, the duty of prospective candidates will be to capture critical risks that exist in the proposal and apprise them.

The ex-banker, SBI said, should have retired from its service in the grade SMGSIV/V and TEGS-V on attaining superannuation. “Officials who retired recently, within two years from the date of advertisement, will be given preference,” it said, adding that no cases filed either by the CBI or any other law enforcement agency should not be pending against them.

The reviewer will be posted at the LRM/ESR cell at the designated zonal inspection office and every LRM reviewer should review a minimum of two sanctions and each ESR reviewer should review a minimum of four sanctions per day.

“Period of engagement shall be maximum three years and the age of the incumbent should not exceed 65 years,” SBI said.

The loan review mechanism was launched in October 2012 and all fresh sanctioned proposals and proposals for renewal of credit limits are reviewed within three to six months from the date of sanction.

Through these mechanisms, the bank wants to check creation of fresh bad loans by scrutinising cash-flow predictions and securities offered by promoters.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition