Bank Board Bureau begins selection of Managing Directors of PSU Banks

By: |
Mumbai | May 30, 2016 1:41 PM

Former ED of a PSU bank, shunted out for dubious Dubai jewellery loan, also in race for top position.

Bank Board Bureau, BBB Selection, Bank Board Bureau MD selection, Public Sector banksThe Bank Board Bureau (BBB), set up by the Narendra Modi government, has kicked off the selection process of managing directors and CEOs of public sector banks. (Reuters)

The Bank Board Bureau (BBB), set up by the Narendra Modi government, has kicked off the selection process of managing directors and CEOs of public sector banks.

The body has conducted its maiden interviews for appointments of MDs & CEOs at three state-run banks and met as many 10 candidates who are currently serving as executive directors in various PSU banks, according to sources.

One of the interviewees was earlier shunted out by the government from a large PSU bank in connection with a dubious loan to Atlas group, a Gulf-based jewellery chain.

Among the candidates who appeared for the interview include K Veera Brahmaji Rao (Punjab National Bank), BK Divakara (Central Bank of India), Ravindra Prabhakar Marathe (Bank of India), Mukesh Kumar Jain (Punjab and Sind Bank), NK Sahoo (Allahabad Bank), K Venkata Rama Moorthy (United Bank of India), Charan Singh (UCO Bank), Pawan Kumar Bajaj (Indian Overseas Bank), AK Rath (Andhra Bank) and RK Gupta (Bank of Maharashtra).

The interviews which were held at the Reserve Bank office were for managing directors and chief executives for Indian Overseas Bank, United Bank of India and Bank of Maharashtra. This was the first job interview conducted by the BBB which started functioning from April 1 under the chairmanship of former national auditor CAG Vinod Rai.

It will be followed by the selection of executive directors of various public sector banks, though the process for the same is yet to begin.

The government has already split the chairman and MD post of PSU banks. Interestingly, BBB also interviewed the former executive director of a large PSU bank who was shunted out to a smaller bank on pending investigation into the 70 million dirham loan to the troubled Atlas Jewellery Group, when he was heading its Dubai branch of the large bank.

The RBI which had recently initiated a probe into the operations of the PSU bank’s Dubai branch had reportedly told the government that his continuance might lead to a conflict of interest.

Apart from Rai, the Bank Board Bureau comprises Anil Khandelwal (former chairman of Bank of Baroda), HN Sinor (former chief executive of the Indian Banks Association and the mutual funds body Amfi) and Roopa Kudva (former chief of Crisil). The ex-officio members of the Bureau are R Gandhi, RBI deputy governor, Anjuly Chibb Duggal, financial services secretary and Ameising Luikham, secretary, Department of Public Enterprises.

Last week, 14 chief general managers of SBI appeared for the interview for the post of deputy managing directors.

Apart from the 14 CGMs of the parent bank, three CGMs who are currently heading the associate banks of the SBI group were also interviewed.

There are around seven positions of DMDs to be filled up at the bank during the current financial year. Some of the top posts of SBI will be up for grabs this year. SBI Chairman Arundhati Bhattacharya, who got a three-year term, is due for her retirement in September, whereas VG Kannan, managing director of the bank, will be retiring next month.

The government is yet to make any decision on appointing a successor to Bhattacharya. Incidentally, RBI Governor Raghuram Rajan’s three-year tenure also ends in September this year.

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