United Bank of India
|Headquarters||Kolkata, West Bengal, India|
|Key people||Shri Deepak Narang (ED), Shri Sanjay Arya (ED)|
|Products||Finance and Insurance
|Owners||Government of India|
|Footnotes / references
United Bank of India (UBI) is an Indian government-owned financial services company headquartered in Kolkata, West Bengal, India. Presently the bank has a three-tier organizational setup consisting of its Head office in Kolkata, 35 Regional offices and 2001 branches spread all over India. However, its major presence is in eastern India. The bank has three full fledged overseas branches, one each at Kolkata, New Delhi and Mumbai. United Bank of India now aims to expand its international activities.
On 30 March 2009, the Indian government approved the restructuring of United Bank of India. The government proposed to invest 2.5 billion rupees in shares by 31 March and another 5.50 billion in the next fiscal year in Tier-I capital instruments. The move is part of the Indian government's program to improve the capital base of the state-owned banks.
UBI was the result of the merger in 1950 of four Bengali banks: Comilla Banking Corporation (founded by Narendra Chandra Dutta in 1914 in what is now Bangladesh), Bengal Central Bank (founded by Sri J.C. Das in 1918), Comilla Union Bank (founded by Sri L.B. Dutta in 1922) and Hooghly Bank (founded by Sri D.N. Mukherjeee 1932). All four had suffered runs in December 1950 after the failure of the Nath Bank. The Reserve Bank of India assisted the banks in amalgamating to form United Bank of India.
- 1961 UBI merged in Cuttack Bank (est. 6 June 1913) and Tezpur Industrial Bank (est. 6 June 1918, as the first commercial bank in Assam province).
- In 1965, the Government of Pakistan took over the bank's branches in Pakistan.
- 1969 On 19 July the Government of India nationalized UBI, along with 13 other major Indian commercial banks. At the time of nationalization UBI had only 174 branches.
- 1973 UBI acquired Hindustan Mercantile Bank (est. 1944).
- 1976 UBI acquired Narang Bank of India, which had been established in 1943 in Narang, Gujrat.
Awards/ certifications received by the Bank
|Year||Award and Recognition|
|2006||National Award for the second best performance in financing small scale units by Ministry of Small Scale Industries, Government of India|
|2007||Golden Jubilee Award for the best bank in north east zone for excellence in the field of khadi and village industries from the Ministry of MSME, Government of India|
|2008||National Award for the best bank for excellence in field of Khadi and village industries for east and north east zones from the Ministry of MSME, Government of India|
|2009||National Award under Prime Minister Employment Guarantee Programme in north east zone from the Ministry of MSME, Government of India|
Controversy over Non-performing Assets (NPAs)
In February 2014, an RBI-appointed forensic audit by Deloitte found serious lapses in the Non-performing asset detection system of the bank. It is yet to be established whether this oversight on the part of the bank was deliberate or unintentional.
The bank has reported a loss of Rs. 1,238 crore during Q3 of the 2013-14 fiscal year, resulting in a downgrade of its tier-II bonds by ICRA, an associate of Moody's Investor Service. United Bank of India's reported NPA of 10.82% is the highest in percentage among listed banks in India.
Delivery Channel Based Products of Bank
- United Bank of India Gets Indian Government Boots http://abclive.in/abclive_business/united_bank_india_restructuring.html
- Gill, Simran. "Is bad loan menace at United Bank of India a cover-up after serious lapses?". The Economic Times. Retrieved 14 February 2014.
- "NPA worries lead to UBI bond rating downgraded". Deccan herald. Retrieved 14 February 2014.
- "UBI reports Rs 1,238-cr loss". Business Standard. Retrieved 14 February 2014.