Amidst NPA driven policies, Government rejigs top management of seven PSBs

In a major restructuring in the public sector banking space, the government on Friday appointed heads of various lenders, beside making substantial amendments at Punjab National Bank and Bank of India.
 
Punjab National Bank’s MD Usha Ananthasubramanian is moved to Kolkata-headquartered Allahabad Bank, and the head of Bank of India, Melwyn Rego is shifted to the Syndicate Bank, while five others got promoted.
 
In the previous month, IDBI Bank head Kishor P Kharat was shifted to the Indian Bank, whereas Mahesh Kumar Jain of Indian Bank got shifted to IDBI Bank. Most of the rejigs came into play as the government’s concern over tackling non-performing assets grew.

Furthermore, Rajkumar Rai the executive director of Oriental Bank of Commerce, was appointed as the MD and CEO of Union Bank of India for three years, under an extendable contract.  
R Subramania Kumar is promoted to the post of MD and CEO, from his earlier role of an executive director of Indian Overseas Bank. Sunil Mehta, the executive director in Corporation Bank, is shifted to the second largest public sector bank, Punjab National Bank, as an MD.
 
Dinabandhu Mohapatra of Canara Bank is promoted to the post of MD and CEO of Bank of India whereas, R A Sankara Narayanan, the executive director in Bank of India is promoted as MD and CEO of Vijaya Bank. 
  
The bad loans of PSBs rose to by Rs 1 lakh crore to Rs 6.06 lakh crore in the last quarter of FY17 with power, steel, road infrastructure and textile sectors as the main contributors.