Bank Merger: Chief executives of Oriental Bank of Commerce, United Bank of India designated as OSD in PNB

Kolkata: The government has designated chief executives of Oriental Bank of Commerce (OBC) and United Bank of India (UBI) as “officers on special duty” in Punjab National Bank (PNB) following the merger of these three lenders. They are not assigned any portfolio so far.

On the other hand, Andhra Bank and Syndicate Bank CEOs retired on March 31, the day these banks ceased to exist, in the absence of any government communication, people familiar with the development said.

The fact that all of them had less than a year left in their service raised doubts on the criteria of such decision.

“It is unfortunate the way the government handled this issue,” one top bank executive said.

OBC chief executive Mukesh Kumar Jain, who is now in PNB will be retiring in July. UBI chief executive Ashok Kumar Pradhan will be retiring at the end of May from PNB.

The merger of PNB with OBC and UBI has created the country’s second largest state-owned bank with Rs 7.7 lakh crore advances.

Syndicate Bank CEO Mrutyunjay Mahapatra had two months left in the service while Andhra Bank chief J Packirisamy had 10 months.

Syndicate Bank was merged with Canara Bank. Andhra Bank and Corporation Bank were merged with Union Bank of India. all these mergers come to effect from April 1.

Corporation Bank chief executive PV Bharathi retired on March 31 which coincided with her scheduled superannuation day.

The merger between Indian Bank and Allahabad Bank did not have any such issue as Allahabad Bank CEO’s position was lying vacant for the past five months after SS Mallikarjuna Rao moved to PNB on October 1, 2019.

Meanwhile, the government transferred UBI executive director Ajit Kumar Das to Punjab & Sind Bank while Sanjay Kumar has moved to PNB as ED subsequent of the merger. Similarly, Allahabad Bank executive director K Ramachandran has moved to Indian Bank. Another Allahabad Bank executive director PR Rajagopal has been appointed as ED in Bank of India.

Source Article