Staff Reporter

Union Minister inaugurates bank branches at two places

PERAMBALUR: Massive industrial development projects, including setting up of a Special Economic Zone (SEZ), Jayamkondam Lignite Power Project and a private sector tyre manufacturing unit to come up in and around Perambalur, would facilitate growth of the banking industry in the district, the Union Minister for Communications and Information Technology, A. Raja, said here.

Speaking at functions to mark the inaugural of branches of Indian Bank at Ariyalur and Perambalur on Saturday, he said that steps were being taken to expedite the setting up of the SEZ and also for obtaining clearance from the Union Ministry of Environment for excavating lignite in Jayamkondam.

The Chairman and Managing Director of Indian Bank, M. S. Sundara Rajan, said that with the starting of these two branches, the bank’s number of branches stood at 1,474. In terms of Core Banking Solutions, the number shot up to 1,169. .The Ariyalur MLA, D. Amaramoorthy, pleaded for starting rural branches in and around Ariyalur particularly V. Kaikatti, Palayampadi, Rayapuram, Tirumanur, Keezha Pazhur, Keezha Kavattanpatti and Kandakudi.

The District Collector, Anil Meshram, was present. The Minister distributed loans to the tune of Rs.1.32 crore to 111 borrowers in and around Ariyalur and Perambalur. He also distributed passbooks to 164 customers, including 25 from Perambalur.


Select branches of Indian Bank will work on seven-day week basis for a few months for sanctioning educational loans, Mr. Sundara Rajan said. Addressing presspersons in Ariyalur, he said that since counselling sessions for admission to higher educational courses would be completed shortly, the bank anticipated a large number of applications for educational loans. In Tiruchi circle, three branches — Thillai Nagar, Srirangam and Ariyalur — would function seven days a week.

Last year, the bank sanctioned Rs. 352.25-crore loans to 31,141 students. During the current financial year, 5,079 students had been sanctioned Rs. 68.18 crore so far.

On the achievements of the financial inclusion programme being implemented by the bank, Mr. Sundara Rajan said that 3,92,822 accounts had been opened at about 800 branches. Although the bank had introduced ‘zero balance’ concept, these customers had deposited Rs. 11.73 crore.

The ‘overdraft scheme for health care programme’ with a maximum overdraft of Rs. 5,000 a customer has also gone down well with the customers. Loans to the tune of Rs.2.92 crore had been sanctioned to 41,378 customers so far. The recovery rate under the scheme was 99 per cent, he said.

arm credit to the tune of Rs.983.53 crore had been sanctioned to about 2.50 lakh farmers. It included 84,998 first-time borrowers who got Rs 286.92 crores. The bank sanctioned Rs 4 crore under ‘general credit card’ scheme to 5,192 persons to take up self-employment. Self-help groups availed loans to the tune of Rs. 121.28 crore during the financial year so far.

The outstanding dues amounted to about Rs. 4,856 crore in the farm sector, Rs. 601 crore from the SHGs; and Rs 783.21 from the educational loans, he said.