Though the Urban Cooperative Bank limited, Rourkela (UCBlR) has accumulated profit to the tune of Rs104.38 lakh in the financial year 2015-16 but it could not pay the dividend to its shareholders.
It is due to the continuous loss in previous years and NPA is more than 10 per cent, informed UCBlR president Rajesh Mohapatra in a Press briefing. Mohapatra further said his priority thrust is to make the bank a profitable one in a regular basis and once the goal is achieved for successful three years, the bank will apply the RBI seeking permission to give dividend to the shareholders.
Similarly in 2015-16, the bank was able to reduce gross NPA rate by 2.54 per cent and the gross NPA as on March 31, 2016 was 27.40 per cent in comparison to 29.93 per cent as on March 31, 2015. Similarly, the net NPA was 11.06 per cent as on March 31, 2016 in comparison to 15.55 per cent as on March 31, 2015.
Giving the brief financial position of the bank, Mohapatra said the bank’s authorized share capital is Rs 10 crore and the paidup share capital stands at Rs559.20 lakh with a total membership of 20,970.
The total deposits and advances position of the bank as on March 31 2016 are Rs10,962.81 lakh and Rs6,907.35 lakh respectively. But it got about Rs14.2 crore towards loan recovery from only 20 defaulters. That is the major setback for bank and about 21,000 shareholders are deprived of dividends for years together.
It may be noted here the area of operation of the bank covers whole revenue district of Sundargarh, Jharsuguda and Keonjhar, but it is presently functioning with five branches located at Uditnagar, Daily Market, Shaktinag and Fertiliser Township of Rourkela and one at Rajgangpur. The bank is running under CBS platform and has obtained the membership from NACH and is participating in CTS clearing.
The bank stands first in the State for its outstanding performance and has been felicitated in the 63rd All India Cooperative Week Celebration 2016 at Bhubaneswar, informed Mohapatra. Among others, vice-president Purnima Kerketta, CEO (I/c) RK Mishra, directors and bank officials were present.