Oriental Bank of Commerce(Merged Company Summary

Oriental Bank of Commerce (OBC) was started in Lahore, Pakistan in 19th February of the year 1943, made a modest beginning under its Founding Father, Late Rai Bahadur Lala Sohan Lal. OBC is a public sector bank. The bank operates into four business segments comprising of Treasury Operations, Corporate / Wholesale Banking, Retail Banking and Other Banking Business Operations. As on 31 March 2018, the banks total number of branches stood at 2,389 as against 2,376 as on 31 March 2017. As on 31 March 2018, the Bank has 2,632 ATMs/ Recyclers, which include 2,334 Onsite ATMs, 296 Offsite ATMs and 2 Mobile ATMs. In 1947, the Bank had to face the holocaust of partition. Branches in the newly formed Pakistan had closed down and the Registered Office had shifted from Lahore to Amritsar. In the year 1951, the registered office was relocated to Delhi. It was nationalized in April of the year 1980. In the year 1992, the merchant banking division of the bank was set up and the bank was authorized to act as a category-I merchant banker by SEBI. OBC launched the scheme christened The Comprehensive Village Development Programme on the auspicious day of Baisakhi, the 13th April of the year 1997 at three villages in Punjab namely Rurki Kalan (Distt. Sangrur), Raje Majra (Distt. Ropar) and Khaira Majha (Distt. Jaladhar) and two villages in Haryana, namely Khunga (Distt. Jind) and Narwal (Distt. Kaithal). Two Banks namely Punjab Co-operative Bank Ltd and Bari Doab Bank Ltd were amalgamated with the bank in the same year 1997. In the year 1998, the bank had joined hands with Citibank to launch OBC co-branded credit card. OBC had set up special branch and asset recovery branch, one each at Delhi and Mumbai in the year 1999. The Bank had opened specialised branch for women entrepreneurs in the year 2002 and also in the same year OBC made tie up with Corporation Bank to share each others ATM network. For the purpose of Centralised Banking Solution (CBS, OBC had joined hands with Infosys Technologies Ltd and Wipro Ltd in the year 2003. during the same year 203, the Bank and Small Industries Development Bank of India (SIDBI) had agreed to work on projects in the field of small-scale, infrastructure and service areas. As per the Banks IT Plan, the Bank had implemented Centralised Banking Solutions (CBS) with effect from March 2004. In the identical year 2004, OBC made tie up with New Holland Tractors and the Global Trust Bank was merged with the bank. The bank came out with a second public issue in 2005 whereby government holding reduced to 51%. During the year 2006, the Bank had signed the Memorandum of Understanding (MOU) with the IL & FS Investment Securities Ltd, for providing Online / Offline Share Trading facility for its customers. OBC had launched its Internet Banking Services (iBanking) in all CBS Branches of the Bank during November of the year 2006. In 2007, OBC had joined hands with Escorts Ltd, a tractor manufacturer for providing retail tractor finance to farmers. As of March 2007, the bank had signed the MOU with IDBI Capital Market Services for providing online share trading facility for its customers. In the same period Canara Bank, HSBC Insurance (Asia-Pacific) Holdings and the bank had signed a non-binding memorandum of understanding to jointly establish a life insurance company in India. The Bank had launched Oriental Bank Navkiran Deposit Scheme in February of the year 2008. Kotak Mahindra Asset Management Company entered into a distribution tie-up with OBC in March of the year 2008. The Joint Venture was made with Canara Bank and HSBC in 16th June of the year 2008 and the marketing of insurance products commenced through its branch network. During 2013-14, the bank raised Equity Capital by way of preferential allotment of shares to the Government of India by issuing 8087561 equity shares of Rs.10 each at an issue price of Rs.185.47 per share aggregating to Rs.150 crore on 12 December 2013 thus increasing the paid-up capital to Rs.299.85 crore.During FY 2013-14, the bank sold 25841life insurance policies with First Premium Collection of Rs.76.39 Crores and earned commission of Rs.6.99 Crores (Net). Besides, the bank also sourced 2684 certificates of insurance under Group Secure Scheme (GSS) for housing & education loan thereby collecting a premium of Rs.9.49 crores. The bank has been selling Oriental Mediclaim Policy since 3 October 2011 through its branches across the country. During the FY 2013-14, the bank marketed 28719 Oriental Mediclaim policies and collected a premium of Rs.11.80 crores thereby earning a net commission of Rs.1.77 crores.In FY 2013-14, for providing Online Trading facility to its Demat Account holders, the bank tied up with the M/s. IDBI Capital Market Services Ltd. & M/s. Karvy Stock Broking Limited. During the financial year 2013-14, the bank deployed 714 additional ATMs out of which 101 ATMs have been deployed at Metro locations, 126 ATMs have been deployed at Urban locations, 192 ATMs have been deployed at Semi-Urban locations and 295 ATMs at Rural Areas. During 2013-14, the Bank opened 126 new branches.During FY 2015-16, the bank sold 22999 life insurance policies on retail/Individual platform with First Premium Collection of Rs 97.06 Crores and has earned commission of Rs 11.46 Crores. Besides, the bank also sourced 2758 policies under Group Secure Scheme (GSS) for housing & education loan thereby collecting a premium of Rs 9.99 crores.The bank has been selling Oriental Mediclaim Policy since 3 October 2011 through its branches across the country. During the FY 2015-16, the bank marketed 51193 Oriental Mediclaim policies and collected a premium of Rs 23.41 crores thereby earning a commission of Rs 3.43 crores.During the year 2015-16, the bank handled 60 IPO/Rights issues.During 2015-16, the bank opened 100 new branches. Pursuant to the PSB Reforms Agenda of Govt. of India, the shareholders of the bank in the Extraordinary General Meeting held on 15 March 2018 approved, through special resolution, the issue and allotment of 28,65,97,110 equity shares of face value of Rs. 10/- each to Government of India at the rate of Rs. 124.60 per share (including premium). The Bank received a sum of Rs. 3571.00 crore on 27 March 2018 as contribution of the Central Government for preferential allotment of equity shares and the allotment was effected on 28 March 2018 upon receipt of all regulatory approvals.During FY 2017-18, the bank sold 28053 life insurance policies on retail/Individual platform with First Premium Collection of Rs. 183.25 Crores and has earned commission of Rs. 32.31 Crores. Besides, the bank also sourced 5287 policies under Group Secure Scheme (GSS) for Housing & Education Loan thereby collecting a premium of Rs. 18.38 crores.During the FY 2017-18, the bank marketed 64253 mediclaim/ health policies and collected a premium of Rs. 34.34 Crores thereby earning a commission of Rs. 3.06 Crores.During 2017-18, the bank opened 13 new branches.