RBI does not have any 'magic wand' to bring United Bank on track: KC Chakrabarty

RBI does not have any 'magic wand' to bring United Bank on track: KC Chakrabarty
RBI Deputy Governor KC Chakrabarty said the Reserve Bank does not have any "magic wand" to bring back United Bank of India on track and the troubled lender's employees have to work hard to tide over the ongoing crisis, reported PTI.

"We have no magic wand to bring the bank back on track. The bank people have to work hard," he told reporters on the sidelines of an event.

Chakrabarty, as per the media reports, further said the staff of the Kolkata-based lender, which has been facing a slew of problems after its gross NPAs crossed 11 per cent in the December quarter, have to focus on improving asset quality, reduce operating expenses and mobilise more business. "We are only asking them to do good business," Chakrabarty said.

The RBI had on Tuesday appointed its chief general manager Parvathy V Sundaram, who is reportedly an expert on detecting frauds, on the UBI board. In the past, it also ordered special audits at the state-run bank.

Speaking to reporters, Chakrabarty said: "Once you declare NPAs, the basic lesson is very clear: don't hide NPAs, recover them."

Read more about: united bank of india
Story first published: Friday, March 21, 2014, 9:10 [IST]
Please Wait while comments are loading...
Company Search
Enter the first few characters of the company's name or the NSE symbol or BSE code and click 'Go'

Thousands of Goodreturn readers receive our evening newsletter.
Have you subscribed?