MAHAKAUSHAL SE….

A MONTHLY COMPILATION OF BANK’S INSTRUCTIONS

BY

SBI, SBLC, JABALPUR (M.P)

AUGUST, 2009

STATE BANK OF INDIA TEAM SBLC JABALPUR

State Bank Learning Centre, Bharat Keswani
Scheme No.5, Vijaynagar, O.P.Baradia
JABALPUR- 482002 Satya Prakash
Ph-0761-2644321, 4042986 FAX-0761-2643596 Sushil Kumar Singh
E-Mail - cmstc.jabalpur@sbi.co.in Keshav Chugh
Rajesh Chourey
Dilip Guha
 PERSONAL BANKING SEGMENT
Master Circular Subject Matter Instructions
Sl.No.286/2009-10 PERSONAL BANKING For the circular under reference the product
Cir.No.NBG/PBU/PL- ADVANCES PERSONAL code for the new product is:
PENSION/7/2009-10 LOANS UNDER SBI
Dated August 01, 2009 LOAN TO AFFLUENT PRODUCT CODE DESCRIPTION
[Ref.Cir.No.PB/PL/5 dt. PENSIONERS 6350-7912 SBI Loan to
08.07.09]
Affluent pensioners

The maximum loan amount and maximum

loan term is of Rs.30000/- and 36 months
respectively.

Sl.No.300/2009-10 HOME LOANS- SBI MY In line with our objective of retaining

Cir.No.NBG/PBU/HL- HOME CAMPAIGN (8TH leadership through continuous product and
HOME LOANS/12/09-10 AUGUST 2009 TO 7TH process innovation, it has been decided to
Dated August 10, 2009 NOVEMBER 2009) conduct a campaign named “SBI My Home
Campaign” with effect from 8th August
2009 to 7th November 2009.

Loans sanctioned during the campaign must

be at least partially disbursed on or before 7th
November 2009. Home Loans sanctioned
during the campaign period will carry
attractive interest rates as under:

a) SBI Hi-Five Home Loan (New product

introduced specially for the campaign)-
Amount – Maximum Rs.5 Lacs.

Loan Term - Maximum 120 months (i.e. 10

years) including moratorium period.

Interest rate-8% p.a. Fixed interest rate during

first 60 months. 61st month onwards, the rate
will be reset with Floating rate at 2.75%
below SBAR or Fixed rate of 1.25 % below
SBAR as per the option exercised by the
customer at the time of sanction of loan.

Fixed rate shall be arrived at on the basis of

SBAR prevailing the time of reset.

2
Sl.No.300/2009-10… HOME LOANS- SBI MY b) SBI Easy Home Loan-
HOME CAMPAIGN (8TH Item Extant Revised
AUGUST 2009 TO 7TH instructions instructions during
NOVEMBER 2009)… SBI
My Home
Campaign.

Loan Amt. Maximum Maximum Rs.50

Rs.30 Lacs Lacs
Facility OD or TL OD or TL (Ceiling
of Rs.30 Lacs on
MaxGain Loan is
raised to Rs.50 Lacs
during the campaign
period)
Interest 8% p.a. 8% p.a.
during 1st
year
2nd & 3rd 9% p.a. 8.5% p.a.
year
Floating 2% below 2.75% below SBAR
interest SBAR, i.e.
rate after 9.75%
3rd year

Fixed 1% below 1.25 % below

interest SBAR with SBAR with reset
rate after reset frequency of 5
3rd year frequency of 5 years.
years
c) SBI Advantage Home Loan-
Extant Revised
instructions instructions
during SBI
My Home
Campaign

Loan amount Above Rs.30 Above Rs.50

Lacs Lacs
Interest during 8% p.a. 8% p.a.
1st year
2nd & 3rd year 9.50% p.a. 9.00% p.a.

Floating 1.5% below 1.75% below

interest rate SBAR, SBAR, i.e.
after 3rd i.e. 10.25% 10.00%
year

Fixed interest 0.50% below 0.75% below

rate after 3rd SBAR SBAR with
year with reset reset frequency
frequency of of 5 years.
5 years

3
Sl.No.300/2009-10…
Sl.No.301/2009-10
Cir.No.NBG/PBU/PL-
PENSION/8/2009-10
Dated August 10, 2009
[Ref.Cir.No.PB/PL/5 & 7 dt.
08.07.09 & 28.07.09
respectively]
Sl.No.302/2009-10
Cir.No.NBG/PBU/ HL-
HOME LOANS/13/09-10
Dated August 11, 2009
Sl.No.321/2009-10
Cir.No.NBG/PBU/ HL-
HOME LOANS/13/09-10
Dated August 11, 2009
Sl.No.329/2009-10
Cir.No.NBG/AL-CAR
LOANS/23/2009-10
Dated August 22, 2009
HOME LOANS- SBI MY For details on CBS codes, discretionary
HOME CAMPAIGN (8TH powers for concessions, processing fee,
AUGUST 2009 TO 7TH
NOVEMBER 2009)…
campaign targets and strategies etc., please
refer to the mentioned circular.
PERSONAL BANKING The maximum loan amount for Loan under
ADVANCES PERSONAL SBI Loan to Affluent Pensioners was
LOANS UNDER SBI mentioned as Rs.30000/- erroneously. It must
LOAN TO AFFLUENT be read as Rs.3 lacs as mentioned in the
PENSIONERS circular under reference.
HOME LOANS-SBI MY Enablers in the form of discretionary powers were
HOME CAMPAIGN vested with different Circle functionaries during
ENABLERS Home Loan T-100 Campaign which concluded on
31st March 2009, and later during Happy Home
Loan offer valid upto 30th September 2009. It has
been decided to continue the same during SBI My
Home Campaign, except for the discretion vested
with the Circle CGM for interest rate concession
which need not be continued in view of
exceptionally competitive interest rates under SBI
My Home campaign. For details on Interest rate
concessions, EMI/NMI ratio, Margin, need for
registration, CIBIL report Permissible quantum of
finance for Take Over, processing fee etc. please
refer to the mentioned circular.
WESTERN UNION An incentive scheme has been launched with
MONEY TRANSFER a view to increase the market share and
(WU)-CAMPAIGN achieve 5% share in Western Union
15.08.2009 TO 31.12.2009 Remittance Business and claim the No. 2
position. The campaign period is from
15.08.2009 to 31.12.2009. For the details of
the scheme and procedure for selection of
Branch, please refer to the mentioned circular.
PERSONAL BANKING A large number of SBI Nano Booking–
ADVANCES- NANO Funding Loan (SNBF) customer’s allotment
CAR LOAN REVIVAL of Nano Car, were cancelled by the branches
OF CANCELLED and refund claimed as the allotees have not
BOOKINGS BASED ON turned up to the branches within the stipulated
APPLICANT REQUEST period of time for conversion. When
cancellation requests along with the
documents are received by Tata Motors Ltd.,
(TML) the cancellations are processed and
refunds issued. TML has started sending the
refunds to Bank and the amount is being
credited to the centralized account of SBI.
4
Sl.No.329/2009-10…
Sl.No.351/2009-10
Cir.No.NBG/PBU/LIMA-
TD/7/2009-10
Dated August 26, 2009
[Ref.Cir.No.NBG/PBBU/LIMA
/11 dt.16.10.08,PBBU/AL/1/17
dt. 02.07.09]
Sl.No.355/2009-10
Cir.No.NBG/PBU/PL-
STUDENT/09/2009-10
Dated August 27, 2009
[Ref.MasterCir.No.PBU/
PL/EL/1 dt. 31.3.09]
PERSONAL BANKING CMP, CAG is transferring the proceeds to Branch
ADVANCES- NANO CAR GL account as per the list provided by TML for
LOAN REVIVAL OF ultimate credit to the customers SNBF account.
CANCELLED BOOKINGS Many customers are now approaching our
BASED ON APPLICANT
branches to revive the Nano allotment after the
REQUEST…
cancellations have been initiated by them. TML
has come out with a new process by which
customers can revive their successful allotments
or retentions. For the salient features of the
process as advised by TML, please refer to the
mentioned circular.
PERSONAL BANKING- RBI has issued revised guidelines on the
PAYMENT OF procedure in respect of Term Deposit accounts
INTEREST ON frozen by the enforcement authorities.
ACCOUNTS FROZEN Existing Procedure Revised Procedure
BY BANK A request letter may A request letter may
be obtained from the be obtained from the
Customer for renewal Customer for renewal
for a term equal to the for a term, as per his
original term, on choice, on maturity.
maturity.
Accordingly, while obtaining the request letter
from the depositor for renewal, please advise him
to indicate the term for which the deposit is to be
renewed. In case the depositor does not exercise
his option of choosing the term for renewal, the
deposit may be renewed for a term equal to the
original term. All other instructions/procedures
will remain unchanged.
PERSONAL BANKING Indian Banks’ Association has recently advised
ADVANCES- SBI the following changes in fee structure for merit
STUDENT LOAN seats in Private Self Financing Colleges,
SCHEME MODEL Cooperative and colleges run by Universities for
Teacher Training Course/Nursing Course/B.Ed.
EDUCATION LOAN
which may be followed. These are “Teacher
SCHEME- CHANGES-
TEACHER TRAINING/ Training Course/Nursing Course/B.Ed., will
NURSING/B.ED. be eligible for education loan provided the
COURSES training institutions are approved either by the
Central Government or by State Government
and such courses should lead to Degree or
Diploma Course and not to Certification
Course. The fees to be considered for the
purpose should be the fees structure as
approved by State Government or a
Government approved Regulatory Body for
merit seats in Government/Private Self
Financing colleges, Cooperative and
Colleges run by Universities, as the case
may be.”
5
 AGRICULTURE BANKING BUSINESS
Master Circular
Sl.No.289/2009-10
Cir.No.NBG/ABU/PDM-
KUY/10/2009-10
Dated August 03, 2009
[Ref.Cir.No. ABU/PD&M/Cir-
09/ 2008-2009 dt.11.07.09&MF
/SHG /CC /Cir (L)No - 8
dt.14.1107]
Sl.No.336/2009-10
Cir.No.NBG/ABU/PDM-
RURGOD/11/2009-10
Dated August 24, 2009
[Ref.Cir.No. ABU/PD& M/
Cir.18/08-09 dt.31.10.08]
Subject Matter Instructions
AGRI BUSINESS- The financing instructions to Joint Liability
FINANCING TO TENANT Groups to the Tenant farmers, share
FARMERS, SHARE croppers etc. was advised vide the circular
CROPPERS AND LESSEE under reference. The Govt. of India has also
FARMERS directed to finance 2.5% of Crop loans to
tenant farmers, share croppers and lessee
farmers. While financing to these categories
of farmers, the operating staff should
consider/record the following points in
appraising such proposals.
i) Written/Oral arrangement for tenant
amount, crop share, lessee amount with
landlords to be ascertained and recorded in
the appraisal form.
ii) Period of lessee, tenancy and share
cropping.
iii) While calculating economic viability,
the expected ability of the farmer to produce
i.e. yield/acre, average sale price of produce
for last 3 years and amount to be paid to the
landlord on account of tenancy/lessee/crop
share and other liabilities in connection with
the crop production.
AGRI BUSINESS Rural Godown projects promoted by
CENTRAL SECTOR farmers (other than women farmers) are
SCHEME FOR eligible for subsidy at the rate of 25% of the
CONSTRUCTION/RENOV capital cost of the godown subject to
ATION/EXPANSION OF Maximum of Rs 46.87 lacs under the
RURAL GODOWNS captioned scheme. Non-farmers on the other
FARMER CATEGORY- hand, are eligible for subsidy at the rate of
CLARIFICATION 15% of the capital cost. A farmer for this
purpose was defined as a person whose
main source of income is from agriculture.
However, there was no clarity on what
documentary evidence should be taken as
proof for determining the farmer category.
In this regard, Directorate of Marketing &
Inspection (DMI) has since clarified as
under:
i) In the case of promoter who was filing
Income tax returns, copies of the IT returns
of the last three years may be scrutinized for
deciding his/her major source of income and
6
Sl.No.336/2009-10… AGRI BUSINESS CENTRAL Accordingly the category could be decided.
SECTOR SCHEME FOR ii) In case of promoter who was not filing
CONSTRUCTION/RENOVATIO
N/EXPANSION OF RURAL
IT returns, an affidavit to the effect ‘that his
GODOWNS FARMER /her major source of income is from
CATEGORY- CLARIFICATION. agriculture’ may be obtained by the
financing bank, along with Tehsildar’s
certificate, and the farmer/non-farmer
category could be accordingly decided.
Sl.No.343/2009-10 AGRI BUSINESS- The Commercial Test Reports in respect of
Cir.No.NBG/ABU/PDM- FINANCING OF the tractors as per Annexure has been
TRACTOR/12/2009-10 TRACTORS RELEASE OF released by Ministry of Agriculture,
Dated August 24, 2009 COMMERCIAL TEST Department of Agriculture and co-
[Ref.Cir.No.ABU/ PD& M/ Cir.- REPORTS operation, Government of India, New Delhi.
14 /07-08 dt.28.03.08] As advised by the GOI, the tractor models
listed in the Annexure (enclosed) have
completed commercial test at CFMMTI,
Budni and reported to conform to the
essential parameter requirements of
Minimum Performance Standards (MPS).
Sl.No.344/2009-10 AGRI BUSINESS- Subsidy under captioned scheme is
Cir.No.NBG/ABU/PDM- CAPITAL INVESTMENT disbursed through four heads of accounts,
CS/13/2009-10 SUBSIDY SCHEME FOR viz., National Horticultural Mission (NHM
Dated August 24, 2009 CONSTRUCTION/EXPAN specified districts), Technology Mission for
SION/MODERIZATION OF hilly and tribal areas (Uttarakhand, HP,
COLD STORAGES FOR J&K), Technology Mission for North east
HORTICULTURE region and NHB (excluding North East
PRODUCE Region and hilly states). NABARD has
circularized the procedure to be followed
for claiming both pending and fresh subsidy
claims, as clarified by NHB. For details,
please refer to the mentioned circular.
Sl.No.345/2009-10 AGRI BUSINESS- Various statements of Honourable Prime
Cir.No.NBG/ABU/BP- FAILURE OF MONSOON Minster and Honorable Minister of Finance
MASCIR/06/2009-10 DROUGT CONDITION on failure of monsoon and drought situation
Dated August 24, 2009 RELIEF MEASURES TO in country have appeared in the press and
[Master Cir.No.ABU/BP&M/ BE UNDERTAKEN BY other media. The Bank has already
AKD/09-10/4 dt.30.05.09 (vide THE BANK circulated the guidelines for relief measures
page no.07-08 para 09, page no.
10 para 14 and page no. 11 para
by Bank in areas affected by natural
15)] calamities vide circular under reference.
Accordingly Circles have urgently to take
stock of the situation and initiate steps
besides other strategy detailed in aforesaid
circulars. For the details of the steps to be
followed, please refer to the mentioned
circular.

7
Sl.No.347/2009-10
Cir.No.NBG/ABU/PDM-
KUY/14/2009-10
Dated August 25, 2009
[Ref.Cir.No.ABU/PD&M/
04/2009-10 dt. 01.08.09]
INTERNATIONAL BANKING BUSINESS
Sl.No.308/2009-10
Cir.No.IBG/FD/FD-
NRRVOS/30/2009-10
Dated August 12, 2009
AGRI BUSINESS- The correction in the first sentence of the
FINANCING TO TENANT circular under reference has been advised
FARMERS, SHARE vide the mentioned circular. Accordingly,
CROPPERS AND LESSEE the same should be read as under:
FARMERS ‘Refer to Circular No. ABU/PD&M/Cir-
09/2008-09 dated 11th July, 2008 on
individual financing and Circular No.
MF/SHG/CC/Cir(L) No. 8 dated 14th
November,2006 on financing to Joint
Liability Groups (JLGs) respectively
wherein we have advised for financing to
the captioned categories of farmers.
(GLOBAL MARKETS UNIT)
NEPAL SBI BANK The revised procedure for inward remittances
LIMITED (NSBL) RUPEE from and outward remittances to Nepal SBI
DRAWING Bank Ltd. Is as under:
ARRANGEMENT
CHANGE IN A. INR draft issued by NSBL
DESIGNATED BRANCH In terms of revised agency arrangements with
NSBL, all drawee SBI branches (of all
Circles) will pay the drafts by debit to
NSBL’s Vostro account No. 30424461683
with International Services Branch,
Mumbai (ISBM). The operating branches
will have to process these transactions
relating to NSBL account through the Vostro
module in CBS. As the Purpose code is
mandatory in Vostro module for R-return
purpose, paying branches will have to select
some purpose code from the drop- down (may
be the default value itself).
As these transactions are not computed for R-
return purpose, the input related to R-return
will be merely captured in CBS but will not
be included in the R-return output of the
Home branch. At the time of posting debits,
CBS will validate three fields’ viz., DD
number, date of issue and amount.
No INR draft will be payable by debit to
their Vostro accounts with KMB / BBRB.
8
Sl.No.308/2009-10… NEPAL SBI BANK LIMITED B. INR draft issued by SBI Branches on
(NSBL) RUPEE DRAWING NSBL Cover funds for all INR drafts issued
ARRANGEMENT CHANGE
IN DESIGNATED BRANCH…
on NSBL by SBI branches (all Circles) will
be credited to NSBL’s Vostro account no.
11143642853 with KMB. While crediting the
Vostro account with KMB, SBI branches
should offer individual credit for each draft
issued, quoting the draft number and should
NOT offer a consolidated credit for several
drafts issued on a day.
C. NSBL will keep an average balance
equivalent to one week’s INR drafts issued by
them in their Vostro account with ISBM for
payment of drafts. NSBL will also furnish an
authority to ISBM to debit their Vostro
account with KMB whenever there is
shortage of funds.
D. SWIFT Remittance
For SWIFT remittances, both inward and
outward, only NSBL’s Vostro account no.
11143642853 with KMB should be
exclusively used by our branches (all Circles)
for obtaining reimbursement and crediting
cover funds, respectively. Account with
BBRB will continue till all the DDs issued by
NSBL upto 16.08.2009 is paid and the
account is reconciled.

Revised procedure shall come into effect from

17th August, 2009.

Sl.No.326/2009-10 R-RETURNS- BANK Submission of the R-Return has now

Cir.No.IBG/FD/FD- WIDE CONSOLIDATION stabilized, However, certain errors/
MISC/31/2009-10 RECTIFICATION OF inconsistencies continue to occur and are
Dated August 22, 2009 ERROR IN SUBMITTED persistent in nature. Most of the errors are
FETERS FILES BY common in nature and are avoidable through
BRANCHES meticulous compliance of instructions
ADHERENCE TO TIME contained in our earlier Circulars.
LIMIT FOR
SUBMISSION The detailed guidelines for information and
meticulous compliance by operating staff to
avoid further recurrences of the same have
been given in the mentioned circular.
For details, please refer to the mentioned
circular.

9
Sl.No.327/2009-10 ISSUE OF INDIAN In order to facilitate the eligible companies
Cir.No.IBG/FD/FD- DEPOSITORY RECEIPTS resident outside India to issue Indian
MISC/32/2009-10 (IDRs) Depository Receipts (IDRs) through a
Dated August 22, 2009 Domestic Depository and to permit persons
resident in India and outside India to
purchase, possess, transfer and redeem IDRs,
it has been decided and advised by RBI vide
their A.P. (DIR Series) No 05 dated 22.07.09
to operationalise the IDR Rules, notified by
the Government of India, as amended from
time to time, with immediate effect.
Accordingly, eligible companies’ resident
outside India may issue Indian Depository
Receipts (IDRs) through a Domestic
Depository. For details, please refer to the
mentioned circular.

CREDIT POLICY AND PROCEDURE DEPARTMENT

Master Circular Subject Matter Instructions
Sl.No.296/2009-10 FORWARD CONTRACTS & Circles/Business units have sought for
Cir.No.CCO/CPPD- DERIVATIVES number of clarifications relating to the
ADV/38/2009-10 OPERATIONAL instructions issued by Global Markets
Dated August 08, 2009 GUIDELINES Department on Operational Guidelines on
[Ref.CPP/JLJ/Cir/109 dt. CLARIFICATIONS Forward Contracts & Derivatives vide
14.03.09] circular under reference. Comments on
the queries have been given in the
mentioned circular which is self
explanatory. For details, please refer to
the circular.
Sl.No.304/2009-10 RUPEE EXPORT CREDIT The Reserve Bank of India vide their
Cir.No.CCO/CPPD- INTEREST RATES circular no. RBI/2009-10/110 DBOD.
EXPORTCREDIT/39/ INTEREST SUBVENTION Dir. (Exp). BC No. 6/04.02.001/2009-10
2009-10 EXPORT CREDIT TO dated July 31, 2009 have decided to
Dated August 11, 2009 CERTAIN EMPLOYMENT extend the interest subvention of 2% on
[Ref.CPP/SKM/Cir/01 dt. ORIENTED EXPORT export credit for a further period of six
30.03.09] SECTOR months i.e .from October 1, 2009 till
March 31, 2010 to the same sectors and
on the same terms and conditions.
Accordingly, the rates for rupee export
credit to specified category of exporters
as advised in our above referred circular
will continue to be applicable upto March
31, 2010, under the same terms and
conditions.

10
Sl.No.315/2009-10
Cir.No.CCO/CPPD-
CP/40/2009-10
Dated August 14, 2009
[Ref.CPP/JLJ/Cir/29,42 & 11 dt.
22.07.08, 11.09.08 & 14.05.08
respectively]
Sl.No.316/2009-10
Cir.No.CCO/CPPD-CRA
RATING/41/2009-10
Dated August 14, 2009
[Ref.CPP/JLJ/CIR/18 dt.
03.06.09]
Sl.No.320/2009-10
Cir.No.CCO/CPPD-
ADV/42/2009-10
Dated August 18, 2009
[Ref.CPP/CIR/SKY/41 dt.
10.09.09]
COMPETITIVE PRICING The authority structures for permitting
competitive pricing was advised vide
circulars under reference. Existing
discretionary structure for competitive
pricing has been revised and advised vide
this circular. For details, please refer to
the mentioned circular.
BASEL II It has been advised by the Global IT
IMPLEMENTATION Centre, Belapur, that w.e.f. 05.08.2009,
MIGRATION TO INTERNAL necessary changes have been
RATING BASED APPROACH incorporated in the system to link the
LINKING OF INTEREST interest rates to CRA Rating Grades from
RATES TO CRA RATING SB1 to SB16, in respect of CC/OD
accounts. Since the changes in interest
rates will affect the interest income, it is
imperative that the ratings as per the new
CRA Model are keyed in by the Branches
in a time bound manner, before the end of
the current month. To ensure recovery of
appropriate rates of interest in CBS, the
operating units should adhere to the
following timelines:
(i) Branches to complete keying in of new
Rating by 25.08.2009
(ii) Confirmation by the Branches to their
Controllers that new Rating has been
incorporated in case of all eligible
borrowers by 30.08.2009. For this
purpose a Nodal Officer may be
identified by the Circles in CCFO
Department to consolidate the
information and submit the same to the
Risk Management Department, Corporate
Centre.
(iii) Circles/SBUs to confirm to
Corporate Centre by 06.09.2009.
CREDIT DELIVERY- The circular under reference enclosed the
REVISED FORMAT ‘S’ modified 'S' format. Section 1 of the
format contains Borrower's profile. A
need has now been felt that the
borrower's profile should also include
information on Promoters of the
Company and the Group to which it
relates. Accordingly, it has now been
decided to modify Section 1 (a) of the format.
For details, please refer to the mentioned
circular.
11
Sl.No.356/2009-10
Cir.No.CCO/CPPD- COMMITTEES
ADV/43/2009-10 OBSERVATIONS
Dated August 28, 2009
[Ref.CPP/CIRLTR/BSG/07 dt.
06.05.2000]
Sl.No.357/2009-10 ISSUE OF GUARANTEE BY
Cir.No.CCO/CPPD-BANK BANKS
GUARANTEE/44/2009-10
Dated August 28, 2009
CENTRAL OFFICE CREDIT The circular under reference provided the
illustrative list of standard texts to be used for
recording and communicating the decisions
of the credit committees to ensure uniformity.
It has been felt that the basis for considering
a remark as an observation or as a condition
needs to be logically explained and it is
desired that the operating functionaries at the
Circle level will internalise the same and
would reflect the committee’s views correctly
while drawing up resolutions. There has to be
a clear statement and unambiguous
distinction between a condition and an
observation. A condition needs to be carried
out and fulfilled within a specific timeframe.
Otherwise there has to be specific waiver
permitted by the appropriate authority. On
the other hand an observation is a direction to
the operating functionaries to pursue a
particular course of action which may result
in accretion of business or mitigation of risk
for the Bank. Therefore, with the support of a
few illustrative examples mentioned in the
Annexure-I to the circular, reiterate the
logical underpinning of treating a particular
comment as an observation or as a condition.
This will be advised to the Circles to ensure
that committee views are correctly
documented which would not only result in
proper compliance but would also result in
enforcement of the effective credit discipline.
Issuing of guarantees by banks on behalf
of corporate entities in respect of Non-
Convertible Debentures (NCDs)/bonds or
debt instruments is not permissible.
Although RBI has not permitted issue of
guarantees by banks on behalf of
corporate entities in respect of NCDs/
Debt instruments as mentioned above it
has clarified that guarantees may be
issued by banks favouring FIs/other
banks/other lending agencies for loans
extended by them. However, SBI in terms
of para 4.26 of Bank’s Loan Policy has
taken a decision not to issue such
guarantees for domestic operations.
Further, the Bank will also not undertake
the business of co-acceptance of bills of
its constituents.
12
 SME BUSINESS UNIT
Master Circular Subject Matter Instructions
Sl.No.285/2009-10 SME BU-DEALER FINANCE The largest steel making company in the
Cir.No.NBG/SMEBU- FOR DEALERS OF STEEL country SAIL has appointed around 2400
DAD CAMPAI/27/09-10 AUTHORITY OF INDIA dealers across 600 districts in the country.
Dated August 01, 2009 LTD (SAIL) The annual off take of the dealers is
expected to touch one million tonne for a
value of around Rs.3500 Crores. The
Bank has a scheme to finance dealers of
SAIL on the under noted terms &
conditions:
Purpose Working Capital
Facility
Nature FB Working Capital
Limit
Turnover Min turnover of Rs.
1.00 Crore with SAIL
Profit Profitable for the last 2
yrs.
Repayment on Demand, yearly
renewal
Tenure 30 Days
For details, please refer to the mentioned
circular.
Sl.No.287/2009-10 NEW PENSION SCHEME New Pension System for every citizen
Cir.No.NBG/SMEBU- was introduced on the 1st May, 2009 by
NPS/28/09-10 Provident Fund Regulatory and
Dated August 03, 2009 Development Authority (PFRDA) to
provide old age income security to
citizens in the age group of 18-55. State
Bank of India has been selected as a Point
of Presence (POP) and our 25 branches
are presently participating as Point of
Presence- Service Provider (POP-SP) for
registering the citizens under the scheme
and remitting their subscriptions. Details
of the scheme is as under:
1. NPS is a voluntary Pension
System of Provident Fund
Regulatory & Development
Authority (PFRDA) open to all
citizens of the country in the age
group of 18-55 years. The scheme
is operative since 01.05.2009.

13
Sl.No.287/2009-10… NEW PENSION SCHEME… 2. PFRDA have identified financial
institutions like Banks, including
State Bank of India and its all
Associate Banks, as Points of
Presence (POP).
3. Each POP has designated a few of
their branches as Service Providers
(SPs) for Registration and
Remittance work under NPS.
These are called Point of Presence-
Service Provider (POP-SP).
4. As soon as a subscriber decides to
join NPS, he/she has to approach a
POP-SP, get his/her KYC done
and fill in a form (available on
PFRDA website:
http://pfrda.org.in) for getting
registered under the system. POP-
SP uploads the information to
Central Recordkeeping Agency
(CRA).
5. CRA intimates to the Subscriber
his/her Permanent Pension
Account Number (PRAN).The
PRAN stays with the rest of life of
the Subscriber and he/she has to
refer to this number in all
transaction/correspondence
relating to NPS.
6. A subscriber can open the account
with a minimum subscription
amount of Rs 500/-.There is no
restriction on the maximum
amount of subscription.
7. A subscriber has to deposit a
minimum amount of Rs 6000/- in
a year.

Website of PFRDA can also be logged in

through SBTimes.

For details, please refer to the mentioned

circular.

14
Sl.No.288/2009-10 REVISED LIABILITY Budget for the sales teams have been
Cir.No.NBG/SMEBU- TARGETS FOR SALES reviewed & revised as under:
LIP/29/09-10 TEAM A. RM (ME)
Dated August 03, 2009 At Metro Centers

A minimum of 2 Power Pack
A/cs (with QAB of Rs.5,00,000)

2 Power Gain A/cs (with QAB
of Rs.1,00,000)

1 Power Jyoti A/C( A fee
income product)

2 Institutional A/cs
At Urban Centers

A minimum of 1 Power Pack or 2
Power Gain accounts

1 Power Jyoti A/c or 2 SBI Sahaj
(with QAB of Rs.1000)

2 SBI Shakti A/cs (with QAB of
Rs.20,000)

2 Institutional A/cs
b. CRE (ME)
At Metro Centers

1 Power Pack A/c

1 Power Gain A/c

2 SBI Shakti A/cs or 4 SBI
Sahaj A/cs (with QAB of
Rs.1000)

2 Institutional A/cs
At Urban Centers

1 Power Pack or 1 Power Gain
A/c

1 SBI Shakti A/c or 2 SBI Sahaj
A/cs

1 Institutional A/c
c. MPST –:
At Metro Centers

Minimum of Rs .80 lacs per
Sales Executive per month out
of which 25% should be in the
form of Demand Deposits
At Urban Centers
Minimum of Rs .60 lacs per Sales
Executive per month out of which 20%
should be in the form of Demand
Deposits.

15
Sl.No.309/2009-10
Cir.No.NBG/SMEBU-
TIEUP/GEH/30/2009-10
Dated August 13, 2009
Sl.No.310/2009-10
Cir.No.NBG/SMEBU-
INFUND/31/2009-10
Dated August 13, 2009
[Ref. SME/696 dt. 30.12.2005]
Sl.No.319/2009-10
Cir.No.NBG/SMEBU-
DOWNTURN/32/2009-10
Dated August 17, 2009
EQUIPMENT FINANCE The Bank has entered into an equipment
TIE UP WITH GE finance arrangement with GE Healthcare
HEALTHCARE (GEH) (GEH) to provide finance to the buyers of
medical/healthcare equipments; these
would mainly be the doctors in private
practice, nursing homes, hospitals, and
diagnostic centers. GE has agreed to give
us the support in sale of repossessed
equipments on a best efforts basis, in the
event of any default from the buyer. The
terms and conditions for finance are as
given in Annexure 1 of the said circular.
SMEBU- INVENTORY The letter under reference detailed the
FUNDING FOR DEALERS arrangement with Hyundai Motors India
OF HYUNDAI MOTORS Limited (HMIL) for inventory funding of
INDIA LIMITED (HMIL) their dealers across the country wherein
Bank had centralized sanction of dealer
accounts at Delhi LHO. However, as this
was causing delays arising out of time
taken by branches to do KYC and advise
the CPC at Delhi LHO, it has been
decided that the sanction will be done by
the respective Circles at the NWCC/CCC.
For details, please refer to the mentioned
circular.
SMALL & MEDIUM In the light of the recommendations of the
ENTERPRISES BU Working Group under the Chairmanship
SBI SCHEME FOR ONE TIME
SETTLEMENT OF NPAs IN SME of Dr. K C. Chakrabarty, Reserve Bank of
(SBI OTS-SME, 2009) India vide its circular RPCD.SME &
NFS.BC.No.102/06.04.01/2008-09 dated
4th May,2009 desired that a non
discretionary & non discriminatory One
Time Settlement Scheme for recovery of
non performing loans be put in place for
MSE sector by the banks. Accordingly,
the Executive Committee of Central
Board has approved a scheme on
13.08.2009 which will be known as SBI
Scheme for One Time settlement of NPAs
in SME (SBI OTS-SME, 2009), details of
which are enclosed in the circular along
with clarifications for smooth operation of
the scheme. The intimation to the Credit
Guarantee Fund Trust is required to be given
prior to entering into OTS in such accounts
which are covered under CGTMSE scheme.
16
Sl.No.319/2009-10… SMALL & MEDIUM Salient Features :
ENTERPRISES BU-SBI SCHEME
This will be a non discretionary
FOR ONE TIME SETTLEMENT
OF NPAs IN SME (SBI OTS-SME,
and non discriminatory scheme.
2009)…
Last date of Receipt of
Application: The application
will be received under the
scheme till the close of business
on 30th September, 2009.

Last Date for Processing
Applications: Applications
received from the eligible
borrowers will be processed till
31st October, 2009.

Last date for final payments:
Last date for final payment of
the amount of compromise will
be 31.03.2010.
Coverage :

All NPAs in the SME sector,
classified as doubtful or loss on or
before 31st March 2009, with
outstanding balance of Rs.25 lacs.
and below on the date on which
the account was classified as
doubtful.
For details, please refer to the mentioned
circular.

Sl.No.353/2009-10 SME BU-MODIFICATION The following modifications are now

Cir.No.NBG/SMEBU- IN THE EXISTING TERM being carried out in the scheme. Certain
MSME/33/09-10 STRUCTURE OF SCHOOL modifications have been carried out in the
Dated August 27, 2009 PLUS scheme. The complete details of the
[Ref. SME/T&S/CIR-11/2004- scheme are given in Annexure to the
05 dt. 15.03.05] circular. For details, please refer to the
mentioned circular.

17
 MISCELLANEOUS
Master Circular Subject Matter Instructions
BANKING RATIONALISATION OF On review of the Inter Core Transaction
SERVICE CHARGES SME Charges based on the feedback received
OPERATIONS BUSINESS UNITS- from the customers and other
DEPARTMENT REVISION IN INTER CORE developments, it has been decided to
TRANSACTION CHARGES revise the Service Charges and the
Sl. No.306/2009-10
authority structure to grant concessions as
Cir.No.NBG/BOD-
detailed in the enclosed circular. The same
GB/28/2009-10
will be effective after one month from the
Dated August 12, 2009
date of the circular. For details, please
refer to the mentioned circular.

Sl. No.307/2009-10 CHEATING ATTEMPT In view of continuance of receipt of hoax

Cir.No.NBG/BOD- HOAX TELEPHONE CALLS telephone calls to unauthorisedly collect
FMC/29/2009-10 IN THE NAME OF SENIOR funds from our various offices, there is
Dated August 12, 2009 OFFICERS OF THE BANK urgent need to caution and alert the staff
against such attempts to cheat by taking
the name of senior officials of the Bank or
otherwise.

Meanwhile, for the convenience and ready

reference of the operating staff, the steps
to be taken, if such a call is received by
branch officials are detailed in the
mentioned circular. For details, please
refer to the mentioned circular.

Sl. No.325/2009-10 IBA SCHEME FOR Further to e-Circular No.

Cir.No.NBG/BOD- RECOMMENDING NBG.BOD.IBA.23/2009-10 dated
GB/30/2009-10 TRANSPORT OPERATORS 18.06.2009, in regard to list of Transport
Dated August 21, 2009 ADDITIONS/RENEWALS/ Operators recommended by the Indian
WITHDRAWALS/NON- Banks’ Association (IBA), to the member
RENEWALS/CHANGES banks, the mentioned circular encloses
DURING THE PERIOD 1ST statements showing:
JUNE 2009 TO 30TH JUNE (1) Additions
2009 (2) Renewals
(3) Withdrawals / Non – renewals &
(4) Changes
taken place during the period 1st June
2009 to 30th June 2009 for being
incorporated in the list. For details, please
refer to the mentioned circular.

18
Sl. No.364/2009-10 TELEGRAPHIC ADDRESS With the change in operating architecture
Cir.No.NBG/BOD- OF BRANCH DISCONTINU- of the Bank, communication revolution
GB/31/2009-10 ATION WITH EFFECT which has swept the Country, availability
Dated August 29, 2009 FROM 1ST OCT,2009 of public communication facilities like
fax, internet, SWIFT et al, setting up of
Bank’s own communication backbone
with IP phones, intranet etc., the use of
telegrams as a means of communication
has dwindled/stopped. It has been decided
to withdraw the instruction for registration
/continuation of telegraphic address of
branches/offices of the Bank w.e.f. 1st
October 2009.
GOVERNMENT GOVERNMENT BUSINESS- Investors under Senior Citizens Savings
MISC. DEPOSIT SCHEME Scheme 2004 (SCSS) are eligible to file
ACCOUNTS SENIOR CITIZENS form 15-G and 15-H to claim exemption
DEPARTMENT SAVINGS SCHEME-2004 from TDS on the interest payable on the
(SCSS) ACCEPTANCE OF deposits under the said scheme. Further,
Sl.No.295/2009-10
15-G FROM NOMINEES in terms of RBI letter No. DGBA.
Cir.No.NBG/GAD-
CDD.H- 10566/15.15.001/2008-09 dated
SCSS/4/2009-10
05.06.2009 Central Board of Direct Taxes
Dated August 05, 2009
[Ref.Ltr.No.GAD/MSD/RDM/1
have advised that nominee of investors of
038 dt.13.06.09] SCSS can also produce 15-G form
(declaration of non deduction of tax from
the amount of interest payable) at the time
of payment after the death of depositor.
PERSONNEL & PAYMENT OF DEARNESS It has been advised by Indian Banks’
ALLOWANCE FOR THE Association that the quarterly average of
HRD MONTHS OF AUGUST the All India average Consumer Price
Sl.No.297/2009-10 2009 SEPTEMBER 2009 Index number for industrial workers (base
Cir.No.CDO/P&HRD- AND OCTOBER 2009 1960 = 100) for the quarter ended June
IR/32/2009-10 2009 was 3454.32 as against 3378.23 for
Dated August 10, 2009 the previous quarter. Accordingly,
dearness allowance payable to workmen
employees and officers for the months of
August‘09, September ’09 & October
2009 stands revised. For details, please
refer to the mentioned circular.

19
Sl.No.314/2009-10 DEARNESS RELIEF Based on the quarterly average of the All
Cir.No.CDO/P&HRD- PAYABLE TO BANK'S India Consumer Price Index figures for
IR/33/2009-10 PENSIONERS FOR THE Industrial Workers (base 1960=100) for
Dated August 14, 2009 MONTHS AUGUST 2009 TO the quarter ended June 2009, the rates of
JANUARY 2010 dearness relief payable to the pensioners
DEARNESS RELIEF for the period August 2009 to January
PAYABLE TO FAMILY 2010 will stand revised as per Annexure I
PENSIONERS FOR THE for Pensioners & Annexure II for Family
MONTHS AUGUST 2009 TO Pensioners enclosed to the mentioned
JANUARY 2010 circular which may be referred for further
details.
Sl.No.317/2009-10 STAFF- SUPERVISING Originally, the normal tenure of officers
Cir.No.CDO/P&HRD- DEPUTATION TO on mobile duty to the Inspection &
IR/34/2009-10 INSPECTION & Management Audit Department (I&MA),
Dated Aug 17, 2009 MANAGEMENT AUDIT Hyderabad was fixed at 3-3 ½ years as
DEPTT., HYDERABAD mentioned in the I&MA Deptt.’s
REDUCTION IN THE Handbook on Staff Matters (1997
NORMAL TENURE OF edition). Subsequently, due to various
DEPUTATION FROM 5 reasons and over a period of time, the
YEARS TO 4 YEARS tenure of officers at the Department
increased to beyond 5 years. In order to
ensure that the annual repatriation
exercise of the I&MA Deptt. is done in a
smooth manner and the Department has
adequate number of officers at its
disposal, it has been decided by the
competent authority that the normal tenure
of officers for deputation to the I&MA
Deptt. be henceforth reduced to 4 years
from 5 years at present.
Sl.No.318/2009-10 STAFF- OFFICERS The appeals will be submitted online by
Cir.No.CDO/P&HRD- PROMOTIONS TO THE the officer through a link provided in
CM/35/2009-10 GRADES OF SMGS- Personnel & HRD site in SBI Times
Dated August 17, 2009 IV/SMGS-V (GENERAL which is available to all officers. An
BANKING) AND UPTO officer has to furnish the details in the
SMGS-V (SPECIALIST- Appeal Form (Annexure A) through the
NON BANKING CADRE) site. After filling all columns, he/she has
PROMOTION YEAR 2009-10 to submit his/her appeal. A unique number
APPEAL- ONLINE would instantly be generated which has to
SUBMISSION be noted for future reference. The officer
would be required to send an e-mail to
cadre.mgmt@sbi.co.in from his/her
personal e-mail id of SBI confirming the
submission of the appeal quoting his/her
appeal number. This would be
acknowledged through e-mail.

20
Sl.No.318/2009-10... STAFF- OFFICERS The officer would then submit a hard copy
PROMOTIONS TO THE GRADES of the appeal to his/her controller for their
OF SMGS-IV/SMGS-V (GENERAL
BANKING) AND UPTO SMGS-V
comments and onward submission to us.
(SPECIALIST- NON BANKING No annexure need to be attached at the
CADRE) PROMOTION YEAR time of submission of appeal at this stage
2009-10-APPEAL- ONLINE (i.e., at the time of submission through
SUBMISSION… Personnel & HRD site or sending copy
through controllers). If the appellant is
shortlisted for interview, he/she may
submit the annexure(s) to the Appellate
Authority at the time of interview. It has
also been decided to restrict the length of
appeal to maximum 1000 words. For
details, please refer to the mentioned
circular.
Sl.No.322/2009-10 STAFF-OFFICER The procedure for online submission of
Cir.No.CDO/P&HRD- PROMOTION YEAR 2009- appeal has been circulated vide circular under
CM/36/2009-10 2010-PROMOTION TO reference. The revised procedure is effective
Dated August 21, 2009 SMGS-IV/ SMGS-V- with immediate effect. Some Circles have
[Ref.Cir.No.CDO/P&HRD- already circularized the results and 30 days
ONLINE SUBMISSION OF
CM/35/2009-10 dt.17.08.09] time from the date of the circular has been
APPEAL
given to those officers who can prefer appeal
as per the extant policy. Since it has been
decided that the appeals can be submitted
online only from the current year, the officers
who have already submitted their appeals are
required to resubmit as per the new procedure.
The time of 30 days will be given to officers
from the date of issue of this circular, i.e.,
from 21.08.2009. An aggrieved officer can
submit his/her appeal within 30 days from the
date of issue of this circular. For details,
please refer to the mentioned circular.
Sl.No.323/2009-10 STAFF-OFFICER It has been decided by the Appropriate
Cir.No.CDO/P&HRD- PROMOTION YEAR 2009- Authority that 124 Officers MMGS-III
CM/37/2009-10 2010- PROMOTION TO from Corporate Centre & its
Dated August 21, 2009 SMGS-IV- FINAL RESULT establishments, whose names are set out
OF CANDIDATES in the enclosed list be promoted to the
APPEARING FROM CC & Senior Management Grade Scale-IV with
ESTABLISHMENTS effect from 17th July, 2009, under Rule 17
of State Bank of India Officers' Service
Rules, subject to satisfactory medical
reports of these officers and provided no
disciplinary proceedings are pending
against the officer(s) and there is nothing
else rendering them ineligible for
promotion. For details, please refer to the
mentioned circular.

21
Sl.No.324/2009-10 STAFF- OFFICER It has been decided by the Appropriate
Cir.No.CDO/P&HRD- PROMOTION YEAR 2009- Authority that 109 Officers SMGS-IV
CM/38/2009-10 2010-PROMOTION TO from Corporate Centre & its
Dated August 21, 2009 SMGS-V-FINAL RESULT establishments, whose names are set out
OF CANDIDATES in the enclosed list be promoted to the
APPEARING FROM CC & Senior Management Grade Scale-V with
ESTABLISHMENTS effect from 27th July, 2009, under Rule 17
of State Bank of India Officers' Service
Rules, subject to satisfactory medical
reports of these officers and provided no
disciplinary proceedings are pending
against the officer(s) and there is nothing
else rendering them ineligible for
promotion. For details, please refer to the
mentioned circular.
Sl.No.349/2009-10 BONUS FOR THE Minimum Bonus is payable to eligible
Cir.No.CDO/P&HRD- ACCOUNTING YEAR employees at 8.33% of the salary/wages,
PM/39/2009-10 1.4.2008 TO 31.3.2009 subject to maximum of Rs 3,500/-. Where
Dated August 25, 2009 the salary/ wage of an employee exceeds
Rs 3,500/- per mensem, the bonus payable
to such employees is to be calculated as if
his salary/ wage were Rs.3500/- per
mensem. As such, employees whose
salary/wage exceeds Rs.3500/- per
mensem but does not exceed Rs 10000/-
per mensem shall get bonus on a salary/
wage of Rs 3,500/-. For details, please
refer to the mentioned circular.
CASH MANAGEMENT At the request of PAE Ltd., Account No.
CASH PRODUCT (CMP)- 30810752809 it has been decided by the
MANAGEMENT PAE LIMITED, MUMBAI- appropriate authority to extend the facility of
payment of their Final Dividend Warrants for
PRODUCT PAYMENT OF DIVIDEND
2008-2009 "AT PAR" at ALL branches of
Sl.No.290/2009-10 WARRANTS THROUGH
State Bank of India through Core banking
Cir.No.CAG/CMP-DW/15/ CBS Solution through Menu "+Service Branch/
2009-10 Clearing House - Dividend Warrant" Payment
Dated August 04, 2009 only. For details, please refer to the
mentioned circular.
Sl.No.291/2009-10 CASH MANAGEMENT At the request of Sudarshan Chemical
Cir.No.CAG/CMP-DW/16/ PRODUCT (CMP)- Industries Ltd., Account No. 30810496901
2009-10 SUDARSHAN CHEMICAL it has been decided by the appropriate
Dated August 04, 2009 INDUSTRIES LIMITED, authority to extend the facility of payment of
their Final Dividend Warrants for 2008-2009
PUNE-PAYMENT OF
"AT PAR" at ALL branches of State Bank
DIVIDEND WARRANTS of India through Core banking Solution
THROUGH CBS through Menu "+Service Branch/ Clearing
House-Dividend Warrant" Payment only. For
details, please refer to the mentioned circular.

22
Sl.No.292/2009-10 CASH MANAGEMENT At the request of Universal Cables Ltd.,
Cir.No.CAG/CMP-DW/17/ PRODUCT (CMP)- Account No. 30833032283 it has been
2009-10 UNIVERSAL CABLES decided by the appropriate authority to
Dated August 04, 2009 LIMITED, SATNA (M.P.)- extend the facility of payment of their
PAYMENT OF DIVIDEND Final Dividend Warrants for 2008-2009
WARRANTS THROUGH "AT PAR" at ALL branches of State
CBS Bank of India through Core banking
Solution through Menu "+Service Branch/
Clearing House - Dividend Warrant"
Payment only. For details, please refer to
the mentioned circular.

Sl.No.330/2009-10 CASH MANAGEMENT At the request of Nissan Copper Ltd.,

Cir.No.CAG/CMP-DW/18/ PRODUCT (CMP)- Account No. 30830361719 it has been
2009-10 NISSAN COPPER LIMITED, decided by the appropriate authority to
Dated August 22, 2009 GUJARAT-PAYMENT OF extend the facility of payment of their
DIVIDEND WARRANTS Final Dividend Warrants for 2008-2009
THROUGH CBS "AT PAR" at ALL branches of State
Bank of India through Core banking
Solution through Menu "+Service Branch/
Clearing House - Dividend Warrant"
Payment only. For details, please refer to
the mentioned circular.

Sl.No.331/2009-10 CASH MANAGEMENT At the request of Coromandel Fertilisers

Cir.No.CAG/CMP-DW/19/ PRODUCT (CMP)- Ltd., Account No. 30799795708 it has been
2009-10 COROMANDEL decided by the appropriate authority to extend
Dated August 22, 2009 FERTILISERS LIMITED, the facility of payment of their Final Dividend
SECUNDRABAD- Warrants for 2008-2009 "AT PAR" at ALL
branches of State Bank of India through
PAYMENT OF DIVIDEND
Core banking Solution through Menu
WARRANTS THROUGH "+Service Branch/ Clearing House - Dividend
CBS Warrant" Payment only. For details, please
refer to the mentioned circular.

Sl.No.333/2009-10 CASH MANAGEMENT At the request of Alkali Metals Ltd.,

Cir.No.CAG/CMP-DW/21/ PRODUCT (CMP)- Account No. 30780097816 it has been
2009-10 ALKALI METALS decided by the appropriate authority to
Dated August 22, 2009 LIMITED, HYDERABAD- extend the facility of payment of their
PAYMENT OF DIVIDEND Final Dividend Warrants for 2008-2009
WARRANTS THROUGH "AT PAR" at ALL branches of State
CBS Bank of India through Core banking
Solution through Menu "+Service Branch/
Clearing House - Dividend Warrant"
Payment only. For details, please refer to
the mentioned circular.

23
Sl.No.334/2009-10 CASH MANAGEMENT At the request of Dynamatic Technologies
Cir.No.CAG/CMP-DW/22/ PRODUCT (CMP)- Ltd., Account No. 30755412140 it has been
2009-10 DYNAMATIC decided by the appropriate authority to extend
Dated August 22, 2009 TECHNOLOGIES LIMITED, the facility of payment of, their Final
Dividend Warrants for 2008-2009 "AT
BANGALORE-PAYMENT
PAR" at ALL branches of State Bank of
OF DIVIDEND WARRANTS
India through Core banking Solution through
THROUGH CBS Menu "+Service Branch/ Clearing House -
Dividend Warrant" Payment only. For
details, please refer to the mentioned
circular.

Sl.No.335/2009-10 CASH MANAGEMENT At the request of India Glycols Ltd.,

Cir.No.CAG/CMP-DW/23/ PRODUCT (CMP)- Account No. 30845292385 it has been
2009-10 INDIA GLYCOLS LIMITED, decided by the appropriate authority to extend
Dated August 22, 2009 UTTARAKHAND- the facility of payment of their Final Dividend
Warrants for 2008-2009 "AT PAR" at ALL
PAYMENT OF DIVIDEND
branches of State Bank of India through
WARRANTS THROUGH Core banking Solution through Menu
CBS "+Service Branch/ Clearing House - Dividend
Warrant" Payment only. For details, please
refer to the mentioned circular.

Sl.No.337/2009-10 CASH MANAGEMENT At the request of Tata Motors Ltd.-‘A’

Cir.No.CAG/CMP-DW/24/ PRODUCT (CMP)-TATA Ordinary shares, Account No. 30852757183
2009-10 MOTORS LTD.-‘A’ it has been decided by the appropriate
Dated August 24, 2009 ORDINARY SHARES, authority to extend the facility of payment of
their Final Dividend Warrants for 2008-2009
MUMBAI-PAYMENT OF
"AT PAR" at ALL branches of State Bank
DIVIDEND WARRANTS of India through Core banking Solution
THROUGH CBS through Menu "+Service Branch/ Clearing
House - Dividend Warrant" Payment only.
For details, please refer to the mentioned
circular.

Sl.No.338/2009-10 CASH MANAGEMENT At the request of Hindusthan National

Cir.No.CAG/CMP-DW/25/ PRODUCT (CMP)- Glass & Industries Ltd., Account No.
2009-10 HINDUSTHAN NATIONAL 30847549454 it has been decided by the
Dated August 24, 2009 GLASS & INDUSTRIES appropriate authority to extend the facility
LTD., KOLKATA- of payment of their Final Dividend
PAYMENT OF DIVIDEND Warrants for 2008-2009 "AT PAR" at
WARRANTS THROUGH ALL branches of State Bank of India
CBS through Core banking Solution through
Menu "+Service Branch/ Clearing House -
Dividend Warrant" Payment only. For
details, please refer to the mentioned
circular.

24
Sl.No.339/2009-10 CASH MANAGEMENT At the request of Tata Motors Ltd.-
Cir.No.CAG/CMP-DW/26/ PRODUCT (CMP)-TATA Ordinary shares, Account No. 30852729439
2009-10 MOTORS LTD.-ORDINARY it has been decided by the appropriate
Dated August 24, 2009 SHARES , MUMBAI authority to extend the facility of payment of
their Final Dividend Warrants for 2008-2009
PAYMENT OF DIVIDEND
"AT PAR" at ALL branches of State Bank
WARRANTS THROUGH
of India through Core banking Solution
CBS through Menu "+Service Branch/ Clearing
House - Dividend Warrant" Payment only.
For details, please refer to the mentioned
circular.
Sl.No.340/2009-10 CASH MANAGEMENT At the request of Tata Steel Ltd.-Equity
Cir.No.CAG/CMP-DW/27/ PRODUCT (CMP)-TATA shares, Account No. 30851388364 it has
2009-10 STEEL LTD.-EQUITY been decided by the appropriate authority to
Dated August 24, 2009 SHARES , MUMBAI extend the facility of payment of their Final
Dividend Warrants for 2008-2009 "AT
PAYMENT OF DIVIDEND
PAR" at ALL branches of State Bank of
WARRANTS THROUGH India through Core banking Solution through
CBS Menu "+Service Branch/ Clearing House -
Dividend Warrant" Payment only. For
details, please refer to the mentioned
circular.
Sl.No.346/2009-10 CASH MANAGEMENT At the request of Pennar Industries Ltd.,
Cir.No.CAG/CMP-DW/30/ PRODUCT (CMP)- Account No. 30856833446 it has been decided by
the appropriate authority to extend the facility of
2009-10 PENNAR INDUSTRIES payment of their Final Dividend Warrants for
Dated August 25, 2009 LIMITED, HYDERABAD- 2008-2009 "AT PAR" at ALL branches of State
PAYMENT OF DIVIDEND Bank of India through Core banking Solution
WARRANTS THROUGH through Menu "+Service Branch/ Clearing House -
CBS Dividend Warrant" Payment only. For details,
please refer to the mentioned circular.

Sl.No.350/2009-10 CASH MANAGEMENT At the request of Salora International Ltd.,

Cir.No.CAG/CMP-DW/31/ PRODUCT (CMP)-SALORA Account No. 30808942500 it has been decided by
the appropriate authority to extend the facility of
2009-10 INTERNATIONAL LTD., payment of their Final Dividend Warrants for
Dated August 25, 2009 NEW DELHI-PAYMENT OF 2008-2009 "AT PAR" at ALL branches of State
DIVIDEND WARRANTS Bank of India through Core banking Solution
THROUGH CBS through Menu "+Service Branch/ Clearing House -
Dividend Warrant" Payment only. For details,
please refer to the mentioned circular.
Sl.No.354/2009-10 CASH MANAGEMENT At the request of Mundra Port And Special
Cir.No.CAG/CMP-DW/32/ PRODUCT (CMP)-MUNDRA Economic zone Ltd., Account No.
2009-10 PORT AND SPECIAL 30859083646 it has been decided by the
Dated August 27, 2009 ECONOMIC ZONE LTD. appropriate authority to extend the facility of
payment of their Final Dividend Warrants for
AHMEDABAD-PAYMENT
2008-2009 "AT PAR" at ALL branches of
OF DIVIDEND WARRANTS
State Bank of India through Core banking
THROUGH CBS Solution through Menu "+Service Branch/
Clearing House - Dividend Warrant" Payment
only. For details, please refer to the
mentioned circular.

25
Sl.No.358/2009-10 CASH MANAGEMENT At the request of DCW Ltd., Account
Cir.No.CAG/CMP-DW/33/ PRODUCT (CMP)-DCW No. 30864313279 it has been decided by
2009-10 LIMITED, DHRANGADHRA the appropriate authority to extend the
Dated August 28, 2009 (GUJARAT)-PAYMENT OF facility of payment of their Final Dividend
DIVIDEND WARRANTS Warrants for 2008-2009 "AT PAR" at
THROUGH CBS ALL branches of State Bank of India
through Core banking Solution through
Menu "+Service Branch/ Clearing House -
Dividend Warrant" Payment only. For
details, please refer to the mentioned
circular.
Sl.No.360/2009-10 CASH MANAGEMENT At the request of Welspun Gujarat Stahl
Cir.No.CAG/CMP-DW/35/ PRODUCT (CMP)- Rohren Ltd., Account No. 30848102245 it
2009-10 WELSPUN GUJARAT has been decided by the appropriate authority
Dated August 28, 2009 STAHL ROHREN LTD., to extend the facility of payment of their Final
GUJARAT-PAYMENT OF Dividend Warrants for 2008-2009 "AT
PAR" at ALL branches of State Bank of
DIVIDEND WARRANTS
India through Core banking Solution through
THROUGH CBS Menu "+Service Branch/ Clearing House -
Dividend Warrant" Payment only. For
details, please refer to the mentioned
circular.
Sl.No.361/2009-10 CASH MANAGEMENT At the request of Balaji Amines Ltd.,
Cir.No.CAG/CMP-DW/36/ PRODUCT (CMP)-BALAJI Account No. 30848924130 it has been
2009-10 AMINES LIMITED, decided by the appropriate authority to extend
Dated August 28, 2009 SECUNDERABAD- the facility of payment of their Final Dividend
Warrants for 2008-2009 "AT PAR" at ALL
PAYMENT OF DIVIDEND
branches of State Bank of India through
WARRANTS THROUGH Core banking Solution through Menu
CBS "+Service Branch/ Clearing House - Dividend
Warrant" Payment only. For details, please
refer to the mentioned circular.
Sl.No.363/2009-10 CASH MANAGEMENT At the request of Adani Enterprises Ltd.,
Cir.No.CAG/CMP-DW/37/ PRODUCT (CMP)- Account No. 30854753607 it has been decided by
ADANI ENTERPRISES LTD. the appropriate authority to extend the facility of
2009-10 payment of their Final Dividend Warrants for
Dated August 29, 2009 AHMEDABAD-PAYMENT OF
2008-2009 "AT PAR" at ALL branches of State
DIVIDEND WARRANTS
Bank of India through Core banking Solution
THROUGH CBS through Menu "+Service Branch/ Clearing House -
Dividend Warrant" Payment only. For details,
please refer to the mentioned circular.
Sl.No.365/2009-10 CASH MANAGEMENT At the request of Pudumjee Pulp & Paper Mills
Cir.No.CAG/CMP-DW/38/ PRODUCT (CMP)- Ltd., Account No. 30864003006 it has been
decided by the appropriate authority to extend the
2009-10 PUDUMJEE PULP & PAPER facility of payment of their Final Dividend
Dated August 29, 2009 MILLS LIMITED, PUNE- Warrants for 2008-2009 "AT PAR" at ALL
PAYMENT OF DIVIDEND branches of State Bank of India through Core
WARRANTS THROUGH banking Solution through Menu "+Service Branch/
CBS Clearing House -Dividend Warrant" Payment
only. For details, please refer to the mentioned
circular.

26
Sl.No.366/2009-10 CASH MANAGEMENT At the request of Zee News Ltd., Account
Cir.No.CAG/CMP-DW/39/ PRODUCT (CMP)-ZEE No. 30863746420 it has been decided by the
2009-10 NEWS LIMITED, MUMBAI- appropriate authority to extend the facility of
Dated August 31, 2009 PAYMENT OF DIVIDEND payment of their Final Dividend Warrants for
2008-2009 "AT PAR" at ALL branches of
WARRANTS THROUGH
State Bank of India through Core banking
CBS
Solution through Menu "+Service Branch/
Clearing House - Dividend Warrant" Payment
only. For details, please refer to the
mentioned circular.
Sl.No.367/2009-10 CASH MANAGEMENT At the request of Gillanders Arbuthnot &
Cir.No.CAG/CMP-DW/40/ PRODUCT-DIVIDEND Co. Ltd., Account No. 30856930891 it has
2009-10 WARRANT 2008-09 been decided by the appropriate authority to
Dated August 31, 2009 GILLANDERS-ARBUT extend the facility of payment of their Final
Dividend Warrants for 2008-2009 "AT
HNOT & CO. LTD.
PAR" at ALL branches of State Bank of
MUMBAI India in India through Core banking Solution
through Menu "+Service Branch/ Clearing
House - Dividend Warrant" Payment only.
For details, please refer to the mentioned
circular.

GLOBAL-IT REQUEST FOR Over a period of time it has been found

INDEPENDENT DOMAIN that various branches/administrative units/
CENTRE NAME REGISTRATION- application owners have hosted their own
Sl.No.298 /2009-10 NEW WEB FACING web sites for different purposes. While
Cir.No.IT/GLOBALIT- APPLICATION OTHER most of these sites are informational,
INB/10/2009-10 THAN INTERNET some of them are transactional with
Dated August 10, 2009 BANKING-POLICY various web facing applications running.
DECISION New informational web sites and internet
IMPLEMENTATION front end for the applications continue to
be developed to meet the niche
requirements of our customers. In view of
the strong brand name the domain names
www.onlinesbi.com and www.sbi.co.in
command today, and in view of the
advantages of a single domain name
presence in the cyberspace, it has now
been decided to implement a “single
domain name policy” to be adopted and
applied across all web facing banking
applications and informational web sites
on offer from SBI. While as per the policy
the transactional sites will be registered as
sub domains of www.onlinesbi.com, the
informational sites will be registered as
sub domains of www.sbi.co.in.

27
Sl.No.298 /2009-10… REQUEST FOR INDEPENDENT Internet Banking department, GITC has
DOMAIN NAMEREGISTRATION- been identified as the nodal department
NEW WEB FACING
APPLICATION OTHER THAN
for the purpose of this exercise. As per the
INTERNET BANKING-POLICY ‘single domain name policy’ the
DECISION IMPLEMENTATION… branches/administrative units/application
owners proposing to create a new web site
–transactional or informational, must
henceforth approach the Internet Banking
department. For details, please refer to the
mentioned circular.
Sl.No.328 /2009-10 HARDWARE PURCHASE- Procurement of computer hardware, i.e.
Cir.No.IT/GLOBALIT- POLICY SAFEGUARDS TO File Server, PCs, terminals, workstations,
ITSS/11/2009-10 PROTECT AGAINST thin clients, LCD Monitors, printers, and
Dated August 22, 2009 DEFAULT BY VENDORS other peripherals, LAN infrastructure and
related maintenance support and services
is being done through the panel of
approved vendors. In view of complaints
received from various offices with regard
to defaults by vendors either by way of
delay in supply of equipment or
backtracking on commitments by vendors,
detailed procedure has been given in the
mentioned circular. For details, please
refer to the mentioned circular.

Sl.No.348 /2009-10 ATM- PROCEDURE FOR The extant instructions as specified in the
Cir.No.IT/GLOBALIT- CASH REPLENISHMENT ATM Manual (June 2008- 15.01.02) for
ITSS/12/2009-10 loading of cash in ATMs specifies that
Dated August 25, 2009 physical cash is to be loaded in the
respective cassettes, denomination wise
and the admin is to be increased
accordingly. Tallying of physical cash in
the ATM Cassettes with the counters in
the Supervisory Mode and the Admin
Balance should be ensured. The activity
must be duly recorded in the Register for
Cash Loading in the ATM. In view of the
observation that some branches are
placing the cash in the Vault Area of the
ATM which is fraught with risk, it is
advised that physical cash is loaded only
in the respective ATM cassettes
(denomination wise) and not loaded
outside the specified area like the vault
area, etc.

28
Sl.No.362 /2009-10
Cir.No.IT/GLOBALIT-
ITSS/13/2009-10
Dated Augusts 29, 2009
SYSTEMS AND
PROCEDURES
DEPARTMENT
Sl.No.303/2009-10
Cir.No.NBG/S&P-SP/10/
2009-10
Dated August 11, 2009
[Ref. Bank Book of Instructions-
Para 42 -55,Vol.IV-
Miscellanous
Business,BOD/S&PC/MMR/
5526 dt. 08.01.2000]
DISCONTINUATION OF Consequent upon migration of all the
BANKMASTER SOFTWARE Bankmaster branches of State Bank Group
ERASING OF-BANK- on Core Banking platform it was decided
MASTER LICENCE by the Bank to discontinue the usage of
/MANUALS/APPLICATION- Bankmaster software and terminate the
IMPLEMENTATION OF licence agreement with Software
INTERIM ALTERNATE Licensor. Bankmaster Software licence
SOLUTION agreement is terminating w.e.f.
16.09.2009.Circles/Departments/Branches
must ensure erasing/deletion of
Bankmaster Programmes licences,
manuals etc. well before 16.09.2009.
SC/DDP AUTOMATION As per the Cheque Collection Policy-
(NON CCPC CENTERS)- 2009 approved by the Bank and
LEVERAGING circulated, the branches are required to
FUNCTIONALITY IN CBS dispose off at their end only, the cheques,
FOR CHEQUE received across the counter or through the
COLLECTION Drop Box, drawn on local or outstation
branches of the Bank. Outstation cheques
drawn on our own branches are not
required to be sent for local clearing or as
SC/DD. The instructions apply to all
Market Segments. Further, at the centers
where Speed Clearing is operational, the
cheques drawn on CBS enabled branches
of other banks are not required to be sent
for collection but can be presented to the
drawee bank in local clearing for
payment.
To leverage the CBS functionality and
infuse efficiency and improvement in
collection /DD Purchase system of the
Bank, all branches/offices transacting
collection of instruments drawn on
outstation branches of Other
Banks/Associate Banks at centers where
we are established will follow the SC/DD
automation instructions as per the draft
circular enclosed with the mentioned
circular as approved by the appropriate
authority, while handing collections/DDP
business. For details, please refer to the
mentioned circular.
29
PRECIOUS BULK SALE GOLD COINS- Many customers approach our Bank for
DISCOUNTS ON BULK buying SBI Gold Coins in bulk.
METAL SALES-SBI GOLD COINS Sometimes for participating in the tenders
DEPARTMENT floated by PSUs, Cos. and organizations
desirous of buying our regular or
Sl.No.293/2009-10
customized gold coins in bulk quantities.
Cir.No.MCG/PMD-
Such customers expect some discount and
GOLDCOIN/2//2009-10
the delays in getting the discount approval
Date August 04, 2009
from appropriate authority causes loss to
the business opportunity.

In view of the above, the appropriate

authority has approved the following
authority structure to facilitate fast
decisions regarding offering discounts at
the local level.

For SBI Coins (Total quantity 500 gm

or more)-
Discount Authority
Up to 2% on card Circle GMs/MCG
rate GMs/CAG GM
Up to 3% on card CGM (MCG)
rate
Above 3% on card DMD (MCG)
rate
Sl.No.294/2009-10 RETAIL SALE GOLD COINS There has been a growing demand for
Cir.No.MCG/PMD- DISCOUNT ON offering some discount to members of our
GOLDCOIN/3//2009-10 PURCHASES MADE BY staff if they want to purchase State Bank
Date August 04, 2009 STAFF MEMBERS of India gold coins. Staff members can be
a good segment to target our gold coin
products.

Consequently it has been decided by the

appropriate authority to permit a discount
of 1.5% on card rate of gold coins across
all denominations. However, the discount
is permissible for purchases made by debit
to his/her own account.

This discount is not to be clubbed with

any other discount/ concession. The
branch heads of the selling branches can
authorize the above mentioned discount at
the time of the purchase by staff members.

30
Sl.No.299/2009-10
Cir.No.MCG/PMD-
GDS/4/2009-10
Date August 10, 2009
[Ref.Cir.No.CPP/BSG/ Cirlr/27
dt. 12.08.2000,CO/BOD/GB/
4894 dt. 07.12.1999 & e-cir.
No.MCG/PMDGDS/1/08-09 dt.
17.01.09]
Sl.No.313/2009-10
Cir.No.MCG/PMD-
GML/5/2009-10
Date August 14, 2009
Sl.No.352/2009-10
Cir.No.MCG/PMD-
GDS/6/2009-10
Date August 26, 2009
[Ref.e-Cir.No.299/09-10,
Department Cir.No.MCG/ PMD-
GDS/4/09-10 dt.10.08.09]
GOLD BANKING- The guidelines on extending Rupee loans
RUPEE LOANS AGAINST against the Gold Deposit Certificates
GOLD DEPOSITS issued for deposits accepted under old
Gold Deposit Scheme were advised vide
the circular under reference. The
guidelines on Rupee loan on gold deposits
contained therein have been reviewed in
the light of the modifications to Gold
Deposit Scheme. Rupee loans against
Gold Deposits can be extended at any
branch of the Bank and .the Gold Deposit
Certificate has been classified as a
‘Specified Security’ for the purpose of
Delegation of Financial Powers. For
details, please refer to the mentioned
circular.
GOLD BANKING-GOLD The interest rates on Metal Gold Loans have
METAL LOAN SCHEMES- since been revised as under and the revised
REVISION IN INTEREST interest rates will be effective for fresh Metal
RATES Gold Loans sanctioned on or after 10.08.2009.
Security Existing Proposed
Type Rate Rate
Cash 6.00 5.00
Security
BG 6.25 5.75
Cash Credit 6.50 6.00
Cash security means only balances in CA, SB
A/c and TDRs/STDRs and not lien marked in
cash credit a/c etc. In view of the reduction in
interest rates and availability of gold stocks
for loan purpose from new overseas suppliers
with whom Bank has finalized arrangements,
branches will aggressively market our product
and bring more jewelers to Bank’s books
through giving more Gold Metal Loans.
GOLD BANKING The revised guidelines for extending Rupee
RUPEE LOANS AGAINST loans against the Gold Deposit Certificates
GOLD DEPOSITS issued for deposits accepted under new Gold
Deposit Scheme (GDS) re-launched on
16.03.2009 were advised vide the circulars
under reference. Modifications in the old
instructions vis-a-vis revised instructions in a
tabular form have been given in the circular.
For details, please refer to the mentioned
circular.
31
ORGANISA- RETAIL ASSET CENTRAL Business Process Re-engineering Project,
PROCESSING CENTRE Corporate Centre, Mumbai has issued the
TIONAL (RACPC) VERSION 2- Retail Assets Central Processing Centre
PLANNING PROCESS MANUAL (RACPC) Version 2 -Process Manual (as
on 15th May 2009). For details, please
DEPARTMENT refer to the mentioned circular/manual.
Sl.No.305/2009-10
Cir.No.CDO/ORG-BPR
MANUALS/2/2009-10
Dated August 12, 2009
Sl.No.311/2009-10 RETAIL ASSET CENTRAL Business Process Re-engineering Project,
Cir.No.CDO/ORG-BPR PROCESSING CENTRE Corporate Centre, Mumbai has issued the
MANUALS/3/2009-10 (RACPC) END STATE Retail Assets Central Processing Centre
Dated Aug 13, 2009 MODEL-ROLE MANUAL (RACPC) End State Model- Role Manual
(AS ON 15TH MAY 2009) (as on 15th May 2009). For details, please
refer to the mentioned circular/manual.

CORPORATE RUPEE PREPAID CARDS - It has been observed that the sale of Gift
GIFT CARDS WAIVER OF Cards got a major boost during the festive
STRATEGY & ISSUANCE FEE TILL 31st season during the past couple of years and
NEW MARCH, 2010 a large number of Corporates/individuals
availed of the facility of waiver of
BUSINESSES issuance fee announced by Bank. Request
Sl.No.312/2009-10 has been made from some of the
Cir.No.CS&NB/CS&NB- Corporates/Organizations for
PPI/7/2009-10 waiver/concession in the issuance fee for
Dated August 13, 2009 their bulk requirements, as they propose to
gift these cards as a part of their incentive
schemes to their employees/beneficiaries.
Further, a number of individuals are
expected to give gifts to their near and
dear ones during the ensuing festive
season. Keeping this in view it has been
decided to waive off the issuance charges
of Rs 50/- per card till 31st March, 2010.

All out efforts have been made to present the instructions correctly in a condensed form.
However, for detailed instructions, related circulars may be perused for further clarity.
This publication is released on monthly duration. Your valuable suggestions for further
improvement are most welcome.

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32