Public sector banks are passing through worst days due to corrupt top officials selected as ED or CMD by MOF and due to the fact that protectors of officers are hand in glove with corrupt executives of the banks. Corrupt ED and CMD then keep corrupt GM and DGM around them and then in turn promote DGM, CM,AGM, and other senior level or middle management officers
Munsi Prem Chand ji wrote in his books that "Jab Rakchak hi Bhakchak ho jaye to Vinash nishchit Hai" .
Since only corrupt officers are promoted to executive rank, decisions taken at upper level and policy framed by such corrupt officers are opposite to each other. These officers never bother for the health of the bank but only think for growth in their promotion, their posting, personal wealth and personal bank balance and this is why NPA in PSBs is fastly growing and growing without any break.
The most disheartening bitter truth is that officers who indulge in bribe based bad lending is promoted and the officer who recover the bad advances is made scapegoat. None can therefore save these sick banks. Mass transfer to far places may satisfy the ego of corrupt executive but cannot improve the health of sick banks; they may add fuel to fire and nothing else. These clever executives know how to befool MOF by submitting lame excuses for their lapses. They talk of global recession or inflation to conceal misdeeds.
Never expect consistent and respectful growth in such banks without involving yourself in evil work without and supporting evil works of bosses. Flattery and bribery is the only key to success. Attrition rate is therefore much higher in PSBs even though private banks are paying less than PSBs to low level or middle level officers. I am unable to visualize any benefit for banks if scale I officers are transferred from Hindi belt to Non Hindi belt or vice versa.
Man power planning is in hands of money power makers and hence quality of manpower and adequate quantity at all branches is non imaginable proposition. Banks suffered in the past due to large scale expansion of branches in eighties and nineties and hence for few years top bankers and politicians started closing unviable branches. Loss making branches were closed or converted into satellite branches. Government started suggesting merger and acquisition of banks. But unfortunately the same government is now pleading for opening of more and more branches in remote villages even if there is no possibility of profit. Same government is now talking of giving license to new entrepreneurs. No consistency policy. Banks are managed by whimsical politicians and corrupt officials.
People may say me as pessimistic but I am not over optimistic too particularly when I know the field level reality. I do not believe in financial data published by various banks and certificates issued by corrupt officials of RBI or corrupt ministers because I know ground level bitter truth.