PUNJAB NATIONAL BANK

CREDIT AUDIT & REVIEW DEPARTMENT

RAJENDRA BHAWAN: NEW DELHI
[

HO/CA&RD/ /2010/36
September 6, 2010

TO ALL.OFFICES

CREDIT AUDIT & REVIEW DEPARTMENT CIRCULAR NO. 3/ 10

Outsourcing of Credit Audit of High Value Loan Accounts to Retired Senior

Officers of the Bank

Detailed guidelines for outsourcing of Credit Audit of high value loan accounts to
Retired Sr. Officers of the Bank were circulated vide Credit Audit & Review
Department Circular No.1/10 dated 14.01.2010

Presently Credit Audit of identified loan accounts, which was earlier conducted by
Bank’s Credit Auditors and Concurrent Auditors (Internal/External), is also conducted
by Retired Sr. Officers of the Bank (Scale-IV/V) as per guidelines contained in Credit
Audit & Review Department Circular No. 1/2010 dated 14.01.2010.

Accounts eligible for credit audit are spread out in different areas. However we have
not received any option/very few options have been received from the Retired Sr.
Officers approved for conducting credit audit of eligible accounts of the following
areas:

1. Kolkata
2. Bhubaneswar
3. Ranchi
4. Guwahati
5. Burdwan
6. Lucknow
7. Kanpur
8. Gorakhpur
9. Varanasi
10. Faizabad
11. Dehradun
12. Hardwar
13. Kashipur

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 14. Hyderabad
15. Bangalore
16. Trichy
17. Ernakulum
18. Ahmedabad
19. Nagpur
20. Ludhiana

Applications are therefore called from retired Sr. Officers for conducting credit audit
of eligible accounts of the above deficit areas.

The retired Sr. Officers (Scale-IV & above) of the bank who are eligible as per
guidelines stipulated in CA&RD Cir. No.1/10 (enclosed) and are interested for
outsourcing assignment for the above deficit areas may send their applications with
detailed Bio-data (as per proforma enclosed) to DGM, Credit Audit & Review
Department at the following address:

CREDIT AUDIT & REVIEW DEPARTMENT

H.O. Rajeindra Bhawan, Rajendra Place, New Delhi-110008
Fax; 25722731, email: card@pnb.co.in

The existing Policy guidelines shall remain unchanged.

The last date for receipt of the applications is 10.10.2010. Applications received
after the last date will not be entertained. However, General Manager(CA&RD) may
condone the delay on merits.

All the Circle Heads are advised to ensure that a copy of this circular is displayed
conspicuously on the Notice Board of Circle Office. Circle Heads may also
endeavour to intimate the retired Sr. Officers in their area about the requirement to
extract maximum number of applications.

The circular may be brought to the notice of the staff at large.

(S.P.SINGH)
GENERAL MANAGER

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 BIO DATA 
 
 
1. NAME WITH PF NUMBER :

2. DATE OF JOINING IN THE BANK :

3. TOTAL SERVICE IN THE BANK :

4. DATE OF RETIREMENT :
WITH DESIGNATION

5. AGE AS ON _______ :

6. EDUCATIONAL/PROFESSIONAL :
QUALIFICATION

7. WHETHER HONORABLY RETIRED : YES/NO

(Tick whichever is applicable)

8. ADDRESS :

9. WORK EXPERIENCE IN THE BANK

A) BRANCH EXPERIENCE
NAME OF PERIOD DESIGNATION/SCALE JOB
BRANCH INCUMBENT OTHERS PROFILE

B) EXPERIENCE IN AUDIT
NAME OF PERIOD DESIGNATION/SCALE JOB
BRANCH/OFFICE PROFILE

C) EXPOSURE IN CREDIT/INTENSIVE CREDIT TRAINING:

10. CONTACT NUMBER - TELEPHONE NO:

MOBILE NO:
E-Mail ID:

11. PLEASE INDICATE 3 STATIONS IN ORDER OF PREFERENCE FOR TAKING

CREDIT AUDIT ASSIGNMENT :

DATE (Signature)

Name_______________

Designation_________

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 PUNJAB NATIONAL BANK
CREDIT AUDIT & REVIEW DIVISION
RAJENDRA BHAWAN: NEW DELHI
[

HO/CA&RD/ /2010/36
January 14, 2010

TO ALL.OFFICES

CREDIT AUDIT & REVIEW DIVISION CIRCULAR NO. 1 / 10

Policy for Outsourcing of Credit Audit of High Value Loan Accounts to Retired
Senior Officers of the Bank

Credit Audit of high value loan accounts above a threshold limit is conducted as per
the Loan Review Mechanism (LRM) Policy of the Bank. Presently, Credit Audit of
identified loan accounts is conducted by Bank’s Credit Auditors and Concurrent
Auditors (Internal/External).

2. In view of the increase in number of accounts to be credit audited, Board in its

meeting held on 28.12.2009 has approved the “Policy for Outsourcing of Credit
Audit of High Value Risk Rated Loan Accounts to Retired Senior Officers
(Scale-IV & above) of our Bank”.

3. The highlights of the Policy are as under:

a) SCOPE

Credit audit of select high value risk rated loan accounts by Retired Senior
Officers (Scale-IV & above) of our Bank.

b) ELIGIBILITY

i) Honorably retired senior officers (Scale-IV & above) having satisfactory

past service record in our bank and experience of minimum 20 years or
more in the bank.

ii) The Sr. Officer must have experience in audit besides having branch
experience of minimum 5 years and exposure in dealing with large
borrowal accounts.

iii) The applicant shall be allowed to serve as CARD Auditor up to the age
of 65 years subject to his being medically fit to perform the required job
of credit audit.

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iv) The assignment of credit audit shall be initially given for a maximum
period of 6 months. Thereafter, the performance will be reviewed on
regular basis after every six months and if found satisfactory, he shall
be allowed to continue till he reaches the prescribed age criteria of 65
years

c) REMUNERATION

Consolidated remuneration of Rs.2500/- per account for credit audit would be

paid irrespective of time taken. This would be exclusive of Service tax, which
will be borne by Bank.

Income Tax or any other surcharge etc. levied by the Govt. will be deducted at
source.

d) CRITERIA FOR ALLOTMENT OF ACCOUNTS FOR CREDIT AUDIT

i) At a time maximum 5 accounts will be allotted ensuring equitable

allotment on merit.

ii) Accounts for credit audit shall be allotted to the retired Sr. Officers
preferably at their local stations where they are settled after retirement.

e) PROCESS FOR IDENTIFICATION & SELECTION

i) On receipt of the applications the credentials/Bio-data of the applicants

will be got verified from HRDD, HO. Thereafter, the applications will
be scrutinized and those who fulfill the eligibility criteria will only be
considered and placed to Committee of three GMs for short-listing.

ii) The Committee will screen the applications of the eligible candidates
and recommend the names of short-listed candidates to the Executive
Director for approval.

iii) Executive Director will approve the names of retired Sr. Officers for
conducting credit audit for a maximum period of 6 months.

iv) On expiry of the stipulated period of 6 months, review of the

performance of the retired Sr. Officers shall be carried out and only
those with satisfactory performance will be allowed to continue after
approval by the Executive Director.

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 f) OTHER TERMS & CONDITIONS

i) A letter containing the terms & conditions for conducting credit audit of
the identified accounts will be issued to approved retired Sr. Officer of
the bank in duplicate. Acceptance of terms & conditions shall be
obtained from him/her on one copy and kept on record.

ii) If any serious act of omission/ commission is noticed in their working,

Bank will have the right to cancel the assignment and he/she will be
debarred for such assignments in future. Further, the credit audit
assignment can also be cancelled for any reason that bank may deem
fit.

iii) The retired Sr. Officers of the bank who are assigned the job of credit
audit, will have to execute non - disclosure/confidentiality agreement.

4. The eligible retired Sr. Officers (Scale-IV & above) of the bank who wish to
apply for the assignment of credit audit may send their applications with detailed
Bio-data (as per enclosed proforma) to DGM, Credit Audit & Review Division at the
following address:

CREDIT AUDIT & REVIEW DIVISION

H.O. Rajeindra Bhawan, Rajendra Place, New Delhi-110008
Fax; 25722731, email: card@pnb.co.in

5. The last date for receipt of the applications is 29.1.2010. Applications

received after the last date will not be entertained.

6. All the Circle Heads are advised to ensure that a copy of this circular is
displayed conspicuously on the Notice Board of Circle Office.

7. The circular may be brought to the notice of the staff at large.

(B.C. Nigam)
GENERAL MANAGER

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