Bank of India
Encyclopedia
Bank of India is a state-owned commercial bank
with headquarters in Mumbai
. Government-owned since nationalization in 1969, It is India
's 4th largest bank, after State Bank of India
, Punjab National Bank
and Bank of Baroda
. It has 3415 branches, including 29 branches outside India. BoI is a founder member of SWIFT
(Society for Worldwide Inter Bank Financial Telecommunications), which facilitates provision of cost-effective financial processing and communication services. The Bank completed its first one hundred years of operations on 7 September 2006.
, and Jews helped establish the present Bank of India in 1906. It was the first in India promoted by Indian interests to serve all the communities of India. At the time, banks in India were either owned by Europeans and served mainly the interests of the European merchant houses, or by different communities and served the banking needs of their own community.
The promoters incorporated the Bank of India on 7 September 1906 under Act VI of 1882, with an authorized capital of Rs. 1 crore
divided into 100,000 shares each of Rs. 100. The promoters placed 55,000 shares privately, and issued 45,000 to the public by way of IPO on 3 October 1906; the bank commenced operations on 1 November 1906.
The lead promoter of the Bank of India was Sir Sassoon J. David
(1849-1926). He was a member of the Sassoon
s, who in turn were part of a Bombay community of Baghdadi Jews
, which was notable for its history of social service. Sir David was a prudent banker and remained the Chief Executive of the bank from its founding in 1906 until his death in 1926.
The first board of directors of the bank consisted of Sir Sassoon David, Sir Cowasjee Jehangir, J. Cowasjee Jehangir, Sir Frederick Leigh Croft, Ratanjee Dadabhoy Tata, Gordhandas Khattau, Lalubhai Samaldas, Khetsety Khiasey, Ramnarain Hurnundrai, Jenarrayen Hindoomull Dani, Noordin Ebrahim Noordin.
Commercial bank
After the implementation of the Glass–Steagall Act, the U.S. Congress required that banks engage only in banking activities, whereas investment banks were limited to capital market activities. As the two no longer have to be under separate ownership under U.S...
with headquarters in Mumbai
Mumbai
Mumbai , formerly known as Bombay in English, is the capital of the Indian state of Maharashtra. It is the most populous city in India, and the fourth most populous city in the world, with a total metropolitan area population of approximately 20.5 million...
. Government-owned since nationalization in 1969, It is India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...
's 4th largest bank, after State Bank of India
State Bank of India
The State Bank of India is the largest Indian banking and financial services company with its headquarters in Mumbai, India. It is state-owned. The bank traces its ancestry to British India, through the Imperial Bank of India, to the founding in 1806 of the Bank of Calcutta, making it the oldest...
, Punjab National Bank
Punjab National Bank
Punjab National Bank , was founded in 1894 and is currently the second largest state-owned commercial bank in India ahead of Bank of Baroda with about 5000 branches across 764 cities. It serves over 37 million customers. The bank has been ranked 248th biggest bank in the world by the Bankers...
and Bank of Baroda
Bank of Baroda
Bank of Baroda is the third largest bank in India, after the State Bank of India and the Punjab National Bank and ahead of ICICI Bank. BoB is ranked 763 in Forbes Global 2000 list. BoB has total assets in excess of Rs. 3.58 lakh crores, or Rs. 3,583 billion, a network of over 3,409 branches and...
. It has 3415 branches, including 29 branches outside India. BoI is a founder member of SWIFT
Swift
The swifts are a family, Apodidae, of highly aerial birds. They are superficially similar to swallows, but are actually not closely related to passerine species at all; swifts are in the separate order Apodiformes, which they share with hummingbirds...
(Society for Worldwide Inter Bank Financial Telecommunications), which facilitates provision of cost-effective financial processing and communication services. The Bank completed its first one hundred years of operations on 7 September 2006.
Previous banks that used the name Bank of India
At least three banks having the name Bank of India had preceded the setting up of the present Bank of India.- A person named Ramakishen Dutt set up the first Bank of India in Calcutta (now KolkataKolkataKolkata , formerly known as Calcutta, is the capital of the Indian state of West Bengal. Located on the east bank of the Hooghly River, it was the commercial capital of East India...
) in 1828, but nothing more is known about this bank. - The second Bank of India was incorporated in LondonLondonLondon is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
in the year 1836 as an Anglo-Indian bank. - The third bank named Bank of India was registered in Bombay (now MumbaiMumbaiMumbai , formerly known as Bombay in English, is the capital of the Indian state of Maharashtra. It is the most populous city in India, and the fourth most populous city in the world, with a total metropolitan area population of approximately 20.5 million...
) in the year 1864.
The current bank
The earlier holders of the Bank of India name had failed and were no longer in existence by the time a diverse group of Hindus, Muslims, ParseesParsi
Parsi or Parsee refers to a member of the larger of the two Zoroastrian communities in South Asia, the other being the Irani community....
, and Jews helped establish the present Bank of India in 1906. It was the first in India promoted by Indian interests to serve all the communities of India. At the time, banks in India were either owned by Europeans and served mainly the interests of the European merchant houses, or by different communities and served the banking needs of their own community.
The promoters incorporated the Bank of India on 7 September 1906 under Act VI of 1882, with an authorized capital of Rs. 1 crore
Crore
A crore is a unit in the Indian number system equal to ten million , or 100 lakhs. It is widely used in India, Bangladesh, Nepal, and Pakistan....
divided into 100,000 shares each of Rs. 100. The promoters placed 55,000 shares privately, and issued 45,000 to the public by way of IPO on 3 October 1906; the bank commenced operations on 1 November 1906.
The lead promoter of the Bank of India was Sir Sassoon J. David
Sassoon J. David
Sir Sassoon Jacob Hai David, 1st Baronet was a member of the community of Baghdadi Jews that lived in Bombay from the late 18th Century into the 20th Century. A prominent businessman, he was the lead promoter of the Bank of India, founded in 1906...
(1849-1926). He was a member of the Sassoon
Sassoon
Sassoon may refer to:*Sassoon Other uses:* Sassoon Eskell , Iraqi statesman and financier* Siegfried Sassoon, English poet and author* Sassoon * David Sassoon Library, in Mumbai, India* Sassoon Docks, in Mumbai, India...
s, who in turn were part of a Bombay community of Baghdadi Jews
Baghdadi Jews
Baghdadi Jews, also known as Iraqi Jews, are Jewish emigrants from Baghdad and elsewhere in Iraq, who fled religious persecution and formed immigrant communities in their new homelands...
, which was notable for its history of social service. Sir David was a prudent banker and remained the Chief Executive of the bank from its founding in 1906 until his death in 1926.
The first board of directors of the bank consisted of Sir Sassoon David, Sir Cowasjee Jehangir, J. Cowasjee Jehangir, Sir Frederick Leigh Croft, Ratanjee Dadabhoy Tata, Gordhandas Khattau, Lalubhai Samaldas, Khetsety Khiasey, Ramnarain Hurnundrai, Jenarrayen Hindoomull Dani, Noordin Ebrahim Noordin.
- 1906: BoI founded with Head Office in Bombay.
- 1921: BoI entered into an agreement with the Bombay Stock ExchangeBombay Stock ExchangeThe Bombay Stock Exchange is a stock exchange located on Dalal Street, Mumbai and is the oldest stock exchange in Asia. The equity market capitalization of the companies listed on the BSE was 1.63 trillion as of December 2010, making it the 4th largest stock exchange in Asia and the 8th largest...
to manage its clearing house. - 1946: BoI opened a branch in LondonLondonLondon is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
, the first Indian bank to do so. This was also the first post-WWII overseas branch of any Indian bank. - 1950: BoI opened branches in TokyoTokyo, ; officially , is one of the 47 prefectures of Japan. Tokyo is the capital of Japan, the center of the Greater Tokyo Area, and the largest metropolitan area of Japan. It is the seat of the Japanese government and the Imperial Palace, and the home of the Japanese Imperial Family...
and OsakaOsakais a city in the Kansai region of Japan's main island of Honshu, a designated city under the Local Autonomy Law, the capital city of Osaka Prefecture and also the biggest part of Keihanshin area, which is represented by three major cities of Japan, Kyoto, Osaka and Kobe...
. - 1951: BoI opened a branch in SingaporeSingaporeSingapore , officially the Republic of Singapore, is a Southeast Asian city-state off the southern tip of the Malay Peninsula, north of the equator. An island country made up of 63 islands, it is separated from Malaysia by the Straits of Johor to its north and from Indonesia's Riau Islands by the...
. - 1953: BoI opened a branch in KenyaKenyaKenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...
and another in UgandaUgandaUganda , officially the Republic of Uganda, is a landlocked country in East Africa. Uganda is also known as the "Pearl of Africa". It is bordered on the east by Kenya, on the north by South Sudan, on the west by the Democratic Republic of the Congo, on the southwest by Rwanda, and on the south by...
. - 1953 or 54: BoI opened a branch in AdenAdenAden is a seaport city in Yemen, located by the eastern approach to the Red Sea , some 170 kilometres east of Bab-el-Mandeb. Its population is approximately 800,000. Aden's ancient, natural harbour lies in the crater of an extinct volcano which now forms a peninsula, joined to the mainland by a...
. - 1955: BoI opened a branch in TanganyikaTanganyikaTanganyika , later formally the Republic of Tanganyika, was a sovereign state in East Africa from 1961 to 1964. It was situated between the Indian Ocean and the African Great Lakes of Lake Victoria, Lake Malawi and Lake Tanganyika...
. - 1960: BoI opened a branch in Hong KongHong KongHong Kong is one of two Special Administrative Regions of the People's Republic of China , the other being Macau. A city-state situated on China's south coast and enclosed by the Pearl River Delta and South China Sea, it is renowned for its expansive skyline and deep natural harbour...
. - 1962: BoI opened a branch in NigeriaNigeriaNigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...
. - 1967: The Government of Tanzania nationalized BoI's operations in Tanzania and folded them into the government-owned National Commercial BankNational Commercial BankThe National Commercial Bank also known as AlAhli Bank is the first Saudi Arabian bank, the largest bank by asset in the Arab world and one of the pioneers in Islamic Banking and finance in the world.- Founding and Legal Structure :...
, together with those of Bank of BarodaBank of BarodaBank of Baroda is the third largest bank in India, after the State Bank of India and the Punjab National Bank and ahead of ICICI Bank. BoB is ranked 763 in Forbes Global 2000 list. BoB has total assets in excess of Rs. 3.58 lakh crores, or Rs. 3,583 billion, a network of over 3,409 branches and...
and several other foreign banks. - 1969: The Government of India nationalized the 14 top banks, including Bank of India. In the same year, the People's Democratic Republic of YemenYemenThe Republic of Yemen , commonly known as Yemen , is a country located in the Middle East, occupying the southwestern to southern end of the Arabian Peninsula. It is bordered by Saudi Arabia to the north, the Red Sea to the west, and Oman to the east....
nationalized BoI's branch in Aden, and the Nigerian and Ugandan governments forced BoI to incorporate its branches in those countries. - 1970: National Bank of Southern Yemen incorporated BoI's branch in Yemen, together with those of all the other banks in the country; this is now National Bank of Yemen. BoI was the only Indian bank in the country.
- 1972: BoI sold its Uganda operation to Bank of Baroda.
- 1973: BoI opened a rep in JakartaJakartaJakarta is the capital and largest city of Indonesia. Officially known as the Special Capital Territory of Jakarta, it is located on the northwest coast of Java, has an area of , and a population of 9,580,000. Jakarta is the country's economic, cultural and political centre...
. - 1974: BoI opened a branch in ParisParisParis is the capital and largest city in France, situated on the river Seine, in northern France, at the heart of the Île-de-France region...
. This was the first branch of an Indian bank in Europe. - 1976: The Nigerian government acquired 60% of the shares in Bank of India (Nigeria).
- 1978: BoI opened a branch in New YorkNew YorkNew York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
. - 1970s: BoI opened an agency in San Francisco.
- 1980: Bank of India (Nigeria) Ltd, changed its name to Allied Bank of Nigeria.
- 1986: BoI acquired ParavurParavurParavur may refer to:* North Paravur, a municipality and town in Ernakulam district* Paravur Taluk, in Ernakulam district* South Paravur, a village near to Udayamperoor in Kanayannur taluk of Ernakulam district...
Central Bank (Karur Central Bank or Parur Central Bank) in KeralaKeralaor Keralam is an Indian state located on the Malabar coast of south-west India. It was created on 1 November 1956 by the States Reorganisation Act by combining various Malayalam speaking regions....
in a rescue. - 1987: BoI took over the three UK branches of Central Bank of IndiaCentral Bank of IndiaCentral Bank of India , a government-owned bank, is one of the oldest and largest commercial banks in India. It is based in Mumbai...
(CBI). CBI had been caught up in the Sethia fraud and default and the Reserve Bank of IndiaReserve Bank of IndiaThe Reserve Bank of India is the central banking institution of India and controls the monetary policy of the rupee as well as US$300.21 billion of currency reserves. The institution was established on 1 April 1935 during the British Raj in accordance with the provisions of the Reserve Bank of...
required it to transfer its branches. - 2003: BoI opened a representative office in ShenzhenShenzhenShenzhen is a major city in the south of Southern China's Guangdong Province, situated immediately north of Hong Kong. The area became China's first—and one of the most successful—Special Economic Zones...
. - 2005: BoI opened a representative office in VietnamVietnamVietnam – sometimes spelled Viet Nam , officially the Socialist Republic of Vietnam – is the easternmost country on the Indochina Peninsula in Southeast Asia. It is bordered by China to the north, Laos to the northwest, Cambodia to the southwest, and the South China Sea –...
. - 2006: BoI plans to upgrade the Shenzen and Vietnam representative offices to branches, and to open representative offices in BeijingBeijingBeijing , also known as Peking , is the capital of the People's Republic of China and one of the most populous cities in the world, with a population of 19,612,368 as of 2010. The city is the country's political, cultural, and educational center, and home to the headquarters for most of China's...
, DohaDohaDoha is the capital city of the state of Qatar. Located on the Persian Gulf, it had a population of 998,651 in 2008, and is also one of the municipalities of Qatar...
, and JohannesburgJohannesburgJohannesburg also known as Jozi, Jo'burg or Egoli, is the largest city in South Africa, by population. Johannesburg is the provincial capital of Gauteng, the wealthiest province in South Africa, having the largest economy of any metropolitan region in Sub-Saharan Africa...
. In addition, BoI plans to establish a branch in Antwerp and a subsidiary in Dar-es-Salaam, marking its return to Tanzania after 37 years. - 2007: BoI acquired 76 percent of Indonesia-based PT Bank Swadesi.
- 2009: BoI opened its branch again in Tanzania mainland (Former Tanganyika territory).
CMD since nationalisation
- 1969-1970: Tribhovandas Damodardas Kansara
- 1970-1975: J N Saxena
- 1975-1977: C P Shah
- 1977-1980: H C Sarkar
- 1981-1984: N Vaghul
- 1984-1986: T. Tiwari
- 1987-1991: R. Srinivasan
- 1992-1995: G. S. Dahotre
- 1995-1997: G. Kathuria
- 1997-1998: M G Bhide
- 1998-2000: S Rajagopal
- 2000-2003: K V Krishanamurthy
- 2003-2005: M Venugopal
- 2005-2007: M. BalachandranM. BalachandranM. Balachandran , who served as the Chairman & Managing Director of Bank of India during the period 2005-2008, is a prominent banker of India. Before his appointment as the CMD of BoI, he was the Executive Director of the same bank...
- 2007-2009:T.S.Narayanasami
- 2009- : Alok Kumar Mishra