Corporation Bank net down 25% in Q3
Mumbai: Lower treasury income coupled with increased provisioning has led to a 25.38-per cent dip in the net profit of Corporation Bank for the third quarter ended December 31, 2003. The bank recorded a net profit of Rs 113.28 crore during the third quarter compared to a net profit of Rs 151.81 crore in the corresponding period the previous year.

Cherian Varghese, chairman and managing director, said the profit on sale of investments recorded only a marginal growth in the nine-month period ended December 31, 2003, at Rs 222.3 crore compared to Rs 215 crore in the previous year. "The core business of the bank has recorded a 34-per cent growth." Corporation Bank has decided to pay an interim dividend of 30 per cent taking into account the continued good performance during the year, says Varghese.
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Allahabad Bank to invest Rs 50 lakh in UTI's ARC
Kolkata: Allahabad Bank will acquire a 10-per cent equity stake in the asset reconstruction company being floated by Unit Trust of India. "We will invest Rs 50 lakh in UTI's ARC, which will have an equity base of Rs 5 crore," said O N Singh, CMD of Allahabad Bank. "The ARC is going to be launched soon, most probably by the month-end. We are looking at the ARC as a profit-centre, and if opportunities arise, we might even consider investing more into it."

He made it clear that he had no idea of other shareholders in the ARC. "We only know that UTI will be holding 51 per cent and Bank of India another 15 per cent or so," he observed. Allahabad Bank, he said, will soon sign an MoU with UTI Mutual Fund to sell its products through its various branches, mostly those located in metros, urban and semi-urban areas. This might call for deployment of staff, he said.
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IDBI Home Finance slashes loan rates
Mumbai: IDBI Home Finance Ltd (IHFL) has cut home loans rates by 0.25 per cent across all maturities. The revised variable rate for loans up to five years would be 7.5 per cent, above five years and up to 10 years eight per cent and above 10 years and up to 15 years 8.25 per cent and above 15 years up to 20 years at 8.5 per cent, IHFL said in a release here. The new rates have been effective from January 9.

IHFL managing director Melwyn Rego says the company will position itself as a new generation housing finance company.
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