In a letter addressed to the CAG on Monday, the associations of bank workers and officers said Gurgaon Gramin Bank is a regional rural bank (RRB) sponsored by Syndicate Bank and, according to Reserve Bank of India guidelines, all RRBs in a state have to be merged. "In this sequence, RRB having better performance under various business parameters would have an edge over others and amalgamated RRBs would be managed by the sponsored bank of better RRB," the letter said.
The employees alleged that in the case of this merger, the state government has decided to give the sponsorship right to Punjab National Bank. They also pointed out that the sponsorship right was being given only "on the basis of unaudited and inflated business figures of mid-year submitted by PNB" whereas audited business parameters of the year ending March 2013 should be analyzed. They alleged even the "reserve and surplus" as on March 2013 submitted by Haryana Gramin Bank are inflated.
A spokesperson for both associations said GGB had a better track record and financial health compared to Haryana Gramin Bank. "We only want that the bank which has an edge over other RRBs should be the leader... We will be moving the Punjab and Haryana high court to stop this unfair merger," the spokesperson added.
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