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{{Short description|Indian public sector bank}}
{{Use Indian English|date=July 2016}}
{{Use dmy dates|date=September 2020}}
{{Infobox company
| name = Indian Bank
| logo = File:Indian bank new logo.png
| logo_size = 250px
| type = [[Government of India|Government owned]]
| traded_as = {{BSE|532814}} {{NSE|INDIANB}}
| key_people = Ms. Padmaja Chunduru {{small|([[Managing director|MD]] & [[Chief Executive Officer|CEO]])}}
| industry = [[Banking]], [[Financial services]]
| products = [[Retail banking|Consumer Banking]] [[Commercial bank|Corporate Banking]] [[Financial services|Finance and Insurance]] [[mortgage loan|Mortgage Loans]] [[Investment banking]] [[Merchant bank]]ing [[Private equity]] [[Private banking]] [[Savings]] [[wealth management]] [[Credit card]]s
| revenue = {{increase}} {{INRConvert|45185|c}}
| revenue_year = 2021
| operating_income = {{increase}} {{INRConvert|21745|c}}
| income_year = 2021
| net_income = {{increase}} {{INRConvert|3005|c}}
| net_income_year = 2021
| assets = {{increase}} {{INRConvert|808000|c}}
| assets_year = 2020
| equity =
| owner = [[Government of India]] (88.06%)
| parent = [[Ministry of Finance]] , [[Government of India]]
| num_employees = 41,620 (2021)
| subsid = [[Allahabad Bank]]
| ratio = 15.71%
| homepage = {{url|https://www.indianbank.in}}
| footnotes =
| caption =
| foundation = {{start date and age|df=y|1907|8|15}}
| founder = S. Rm. M. Ramaswami Chettiar
| location = [[Chennai]], India
}}
'''Indian Bank''' is an Indian [[Government of India|government owned]] financial services and banking company. It is under the ownership of the [[Ministry of Finance (India)|Ministry of Finance]] of the [[Government of India]], established in 1907 and headquartered in [[Chennai]], [[India]]. It serves over 100 million customers with 41,620 employees, 6,004 branches with 5,428 ATMs and Cash deposit machines and is one of the top performing public sector banks in India. Total business of the bank has touched {{INRConvert|930000
|c}} as on 31 March 2021. Bank's Information Systems and Security processes certified with ISO27001:2013 standard and is among very few Banks certified worldwide. It has overseas branches in [[Colombo]] and [[Singapore]] including a Foreign Currency Banking Unit at [[Colombo]] and [[Jaffna]]. It has 227 Overseas Correspondent banks in 75 countries. Since 1978, the [[Government of India]] has owned the bank. As per the announcement made by the Indian Finance Minister [[Nirmala Sitharaman]] on 30 August 2019, [[Allahabad Bank]] merged from 1 April 2020, making it the seventh largest bank in the country.

==History==

===Early formation and expansion===
In the last quarter of 1906, [[Madras]] (now Chennai) was hit by the worst financial crisis the city was ever to suffer.<ref>{{cite book|author1=Kochanek, Stanley A. |page=152|title=Business and Politics in India|url=https://books.google.com/?id=0v0KFAAQCLkC&pg=PR152|year=1974|publisher=University of California Press|isbn=978-0-520-02377-2}}</ref> Of the three best-known British commercial names in 19th-century Madras, one crashed; a second had to be resurrected by a distress sale; and the third had to be bailed out by a benevolent benefactor. [[Arbuthnot & Co]], which failed, was considered the soundest of the three. Parry's (now [[EID Parry]]), may have been the earliest of them and [[Binny and Co.]]'s founders may have had the oldest associations with Madras, but it was Arbuthnot, established in 1810s, that was the city's strongest commercial organisation in the 19th Century. A key figure in the bankruptcy case for Arbuthnot's was the Madras lawyer, [[V. Krishnaswamy Iyer]] who founded the Indian bank which was an offshoot of nationalistic fervour and the Swadeshi movement, when the then British Arbuthnot Bank collapsed and the Indian Bank emerged. Mr V. Krishnaswamy Iyer solicited the support of the Nagarathar Chettiars authored by Mr. Ramasamy Chettiar, who was Annamalai Chettiar's elder brother. Sri V. Krishnaswamy Iyer and Mr. Ramasamy Chettiar were one of the first directors of Indian Bank. Later on in 1915,
Mr. Annamalai Chettiar was inducted into the board of the Indian Bank. It commenced operations on 15 August 1907 with its head office in Parry's Building, Parry Corner, Madras.

In 1932 IB opened a branch in [[Colombo]]. It opened its second branch in [[Sri Lanka|Ceylon]] in 1935 at [[Jaffna]], but closed it in 1939.<ref name=Kumar38/> IB next opened a branch in [[Yangon|Rangoon]], [[Myanmar|Burma]], in late 1940s. Then in late 1941 IB opened branches in Singapore, Kuala Lumpur, [[Ipoh]], and [[Penang]]. The exigencies of war forced IB to close its Singapore and Malayan branches with months. The closing of the Singapore branch resulted in little loss to IB; the loss of the branches in Malaya was much more costly.<ref name=Kumar38/>

World War II resulted in further financial problems for IB and it was forced in 1942 to close a number of its branches in India, and also its branch in Colombo.<ref name=Kumar38>Kumar (2008), pp. 38–9.</ref>

===Post Independence of India===
[[File:Indian Bank 2017 stamp of India.jpg|thumb|upright=1.1|A 2017 stamp dedicated to the 111th anniversary of Indian Bank]]
[[File:MNP-Chettipet-Indian-Bank.jpg|thumb|upright=1.1|A branch of Indian bank branch at Chettipet in Pondicherry]]
After the war, in 1947, it reopened its branch in Colombo.<ref name=Kumar38/> Indian Bank also reopened its branches in Burma, Malayan and Singapore, the last in 1962. The Burmese government nationalised all foreign banks, including Indian Bank's branch, in 1963.

The 1960s saw IB expand domestically as it acquired Rayalaseema Bank (est. 1939), [[Mannargudi]] Bank (est. 1932), Bank of Alagapuri, [[Salem, Tamil Nadu|Salem]] Bank (est. 1925), and Trichy United Bank. Trichy United was the result of the 1965 merger of Woraiyur Commercial Bank (est. 1948), the Palakkarai Bank, and the Tennur Bank (est. 3 March 1947). These were all small banks with the result that all the acquisitions added only about 38 branches to IB's network. Trichy United had five branches and its acquisition in 1967 brought the number of IB branches up to 210.

Then on 19 July 1969 the Government of India nationalised 14 top banks, including Indian Bank. One consequence of the nationalisation was that the Malaysian branches of nationalised Indian banks were forbidden to continue to operate as branches of the parent. At the time, Indian Bank had three branches, and [[Indian Overseas Bank]], and [[United Commercial Bank]] had eight between them. In 1973 the three established [[United Asian Bank]] Berhad to amalgamate and take over their Malaysian operations. Post-nationalization, Indian Bank was left with only two foreign branches, one in Colombo and the other in Singapore.<ref>Kumar (2008), p. 40.</ref>

International expansion resumed in 1978 with IB becoming a technical adviser to [[PT Bank Rama]] in Indonesia, the result of the merger of [[PT Bank Masyarakat]] and [[PT Bank Ramayana]]. Two years later, IB, [[Bank of Baroda]], and [[Union Bank of India]] established IUB International Finance, a licensed deposit taker in Hong Kong. Each of the three banks took an equal share in the joint venture; IB's Chairman became the first Chairman of IUB International Finance.<ref name=Kumar42>Kumar (2008), p. 42.</ref> In May 1980s, IB also opened a foreign currency unit at its branch in Colombo.<ref>Kumar (2008), p. 41.</ref>

In 1981 IB set up its first [[Regional Rural Bank]], Sri Venkateswara Grameena Bank, in [[Chittoor]].<ref name=Kumar42/>

===Post nationalisation===
In 1983, ethnic sectarian violence in the form of [[Sri Lankan Civil War#|anti-Tamil riots]] resulted in the burning of [[Indian Overseas Bank]]'s branch in Colombo. Indian Bank, which may have had stronger ties to the Sinhalese population, escaped unscathed.<ref>Kumar (2008), p. 169.</ref>

In 1990, Indian Bank rescued Bank of [[Tanjore]] (Bank of Thanjavur; est. 1901), with its 157 branches, based in [[Tamil Nadu]].<ref>Kumar (2008), p. 44.</ref>

A multi-crore scam was exposed in 1992, when then chairman M. Gopalakrishnan lent {{INR}}13 billion to small corporates and exporters from the south, which the borrowers never repaid.

[[Bank of Baroda]] bought out its partners in IUB International Finance in Hong Kong in 1998. Apparently this was a response to regulatory changes following Hong Kong's reversion to Chinese control. IUB became Bank of Baroda (Hong Kong), a restricted licence bank.

In June 2015, business of the bank crossed the Milestone Target of {{INRConvert|3|lc}}.

===Amalgamation===
On 30 August 2019, [[Minister of Finance (India)|Finance Minister]] [[Nirmala Sitharaman]] announced that [[Allahabad Bank]] would be merged with Indian bank. The proposed merger would create the seventh largest public sector bank in the country with assets of {{INRConvert|8.08|lc}}.<ref>{{cite news |title=Bank Merger News: Government unveils mega bank mergers to revive growth from 5-year low {{!}} India Business News - Times of India |url=https://timesofindia.indiatimes.com/business/india-business/government-unveils-mega-bank-mergers-to-revive-growth-from-5-year-low/articleshow/70911359.cms |access-date=26 April 2020 |work=The Times of India |language=en}}</ref><ref>{{cite web |author=Staff Writer |title=10 public sector banks to be merged into four |url=https://www.livemint.com/news/india/pnb-obc-and-united-bank-to-be-merged-nirmala-sitharaman-1567158678718.html |website=Mint |access-date=30 August 2019 |language=en |date=30 August 2019}}</ref> The Union Cabinet approved the merger on 4 March 2020. Indian Bank assumed control of Allahabad Bank on 1 April 2020.<ref>{{cite web |last1=Ghosh |first1=Shayan |title=Three banks announce merger ratios |url=https://www.livemint.com/market/stock-market-news/two-anchor-banks-pnb-union-bank-of-india-disclose-merger-ratios-11583413469591.html |website=Livemint |access-date=6 March 2020 |language=en |date=5 March 2020}}</ref>

'''Key Milestones'''

1907- The Bank was incorporated on 5 March 1907 under the Indian Companies Act, 1882 as "Indian Bank Limited" and commenced operations on 15 August 1907.

1932 - The Bank opened its Colombo branch.

1941 - The Bank opened its Singapore branch

1962 - The Bank acquired the Royalaseema Bank, the Bank of Alagapuri, the Salem Bank, the Mannargudi Bank and the Trichy United Bank

1969 - The Bank was nationalized. It was appointed as the lead bank for nine districts in the States of Tamil Nadu, Andhra Pradesh and Kerala and the Union Territory of Pondicherry.

1970 - The Head Office of the Bank was shifted to its own building

1981 - The first regional rural bank sponsored by the Bank, Sri Venkateswara Grameena Bank, was founded

1989 - Indbank Merchant Banking Services Ltd was incorporated as a subsidiary of the Bank 1990 - Bank of Thanjavur Limited (with 157 branches) was amalgamated

1991 - Ind Bank Housing Limited was incorporated as a subsidiary

1994 - Indfund Management Limited was established to manage the operations of Indian Bank Mutual Fund

1995 - The Bank's own training establishment, Indian Bank Management Academy for Growth & Excellence (IMAGE) established.

2002-03 - The Bank received an award from NABARD for best performance under SHG in Tamil Nadu and Andhra Pradesh.

2004-05 - The Bank entered into strategic alliance with Mahindra & Mahindra Limited and TAFE Limited for pushing up tractor usage among farmers

2006-07 - The Bank entered into a strategic alliance with Oriental Bank of Commerce and Corporation Bank

2006 -Indian Bank launches Bharat Card

2008 - Indian Bank has informed that: "Indian Bank has signed an Agreement with Reliance Capital Asset Management Ltd. to act as a Corporate Agent to sell the Mutual Fund products of Reliance Mutual Fund .

2008-09, Indian Bank bagged 5 State awards from the State government. -Indian Bank has joined hands with Tata Motors for financing its range of passenger cars. Under the MoU, the bank will offer loans at an interest rate of 11.5 per cent to customers buying Tata Motors' passenger cars.

2010 - Indian Bank has launched visa business card to address the credit card and payment requirements of corporates and small and medium enterprise (SME) clientele segments.

2011 - Indian Bank launches e-Treasury service. Indian Bank has appointment of the following Statutory Central Auditor (SCA).

2012 - Scheme of Amalgamation of M/s. lndfund Management Limited, a wholly owned subsidiary of the Bank with Indian Bank, Indian Bank.

2017 - Indian Bank has launched a unique, easy & hassle free home loan product IB Home Enrich for repairs and renovation of residential dwelling units.

-National Award for Excellence in Lending to Micro Enterprises during 2015-16 - First Rank and National Award for Excellence in MSE Lending by Public Sector Banks during 2015-16 - Second Rank to Indian Bank.

-Indian Bank (IB) has launched three unique, easy-to-use, environment friendly, tech products to overcome the effects of demonetization for its customers without coming to the branches.

2020 - On 1 April 2020 Indian bank and Allahabad bank merged. The oldest Joint Stock Bank in the country, Allahabad Bank was founded on 24 April 1865 by a group of Europeans at Allahabad, at a juncture when organized industries, trade and banking were taking shape in India. Thus, the history of the bank now spreads over three centuries.

==See also==

* [[Banking in India]]
* [[List of banks in India]]
* [[Reserve Bank of India]]
* [[Indian Financial System Code]]
* [[List of largest banks]]
* [[List of companies of India]]
* [[Make in India]]

==References==
{{Reflist|30em}}

==Cited sources==
*{{cite book|author=Kumar, Ranjana |title=A New Beginning: The Turnaround Story of Indian Bank|url=https://books.google.com/?id=-I2D6RhzlTQC|year=2008|publisher=Tata McGraw-Hill Education|isbn=978-0-07-024883-0}}

==External links==
{{Commons category|Indian Bank|position=}}
* [http://www.indianbank.in Indian Bank's official website]

{{Banking in India}}
{{Nifty 200 companies}}
{{Chennai Topics}}

{{Authority control}}

[[Category:Public Sector Banks in India]]
[[Category:Banks established in 1907]]
[[Category:Financial services companies based in Chennai]]
[[Category:Banks of India]]
[[Category:Indian companies established in 1907]]
[[Category:List of Institutions using TCS BaNCS]]

Indian Bank - Revision history

CleanupBot II at 01:03, 14 August 2023