Internship Report On

Paniola Branch (0039)

By: Sehrish Agha

Student of M.Com
Roll No: 352
Session: 2013-14

Department of Commerce
Government Post Graduate College (Boys) Bagh AJ&K

University of Azad Jammu & Kashmir

(Allah, He is) the AllAll- knower of the unseen,

not even the weight of an atom (Or a small ant)
or less than that or greater, escapes from His knowledge in the heavens
or in the earth, but it is in a Clear Book (Al(Al-Lauh AlAl-Mafuz)
(Surah Saba)

DEDICATION

I dedicate all my efforts to my beloved father

Agha Muhammad Khan , Mother Zahida
Agha and most honorable Teachers. Due to
all of them I am able to have success in my
life.

Sehrish Agha
Student of M.Com
Roll No: 352
Session: 2013-14

Preface
Practical training is a privilege, which is provided to the students of Master
with an objective to help them in pursuance of sound career in future. Practical
training program for students is the important and beneficial part of the course. While
availing this compulsory facility students not only enjoy this opportunity to test the
accuracy of theoretical knowledge but also learn how the practical behaves as well as
how they can put their best to earn a place in their ever growing world.
The field of banking has always been a source of inspiration for me during my
entire academic career. To work in a bank, to acquaint with its working mechanism
was always a point of golden opportunity to complete my internship at AJK Bank
Area Branch Paniola Rawalakot, Azad Kashmir. Where I learnt enough knowledge
from my seniors. Who really supported me to gain a professional know how about the
functionality of commercial bank.
In this report, I have tried to provide valuable information about the services
provided by the Bank of Azad Jammu and Kashmir under certain areas namely
commercial banking, consumer banking, financial services and corporate finance.
Valuable information and accounting procedures have been shown to clarify general
banking procedure. Moreover, this report includes a wealth of up to date material on
services and facilities of AJK Bank. I hope this training process in AJK Bank will be
very fruitful for my future life.

Sehrish Agha
Student of M.Com
Roll No: 352
Session: 2013-14

Acknowledgement
Praise and Glory be to ALLAH ALMIGHTY, the most compassionate, the
most merciful and beneficial of entire universe. Lots of prayers for his beloved
Prophet Hazart Muhammad (Sallella Ho Alai Waa Sallam) who is the sole cause of
the creation of the entire universe.
This report has been made possible through the assistance of many people
whom I wish to recognize with great appreciation. While working as an internship
trainee at Bank of Azad Jammu & Kashmir Area Branch Paniola Rawalakot Azad
Kashmir, I am especially indebted to executives and other personal who provide
information and permitted to go through publications for use in the completion of this
report.

I am very grateful to my teachers especially Sir Usman, Sir Aftab, Sir Sadiq
and all other whom efforts and courage make me enable to have success in life. At
the end I would like to thank all the staff of Bank Azad Jammu and Kashmir Area
Branch Paniola Rawalakot Azad Kashmir for their unconditional support and help in
making me learn in a good environment.

Sehrish Agha
Student of M.Com
Roll No: 352
Session: 2013-14

Contents
Chapter One
1.1
1.2
1.2.1
1.2.2
1.2.3
1.2.4
1.3
1.3.1
1.3.2
Chapter Two
2.1
2.1.1
2.2
2.2.1
2.2.2
2.2.3
2.3
2.4
2.4.1
2.4.2
2.5
2.6
2.6.1
2.6.1.1
2.7
2.8
2.9
2.1
2.11
2.12
2.13
2.14
2.14.1
2.15
2.15.1
2.15.2

Introduction of Banking
Definition of Bank
Evolution of Banking
First Stage of Evolution
Second Stage of Evolution
Third Stage of Evolution
Fourth Stage of Evolution
Commercial Banking in Pakistan &Azad Kashmir
Banking in Pakistan
Commercial Banking in Azad Kashmir
History Of The Bank of AJ&K
Establishment
Ownership
Company Description
Capital Description
Equity Contribution
Functioning
Objectives
Kashmir Banks Initiatives
MOU with KASB Bank
MOU with AJKRSP
Values of AJK Bank
Corporate Information
Head Office
Website Access
Management Committee of Head Office:
Board of Directors
Executive Committee
Audit Committee
Company Secretary /Chief Financial Officer
Auditors
Tax Advisor
Operational Network of AJK Bank
Domestic Network
Function of AJK Bank
Primary Functions
Agency Services

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Chapter Three Customer Services

3.1 Main Services of the Bank
3.1.1 Encashment of Cheque
3.1.2 Deposit Receipts
3.1.3 Issuance of DDs / TTs
3.1.4 Issuance of Cheque Book
3.1.5 Payment of DDs / TTs
3.1.6 Counter Services:
Collection of Outstation Cheques Drawn on branches at
3.1.7 Big Office
3.1.8 Credit Local Cheques
Chapter Four Cash department & Remittances in AJ&K Bank
4.1 Cash Department:
4.1.1 Important instructions
4.2 Cash Receipt & Payment
4.3 Cheque
4.3.1 Types of Cheques
4.4 Dishonour of Cheque
4.5 Remittances
4.5.1 Demand Draft
4.5.2 Mail Transfer
4.5.3 Pay Order
4.5.4 Pay Slip
Chapter Five Deposit and Advance of The Bank of AJ&K
5.1 Major types of Account
5.1.1 Current Deposits / Current Account / CD
5.1.2 PLS-Saving Bank Account
5.1.3 BMBA Saving Account
5.1.4 SB Saving Account
5.2 Account Opening Procedure:
5.3 Advances
5.3.1 Short Term Loans
5.3.2 Long Term Loans
Chapter Six Accounts department Of AJ&K bank
6.1 Function
6.2 Voucher
6.3 Cash Book cum General Ledger
6.4 Transfer Book
6.5 Supplementary
6.6 HO Account Extract
6.7 Documentation In Branch
6.8 Issuance of Cheque Book
6.9 Stop Payment Instructions

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6.1
6.10.1
6.10.2
6.10.3
6.10.4
6.10.5
Chapter Seven
7.1
7.2
7.3
7.4
Chapter Eight
8.1
8.2
8.3
8.4
Chapter Nine
9.1
9.2
9.2.1
9.2.2
9.2.3
9.2.4
9.2.5

Area of my learning
Cash Department
Remittances
Deposits
Advances
Account
Financial Statement of Bank of AJ&K
Consolidated Balance Sheet 2013
Cash flow Statement 2013
Consolidated Profit and Loss Account 2013
Ratio of Bank of AJ&K
SWOT Analysis
Strengths
Weaknesses
Opportunities
Threats
Conclusion and Suggestions
Findings
Recommendations and Suggestion
Computerization in Banking
Proper Safeguarding Of Bank Branches
Room For Improvement In Customer Services
Reward System & Timely Promotions
Professionalism
Appendix
Bibliography

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