.

Dharmapuri District Central

Co-operative Bank,
Dharmapuri,
Tamil Nadu .
Date of Registration • :31.10.1966
Date of Commencement • :17.11.1966
Date of RBI License obtained • :14.12.1966
No.of Branches • : 41
No of Member Societies .: 596
Area of operation •: Dharmapuri and Krishnagiri
. Districts of Tamil Nadu

Major Occupation in the • : Agriculture

area of operation of the bank
 Profile of the Area of operation

Name of the Date of Extent of

District Formation Population cultivation
Dharmapuri 02.10.1965 15,02,900 169089 Hect.
Krishnagiri 09.02.2004 18,83,731 222165 Hect.
Note: 1. Dharmapuri District was bifurcated from Salem District on
. 02.10.1965
2. Krishnagiri District was bifurcated from Dharmapuri District
. on 09.02.2004
 As per circular No.RPCD.CO.RF. BC.40/07.38. 03/ 2007-08,
dated : 04.12.2007,

 RBI, instructed StCBs/DCCBs to disclose their

level of CRAR, as on 31.03.2008, there after
every year as Notes on Accounts to their Balance
Sheets.

 However no % of CRAR was prescribed.

 As on 31.03.2008, Dharmapuri District
Central Co-operative Bank had a CRAR
level of 1.37% and paid-up capital of
Rs.2811.17 lakh.

 Bank started gearing up its endeavor to

improve its level of CRAR and mobilization
of Share Capital
 Bank earned continuous Net Profit from
the year 2008-09.
 Bank followed Dividend payout ratio as
prescribed by RBI, for declaration of
dividend in order to appropriate more Net
Profit to Free Reserves there by to
increase its Tier-I Capital.
 As per circular No. RPCD. RCB. BO.73/07.
51.012/2013-14, dated:07.01.2014,
RBI prescribed minimum CRAR for
StCBs/DCCBs as 7% and 9% to be
achieved as on 31.03.2015 and
31.03.2017 respectively.
 Dharmapuri DCC Bank’s

 Success Story
 1.Under STCCS revival package, as
implemented by Govt. of India, Bank’s
share of loss Rs. 1253.62 lakh, as arrived
at, in the Special Audit carried out for this
purpose was debited to Profit and Loss
account and appropriated to capital
account to improve the Tier-I capital of
the Bank.
 2. Share linking to borrowings of PACSs from the
bank was enhanced from 6.00% to 8.33% to
accelerate the mobilization of Share Capital.
Thus, Share Capital of Rs.1748.96 lakh as
mobilized from PACSs up to 31.03.2008 had
increased to Rs.2895.01 lakhs as on 31.03.2017.

 3. Similarly Associate member fee of Rs.5/-

collected from individuals to avail various loans
from the bank was enhanced to Rs.50/- and the
same was capitalized instead of treating them as
miscellaneous income, as it was accounted in the
previous years.
 4. Keeping major portion of CRR in the form
of cash in chest, instead of keeping in current
account of other banks, to minimize Risk
weight on the portion of Bank balances.

 5. Total required SLR investments made in

the form of Govt. securities, to minimize Risk
weight on the other form of investments, like
Fixed deposits in scheduled banks.
..2.
-2-

 6. Bank had diversified its lending portfolio to

Non-Farm Sector (NFS), especially issued
more loans to Employees Thrift & Credit
Societies (EMPCS). Hence, the Share Capital
of Rs.737.33 lakhs mobilized from EMPCS up
to 31.03.2008, had increased to Rs.4230.27
lakh as on 31.03.2017.
 7. Issued more jewel loans to the loan value
of below Rs.1.00 lakh to assign 50% Risk
weight on the jewel loan exposure.
..2.
-2-

 8. Bank used only 20% of its Net Profit for

declaration of dividend in order to control
the quantum of distributed profit with a
view to preserve/appropriate major
portion of Net Profit in the Free Reserves
of the Bank, so as to increase the level of
Tier-1 Capital.
 Growth of Paid -up Capital

Amt. in Lakhs

7326.81
8000 7143.15

6220.65
7000 5592.56

6000

5000

4000 2811.17

3000

2000

1000

0
2007-08 2013-14 2014-15 2015-16 2016-17
 Growth of Tier-I Capital Amt. In Lakhs

16000 14810.41
13874.43
14000
12196.86
12000

10000 10919.40
8000

6000

4000

2000 600.99

0
2007-08 2013-14 2014-15 2015-16 2016-17
 Growth of Tier-II Capital
Amt. in Lakhs

1511.88 1509.24

1600
1319.42
1400
1313.82
1200

1000

800

600

400 148.41

200

0
2007-08 2013-14 2014-15 2015-16 2016-17
 Growth of Total Capital Funds (Tier-I + II )

Amt. In Lakh

16129.83
18000.00
15383.67
16000.00 13510.68
14000.00 12431.28
12000.00
10000.00
8000.00
6000.00 749.40
4000.00
2000.00
0.00
2007-08 2013-14 2014-15 2015-16 2016-17
 Growth of Risk Weighted Assets

Amt. in Lakhs

120950.43
140000
120688.01
105054.3 105502.08
120000

100000

80000
54703.84
60000

40000

20000

0
2007-08 2013-14 2014-15 2015-16 2016-17
 CRAR prescribed by RBI to StCBs/DCCBs as on
31.03.2017 was 9.00%

 In view of implementation of foregoing best

practices, Dharmapuri District Central
Co-operative Bank has Achieved CRAR of
15.29% (Subject to NABARD inspection) as on
31.03.2017.
  Out of the total capital elements (100%),
% of Tier-wise Capital available
as on 31.03.2017

 Tier -I Capital Comprises - 91.82%

 Tier -II Capital Comprises - 8.18%

 Paid-up Capital alone Comprises- 45.42%

of the total capital elements
 Amount
Sl.No. Description % of CRAR
(in Lakhs)
1 Paid up capital alone 7326.81 6.95%

Other Reserves forming

2 part of Tier-I Capital 7483.6 7.09%

3 Total of Tier-I Capital(1+2) 14810.41 14.04%

4 Tier-II Capital 1319.42 1.25%
Total Capital
5 Elements (Tier-I+Tier-II) 16129.8 15.29%

Total Risk Weighted Assets as on 31.03.2017 : -

Rs. 105502.08 Lakhs
 % of Break-up of Capital Elements to
Aggregate Capital Elements

Tier-II Capital Amt. in Lakhs

Rs.1319.42
(8.18%)

Tier-I Capital
Paid up capital
Rs.7326.81
(45.42%)
Tire I Capital -
Reserve Fund &
Other Reserves
Rs.7483.60
(46.40%)

Tier-I Capital : Rs. 14810.41

Tier-II Capital : Rs. 1319.42 Total Capital Elements: Rs.16129.83
 Amt. in Lakhs
% of
Increase over the year
Average
2007-08 (ie. between
2007-08 2016-17 growth
Description the period of 9 years)
(Audited) (Audited) per year
Amount % (Col.5/ 6
(3-2) (4/2x100) years)
1 2 3 4 5 6
Paid-up Capital 2811.17 7326.81 4515.64 160.63% 17.85%
Tier-1 Capital 600.99 14810.41 14209.42 2364.34% 262.70%
Tier-II Capital 148.41 1319.42 1171.01 789.04% 87.67%
Total of Tier I+II 749.40 16129.83 15380.43 2052.37% 228.04%
Risk adjusted value 54703.84 105502.08 50798.24 92.86% 10.32%
% of CRAR 1.37% 15.29% 13.92% 1016.06% 112.90%

Note: Accumulated losses of Rs.2373.95 lakh as on 31.03.2008 was subtracted from the .
paid up capital to arrive Tier-I capital for the year 2007-08. Hence Tier–I capital is
. less than the outstanding of Paid-up Capital
 GROWTH OF % OF CRAR
18.00%
15.29%
16.00%

14.00% 12.86%

12.00%
12.75%
10.00% 9.55%
10.30%
8.14%
8.00%

6.00%

4.00%

2.00%
1.37%
0.00%
2007-08 2008-09 2012-13 2013-14 2014-15 2015-16 2016-17
Thank You!

Dharmapuri District Central

Co-operative Bank Ltd.,
Dharmapuri - 636 701,
Tamil Nadu.