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Saturday 3 August 2019

1055) White Ceramic Mug depicting State Bank of India, Pune Main Branch - A Walk Down History Lane:

1055) White Ceramic Mug depicting State Bank of India, Pune Main Branch - A Walk Down History Lane

Evolution of the State Bank of India, Pune Main Branch:

After the Second War of Indian Independence (1857), the Colonial power shifted from the East India Company to the British Crown.

In the immediate aftermath of the War, Pune which had seen its hey-days under the Maratha Empire and the Peshwas as the administrative Centre had somewhat been relegated to second place after Bombay (present day Mumbai).

With a view to reestablishing the importance of Pune as a major Business Centre,  the British Crown opened the Southern Branch of the Peninsula Railway.

In 1862, the "Presidency Bank of Bombay" opened a Branch at Poona (present day Pune). This was the first Bank to arrive in Pune, which was then the autumn headquarters of the Bombay Provincial Government and the principal cantonment of the British in the Deccan.

On 14.01.1868, the Bank of Bombay was revamped as the "New Bank of Bombay" (later to be called only the "Bank of Bombay") and the Poona Branch came under its fold from 25.01.1868.

The image of the old Poona Branch as it was opened in 1862 is seen on this face of the white Ceramic Mug in my collection

                      A photograph of the old Poona Main Branch 

The Poona Branch was opened primarily to extend the business of the Bank and also to undertake the local Treasury business of the government.

By 1868, after the Branch had opened inside the Collectorate Compound, the government treasury was placed under its care. The location of the branch has since remained the same.

Initially, while the government used the Branch for financing the heavy requirements of the local treasury business of the government, the European residents and rich Indians used it for all purposes of ordinary banking.

For a common man, a minimum initial deposit of Rs.200/- was required to open a current account. No credit or loan on deposit of Government paper or goods could be granted for a sum below Rs.500/-.

The needs of the entire trading community were being met by shroffs at this time, thus there was little profitable employment of the Bank funds. The surplus funds were initially invested in government securities, but soon it was found that it was more profitable to lend funds to the Head Office for deployment elsewhere.

Loans were being granted in the form of overdrafts or demand loans only for military or civilian officials and local businessmen against government and other authorised securities.

From 1927, loans against gold ornaments were granted and soon became popular.

The Branch did lose considerable business as it was located in the cantonment area - far away from the busy commercial centre.

In 1902, the government gave a site to the Bank in the "Kutchery"  compound at a nominal rent of Rs.1/- per annum, where the Bank built its own building. This building was demolished in 1971, to make room for the new spacious building which stands here - present day.

Around the 1920s, the average deposits of the Branch under the Imperial Bank of India had accumulated to nearly Rs.1.0 Crore.

Savings Bank deposits were the most popular banking product offered which became quite popular with the military officers and the town's civilian population. However, in the absence of any  industries business opportunities were greatly restricted. The major customers in the loan segment at this time were - the Poona Central Co-operative Bank Ltd. and the Silotri Bank Ltd.

The business of the Poona Branch was adversely affected with the arrival of several Indian banks.

In 1937, the then Imperial Bank (precursor to the State Bank of India) adopted what was perhaps unique in those days - the "mission" of rendering the "best banking service in the country" by affording constituents every reasonable facility in the transaction of their banking business.

Head Cashiers were empowered to encash cheques up to Rs.500/- across the counter without entering the instruments in the ledger  - this system was a precursor to the present day Teller System.

In 1938, the outbreak of World War II saw a remarkable rise in the business of Poona Branch. The growing importance of Poona as a military centre and the provision of finance for the prosecution of the war effort, were the chief factors behind this increase. The average deposit of the Branch crossed Rs.1.0 crore in 1942 and 2.0 crore two years later.

Poona was later transformed into one of the largest educational centres of the country, with the setting up of the University of Pune and the emergence of innumerable educational institutions.

India's largest ammunition factory at Khadki and the establishment of the National Defence Academy (NDA) at Khadakwasla added importance to the city as a military centre.

In 1955, when the Imperial Bank became the State Bank of India, the Poona Branch was busy serving industries, military and educational institutions, businessmen, military personnel and civilians including students.

From 1955, the Poona Branch took on a new role with a new sense of social purpose.

In 1957, the Branch launched special schemes for small entrepreneurs.

Today, with State-of-the-Art technology and communications and an excellent ambience in its work-place, the Poona Branch (present day Pune Branch) serves its customers with a tradition of providing excellent customer service dating back over 157 years. Based on the solid foundations of trust and dependability and backed by traditions of excellence in strategy and innovation, this association will become even stronger in future.

This face of the ceramic mug displays the main entrance of the present State Bank of India, Pune Branch  building 
This face of the image displays the front of the State Bank of India, Pune Branch building
A photograph of the present face State Bank of India, Pune Branch

Shri RamChandra Lalingkar, a senior officer and ex-State Banker has added the following information for this post:

"Thank you Rajeev for sharing this information about the history of SBI Pune Main Branch, with which I was associated since 02 May 1961, when I joined it as a cashier. I clearly remember the old building, the photograph of which is included in your post. I also remember to have appeared for the written Exam. in the verandah shown at the entrance of the old Imperial Bank Building.

Further, I was posted as Chief Manager (Accounts) at the Branch in July 1990 after completion of my "Inspection" assignment. During this period, I was assigned to segregate the Government Department of Pune Main Branch to convert it into the present Pune Treasury Branch, which I completed in 1993 and I was posted as Branch Manager till 1997. I retired in June 1998. During my period in Pune Main Branch as Chief Manager (Accounts), I remember, this project of "History of Pune Branch" was started and for that I contributed the Old Current Account Ledgers lying in our Record Room for the "Museum" of old things to be created by the Bank.

All these old memories came to my mind on reading your post and seeing the photographs included therein.

There are a lot of memories about the transformation of the old Pune Main Branch and the best moments of my Banking career".

Blog Editor's comment: Thank you so much, Rambhau. Your elaborate narrative of your experiences at the Pune Main Branch have added a lot of first hand value to this post.






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