Gtb Revamp Leaves Gelli Men In Cold

Global Trust Bank (GTB) has embarked on an Operation Clean-up in right earnest. GTB chairman and managing director, R S Hugar, reshuffled the portfolios of senior executives last week.

Bank insiders said the reshuffle has rendered some senior executives, who were given key positions by former chief Ramesh Gelli, ineffective.

The bank has changed the portfolio of three presidents. A Anchan who was president (treasury) has been given additional portfolio of credit and investment banking.

P C Narayan who was in charge of information technology and retail banking, has been given the additional charge of operations, while K A Choudhury, who was in charge of credit, will look after the human resources, corporate affairs, accounts and planning.

All department heads will now report to the presidents. The three presidents, in turn, will report to executive director Sridhar Subasri.

Previously all department heads and the presidents used to report to the executive director. GTB officials in Hyderabad said this is a move by Huggar to clip the wings of some of the senior executives of the bank who were given key portfolios by Gelli. "They are now taken out of sensitive sectors," they said.

Officials said the bank is also planning to recruit officials to add to the strength of the credit department. "The chairman directly communicates with branch heads and the heads of the various departments. This could be seen as a step to get himself better informed on the various levels," said the official.

Insiders also said that after the changes in the top management there would be another set of changes in the middle management.

The bank is also seen to strengthen its recovery process. The bank had given credit to a lot of mid-sized companies which have turned into non-performing assets. The bank has been facing flak because of its exposure to the Ketan Parekh group.

Insiders acknowledge that the risk management of the bank was faulty as the major part of the capital market exposure was focused only on the KP group.