Verma Bows Out Of State Bank

State Bank of India chairman Maya Shankar Verma laid down office yesterday after handing over charge to managing director M P Radhakrishnan. SBI deputy managing director G G Vaidya is tipped to take over as managing director and eventually chairman, sources said.

They said the finance ministry yesterday asked Verma to hand over charge to Radhakrishnan, though no official intimation had been sent to SBI yet.

In the case of Vaidya's appointment, the ministry indicated that it would send a written communication to the bank within a few days, sources said.

Radhakrishnan, who heads the corporate banking division and is the seniormost SBI official, is slated to retire on January 31.

In case Vaidya is now made the managing director, he would be the seniormost SBI official when Radhakrishnan retires. Sources said Vaidya's appointment had been cleared by the finance ministry and is awaiting clearance by the Prime Minister's Office.

Vaidya's appointment is likely to bring an end to speculation over whether he or deputy managing director V Jankiraman will eventually head the bank.

In case Vaidya is appointed managing director, he will supersede deputy managing director P K Bhattacharjee, who also retires on January 31. A managing director's slot has been vacant at SBI following O P Sethia's retirement in October.

Deputy managing director in charge of personnel B M Bhide also retired yesterday after handing over charge to Y Radhakrishnan. Bhide had been associated with the bank for the last 37 years and had handled credit before being put in charge of the personnel department.

M S Verma took over as SBI's chairman from P G Kakodkar in April 1997.