Nationalized Bank Case Study

The creation of the first national bank in the United States was of utmost importance in setting precedence for how much power the constitution actually grants the government. The debate over whether to create a national bank raised many questions over the constitution that hadn’t been tested before. It also raised questions about what the government can do when the constitution has no written clause on a certain subject. In looking at the arguments from Alexander Hamilton, James Madison, and Thomas Jefferson regarding a national bank, people can find out more about how some of the leading founders of the Constitution wanted to see the United States government run.

There have been many controversies since the United States declared independence in 1776. One of the many domestic issues that divided American citizens was developing the First National Bank in the late 1700s. Hamilton was in favor, while Jefferson opposed and American citizens chose their side based on what they believed what was best for the country. Hamilton proposed a Report on a National Bank in December of 1790 announcing what the National Bank would include. Hamilton’s proposal included, “The bank’s stock would be worth $10,000,000. 20,000 shares would be sold privately at $400 per share ... 5,000 shares or $2,000,000 of bank stock would be bought by the U.S. government. The bank would be run by a 25-man board of directors - 20 chosen by the shareholders and 5 by the government. The bank’s president would be elected by the board of directors. Notes and bills (money) issued by the bank would be redeemable on demand ... and would be accepted by the U.S. government for all payments due. The bank’s charter would run for 20 years and would be subject to renewal by Congress. The bank would be allowed to establish branch offices in other cities; its main branch would be in Philadelphia, the nation’s capital” (http://www.digitalhistory.uh.edu/teachers/lesson_plans/pdfs/unit3_ 4.pdf). Although the first part of the bank bill, establishing a national mint, did pass with ease, supporters and opposers debated the rest of the bill, which included the development of

This paper will show the situational analysis of commonwealth bank, it also analysed the organisational structure and its strategies. Because every business needs to take some action that will help them keep a good position in the market, but before taken any action they have to do some research the find to cause of problem in order to identify the resolution. The results and useful information during this analysis will help the organisation to choose suitable strategies, develop that management strategies and improving the service operation, which is going to help them achieve their objectives. At the beginning it will be presented brief history of commonwealth bank and following by their operational service, problems

The United States Congress chartered the Second National Bank in 1816 in order to control unregulated currency at the state-level banks. After several states questioned the constitutionality of the bank, Maryland imposed a tax on all banks that were not chartered by the state. By 1818, Maryland approved legislation of taxing the Second National Bank of the United States that was chartered by Congress, which is part of the Federal Government.

A.) The national bank, though surrounded by political and economic controversy, was valuable in certain aspects of the development of the United States. According to the fifth reading, the banking system showcased remarkable intelligence, efficiency, energy, and most importantly, independence. The bank served as a sense of security unattainable by local banks. In addition to providing security and independence, the national bank facilitated the majority of foreign and domestic trade.

Century National Bank has offices in several cities in the Midwest and the southeastern part of the United States. Mr. Dan Selig, president and CEO, would like to know the characteristics of his checking account customer. To better understand the customers, Mr. Selig asked Ms. Wendy Lamberg, director of planning, to select a sample of customers and prepare a report. To begin, she has appointed a team from her staff and the team has selected a random sample of 60 customers. All the information gathered is tabulated in the table below:

All the recommendations and suggestions that will be provided by this study would be helpful for the management of the National bank and Allied bank of Pakistan, in taking decisions related to their business processes, assets management, loans and other areas. This study would be beneficial for the investors, shareholders, creditors, state bank and government, because it shows the performance of the bank. In this way Shareholders would be able to know the performance of bank, profits and also know about those factors which are not significant for success of bank. New investors will attract if study proves that bank is working excellent. Overall this study will provide comprehensive information about financial performance of National bank and Allied bank of Pakistan; through the help of this research other banks can also know about those factors which largely contribute in the enhanced financial performance of a

Table 6: Profile of financial ratios of The ICICI Bank for three financial years post merger (in percentages)

National Bank of Oman has an orange system as the core value system, blue as the less dominant value system and Green as a subsystem. With orange as the core value system, it gives the bank an open value system which makes it easy to transition and change.

11 Sheikh, N. A. and Karim, S., “Determinants of profitability of Islamic commercial banks: Evidence from Pakistan”, Pakistan Journal of Islamic Research, Vol. 17

The problems that afflict Bank Century was first started from after the merger on November 27, 2001, at the time Governor of Bank Indonesia board meeting approved the acquisition principle Pikko Danpac Bank, and Bank CIC. However, on July 5, 2002 when the permit acquisition of BI was released, BI began smelling tort. Century Bank began to conduct securities transactions - securities (SBB) fictitious worth USD25 million. There are also high risk and Century SBB is required to establish the allowance for uncollectible active productive (PPAP). This resulted into a negative CAR of Bank CIC. These conditions make large withdrawals third party - resulting in massive bank liquidity problems and has violated the net open position (NOP).

(Khatri and Ahuja, 2010) stated in their study that it has become imperative for the Public sector as well as Private sector Banks, to perform to the best of their abilities to retain their customers by catering to their needs. If the banks fail to satisfy their customers, it can suffer huge losses. The authors used SERVQUAL model to study various variables of service quality and also compared the public sector and private sector in terms of customer satisfaction. The SERVQUAL model takes into considerations the perceptions of customers of the relative importance of the service attributes. They carried out this in only Delhi, NCR and used a likert scale as follows:

During the decade of the most innovative financial services PSBs are activated , resulting in its infancy . The World Bank also believes that the Indian banking system is still a large number of inefficient state-controlled system , rather than compete with each other . Some issues are framed questionnaire to gauge the views of executives PSBs to improve financial services related to the main subsidiary bodies. The main issues to improve the results of the subsidiary bodies of the principal subsidiaries of the 150 officials, agency personnel management related financial services has been discussed below.

The study finds and concludes that performance of rural banks in India has significantly improved after amalgamation process which has been initiated by the Government of India.

Prior to nationalization, a Central Board of Director governed the bank which consists of a managing Director appointed by the Central Government, nine directors elected by the shareholders and the three directors appointed by the Central Government. The President of the Central Board was appointed by the central Government amongst the Director.