SBI credit card loses Rs 150 crore

Kolkata, May 2 The State Depository Financial Institution of Republic Of India have decided to take over the helm of its struggling recognition card articulation venture with United States transnational GE, which have been losing money for nearly two old age now after a good start.

SBI Card Game was the lone joint venture in which SBI's spouse got the CEO's chair.

SBI President OP Bhatt said, "so far the chief executive officer used to be from germanium but now we are putting our ain CEO. We are also putting a twelve senior military officers in that company."

"There was a loss of about Rs 150 crore last fiscal," he said. The recognition card business, the lone SBI joint venture in which the spouse got the CEO's post, have been losing money for the last 18 calendar months after doing "extremely well" since inception.

"This company did not make well… inch fact, it have posted a loss this year, and now the CEO's place is being taken over by SBI," Bhatt said. He stressed that germanium is one of the best planetary , and the joint venture would stay. "We are also changing the hazard direction practices," he said. As for the impact of the projected amalgamations of the subordinates with SBI, he said the depository financial institution have already made full provisioning under arsenic 15. SBI alone have provisioned Rs 4280 crore under arsenic 15 and its subordinates set together Rs 2500-3000 crore.

On its general coverage foray, SBI have shortlisted two spouses and anticipates to chose one by the end of May, Bhatt said.