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CORPORATE OF GOVERNANCE

A PROJECT SUBMIT TO

UNIVERSITY OF MUMBAI FOR PARTIAL COMPLETION OF THE DEGREE OF THE

Master’s in commerce

(Advanced Accountancy)
UNDER THE FACULTY OF COMMERCE

By

Mr. Adil Ahsanullah Khan

ROLL NO-

Mcom- SEMESTER- III

Under the Guidance of

ACADEMIC YEAR-2022-2023
SUBMITTED TO
UNIVERSITY OF MUMBAI

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Declaration by learner

I the undersigned Mr. Adil Ahsanullah Khan here by, declare that the work embodied in
this project work titled “,corporate of governance " forms my own contribution to the research
work carried out under the guidance of‘Prof. ,'is a result of my own research and has not
been previously submitted to any other University for any other Degree/ Diploma to this or
any other University.

Wherever reference has been made to previous works of others, it has been clearly indicated
as such and included in the bibliography.

I, here by further declare that all the information provided in the project is true and to the best
of my knowledge.

_______________ADIL AHSANULLAH KHAN _______

Name of Student

Date:11th August 2022

Place:Mumbai

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Certificate
This is to certify that Mr. Adil Ahsanullah Khan has worked and duly completed his Project
Work for the degree of Master’s in Advanced Accountancy the Faculty of Commerce in
the subject of Account and his project is entitled, “corporate of governance” under my
supervision.

I further certify that the entire work has been done by the learner under my guidance and that
no part of it has been submitted for any Degree or Diploma of any University.

It is his own work and facts reported by his personal findings and investigations.

________________________ __________________________

Internal Examiner External Examiner

________________________
Vice-Principal Principal

Date of submission: ________________

College Seal

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Acknowledgement

To list who all have helped me is difficult because they are so numerous and the depth is so
enormous.

I would like to acknowledge the following as being idealistic channels and fresh dimensions
in the completion of this project.

I take this opportunity to thank the University of Mumbai for giving me chance to do this
project.

I would like to thank my Principal, providing the necessary facilities required for completion
of this project.

I take this opportunity to thank theVice-Principalfor her moral support and guidance.

I would also like to express my sincere gratitude towards my project guide ‘

whose guidance and care made the project successful.

I would like to thank my College Library, for having provided various reference books and
magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly helped me in
the completion of the project especially my Parents and Peers who supported me throughout
my project.

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EXECUTIVE SUMMARY
Investment is a term with several closely-related meanings in businessmanagement, finance
and economics, related to saving or deferring consumption. An asset is usually purchased, or
equivalently a deposit is made in a bank, in hopes of getting a future return or interest from it.
The word originates in the Latin "vestis", meaning garment, and refers to the act of putting
things (money or other claims to resources) into others' pockets.

The investment decision (also known as capitalbudgeting) is one of the fundamental decisions
of business management: managers determine the assets that the business enterprise obtains.
These assets may be physical (such as buildings or machinery), intangible (such as patents,
software, goodwill), or financial (see below). The manager must assess whether the net
present value of the investment to the enterprise is positive; the net present value is calculated
using the enterprise's marginal cost of capital.

A business might invest with the goal of making profit. It might also invest with the goal of
controlling or influencing the operation of the second company, the investee. Hence, a
company can have none, some or total control over the investee 's strategic, operating,
investing and financing decisions.

This project of mine explains investment in prospect of capital market, where in I have
analyzed that as an investor where the person should invest its money…in real estate or in
mutual funds.

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INDEX
CHAP SUB PARTICULARS NO.
NO. NO.

EXECUTIVE SUMMARY 10

1 INTRODUCTION
11-13

1.1 WHAT IS CORPORATE GOVERNANCE 11

1.2 BAD AND GOOD CORPORATE GOVERNANCE 11

1.3 CORPORATE GOVERNANCE AND THE BOARD OF 12

DIRECTORS

1.4 HISTORY OF CORPORATE GOVERNANCE 12

1.5 MISSION OF HDFC BANK 13

1.6 CORPORATE GOVERNANCE OF HDFC BANK 13

2 RESEARCH AND METHODOLOGY 15-19

2.1 OBJECTIVES 15

2.2 SIGNIFICANCE OF THE STUDY 16

2.3 SCOPE OF THE STUDY 16

2.4 LIMITATION OF THE STUDY 17

2.5 SELECTION OF THE PROBLEM 18

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2.6 SAMPLE SIZE 18

3 CATEGORIES OF SHAREHOLDERS 20-37

3.1 CATEGORIES OF SHAREHOLDERS AS ON 31ST 20

MARCH 2019

3.2 BOARD OF DIRECTORS 21

3.3 OWNERSHIP RIGHTS 21

3.4 DISCLOSURE RELATED TO PARTY TRANSACTION 23

3.5 TREATMENT OF ACCOUNTING IN THE 24

CORPORATE

3.6 EMPLOYEES BENEFITS 26

3.7 COMPOSITION OF EMPLOYEES FOR PARENTAL 28

LEAVE

3.8 EMPLOYEES DIVERSITY 29

3.9 COMPLAINTS HANDLED DURING THE YEAR 31

3.10 POLICY RELATED TO CUSTOMERS 32

3.11 CUSTOMERS SECURITY WITH EMPHASIS ON 33

CYBER SECURITY

3.12 HDFC BANK LIMITED SHAREHOLDING 34

BELONGING TO THE CATEGORY

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3.13 CORPORATE GOVERNANCE RATING

35

4 INITIATIVES TAKEN FOR THE 38-52

COMPANY’S DEVELOPMENT

4.1 MANAGEMENTS RESPONSIBILITY FOR INTERNAL 39

FINANCIAL CONTROLS

4.2 AUDITORS RESPONSIBILITY 39

4.3 RISK POLICY AND MONITORING COMMITTEE 46

4.4 REVIEW COMMITTEE FOR WILLFUL DEFAULTERS 46

IDENTIFICATION

4.5 COMPLIANCE WITH NON-MANDATORY 47

REQUIREMENTS

4.6 PROFIT AND LOSS OF THE COMPANY 50

4.7 BALANCESHEET OF THE COMPANY 52

5 REVIEW OF STUDY 53

6 DATA ANALYSIS AND 59

INTERPRETATION

7 75
CONCLUSION

8 76
SUGGESTION
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9 BIBLIOGRAPHY 77
78
10 ANNEXURE

LIST OF TABLES
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TABLE PARTICULARS PAGE

NO. NO.
3.1 CATEGORIES OF SHAREHOLDER 20

3.2.1 BOARD OF DIRECTORS 21

3.4.1 STEPS FOR POLICY APPROVAL 23

3.5.2 TRAINING AND DEVELOPMENT 25

3.6.1 GRATUITY 27

3.7.1 COMPOSITION OF EMPLOYEES FOR 28

PARENTAL LEAVE

3.8.1 EMPLOYEES DIVERSITY BY REGION 30

3.8.2 EMPLOYEES DIVERSITY BY AGE 31

3.9.1 COMPLAINTS HANDLED DURING THE 31

YEAR

3.10.1 CUSTOMER POLICY 32

HDFC BANK LIMITED SHAREHOLDERING

3.12.1 BELONGING TO THE CATEGORY 34

3.13.1 HDFC BANK AWARDED 2020 36

3.13.2 HDFC BANK AWARDED 2019 37

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4.2.1 DIFFERENT COMMITTEES FORMED AND 40

THE MEMBERS OF THE COMMTTEES

4.2.2 AUDIT COMMITTEE 41

4.2.3 CUSTOMER SERVICE COMMITTEE 41

4.2.4 CREDIT APPROVAL COMMITTEE 42

4.2.5 NOMINATION AND REMUNERATION 42

COMMITTEE

4.2.6 STAKEHOLDERS RELATIONSHIP 43

COMMITTEE

4.2.7 PREMISES COMMITTEE 44

4.2.8 FRAUD MONITORING COMMITTEE 44

4.2.9 REFERENCE OF COMMITTEE 45

4.2.10 CORPORATE SOCIAL RESPONSIBILITY 45

COMMITTEE

4.2.11 CORPORATE SOCIAL RESPONSIBILITY 46

4.4 REVIEW COMMITTEE FOR WILLFUL 46

DEFAULTERS IDENTIFICATION

4.4.1 IT COMMITTEE 47

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4.6 PROFIT AND LOSS OF THE COMPANY 50

4.7 BALANCESHEET OF THE COMPANY 52

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LIST OF CHARTS

CHART PARTICULARS PAGE

NO. NO.
6.1 AGE 59

6.2 OCCUPATION 60

6.3 HAVING ACCOUNT IN HDFC 61

BANK OR NOT

6.4 TYPES OF ACCOUNTS IN HDFC 62

BANK

6.5 SOURCE WOULD YOU HAVE 63

PREFERRED FOR THIS BANK

6.6 BANK CONDUCTED ANY 65

SURVEY OR NOT

6.7 AWARENESS OF SERVICES 66

PROVIDED BY THE BANK

6.8 RATE OF LEVEL OF 67

SATISFACTION

6.9 INVESTMENT MADE BY THE 68

CUSTOMER IN THE BANK

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6.1 TYPE OF INVESTMENT 69

0

6.1 FINANCIAL PERFORMANCE ON 70

1 ITS WEBSITE FOR
SHAREHOLDER

6.1 PERIODIC REMAINDERS TO 71

2 SHAREHOLDERS

6.1 BANK HAVE MANAGEMENT 72

3 INFORMATION SYSTEM OR NOT

6.1 ORIENTATION PROGRAM FOR 73

4 DIRECTOR

6.1 DESIRED LEVEL OF FAIRNESS, 74

5 TRANSPARENCY AND
ACCOUNTABILITY IN BANK

EXECUTIVE SUMMARY

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Corporate Governance of HDFC Bank

HDFC Bank recognize the importance of good corporate governance, which is
generally accepted as a key factor in attaining fairness for all stakeholders and
achieving organizational efficiency. This Corporate Governance Policy, therefore is
established to provide a direction and framework for managing and monitoring the bank
in accordance with the principles of good corporate governance.

Code of Corporate Governance of HDFC Bank

The bank believes in adopting and adhering to best recognized corporate governance
practices and continuously benchmarking itself against each such practice. The bank
understands and respects its fiduciary role and responsibility to shareholders and strives
hard to meet their expectations. The Bank believes that best board practices, transparent
disclosures and shareholder empowerment are necessary for creating shareholder value.
The Bank has infused the philosophy of corporate governance into all its activities. The
philosophy on corporate governance is an important tool for shareholder protection and
maximisation of their long -term values. The cardinal principles such as independence,
accountability, responsibility, transparency, fair and timely disclosures, credibility etc.
serve as the means for implementing the philosophy of corporate governance in letter
and spirit.

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CHAPTER 1. INTRODUCTON

1.1 What is Corporate Governance?

Corporate Governance is the system of rules, practices and processes by which
a firm is directed and controlled. Corporate Governance essentially involves
balancing the interest of a company’s many stakeholders, such as shareholder,
management, customers, suppliers, financiers, government and the community.
Since Corporate Governance also provides the framework for attaining a
company’s objective, it encompasses practically every sphere of management,
from action plans and internal controls to performance measurement and
corporate disclosure.

Corporate Governance has also been defined as “Is the act of externally
directing, controlling and evaluating the corporation” and related to the
definition of Governance as “The act of externally directing, controlling and
evaluating an entity, process or resource.” In this sense Governance and
Corporate Governance both are different from management because
Governance must be EXTERNAL to the object being governed. Governing
agents do not have personal control over, and are not part of the object that
they govern. For example, it is not possible for a CIO (Chief Information
Officer) to govern the IT function. They are personally accountable for the
strategy and management of the function. As such, they “manage” the IT
function; they do not “govern” it. At the same time there may be number of
policy, authorised by the board that the CIO follows.Without these policies,
procedure and indicators, the board has no way of governing the corporate.

1.2 Bad and Good Corporate Governance

Communicating a firm’s Corporate Governance is a key component of
community and investor relations. Bad Corporate Governance can cast doubt
on a company’s reliability, integrity or obligation to shareholders which can

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have implications on the firm’s financial health. Support of illegal activities

can create scandals. Companies that do not co-operate sufficiently with
auditors or do not select auditors with the appropriates scale can published
spurious or noncompliant financial results. Poorly structured boards make it
too difficult for shareholders to expel ineffective incumbents.
Good corporate governance creates a transparent set of rules and controls in
which shareholders, directors and officers have aligned incentives. Most
companies strive to have a high level of Corporate Governance. For many
shareholders, it is not enough for a company to merely to be profitable; it also
needs to demonstrate goods corporate citizenship through environmental
awareness, ethical behaviour and sound corporate governance practices.

1.3 Corporate Governance and the Board of Directors

The board of directors is the primary direct stakeholder influencing corporate
governance. Directors are elected by shareholders or appointed by other board
members, and they represent shareholders of the company. The board is tasked
with making important decisions, such as corporate officer appointment,
executive compensation and dividend policy. In some instances, board
obligations stretch beyond financial optimization, when shareholder
resolutions call for certain social or environmental concerns to be prioritized.
Boards are often made up of inside and independent members. Insiders are
major shareholders, founders and executives. Independent directors do not
share the ties of the insiders, but they are chosen because of their experience
managing or directing other large companies.

1.4 History of Corporate Governance

The seeds of modern corporate governance were probably sown by the
Watergate scandal in the United States. The global movement for better
corporate governance progressed in fits and starts from the mid-1980s up to
1997. There were the odd country-level initiatives such as the Cadbury
Committee Report in the United Kingdom (1992) or the recommendations of
the National Association of Corporate Directors of the US (1995). It would be
fair to say, however, that such initiatives were few and far between. And while

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there were the occasional international conferences on the desirability of good

corporate governance, most companies – both global and Indian knew little of
what the phrase meant, and cared even less for its implications. More recently,
the first major stimulus for corporate governance reforms came after the South-
East and East Asian crisis of 1997-98. This was no classical Latin American
debt crisis. Gradually, governments, multilateral institutions, banks as well as
companies began to understand that the devil lay in the institutional,
microeconomic details – the nitty-gritty of transactions between companies,
banks, financial institutions and capital markets; the design of corporate laws,
bankruptcy procedures and practices; the structure of ownership and crony
capitalism; sharp stock market practices; poor boards of directors showing
scant regard to fiduciary responsibility; poor disclosures and transparency; and
inadequate accounting and auditing standards.
1.5 Mission of HDFC
HDFC bank’s mission to be a world class Indian bank, the bank has aim to
build sound customers franchises across district business so as to be prefer
provider of banking services in the segment that the bank operates in and to
achieve healthy growth in profitability, consistent with the bank’s appetite.
The bank is committed to maintain the highest level of ethical standards,
professional integrity and regulatory compliance. HDFC bank’s business
philosophy is based on four core values:

 Operational Excellence
 Customer Focus
 Product
1.6 Corporate Governance of HDFC Bank
HDFC Bank recognizes the importance of good corporate governance, which
is generally accepted as a key factor in attaining fairness for all stakeholders
and achieving organisational efficiency. This Corporate Governance Policy,
therefore, is established to provide a direction and framework for managing
and monitoring the bank in accordance with the principles of good Corporate
Governance.

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The bank believes in adopting and adhering to best recognised corporate

governance practices and continuously benchmarking itself against each such
practice. The bank understands and respects its fiduciary role and
responsibility to shareholders and strives hard to meet their expectations. The
bank believes that best board practices, transparent disclosures and shareholder
empowerment are necessary for creating shareholder value.

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CHAPTER 2. RESEARCH METHODOLOGY

The focus of the research is on evaluating Corporate Governance in HDFC

bank which is the part of private sector bank to examine the effectiveness of
Corporate Governance in HDFC in achieving economic growth, curbing
malpractices, bringing transparency of banking transactions and how it can be
mandatory. So the research methodology was prepared meticulously to identify
and comparing the effectiveness of Corporate Governance in HDFC bank.

2.1 Objectives

1. To know the shareholders right and participation in the voting of the company.

2. To know the interest of the stakeholders.

3. To find out the roles and responsibilities of board of directors.

4. To provide transparency to stakeholders with a level of accountability.

5. To know integrity and ethical behaviour.

6. To know capital compositions of the corporate.

7. To know the composition of committees, of directors.

8. To know the composition of the Board of Directors.

9. To find out the promoters right in HDFC bank.

10. To provide the compliance with the mandatory and non-mandatory requirements in
the company.

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11. To know the categories of shareholders in the company.

2.2 Significance of the study

Good corporate governance ensures corporate success and economic growth.

HDFC has followed the good corporate governance and gained much more
success in the year. This has led to economic growth of the country.

Strong corporate governance maintains investors’ confidence, as a result of

which, company can raise capital efficiently and effectively. HDFC has strong
rules and regulations which has gained investors confident and led to increase
in goodwill in the market.

It lowers the capital cost. In HDFC, because of strictly following the rules and
regulations there is no chance of fraud and this leads to lower the capital cost.

There is a positive impact on the share price.

Good corporate governance also minimizes wastages, corruption, risks and

mismanagement. HDFC follows the corporate governance properly without
any compliance and this leads the employees feel sense of proud; thus reduces
wastages, corruption, risks, and mismanagement in the organization.

It helps in brand formation and development. HDFC enjoys a good reputation

in the market because of its good corporate governance and this leads to
distinguish it from other corporate in the market and create a brand.

2.3 Scope of the study

Corporate governance of HDFC bank is studied for the purpose of knowing the
areas of benefits in the corporate.

The Study provides transparency about the accounts, rules and regulations
followed by them is known in the study. Corporate governance helps the
company in maintaining the goodwill, increase in market price, retaining the
aura in the market, maintaining a different status from another corporate

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already present in the competition. It helps in creating a brand image in the

market.

HDFC Bank recognizes the importance of good corporate governance, which

is generally accepted as a key factor in attaining fairness for all stakeholders
and achieving organizational efficiency.

2.4 Limitation of the study

Every study has limitations. To understand the limitations in corporate

governance practices and code of HDFC, the inherent conflicts concept need to
be reviewed as presented in the project. To explain how the inherent codes are
working in the corporate, the origins and purposes of concepts need to be
considered as outlined later sections.

A review of the objectives of the corporate governance codes reveal that their
aims can vary but with a general focus on the economic performance of bank,
their accountability, access to capital, and operations of their board. However
none of the codes advocate best practices appear to offer a test for defining
when good governance is achieved.

The study of corporate governance in HDFC bank has a limitation of not being
clarified about the codes and conduct that the bank follows internally, whether
this is followed actually in the corporate. The facts and figures shown in the
brochures, journals, business magazine, annual report, etc. through which the
data is collected might be because of window dressing done. The actual
evaluation of the data might be hidden to show a good financial position in the
market.

The problem in the corporate during the particular financial year 2017-18 may
not be shown to the outside world just to make a good standing in the market.
The scams information is not provided in the website and makes the world

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believe that there is no corruption in the company because of good corporate

governance.

Rules and regulations in the HDFC might be strict but it is not possible for the
human being that they strictly follows it, might be possible that there are faults
made during the year by the employees or any board of directors; but not
known to us during the study.

2.5 Selection of the problem

Corporate Governance of HDFC bank in the particular financial year 2017-18

is the selected problem taken into study and this involves the study of:

 Composition of board of directors

 Rights of shareholders
 Promoters
 Composition of capital structure of bank
 Different committees for handling the functions in the corporate
 Dividend
 Cyber security, IT
 Corporate Social Responsibility (CSR)
 Employees hiring, & their engagement
 Policy of training development, rewards provided to employees
 Policy on appointment of directors and Key Managerial Personnel
 Compliance with mandatory and non-mandatory requirement

2.6 Sample size

Indian banking sectors comprises of many private sector banks, public sector,
co-operative banks, etc. Though Corporate Governance binds to all types of
banks but for precise focus, I have selected the HDFC bank, which is a part of
private sector. From the bank, sample size taken into consideration for the
study is:

 Board of directors
 Employees
 Shareholders
 Auditors’ report
 Annual report of the company
 Different Committees of the company

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I have also taken into consider the responses of 100 people of Mumbai city
whom questions were asked regarding HDFC bank.

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CHAPTER 3. Categories of Shareholders

Investors and shareholders have a financial stake in the Bank and are therefore
key stakeholders. The Bank must safeguard their interests, maintain a healthy
relationship and create value for them. The Bank communicates with them on
all major issues and their suggestions/recommendations are placed directly
before the Board. Shareholders also get to interact with the Board at Annual
General Meetings (AGM) and open houses. The relevant issues are taken up by
the Board for further discussion.

3.1 Categories of Shareholders as on 31st March, 2019:

Particulars % of
capital
Promoters (*) 20.93

ADS and GDRs (#) 18.23

Foreign Institutional Investors 33.06

Overseas Corporate Bodies, Foreign Bodies, 0.40

Foreign National and Non-Resident Indians

Financial Institutions, Banks, Mutual Funds and 10.10

Central Government

Life Insurance Corporation and its subsidiaries 1.99

Other Insurance Corporations 0.21

Indian Companies 5.90

Others 9.18

Total 100.00

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(*) None of the equity shares held by the Promoter Group are under pledge.

(#) JP Morgan Chase Bank is the Depository for both the ADS (461557764
underlying equity shares) & GDRs (11430383 underlying equity shares)

3.2 Board of Directors

3.2.1 Board of Directors

Sr. No. Name of Designation

Director
1 Mrs. Shyamala Part Time Non- Executive Chairperson
Gopinath and Independent Director

2 Mr. Malay Patel Independent Director

3 Mr. Umesh Independent Director

Chandra Sarangi

4 Mr. Keki Mistry Non-Executive Director

5 Mr. Srikanth Non-Executive Director

Nadhamuni

6 Mr. Sanjiv Sachar Additional Non-Executive Director

7 Mr. Sandeep Additional Independent Director

Parekh

8 Mr. MD Additional Independent Director

Ranganath

9 Mr. Aditya Puri Managing Director

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10 Mr. Kaizad Executive Director

Bharucha

3.3 Ownership rights

Certain rights that a shareholder in a company enjoys:

 To transfer the shares and receive the share certificates upon transfer within the period
prescribed in the SEBI Listing Regulations.

 To receive notice of general meetings, annual report, the balance sheet and profit and
loss account and the auditor’s report. To attend and speak in person, at general
meetings.

 To appoint proxy to attend and vote at the general meetings. In case the member is a
body corporate, to appoint a representative to attend and vote at the general meetings
of the company on its behalf Proxy can vote on a poll, the number of votes of a
shareholder is proportionate to the number of equity shares held by him.

In terms of sections of banking regulation act amendment, no person holding

shares in a banking company shall, in respect of any shares held by him,
exercise voting rights on poll in excess of ten per cent of the total voting rights
of all the shareholders of the banking company, provided that RBI may
increase, in a phased manner, such ceiling on voting rights from ten percent to
twenty-six per cent.

 To requisition an extraordinary general meeting of the bank by shareholders who

collectively hold not less than 1/10th of the total paid-up capital of the company.

 To move amendments to resolutions proposed at general meetings.

 To receive dividends and other corporate benefits like rights, bonus shares etc. as and
when declared/ announced.

 To inspect various registers of the company, minute books of general meetings and to
receive copies thereof after complying with the procedure prescribed in the
Companies Act, 2013 as amended from time to time.

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 To make nominations in respect of shares held by the shareholders.

 To participate in, and be sufficiently informed of the decisions concerning

fundamental corporate changes

 To be informed of the rules, including voting procedures that govern general

shareholder meetings.

 To have adequate mechanism to addresses the grievances of the shareholders.

3.4 Disclosure related to party transaction

The objective of this policy and procedure is to ensure that transactions between the
Bank and its related parties are based on principles of transparency and arm’s length
pricing. Likewise, this policy aims at preventing and providing guidance in situations
of potential conflict of interests in the implementation of transactions involving such
related parties.

The approval policy framework is given below:

3.4.1 Steps for Policy Approval

STEPS FOR POLICY APPROVAL

1. Audit Committee All Related Party Transactions

2. Board Approval Related Party Transactions referred

by Audit Committee for approval of
the Board Related Party
Transactions as required under the
statute applicable to the Bank

3. Shareholder's Approval (a)Material Related Party

Transactions (b)Related Party
Transactions not in Ordinary
Course of Business or not on Arm's
length basis and crosses threshold

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limit as prescribed under the statute

applicable to the Bank.

3.5 Treatment of accounting in the corporate

3.5.1 Whistle blower policy

 The bank has adopted a whistle blower policy pursuant to which employees of the
bank can raise their concerns relating to fraud, malpractice, or any other activity or
event which is against the interest of the bank or society has a whole.

 Details of the complaints received and the actions taken are reviewed by the Audit
Committee.

 The functioning of the whistle blower mechanism is reviewed by the Audit

Committee from time to time. None of the bank’s personnel have been denied assist to
the audit committee.

 The Bank encourages an open and transparent system of working and dealing amongst
its stakeholders. The Code of Conduct governs the ethical behaviour and
organizational integrity. It is approved by the Board. Advice about ethical behaviour
& organizational integrity is sought from the immediate manager or reporting
manager, in case of dissatisfaction it can be sought from the regional HR.

 The Bank has also adopted a “Whistle Blower Policy” which encourages its
employees and various stakeholders to bring to the notice of the Bank any issue
involving compromise / violation of ethical norms, legal or regulatory provisions,
actual or suspected fraud etc. without any fear of reprisal, discrimination, harassment
or victimization of any kind.

 The Chief of Internal Vigilance receives these concerns through a dedicated email ID
or by way of letters, etc. All such complaints are enquired into by the appropriate
authority within the Bank while ensuring confidentiality of the identity of such
complainants.

 On the basis of their investigation, if the allegations are proved to be correct then the
Competent Authority shall recommend to the appropriate Disciplinary Authority to
take suitable action against the responsible official. Complaints received, and the
functioning of the Whistle Blower mechanism are reviewed periodically by the Audit
Committee of the Board.

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 During the financial year 2017-18, a total of 46complaints were received and
investigated.

3.5.2 Employees motivated in the corporate

1. Employee Engagement:

The Bank has nurtured an enabling performance culture in line with its
vision to be a `World Class Indian Bank’. In addition, the Bank strives to
strengthen it connect with employees. The Bank conducted an employee
survey to understand various aspects of their experience and followed
through with appropriate interventions spanning from the local to pan-
Bank level. The Bank also conducts several employee engagements
events, both at local and national levels.

2. Training and Development:

Training plans are developed based on analysis of training needs identified in

consultation with various businesses. The training methodology has evolved to
application-based training such as:

Methods of training Types of training

Simulations On boarding training
Case studies Product and process training

Games. Advanced programming

Leveraging technology Behavioural training
Many of the class room programmes are
now being delivered through online
mode

The on-boarding training ensures that new employees are trained

comprehensively and equipped with necessary know-how, as well as
functional and behavioural skills required for the role. The product training and
advanced programmes enable skill development, regular updates and build
expertise.

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3. Rewards:

Merit is the driving force in the organisation and objectivity the watchword
while rewarding employees on a financial and non-financial basis. This fair
and equitable approach encourages people to give their best. The compensation
policy ensures that remuneration is not only competitive but also includes
wealth creation opportunities through long-term rewards like ESOPs. The
Bank’s comprehensive compensation policy is aligned with the guidelines of
the Reserve Bank of India.

 The ‘Star Awards’ is an institutionalised recognition programme that periodically

recognizes performers.
 The ‘Tejaswini Awards’ is a special category to recognize women achievers.


3.6 Employee’s Benefits

HDFC Bank has in place, Rewards and Recognition programs which are based on a
sound performance management system. The Bank has imbibed a pay-for-performance
culture that is purely based on meritocracy.

In FY 2019-20, the Bank launched ICON Awards to recognise employees for

demonstrating individual, leadership and collaborative excellence in driving customer
focus and operational excellence.

1.Gratuity:

Particulars Answer
Bank provides gratuity to Completed five years of service
employees
Paid in the form of Lumpsum amount
Payable when  Resignation
 Death while in employment
 Termination
3.6.1 Gratuity

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Paid on termination of employment of an amount equivalent to 15 days basic

salary payable for each completed year of service. The Bank makes
contributions to funds administered by trustees and managed by insurance
companies for amounts notified by the said insurance companies

1. Superannuation:

Employees above a prescribed grade are entitled to receive retirement benefits

under the Bank’s Superannuation Fund. The Bank contributes a sum
equivalent to 13% of the employee’s eligible annual basic salary (15% for the
whole time Directors and for certain eligible erstwhile Centurion Bank of
Punjab (‘eCBoP’) staff) to insurance companies, which administer the fund.

2. Provident Fund:

All employees of the Bank are entitled to receive benefits under the provident
fund in accordance with law. The Bank monthly contributes an amount at a
determined rate (currently 12% of employee’s basic salary). Of this, the Bank
contributes an amount equal to 8.33% of employee’s basic salary up to a
maximum salary level of ` 15,000/- per month, to the Pension Scheme
administered by the Regional Provident Fund Commissioner (‘RPFC’). The
balance amount is contributed to a fund set up by the Bank and administered
by a Board of Trustees.

3.Leave Encashment/Compensated Absences:

The Bank does not have a policy of enchasing unveiled leave for its
employees, except for certain LKB employees under Indian Banks’
Association (‘IBA’) structure. The Bank provides for leave encashment /
compensated absences based on an independent actuarial valuation at the
balance sheet date, which includes:

 Assumptions about demographics

 Early retirement
 Salary increases
 Interest rates and
 Leave utilisation.

3. Pension:

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With respect to pension payable to certain employees under IBA structure,

which is a defined benefit scheme, the Bank contributes 10% of basic salary to
a pension fund set up by the Bank and administered by the Board of Trustees
and the balance amount is provided based on actuarial valuation as at the
Balance Sheet date conducted by an independent actuary.

4. Employee Stock Option Scheme (‘ESOS’):

The Employee Stock Option Scheme provides the Employees with the grant of
options to acquire equity shares of the Bank. The options granted to employees
vests in a graded manner and these may be exercised by the employees within
a specified period.

3.7 Composition of employees for parental leave

3.7.1 Composition of employees for parental leave

Male Female
Employeesentitled to 72822 15431
parental leave
Employees that took 1581 1366
parental leave
Employees who 1356 1131
returned to workafter
parental leave ended
Employees who 148 99
returned to work
after parental leave
ended who were still
employed 12 months
after their return to
work
Return to work rates 86% 83%
of employees who
returned to work

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after parental leave

3.8 Employee Diversity

The Bank has a strong and dedicated workforce having diverse talents,
perspectives and backgrounds. As on 31st March 2018, the Bank has 88,253
employees. This included 15,431 women employees comprising about 17% of
the total workforce.

 The Bank considers the inclusion of women as a priority. In this regard, the Bank has
facilities such as extended maternity leave, onsite crèche for young children at one of
the main locations, special workshops and seminars for its women employees.
 The Bank is an equal opportunity employer and follows a non-discriminatory policy
in recruitment. Remuneration is assessed through a performance management system,
irrespective of the employee’s gender.
 At the Bank, inclusion extends to the differently-abled workforce as well. The Bank
ensures this by providing ramps and staircases with railings wherever feasible for
access. 449 branches/office locations of the Bank have ramps for wheelchair access.
Further, in large back offices, there are designated toilets for the differently abled.

3.8.1 Employee Diversity by Region

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Total Employee Diversity by Region

Abroad 36
94

Southern Region 4010

17047
female
1228 male
Eastern Region 8718

Western Region 5571

23514

Northern Region 4586

23449
0 5000 10000 15000 20000 25000

3.8.2Employee Diversity by Age

Total Employee Diversity by Age

Age more than 45 years 328

2097

3303 Female
Age Between 35-45 years 22659 Male

Age Between 25-35 years 9672

42822

Age less than 25 years 2128

5244
0 10000 20000 30000 40000 50000

3.9 Complaints handled during the year

3.9.1 Complaints handled during the year

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[Type here]

For the Year ended For the Year Ended March

March 2019 2019

Aspect Other ATM ATM Total No.

than Transactio Transactio of
ATM n Dispute n Disputes complaint
transactio on HDFC on other s
n disputes Bank’s bank’s
ATM ATM
No. of 2,349 145 1464 1870
complaint
pending
at the
beginning
of the
year
No.of 1,20,439 19,105 1,27,307 2,04,572
complaint
s received
during the
year
No.of 1,18,724 19,025 1,26,218 2,02,484
complaint
s
redressed
during the
year
No.of 4,064 225 2,553 3,958
complaint
s pending
at the end
of the
year

36
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3.10 Policy related to Customers

HDFC Bank works towards aligning the interests of their business with the
interests of their customers, thus creating value and building long term viable
relationships. The Bank ensures enhanced banking experience by providing
products and services, suited to the needs of the customer. The Bank’s tagline -

‘We understand your world’ says it all. The Bank maintains and continuously
expands its private database of customer information.’

The Bank has in place the following policies, to protect customer rights:

3.10.1 Customer Policy

1. Cheque Cancellation Policy

2. Model Policy on Collection of Dues and Repossession of Security
3. Customer Rights Policy
4. Customer Privacy Policy
5. Customer Compensation Policy
6. Comprehensive Deposit Policy
7. Grievance Redressal Policy
8. Customer Acceptance, Customer Care & Customer Severance Policy

3.11 Customer Security with emphasis on Cyber Security

The Bank has an effective framework in place to manage cyber security. To

protect customer data, the Bank follows the CIA pillars of Information
Security.

CIA stands for:

 Confidentiality
 Integrity
 Accuracy.

The primary role of the Information Security team is to secure the Bank and to
secure the customer transactions. There are various policies and policy
frameworks adopted by the Bank to manage the security of its information and
data. This encompasses requisite manpower, machine and training. The Chief
Information Security Officer (CISO)is the person responsible for information
security at the Bank. There is also a committee of the Board which, dedicatedly

37
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looks into cyber security issue and preparedness. The Bank also makes this
awareness, reach its customers in an interesting and easily available manner.
Some of the methods employed include:

 ATM screens
 Website
 Emails and
 Printed communication such as account statements.

To protect critical assets from cyber-attacks, the Cyber Security Operations

Centre (SoC) operates on a 24*7 basis. In FY 2017-18, there were 23 incidents
of customer data loss.

3.12.HDFC Bank limited shareholding belonging to the category:

3.12.1Public and holding more than 1% of the TotalNo. ofShares

SEP 2019

Name of the Total shares held Shares as

shareholder %of total no. of
shares

Qualified 4462671 0.1%

Institutional Buyer

Life 150558982 3.39%

Insurance
Corporation of India

Europacific 122070920 2.75%

38
[Type here]

Growth Fund

SBI-ETF NIFTY 50 211861505 4.77%

HDFC TRUSTEE 142192186 1.36%

CO. LTD -A/C
HDFC hybrid

NRI NON REPT 56975853 1.28%

Trust 14348305 0.32%

Overseas 25049206 0.56%

Corporate Bodies

Foreign Nationals 540 0%

Clearing members 4843 0%

Bodies corporate 5428946 0.12%

Unclaimed or 108368340 2.44%

Suspense or ESCRO
A/C
IEPF 14450 0%

3.13CORPORATE GOVERNANCE RATING

The bank was among the first four companies, which subjected itself to a Corporate
Governance and Value Creation(GVC) rating by the rating agencies. The rating
provides in independent assessment of an entity’s current performance and an

39
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expectation on its “Balanced value creation and corporate governance practices” in

future.

 Credit Rating
HDFC Bank has its deposit programmes rated by two rating agency-CREDIT
ANALYSIS & RESEARCH LIMITED (CARE) and FITCH RATINGS INDIA
PRIVATE LIMITED

 Credit Analysis & Research Limited (CARE)

CARE has rated HDFC Banks Certificate of Deposit (CD) “PR 1+”which represents
“superior for repayment of short-term promissory obligation”.

 Fitch ratings India Private Limited

Fitch ratings India Private Limited has assigned “PR 1+” which
represents “superior capacity for repayment of short- term promissory
obligations”.

3.13.1 HDFC BANK AWARDED2020

Best Managed Company-

Ranked 1st
Best Corporate Governance-
HDFC Bank voted
Ranked 1st
‘Best Managed’,
Best CEO- Aditya Puri, MD
‘Best Governed’ Ranked 1st
Indian Company Best Environmental Stewed
ship-
Ranked 2nd

India’s Leading Private Bank-

BFSI
Best Use of Banking
Dun &Bradstreet

40
[Type here]

Bank Tech Awards Technology- Data Analytical

2020 Bet Use of Technology- API

Open Banking

Bank of the Year-

Business Today- HDFC Bank Jointly with SBI

-HDFC Bank Best Fintech
Money Today Financial
Engagement – HDFC Bank
Awards

HDFC Bank –

CNBC- TV India Outstanding Company of the

year award
Business Leader Awards
(IBLA)

3.13.2 HDFC BANK AWARDED 2019

Outlook Money Awards 2019 Private Bank of the Year

CNBC-AWAAZ CEO Awards Mr. Aditya Puri has been adjusted

2019 CEO of the Year

13th ICAI Awards 2019 HDFC Bank MD Aditya Puri inducted

CA Hall of Fame

The Advertising Club Excellence in Marketing –

Marquees Awards 2019 HDFCBank

41
[Type here]

2nd SIDBI – ET India MSE HDFC Bank adjusted Best MSE Bank

Awards 2019 (Private Sector)

QIMPRO Awards 2019 QIMPRO Platinum Standard Awards

2019 – National Statesman for Quality
in Business

Euromoney Awards for India’s Best Bank

Excellence 2019

Chapter 04: Initiatives taken for the Company’s development

(A) Conservation of Energy

The Bank has undertaken several initiatives in this area such as

Installation of green locks and AC controllers in air conditioning machines in order to save
energy and support go-green initiative

Installation of energy capacitors at high consumption offices to control the

power factor and to reduce energy consumption.

All main signboards in branches switched off post 10 p.m.

Put controls on usage of lifts, ACs, common passage lights and other
electrical equipment.

Provided LED lamps at branches and offices.

Provided solar panels for captive power generation at our offices in Pune
and Bhubaneswar Monitoring and energy-saving initiative for 100 branches,
resulting in power saving of over 10%.

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The Bank won an award in National Energy Efficiency Circle Competition 2017 – Winner
Best Energy Efficient Case Study held by CII in May 2017. Considering the benefits accrued,
we have further extended the monitoring program to additional 500 branches across the
country.

(B) Technology Absorption

The Bank has been at the forefront of using technology absorption and evaluates innovative
technology with multiple fintech partners. In the year under review, it organised its 2nd
‘Digital Innovation Summit’ and shortlisted several fintech start-up’s to carry out multiple
proof of concepts in both customer facing and internal processes. Bank has also begun using
robotics and artificial intelligence in digital commerce, corporate supply chain and payment
settlement systems to reduce time to market and turnaround time.

4.1 Management’s responsibility for internal financial controls

The Bank’s Management is responsible for establishing and maintaining internal financial
controls based on the internal control over financial reporting criteria established by the Bank
considering the essential components of internal control stated in the Guidance Note on Audit
of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered
Accountants of India.

The responsibilities include:

 Design
 Implementation and maintenance of adequate internal financial controls for ensuring the
orderly and efficient conduct of its business
 Adherence to Bank’s policies
 Safeguarding of its asset
 Prevention and detection of frauds and errors
 Accuracy and completeness of the accounting records
 Timely preparation of reliable financial information, etc. as required under the Companies
Act, 2013, the Banking Regulation Act, 1949 and the guidelines issued by the Reserve Bank
of India.

4.2 Auditors Responsibility

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[Type here]

The Auditor’s responsibility is to express an opinion on these stand-alone financial statements

based on our audit. In conducting the audit, they have taken into account the provisions of the
Act, the accounting and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made thereunder. They
conducted our audit of the standalone financial statements in accordance with the Standards
on Auditing specified under Section 143(10) of the Act. Those Standards require that they
comply with ethical requirements and plan and perform the audit to obtain reasonable
assurance about whether the standalone financial statements are free from material
misstatement. An audit involves performing procedures to obtain audit evidence about the
amounts and the disclosures in the standalone financial statements. The procedures selected
depend on the auditor’s judgment, including the assessment of the risks of material
misstatement of the standalone financial statements, whether due to fraud or error. In making
those risk assessments, the auditor considers internal financial controls relevant to the Bank’s
preparation of the standalone financial statements that give a true and fair view, in order to
design audit procedures that are appropriate in the circumstances. An audit also includes
evaluating the appropriateness of the accounting policies used

and the reasonableness of the accounting estimates made by the Bank’s Directors, and
evaluating the overall presentation of the standalone financial statements. They believe that
the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit
opinion on the standalone financial statements.

4.2.1 Different committees formed and the members of the committees

Composition of committees of directors and attendance at the meetings:

The board has constituted various committees of directors to take informed decisions in the
best interest of the bank. These committees monitor the activities falling within their terms of
reference. The board committees are as follows:

Audit Committee

Sr. Name of Director Designation

1 Mr. Bobby Parikh Chairman

44
[Type here]

2 Mrs. Shyamala Gopinath Member

3 Mr. Umesh Chandra Sarangi Member

4 Mr. Sanjiv Sachar Member

The brief terms of reference of the Audit Committee include, inter-alia, the following:

4.2.2 Audit Committee

a) Overseeing the Bank’s financial reporting process and disclosure of

financial information to ensure that the financial statement is correct, sufficient
and credible.

b) Recommending appointment and removal of external auditors and

fixing of their fees;

c) Reviewing with management the annual financial statements and

auditor’s report before submission to the Board with special emphasis on
accounting policies and practices, compliance with accounting standards,
disclosure of related party transactions and other legal requirements relating to
financial statements;

d) Reviewing the adequacy of the Audit and Compliance functions,

including their policies, procedures, techniques and other regulatory
requirements; and

e) Any other terms of reference as may be included from time to time in

the Companies Act, 2013, SEBI Listing Regulations,2015, including any
amendments / re-enactments thereof from time to time.

4.2.3 Customer Service Committee

Sr. Name of Director Designation

no.

45
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1 Mrs. Shyamala Chairperson

Gopinath

2 Mr. Keki Mistry Member

3 Mr. Malay Patel Member

4 Mr. Aditya Puri Member

5 Mr. Srikant Member

Nadhamuni

The Customer Service Committee monitors the quality of services rendered to the customers
and also ensures implementation of directives received from the RBI in this regard. The terms
of reference of the Committee are to formulate comprehensive deposit policy incorporating
the issues arising out of the demise of a depositor for operation of his account, the product
approval process, and annual survey of depositor satisfaction and the triennial audit of such
services.

4.2.4 Credit Approval Committee

Sr. no. Name of Director Designation

1 Mr. Keki Mistry Chairman

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[Type here]

2 Mr. Malay Patel Member

3 Mr. Aditya Puri Member

4 Mr. KaizaBharucha Member

The Credit Approval Committee approves credit exposures, which are beyond the powers
delegated to executives of the Bank. This facilitates quick response to the needs of the
customers and speedy disbursement of loans.

4.2.5 Nomination and Remuneration Committee

Sr. no. Name of Director Designation

1 Mr. Bobby Parikh Chairman

2 Mrs. Shyamala Gopinath Member

3 Mr. Sanjiv Sachar Member

The brief terms of reference of the Nomination and Remuneration Committee includes
scrutinizing the nominations of the directors with reference to their qualifications and
experience, for identifying ‘Fit and Proper’ persons, assessing competency of the persons and
reviewing compensation levels of the Bank’s employees vis-a-vis other banks and the
banking industry in general.

The following are the criteria to assess competency of the Persons nominated:

47
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 Academic qualification
 Previous experience
 Track records
 Integrity of the candidates.

For assessing the integrity and suitability, features like criminal records, financial position,
civil actions undertaken to pursue personal debts, refusal of admission to and expulsion from
professional bodies, sanctions applied by regulators or similar bodies and previous
questionable business practices are considered.

4.2.6 Stakeholders’ Relationship Committee

Sr. Name of Director Designation

n
o.
1 Mr. Umesh Chandra Sarangi Chairman
(Chairman)

2 Mr. Malay Patel Member

3 Mr. Aditya Puri Member

4 Mr. Paresh Sukthankar Member

The Stakeholders’ Relationship Committee approves and transfer, transmission, splitting and
consolidation of shares and considers requests for dematerialization of shares.

Allotment of shares to the employees on exercise of stock options granted under the various
Employees Stock Option Schemes which are made in terms of the powers delegated
bytheBoard in this regard, are placed before the Committee for ratification. The Committee
also monitors redressal of grievances from shareholders relating to transfer of shares, non-
receipt of Annual Report, dividends etc.

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4.2.7 Premises Committee

Sr. no. Name of Director Designation

1 Mr. Keki Mistry Chairperson

2 Mr. Malay Patel Member

3 Mr. Aditya Puri Member

The Premises Committee approves purchases and leasing of premises for the use of Bank’s
branches, back offices, ATMs and residence of executives in accordance with the guidelines
laiddown by the Board.

4.2.8 Fraud Monitoring Committee

Sr. no. Name of Director Designation

1 Mrs. Shyamala Gopinath Chairperson

2 Mr. Keki Mistry Member

3 Mr. Partho Datta Member

4 Mr. Malay Patel Member

5 Mr. Umesh Chandra Sarangi Member

6 Mr. Aditya Puri Member

Pursuant to the directions of the RBI, the Bank has constituted a Fraud Monitoring
Committee, exclusively dedicated to the monitoring and following up of cases of fraud
involving amounts of rs.1 crore and above.
49
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The terms of reference of the Committee are as under:

4.2.9 Reference of Committee

Identify the systemic lacunae, if any, that facilitated perpetration of the fraud
and put in place measures to plug the same;

Identify the reasons for delay in detection, if any and report to top management
of the Bank and RBI;

Monitor progress of Central Bureau of Investigation / Police Investigation and

recovery position

Ensure that staff accountability is examined at all levels in all the cases of
frauds and staff side action, if required is completed quickly without loss of
time;

Review the efficacy of the remedial action taken to prevent recurrence of

frauds, such as strengthening of internal controls; and

Put in place other measures as may be considered relevant to strengthen

preventive measures against frauds.

4.2.10 Corporate Social Responsibility Committee

Sr. no. Name of Director Designation

1 Mr. Umesh Chandra Sarangi Chairman

2 Mr. Bobby Parikh Member

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[Type here]

3 Mr. Aditya Puri Member

4 Mr. Paresh Sukthankar Member

5 Mr. Malay Patel Member

The Board has constituted a Corporate Social Responsibility (CSR) Committee with the
following terms of reference:

4.2.11 Corporate Social Responsibility

To formulate the Bank’s CSR Strategy, Policy and Goals

To monitor the Bank’s CSR policy and performance

To review the CSR projects/ initiatives from time to time

To ensure legal and regulatory compliance from a CSR viewpoint

To ensure reporting and communication to stakeholders on the
Bank’sCSR

4.3 Risk Policy and Monitoring Committee

Sr. no. Name of Director Designation

1 Mr. Srikanth Nadhamuni Chairman

2 Mrs. Shyamala Gopinath Member

3 Mr. Aditya Puri Member

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4 Mr. Paresh Sukthankar Member

The Risk Policy and Monitoring Committee have been formed as per the guidelines of
Reserve Bank of India on Asset Liability Management / Risk Management Systems. The
Committee develops Bank’s credit and market risk policies and procedures, verifies
adherence to various risk parameters and prudential limits for treasury operations and reviews
its risk monitoring system. The Committee also ensures that the Bank’s credit exposure to any
one group or industry does not exceed the internally set limits and that the risk is prudentially
diversified

4.4 Review Committee for Willful Defaulters’ Identification

Sr. no. Name of Director Designation

1 Mrs. Shyamala Gopinath Chairperson

2 Mr. Bobby Parikh Member

3 Mr. Aditya Puri Member

The Board has constituted a Review Committee for Willful Defaulters’ Identification to
review the orders passed by the Committee of Executives for Identification of Willful
Defaulters and provide the final decision with regard to identified willful defaulters.

4.4.1 IT Committee

Sr. no. Name of Director Designation

1 Mr. Srikanth Nadhamuni Chairman

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2 Mrs. Shyamala Gopinath Member

3 Mr. Bobby Parikh Member

4 Mr. Paresh Sukthankar Member

The Bank has in place, and IT Strategy Committee to look into various technologies related
aspects. This Committee is not a Board level Committee. However, Mr. Srikanth Nadhamuni,
Mr. Bobby Parikh, Mrs. Shyamala Gopinath and Mr. Paresh Sukthankar are members of the
Committee along with other executives of the Bank and an external expert. The Committee is
chaired by Mr. Srikanth Nadhamuni with effect from January 24, 2019. Prior to this, the
Committee was chaired by Mr. Bobby Parikh. The Committee met four times during the year
on May 5, 2018; August 2, 2018; October 21, 2018 and January 16, 2019.

4.5 Compliance with non-mandatory requirements

a) Board of Directors

The Bank maintains the expenses relating to the office of non-executive Chairperson of the
Bank and reimburses all the expenses incurred in performance of her duties. Pursuant to
Section 10-A (2)(a) of the Banking Regulation Act, 1949, none of the directors, other than the
Chairman and/or whole-time directors, is permitted to hold office continuously for a period
exceeding eight years. All the independent directors of the Bank possess requisite
qualifications and experience which enable them to contribute effectively to the Bank.

b) Shareholder’s Rights

The Bank publishes its results on its website which is accessible to the public at large. The
same are also available on the websites of the Stock Exchanges on which the Bank’s shares
are listed. A half-yearly declaration of financial performance including summary of the
significant events is presently not being sent separately to each household of shareholders.
The Bank’s results for each quarter are published in an

53
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English newspaper is having a wide circulation and, in a Marathi, newspaper having a wide
circulation in Maharashtra. Hence, half-yearly results are not sent to the shareholders
individually.

c) Audit Qualifications
During the period under review, there is no audit qualification in the Bank’s financial
statements. The Bank continues to adopt best practices to ensure regime of unqualified
financial statements.

d) Separate posts of Chairman and Managing Director/ CEO

Mrs. Shyamala Gopinath is the Chairperson of the Bank andMr.AdityaPuri is the Managing
Director of the Bank.

e) Reporting of Internal Auditor

The Internal Auditor of the Bank reports directly to the Audit Committee of the Bank.

 Share transfer process

The Bank’s shares which are in compulsory dematerialized (demat) list are transferable
through the depository system. Shares in physical form are processed by the Registrars and
Share Transfer Agents, Datamatics Financial Services Limited and approved by the
Stakeholders’ Relationship Committee of the Bank or authorized officials of the Bank. The
share transfers are generally processed within a period of fifteen days from the date of receipt
of the transfer documents by Datamatics Financial Services Limited.

 Risk and Opportunities

1.Risk
The sector, out of which the Bank operates, makes it prone to several kinds of risks.
Acknowledging risks and identifying potential opportunities that could arise from risks,
ensure substantial and steady growth. Key risks identified for the Bank include, Credit Risk,
Market Risk, Liquidity Risk and Operational Risk. These risks not only have a bearing on the
Bank’s financial strength and operations but also its reputation. To manage these risks, the
Bank has put in place, a Board approved risk strategy and policy, the implementation of
which is guided by the Board’s Risk Policy and Monitoring Committee (RPMC). Risk levels
and direction, portfolio composition, status of impaired credits and limits for treasury
operations are regularly reviewed by the committee. The hallmark of the Bank’s risk

54
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management process function is its independence, with credit decisions being made by a
credit underwriting vertical. The Bank identifies and assesses the potential gamut of risks
associated with its operations and business which are discussed below:

Risks:

 Operational Risk
 Compliance Risk
 Market Risk
 Credit Risk
 Liquidity Risk
 Digital lending and Credit Risk
 Other risk:
 International Agreement
 Natural calamities
 Other Regulatory Drivers
 Reputation
 Renewable Energy Regulation
 Fluctuating Socio- Economic Conditions

2. Opportunities
 International Agreement
 Emerging Trends in the Regulations
 Reputation
 Emission Reporting Obligations
 Cap and Trade schemes
 Renewable Energy Regulation
 Fluctuating Socio-Economic Conditions
 Natural Calamities

4.6 PROFIT AND LOSS OF THE COMPANY

Particulars Year ended 31st Year ended 31st
March 2018 March 2019
1.InterestEarned (a)+(b)+(c)+ 6930596 8024135
(d)

a) Interest / discount on 5205526 6266179

advances / bills

b) Income on Investments 1594434 1622237

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[Type here]

c) Interest on balances with 53202 52388

Reserve Bank of India and
other inter bank
d) Other 77434 83331

2.Other Income 1229649 1522031

3.Total Income 8160245 9546166

4 Interest Expended 3616674 4014649

5. Operating Expenses (i)+ 1970332 2269036

(ii)
i) Employees cost 648366 680574

ii) Other operating expenses 1321966 1588462

6. Total Expenditure (4)+(5) 5587006 6283685

(excluding Provisions &
Contingencies)
7. Operating Profit before 2573239 3262481
Provisions and Contingencies
(3)-(6)
8. Provisions (other than tax) 359330 592749
and Contingencies
9. Exceptional Items - -

10. Profit / (Loss) from 2213909 2669732

Ordinary Activities before
tax (7)-(8)-(9)
11. Tax Expense 758943 921057

12. Net Profit / (Loss) from 1454966 1748675

Ordinary Activities after tax
(10)-(11)
13. Extraordinary items (net - -
of tax expense)
14. Net Profit / (Loss) for the 1454966 1748675

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period (12)-(13)
15. Paid up equity share 51251 51902
capital (Face Value of ` 2/-
each)
16. Reserves excluding 8894987 10577601
revaluation reserves

4.7 BALANCE SHEET OF THE COMPANY

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Particulars As at 31-03-2018 As at 31-03-2019

CAPITALAND
LIABILITIES
Capital 51251 51902
Reserves and 8894987 10577601
Surplus
Deposits 64363966 78877064
Borrowings 7402887 12310497
Other Liabilities and 5670930 4576367
Provisions
Total 86384021 106393431
ASSETS
Cash and Balances 3789687 10467047
with Reserve Bank
of India
Balances with 1105523 1824460
Banks and Money at
call and Short notice
Investments 21446334 24220024
Advances 55456820 65833309
Fixed Assets 362675 360721
Other Assets 4222982 3687870
Total 86384021 106393431

Chapter 5: Review of Study

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1. Chidambaram R. M and Alamelu (2004) in their study entitled, “Profitability in Bank a

matter of survival”, pointed out the problem of declining profit margins in the Indian Public
Sector Banks as compared to their private sector counterparts. It was observed that in spite of
similar social obligations; almost all the private sector banks have been registering both –
high profits and high growth rate with respect to deposits, advances and reserves as compared
to the public sector banks. Regional orientation, better customer services, proper monitoring
of advances and appropriate marketing strategies are the secrets behind the success of public
of the private sector banks.

2. Das A. (2007) in his paper on “Technical allocation and Scale Efficiency of the Public
Sector Banks in India” The study found that there is decline in overall efficiency due to fall in
technical efficiency which was not offset by an improvement in allocative efficiency.
However, it is pointed out that the deterioration in technical efficiency was mainly on account
of few nationalized banks.

3. Deb and Kalpada (2008) in their study entitled, “Indian Banking since Independence”,
studied the growth of banking in India covering the period from 1966-1987. The analysis
revealed that the structure of the banking system changed considerable over the years. It was
further pointed out that the quantitative growth of the public sector banks was no doubt
significant in some of the areas, but qualitative improvement, by and large lacked in desired
standards. In spite of substantial increase in deposit mobilization, their share in national
income continued to be very low. It was concluded that the public sector banks were neither
guided by the consideration of returns nor were they very much concerned with
developmental strategies.

4. S. and Verma, S. (2009)determined the factors influencing the profitability of public sector
banks in India by making use of ratio of net profits as percentage of working funds. They concluded
that spread and burden play a major role in determining the profitability of commercial banks.

5. Chandan, C.L. and Rajput, P.K. (2010) measured the performance of bank
on basis on the basis of profitability analysis.

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6.Sangami M. (2012) in his study has suggested that the position of operating cost can be
improved with the introduction of high-level technology as well as by improvement the per
employee productivity.

7. Qamar, F (2013) in his paper examined commercial banks in terms of endowment factors,
risk factors, revenue diversification, profitability and efficiency parameters.

8. Chawla, A.S.(2016) made an attempt to analyse the emerging trends in profits and
profitability of four banks, two each from public sector and private sector banks.Sanjay J.
Bhayani(2016) in his study, “Performance of New India Private Banks: A Comparative
Study”, analysed the performance of new private sector banks with the help of CAMEL
model. The study covered 4 leading private sector banks- ICICI, HDFC, UTI and IDBI for a
period of 5 years from 2000-01 to 2004-05.It is revealed that the aggregate performance of
IDBI Bank is best among all the banks, followed by UTI.

9. Uppal, R.K. and Kaur, R. (2017) emphasized that cost should be properly managed to
improve the profitability of banks because the net profits were affected by the increase or
decrease in operating cost.

10 Chowdari Prasad and K.S. Srinivasa Rao (2018) in their paper, “Private
Sector Banking in India- A SWOT Analysis” studied the performance of all
private sector banks. As per the criteria selected like efficiency, financial
strength, profitability and size of scale, it is revealed that the private sector banks are in
position to offer cost-effective, efficient products and services to their customers using
technology, best utilization of human resources along with professional management and
corporate governance principles.

11. Prashanta Athma (2018), in his Ph D research submitted at Usmania University

Hyderabad, “Performance of Public Sector Banks – A Case Study of State Bank of
Hyderabad, made an attempt to evaluate the performance of Public Sector Commercial Banks
with special emphasis on State Bank of Hyderabad. The period of the study for evaluation of
performance is from 1980 to 1993-94, a little more than a decade. In this study, Athma
outlined the Growth and Progress of Commercial Banking in India and. analysed the trends in

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deposits, various components of profits of SBH, examined the trends in Asset structure,
evaluated the level of customer satisfaction and compared the performance of SBH with other
PSBs, Associate Banks of SBI and SBI. Statistical techniques like Ratios, Percentages,
Compound Annual rate of growth and averages are computed for the purpose of meaningful
comparison and analysis. The major findings of this study are that since nationalization, the
progress of banking in India has been very impressive. All three types of Deposits have
continuously grown during the study period, though the rate of growth was highest in fixed
deposits. A comparison of
SBH performance in respect of resource mobilization with other banks showed that the
average growth of deposits of SBH is higher than any other bank group. Profits of SBH
showed an increasing trend indicating a more than proportionate increase in spread than in
burden. Finally, majority of the customers have given a very positive opinion about the
various statements relating to counter service offered by SBH.

12. Zacharias Thomas (1997)Ph D Thesis, Performance effectiveness of Nationalized

Bank- A Case Study of Syndicate Bank’, submitted to Kochin
University (1997), Thesis studied the performance effectiveness of Nationalized Bank by
taking Syndicate Bank as case study in his Ph.D. thesis. Thomas has examined various
aspects like growth and development of banking industry, achievements of Syndicate Bank in
relation to capital adequacy, quality of assets, Profitability, Social Banking, Growth,
Productivity, Customer Service and also made a comparative analysis of 'the performance
effectiveness of Syndicate Bank in relation to Nationalized bank. A period of ten years from
1984 to 1993-94 is taken for the study. This study is undertaken to review and analyze the
performance effectiveness of Syndicate Bank and other Nationalized banks in India using an
Economic Managerial- Efficiency Evaluation Model (EMEE Model) developed by
researcher. Thomas in this study found that Syndicate Bank got 5th Position in Capital
adequacy and quality of assets, 15th in Profitability, 14th Position in Social Banking, 8th in
Growth, 7th in Productivity and 15th position in Customer Service among the nationalized
banks. Further, he found that five nationalized banks showed low health performance, seven
low priority Performance and eleven low efficiency performance in comparison with
Syndicate Bank.

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13. Singh R (2003), in his paper Profitability management in banks under deregulate
environment, IBA bulletin, No25, has analysingprofitabilitymanagement of banks under the
deregulated environment with somefinancial parameters of the major four bank groups i.e.
public sector banks,old private sector banks, new private sector banks and foreign
banks,profitability has declined in the deregulated environment. He emphasized tomake the
banking sector competitive in the deregulated environment. Theyshould prefer non - interest
income sources.

14. Singh HK (2008), in his paper, ‟ financial performance of banks in

India, ‟ in ICFAI Journal of Bank Management No 7, has examined that how financial
management plays a crucial role in the growth of banking. It is concerned with examining the
profitability position of the selected sixteen banks of banker index for a period of six years
(2001-06). The study profitability position was reasonable during the period of study when
compared with the previous years. Strong capital position and balance sheet place, Banks in
better position to deal with and absorb the economic constant over a period of time.

15. The focal point of the study made by Das and Uday kumar Lal (2002), in his book
Banking Reforms in Lead Bank Scheme, (Deep and Deep Publication, new Delhi) was the
critical evaluation of the lead bank scheme in the light of banking sector reforms. Das in this
book observed that high level of NPAs, large number of un-remunerative branches, low
productivity, overstaff and archaic methods of operations have affected the profitability of
public sector banks. Das sincerely felt that the whole banking sector in India is to be
revolutionized to cope with the changing dimensions of the satellite one world. Further, he
felt that the backward areas should be given more funds for investment in priority sectors and
more and more people should be brought under its coverage and the procedures of extending
credit should be simplified and there should be least hassle cost.

16. Subramanian and Swami (1994) in their paper, Comparative performance of public
sector banks in India” Prjanan, Vol. XXII, haveanalysed and compared the efficiency in
six public sector banks, four privatesector and three foreign banks for the year 1996-97.
Operational efficiency iscalculated in terms of total business and salary expenditure per
employee.The analysis revealed that higher per employee salary level need not result inpoor
efficiency and business per employee efficiency co-efficient was also calculated. Among the

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PSBs, Bank of Baroda registered the high efficiency and operating profit per employee.
Among the private sector banks Indus Bank followed by Citibank Registered highest and
second highest operating profit per employee respectively. However, among the Nationalized
Banks there existed wide variations in efficiency.

17. SBI Research Department in 2000, through its paper “Performance analysis of 27
Public sector banks” published in SBI monthly reviewPerformance, Vo l XXXIX, was
prepared by Economic Research Department of State Bank of India, is to analyse the
Performance of the 27Public Sector Banks for the year 1999-2000 preceding year.Selecting
four different categories of indicators-Business Performance,Efficiency, Vulnerability and
labour productivity indicators, carried out theanalysis. Altogether, 39 indicators were selected
for this purpose. For thepurpose of analysis, 27 PSBs disaggregated into four groups, namely,
theSBI, ABs (7), the SBGs (8), the NBs (19). During 1999-2000, the PSBsexhibited better
show in terms of several parameters studied above.Nevertheless, the problems of NPAs and
capital adequacy remain to be takencare of. Researcher in this paper opinioned that greater
operationalflexibility and functional autonomy should be given to PSBs especially
tostrengthen their capital base. Further, they felt that since net interest marginwill continue to
remain compressed in a deregulated interest rate regime, alot of effect would have to be made
to mitigate this through generation ofnon-interest income.
As far as NPAs are concerned, they believe' that, the outdated laws and regulations that pose
hindrance to banks in getting back their dues need to be suitably amended.

18. In a paper published in the Financial Express in 2004, titled “India’s Best Banks”
has been doing for several years through its annual exercise to evaluate and rate Indian banks.
They claim that this survey is a comprehensive one, which evaluates the performance of
private, public,Indian, and foreign Banks operating in India. With the objective of makingthe
comparison more meaningful, Banks were categorized into Public SectorBanks, New Private
Sector Banks and Foreign Banks. Financial informationfor the year ending March 31st, 2002
and March 31, 2003 relating to each ofthe banks falling into the aforesaid categories was
collected from the dataavailable from RBI. Five major criteria were identified against which
thebanks were ranked. 'These criteria are (1) Strength and soundness (ii)Growth, (iii)
Profitability, (iv) Productivity, and (v) Creditquality. Considering the current banking,
industrial and over-all economicscenario, pertinent weights were assigned to each of the

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major criteria. In thefirst category of "State-Run" or Public Sector Banks, State Bank of
Patialaand Andhra Bank is the top two. In the category of best old private sectorbanks, the
magazine ranks the Jammu and Kashmir Bank and Karun Vas Bank as the first best and
second best. In the category of 'New' PrivateBanks, HDFC as number one and ICICI Bank at
number two. Finally, in thecategory of Foreign Banks, the magazine ranks Standard
Chartered Bank andCity Bank at the top two slots.

19. With an intention to honour excellence, Outlook Money (2004), titled “The best in the
business cover story”, (March 2004), has announcing annualawards for the best performers
in the personal finance universe. A rigorousselection process was devised in consultation
with Earnest and Young. Theshortlisted contenders were mailed questionnaires seeking
information onoperational aspects like Number of Branches, Number of ATMs,
Deposits,NPAs, CAR, Returns on Assets. They have taken two categories of BanksPublic and
Private Sector. All Public Sector Banks (except SBI, nominatedfor Hall of Fame Award), and
Private Banks with deposit base of more thanRs. 2,000 Cr as on 31 March 2003 were
selected.
.
20. Ram Mohan TT(2003) , in his paper „Long run performance of public and private
sector bank stocks” Vo-l 37, has made an attempt to compare the three categories of banks-
Public, Private and Foreign-using Physical quantities of inputs and outputs, and comparing
the revenue maximization efficiency of banks during 1992-2000. The findings show that
PSBs performed significantly better than private sector banks but not differentlyfrom foreign
banks. The conclusion points to a convergence in performancebetween public and private
sector banks in the post-reform era, usingfinancial measures of performance.

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Chapter 6: Data Analysis and Interpretation

1. What is your age?

Table
A Age P Percentage
1 18-25 9 90%
2 25-35 7.5%
35-60 2 2.5%

Data Analysis

Age
2.50%

7.50%

90.00%

18-25 25-35 35-60

Interpretation

Above graphical representation shows that 90%of them are from 18-25 age groups,
7.50% of them are of 25-35 age groups and 2.5%is from 35-60 age groups.

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2.The following charts represents occupation of the respondent

Table

Occupation Percentage
Self-employed 10%
Professional 2.5%
Student 85%
Other 2.5%

Data Analysis

Occupation
2.50%

10.00% 2.50%

85.00%

Self-employed Professional Student Other

Interpretation

Above graph represents occupation of the respondents 10% are of self-employed,2.5% are
professionals,85% are of students and 2.5% is ofothercategory.

3.The following charts represents respondents having account in HDFC

Bank

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Table

Do you have a account Percentage

in HDFC bank
Yes 72.5%
No 27.5%

Data Analysis

Do you have account

27.50%

72.50%

Yes No

Interpretation

Above graph represents 72.50% of respondents have their account in HDFC Bank and
27.50% of respondents do not have their accounts in HDFC bank.

4.The following chart represents respondents having which type of account

in HDFC Bank

Table

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If yes, which type of Percentage

account
Saving Account 82.5%
Current Account 2.5%
Both NIL
Other 15%
.

Data Analysis

If,yes which type of account?

15.00%
2.50%

82.50%

Saving Current Both Other

Interpretation

Above graphical representation shows that 82.50% of them are having saving account,2.5%
are having current account and 15% are having other account.

5.The following charts represents why respondents preferred this bank for
opening account

Table

Why respondents Percentage

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preferred this bank

for opening account?
Brand name 45%
Existing account holder 7.5%
Near to your place 22.50%
Features and benefits 20%
Less documentation 5%

Data Analysis

Why you have preferred this bank for opening account?

5.00%
20.00%

45.00%

22.50%
7.50%

Brand name Existing acount holder Near to your place

Features and benefits Less documentation

Interpretation

Above graphical representation shows that customers are attracted of brand name i. e.
45%,22.50%opened an account because it is near to their place ,20%opened an account
because customer are attracted to features and benefits,7.50% are existing account holder,5%
have opened an account due to less documentation.

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6.The following chart represents whether the bank conduct any survey to
know about customer satisfaction

Table

Does the bank conduct Percentage

any survey to know

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about customer
satisfaction
Yes 77.50
No 22.50%

Data Analysis

Does the bank conduct any survey to know about customer

satisfaction?

22.50%

77.50%

Yes No

Interpretation

Above graphical representation shows that 77.50% are saying yes that bank has conducted
survey,22.50% are saying no.

7.The following charts represents if the customer is aware of services

provided by the bank

Table

Are you aware of Percentage

services provided by
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the bank?
Yes 55%
No 32.50%
Maybe 12.50%

Data Analysis

Are you aware of various services provided by our bank ?

12.50%

55.00%
32.50%

Yes No Maybe

Interpretation

Above graphical representation shows that 55% of customers are aware of services provided
by the bank, 32.50% are not aware and 12.50% are saying may be.

8.The following charts show the rate of level of satisfaction

Table

Rate the level of Percentage

satisfaction in the

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bank?
Excellent 15%
Good 77.50%
Fair 5%
Poor 2.50%

Data Analysis

How would you rate the level of satisfaction in the bank?

5.00% 2.50%

15.00%

77.50%

Excellent Good Fair Poor

Interpretation

Above graphical representation shows that majority of customer’s rated good i. e.

77.50%,15%rated for excellent,5% rated for fair and 2.50% rated for poor.

9.The following charts represents investment made by the customers in the

bank

Table

Have you made any Percentage

type of investment in

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bank?
Yes 65%
No 35%

Data Analysis

Have you made any type of investment in bank?

35%

65%

Yes No

Interpretation

Above graphical representation shows that 65%of people have made investment in bank and
35% of people have do not made and type of investment in the bank

10.If yes, which type of investment?

Table

If yes,which type of Percentage

investment
Fixed deposits 40%
Life insurance 22.50%
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Mutual fund 37.50%

Data Analysis

If yes,which type of investment?

37.50%
40.00%

22.50%

Fixed deposits Life insurance Mutual fund

Interpretation

Above graphical representation it shows that 40% of customers make investment in fixed
deposits, 37.50% of customers make investment in mutual fund and 22.50% of customers
have made investment in life insurance.

11.Has the bank presented the results of its financial performance on its
website for shareholder

Table

Financial Performance Percentage

Yes 45%
No 17.5%

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Maybe 37.50%

Data Analysis

Financial performance

37.50%
45.00%

17.50%

Yes No Maybe

Interpretation

Above graphical representation shows that 45% are saying yes, whereas 17.50% are saying
no and 37.50% are saying maybe

12.Does the bank give periodic remainders to shareholders who have not
enchased their dividend

Table

Periodic remainders Percentage

Yes 50%
No 20%
Maybe 30%

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Data Analysis

Periodic remainders
30%

50%

20%

Yes No Maybe

Interpretation

Above graphical representation shows that 50% are saying yes that bank give periodic
remainders,20% are saying no and 30% are saying maybe

13.Does the bank have a Management Information System?

Table

MIS Percentage
Yes 90%
No 10%

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Data Analysis

MIS

10%

90%

Yes No

Interpretation

Above graphical representation shows that 90% people say yes whereas 10% of people say no
about the Management System Information.

14.Does the bank hold Orientation Programs for directors before their
induction into the board?

Table

Orientation Program Percentage

Yes 72.50%
No 27.50%

Data Analysis

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Hold Orientation programms

27.50%

72.50%

Yes No

Interpretation

Above graphical representation shows that 72.50%of people are saying that yes bank holds
the Orientation Program whereas 27.50% of people are saying no the bank does not holds the
Orientation Program.

15.Do you feel the Corporate Governance would bring about the desired
level of fairness, transparency accountability in bank?

Table

Desired level of fairness, Percentage

transparency & accountability
Yes 90%
No 10%
Data Analysis

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Desired level of fairness,transparency and accountability

10%

90%

Yes No

Above graphical representation shows that 90% of people are saying that Corporate
governance will bring the desired level of fairness, transparency and accountability whereas
10% of people are no.

CHAPTER 7. CONCLUSION

HDFC Bank, the banking arm of HDFC is expected to go on stream. The bank already has good
number of employees on board and is recruiting personal banker heavily to take the headcount to
many more. It is on the brim of increasing its customers through its attractive schemes and offer.

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Corporate governance plays a crucial role in creating a credible and professionally driven business
system. This has the potential to transform the standard of living of the Country. In India, mediocrity
and corruption prevails in every aspect of public life. The awareness among people for a corruption
free society has drastically increased and it is obvious through the various anti-corruption movements.
Effective Corporate governance could cultivate a professional culture strong enough to uproot the
evils of corruption.

CSR is becoming a fast, developing and a competitive area in the world of business. Contributions
towards CSR activities can prove beneficial to the companies in not only increasing their business
profile but also their goodwill nationally and internationally.

The project opportunities provided for market customers and others in potential geographical location
and convincing them to attract more customers so that new business opportunities of the bank can be
explored. Through this project, it could be concluded that people are not much aware about the
various products of the bank and many of them not interested to open an account, to invest money at
all. services was considered as unsought good which require hard core selling, but in changing trend in
income and people becoming financially literate, the demand for banking sector is increasing day by
day. Banks are one of the largest sources of corporate finance in India. When their Governance
practices are ineffective, the study shows, that HDFC bank are fulfilling their corporate social
responsibilities by undertaking a number of initiatives in the field of education, health, employment,
infrastructure development, environmental protection and sustainable development, but still there is a
long road ahead.

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CHAPTER 8. SUGGESTION

Finally some recommendations for the company are as follows:-

 To make people aware about the benefit of becoming a customer of HDFC Bank, following
activities of advertisement should be done through
1. Print Media.
2. Hoarding & Banners.
3. Stalls in Trade Fares
4. Distribution of leaflets containing details information.

 Other facilities must be provide to the customer:

 The bank should provide life time valid ATM card to all its customers.
 Minimum balance for savings account should be reduced from Rs 10000 to Rs 1000, so that
people who are not financially strong enough can maintain their account properly.
 The company should provide a pass book to all its customers.
 Make people understand about the various benefits of its products.
 Company should organize the program in the society, so that people will be aware about the
company and different products of the bank.
 Company should open more branches in different cities.

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CHAPTER 9. BIBLIOGRAPHY

Websites:

 wikipedia.com

 investopedia.com

 shodganga.inflibnet.ac.in

Journals:

 Annual report 2018-19

 HDFC Sustainability Report 2018-19

 Press Release Financial result of the company

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CHAPTER 10.ANNEXURE

1.Age

a) 18-25
b) 25-35
c) 35-60

2. Occupation

a) Self-employed
b) Professional
c) Student
d) Other

3. Do you have an account in HDFC Bank?

a) Yes
b) No

4.If yes, which type of account?

a) Saving
b) Current
c) Both
d) Other

5.Why you have preferred this bank for opening account?

a) Brand name
b) Existing account holder
c) Near to your place
d) Features and benefits
e) Less documentation

6.Does the bank conduct any survey to know about customer satisfaction?

a) Yes
b) No

7.Are you aware of various services provided by our bank?

a) Yes
b) No
c) Maybe

8.How would you rate the level of satisfaction in the bank?

a) Excellent
b) Good

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c) Fair
d) Poor

9.Have you made any type of investment in the bank?

a) Yes
b) No

10.If yes, which type of investment?

a. Fixed deposits
b. Life insurance
c. Mutual fund

11.Has the bank presented the results of its financial performances on its
website for shareholder?

a) Yes
b) No
c) Maybe

12.Does the bank give periodic remainders to shareholders who have not
enchased their dividend?

a) Yes
b) No
c) Maybe

13.Does the bank have a management information system?

a) Yes
b) No

14.Does the bank hold Orientation program for directors before their
induction into the board?

a) Yes
b) No

15.Does you feel the corporate governance would bring about the desire
levelof fairness, transparency accountabilities in bank?

a) Yes
b) No

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