QUARTERLY MONITORING SYSTEM- e- LEARNING MODULE
CONTENTS WHAT IS QUARTERLY MONITORING SYSTEM TWO SYSTEMS OF MONITORING QUARTERLY REVIEW SHEET SYSTEM QUARTERLY MANAGEMENT SYSTEM APPLICABILITY PROCEDURE FOR SUBMISSION OF QRS/QMS NEXT
FORMS OF QMS I FORMS QMS II EXEMPTIONS CONSORTIUM ACCOUNTS QUARTERLY INFORMATION SYSTEM RELATED CIRCULARS BACK
QMS QMS is a system of supervision • to effectively monitor the borrowal accounts • by obtaining all the critical information in respect of their conduct, • On a periodical basis • It enables the sanctioning authority to form an opinion about conduct/position of the account and operational/financial performance of the unit.
QMS • Quarterly Review Sheet for loans upto Rs.1 Crore • Quarterly Management System for loans above Rs.1 Crore
QUARTERLY REVIEW SHEET • For the borrowers enjoying credit facilities below Rs. 20 lacs, the Quarterly Review Sheets shall be prepared as per format given at the Annexure I • For the borrowers enjoying credit facilities of Rs. 20 lacs & above, the Quarterly Review Sheets to be prepared as per the format at Annexure II
QUARTERLY REVIEW SHEET • No review sheet is however, to be submitted in respect of the following casesi) Advances to the members of staff in respect of housing loan, conveyance loan, consumer loan and festival loanii) Advances against insurance policiesiii) Advances against bank's own depositsiv) Protested Advances/sick/rehabilitated accounts. (In such cases instructions issued by Protested Advances Division and Industrial Rehabilitation Deptt., HO should be followed)
QUARTERLY REVIEW SHEET No Review sheet is required to be prepared for for the following: i) Advances to small borrower(s) upto Rs.25000/-ii) Advances against life policies, govt. securities & units of UTIiii) Advances to members of staffiv) Advances against shares
QUARTERLY REVIEW SHEET v) Advances against depositsvi) Advances against bullion and jewelleryvii) Protested Advances/sick/rehabilitated accounts (In such cases instructions issued by Protested Advances Division and Industrial Rehabilitation Deptt., HO should be followed)
Other Documents • all the borrowers availing facilities under the vested powers of RM / CM and above are to submit accounts within 6 weeks from the date of close of the financial year. • In case the audited accounts cannot be submitted during this period, provisional accounts should invariably be obtained and • subsequently on receipt of audited accounts it should be ensured that there is no substantial adverse variation between the provisional and the audited accounts.
RO/ZO/HO Power Accounts • to obtain provisional/audited accounts in case of borrowers enjoying credit facilities under their vested powers and analyse the same vis-à-vis the projections accepted for the year. • to also initiate corrective steps in cases where there are deterioration in performance of the borrowers.
Procedure to be adopted for submission of Review Sheets i) The Review Sheet will be separately submitted for each borrowal account, as on the last day of the quarter ending March, June, September and December within 15 days from the close of the quarter to which it relatesii) In case of accounts with limits sanctioned at Head office, it will be prepared in quadruplicate. The original will be sent to Head Office with a copy each to concerned Zonal Office & Regional Office and the last one will be retained at Branch
Procedure to be adopted for submission of Review Sheets iii) In case of accounts with limits sanctioned at Zonal Office it will be prepared in triplicate and the original will be sent to Zonal Office with one copy to Regional Office and the last one will be retained at Branchiv) In case of accounts with limits sanctioned at Regional Office, it will be prepared in duplicate and the original will be sent to Regional Office and the second copy will be retained at Branch
QMS • It consists of two sets of formats namely QMS I and QMS II • The System provides different set of formats for following categories of borrowers: • General category • Traders/Merchant Exporters
Time for submission • QMS-I, is to be submitted on quarterly basis within six weeks from the close of the quarter to which it relates and • QMS-II is to be submitted on half yearly basis within 2 months from the close of the half year to which it relates.
Time for submission • QMS forms alongwith observations and comments of branch officials be submitted to sanctioning office and all intervening offices within the period specified.
APPLICABILITY • All accounts with FBWC facilities of Rs.1 crore and above from the entire banking system. • In accounts where borrower is enjoying credit facilities (FB & NFB) under Multiple Banking arrangement and availing only NFB facilities of Rs.1 crore & above from our Bank • If financial/performance guarantee, ILC/FLC is sanctioned on standalone basis for fulfillment/specific performance of commitments for project implementation (new/existing).
APPLICABILITY • In cases where borrowers are enjoying only NFB facilities of Rs.1 crore & above and do not require working capital assistance in normal course of business requirement from any Bank/FI • where borrower is enjoying both FB & NFB facilities from our Bank and aggregate limits put together exceed Rs.1 crore and where FBWC limits availed from our bank being less than Rs.1 crore. • Term Loan accounts with limit of >Rs.1 crore and upto Rs.25 crore alongwith simplified pert chart as per LA 77/07.
EXEMPTIONS • The borrowers in Tea Industry are exempted from the purview of QMS. • However, Cash Flow Statement to be obtained showing month wise actuals vis-à-vis projections and Stock Statements on monthly basis. • Physical inspection of stocks should be conducted by the Officers/ Agricultural Officers and stocks be checked with Excise Register.
EXEMPTIONS • In case of borrowers engaged in Leasing & Hire Purchase/Sugar Industry/ Film Industry/Service Sector the existing Cash Budget System and formats to be obtained.
Consortium Accounts • Where we are a member of consortium, monitoring system, as adopted by Lead Bank, may be followed. • However, where we are the Lead bank, the Monitoring System, as applicable in our bank, may be followed.
Quarterly Information System • For all borrowal accounts availing fund based working capital credit limits of Rs.5 crore & above from our bank, • Quarterly Information System (QIS) Form-I may be obtained for fixing up of quarterly operative limits in addition to the QMS Forms. • The QIS Form-I is to be submitted in the week preceding the commencement of the quarter to which it relates.
RELATED CIRCULARS • LA CIRCULAR NO.67/02 • LA CIRCULAR NO. 32/03 • LA CIRCULAR NO.38/04 • LA CIRCULAR NO.17/05 • LA CIRCULAR NO.108/05 • LA CIRCULAR NO.77/07 • LA CIRCULAR NO.174/07