B Conflict of Interest

A "Conflict of Interest" occurs when personal interest of any member of the Core Management interferes or appears to interfere in any way with the interests of the Bank. Every member of the Core Management has a responsibility to the Bank, its stakeholders and to each other. Although this duty does not prevent them from engaging in personal transactions and investments, it does demand that they avoid situations where a conflict of interest might occur or appear to occur. They are expected to perform their duties in a way that they do not conflict with the Bank's interest such as-

Employment / Outside Employment - The members of the Core Management are expected to devote their total attention to the business interests of the Bank. They are prohibited from engaging in any activity that interferes with their performance or responsibilities to the Bank or otherwise is in conflict with or prejudicial to the Bank.

Business Interests - If any member of the Core Management considers investing in securities issued by the Bank's customer, supplier or competitor, they should ensure that these investments do not compromise their responsibilities to the Bank. Many factors including the size and nature of the investment; their ability to influence the Bank's decisions; their access to confidential information of the Bank, or of the other entity, and the nature of the relationship between the Bank and the customer, supplier or competitor should be considered in determining whether a conflict exists. Additionally, they should disclose to the Bank any interest that they have which may conflict with the business of the Bank.

Related Parties - As a general rule, the members of the Core Management should avoid conducting Bank's business with a relative or any other person or any firm, Company, Association in which the relative or other person is associated in any significant role. Relatives shall include:

Spouse
Father
Mother (including step-mother)
Son (including step-son)
Son's wife
Daughter (including step-daughter)
Father's father
Father's mother
Mother's mother
Mother's father
Son's son
Son's son's wife
Son's daughter
Son's Daughter's husband
Daughter's husband
Daughter's son
Daughter's son's wife
Daughter's daughter
Daughter's daughter's husband
Brother (including step-brother)
Brother's wife
Sister (including step-sister)
Sister's husband


If such a related party transaction is unavoidable, they must fully disclose the nature of the related party transaction to the appropriate authority. Any dealings with a related party must be conducted in such a way that no preferential treatment is given to that party.

In the case of any other transaction or situation giving rise to conflicts of interests, the appropriate authority should after due deliberations decide on its impact.

C. Applicable Laws

The Core Management must comply with applicable laws, regulations, rules and regulatory orders. They should report any inadvertent non-compliance, if detected subsequently, to the concerned authorities.

D. Disclosure Standards

The Bank shall make full, fair, accurate, timely and meaningful disclosures in the periodic reports required to be filed with Government and Regulatory agencies. The members of Core Management of the Bank shall initiate all actions deemed necessary for proper dissemination of relevant information to the Board of Directors, Auditors and other Statutory Agencies, as may be required by applicable laws, rules and regulations.

E. Use of Bank's Assets and Resources :


Each member of the Core Management has a duty to the Bank to advance its legitimate interests while dealing with the Bank's assets and resources. Members of the Core Management are prohibited from:

using corporate property, information or position for personal gain;

soliciting, demanding, accepting or agreeing to accept anything of value from any person while dealing with the Bank's assets and resources;

acting on behalf of the Bank in any transaction in which they or any of their relative(s) have a significant direct or indirect interest.