United Bank of India

United Bank of India (UBI) was an Indian nationalized bank which provided financial and banking services. Established in 1950 and headquartered in Kolkata, the bank was nationalised by the government of India in 1969 becoming one of public sector banks in the country. The bank has been amalgamated with Punjab National Bank, along with Oriental Bank of Commerce, with effective from 1 April 2020.

United Bank of India
Financial services
Founded1950; 72 years ago (1950)
FounderNarendra Chandra Dutta
J.C Das
Indu Bhushan Dutta
D.N Mukherjee
Defunct1 April 2020; 2 years ago (2020-04-01)
FateMerged with Punjab National Bank
SuccessorPunjab National Bank
HeadquartersKolkata, West Bengal, India
Area served
Key people
Ashok Kumar Pradhan
(MD & CEO)
ProductsFinance and insurance
Consumer banking
Corporate banking
Investment banking
Investment management
Private equity
RevenueIncrease10,945.00 crore (US$1.4 billion) (2019)[1]
Increase 1,412.00 crore (US$180 million) (2019)[1]
Decrease−2,316.00 crore (US$−290 million) (2019)[1]
Total assetsIncrease151,530.00 crore (US$19 billion) (2019)[1]
Number of employees
13,804 (2019)[1]
Capital ratio13.00% (2019)[1]


Logo of the defunct Comilla Banking Corporation Limited

UBI was the result of the merger in 1950 of four Bengali banks: Comilla Banking Corporation (founded by Narendra Chandra Dutta in 1914 in what is now Bangladesh), Bengal Central Bank (founded by J. C. Das in 1918), Comilla Union Bank (founded by Indu Bhusan Dutta in 1922) and Hooghly Bank (founded by D. N. Mukherjeee in 1932). All four had suffered runs in December 1983 after the failure of the Nath Bank. The Reserve Bank of India assisted the banks in amalgamating to form United Bank of India.

In 1961, UBI merged with Cuttack Bank (est. 6 June 1913) and Tezpur Industrial Bank (est. 6 June 1918, as the first commercial bank in Assam province). Four years later, in 1965, the government of Pakistan took over the bank's branches in Pakistan.

On 19 July 1969, the government of India nationalised UBI, along with 13 other major Indian commercial banks. At the time of nationalisation UBI had only 174 branches. In 1973, UBI acquired Hindustan Mercantile Bank (est. 1944). In 1976, UBI acquired Narang Bank of India, which had been established in 1943 in Narang, Gujarat.


On 30 August 2019, Finance Minister Nirmala Sitharaman announced that United Bank and Oriental Bank of Commerce would be merged with Punjab National Bank. The proposed merger would make Punjab National Bank the second largest public sector bank in the country with assets of 17.95 lakh crore (US$220 billion) and 11,437 branches.[2][3] MD and CEO of UBI, Ashok Kumar Pradhan, stated that the merged entity would begin functioning from 1 April 2020.[4][5] The Union Cabinet approved the merger on 4 March 2020. Punjab National Bank announced that its board had approved the merger ratios the next day. Shareholders of Oriental Bank of Commerce and United Bank will receive 1,150 shares and 121 shares of Punjab National Bank, respectively, for every 1,000 shares they hold.[6] The merger came into effect since 1 April 2020. Post merger, Punjab National Bank has become the second largest public sector bank in India[7]

On 30 March 2009, the Indian government approved the restructuring of United Bank of India.[8] The government proposed to invest 2.5 billion rupees in shares by 31 March and another 5.50 billion in the next fiscal year in Tier-I capital instruments. The move is part of the Indian government's program to improve the capital base of the state-owned banks. UBI gets SEBI approval for Rs 1,000 crore equity issue via QIP On 22 November 2017, United Bank of India (UBI) said it has received SEBI's approval for issue of equity shares worth Rs 1,000 crore by way of institutional placement.[citation needed]

On 1 April 2020, the bank along with Oriental Bank of Commerce has been merged with Punjab National Bank, making it as the second largest public sector bank in India.[9]

Controversy over Non-performing Assets (NPAs)Edit

In February 2014, an RBI-appointed forensic audit by Deloitte found serious lapses in the Non-performing asset detection system of the bank.[10] It is yet to be established whether this oversight on the part of the bank was deliberate or unintentional.[citation needed]

The bank has reported a loss of Rs. 1,238 crore during Q3 of the 2013-14 fiscal year, resulting in a downgrade of its tier-II bonds by ICRA, an associate of Moody's Investor Service.[11] United Bank of India's reported NPA of 10.82% is the highest in percentage among listed banks in India.[12]

Delivery channel based productsEdit

See alsoEdit


  1. ^ a b c d e f "UBI Annual Report 2014-2015" (PDF).
  2. ^ "Bank Merger News: Government unveils mega bank mergers to revive growth from 5-year low". The Times of India. Retrieved 2 April 2020.
  3. ^ Staff Writer (30 August 2019). "10 public sector banks to be merged into four". Mint. Retrieved 30 August 2019.
  4. ^ "Merged entity of UBI, PNB, OBC to become operational from April 1, 2020". Business Today. Retrieved 14 September 2019.
  5. ^ "Merged entity of UBI, PNB, OBC to become operational from 1 April next year". Mint. 14 September 2019. Retrieved 14 September 2019.
  6. ^ Ghosh, Shayan (5 March 2020). "Three banks announce merger ratios". Livemint. Retrieved 6 March 2020.
  7. ^ "Merger of 10 public sector banks to come into effect from today: 10 points". Livemint. 31 March 2020. Retrieved 2 April 2020.
  8. ^ "United Bank of India Gets Indian Government Boots". Archived from the original on 8 April 2009. Retrieved 30 March 2009.
  9. ^ "All branches of Oriental Bank of Commerce, United Bank of India start functioning as PNB branches". Moneycontrol. Retrieved 2 April 2020.
  10. ^ Gill, Simran. "Is bad loan menace at United Bank of India a cover-up after serious lapses?". The Economic Times. Retrieved 14 February 2014.
  11. ^ "NPA worries lead to UBI bond rating downgraded". Deccan herald. Retrieved 14 February 2014.
  12. ^ "UBI reports Rs 1,238-cr loss". Business Standard. Retrieved 14 February 2014.

External linksEdit