Bank of baroda

Jhabua Dhar Kshetriya Gramin Bank
1.
Contingent Liabilities not provided for as of March 31, 2005:
Guarantees given against 100% margin – Rs. 3.17 million
2.
Litigation against Jhabua Dhar Kshetriya Gramin Bank as of November 30, 2005:

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326
BANK OF BARODA
Consumer Cases
One customer has lodged a claim against the Bank in the district consumer forum and the claim has been admitted
whereby the bank has paid Rs. 22,000. However, the bank has filed an appeal against the same.
Labour Cases
There are 11 cases that have been filed against the bank by its employees/ex-employees/employee associations in
relation to termination, remuneration, remuneration and promotions before the Madhya Pradesh High Court and Regional
Labour Commissioner, Bhopal. These cases are at various stages of hearing and the exact amount of financial liability to
the bank on account of the same cannot be accurately determined.

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327
LICENSES AND APPROVALS
On the basis of the list of approvals provided below, we can undertake this Issue and our current business activities and
no further major approvals from any Government authority/RBI is required to continue these activities. It must be distinctly
understood that, in granting these licenses, the Government of India and/or RBI does not take any responsibility for our
financial soundness or for the correctness of any of the statements made or opinions expressed in this behalf.
Approvals for the Issue
1.
Letter no. F.No.11/31/2004-BOA dated February 11, 2005, from the GoI, Ministry of Finance, Department of Economic
Affairs (Banking Division), granting its approval for the Issue. The approval is subject to the Bank complying with
certain conditions, including:
compliance with the provisions of Section 3 of the Bank Acquisition Act;
ensuring that the Central Government’s shareholding does not fall below 51% at any point of time;
the Issue would have to be timed with due consideration to the prevailing market conditions;
obtaining necessary approvals from its Board of Directors, SEBI and other regulatory bodies;
post Issue non-resident equity holding in the Bank shall not exceed 20% of the paid up capital; and
restricting the Issue expenses to the bare minimum; and
that the Central government shall not consider any proposal for disinvestment of its shares in the Bank
public issue expenses should be restricted to a bare minimum
2.
Letter no. FE.CO.FID/4781/10.02.40 (9107)/2005-06 dated September 2, 2005, from RBI permitting the Bank to
issue shares to non-residents (except erstwhile OCBs) with repatriation benefits out of the issue of Equity Shares of
Rs. 10 each amounting to Rs. 710 million. The permission is subject to ensuring that the post Issue non-resident
equity holding in the Bank shall not exceed 20% of the post Issue paid up capital. The permission is further subject
to conditions laid down by the Government of India in their approval F.No.11/31/2004-BOA dated February 11,
2005, conditions prescribed by SEBI and terms and conditions for issue of shares as stipulated in Schedule 1 and
2 to RBI Notification No. FEMA.20/2000-RB dated May 3, 2000, as amended from time to time.