HISTORY :The society under study, the kancheepuram central Co-operative Bank, with effect from 10.05.1915. was registered as a central co-operative bank.Head Office : Post Box No.9, 15-Sheikpet North Street, Kancheepuram-631 501.

Branches:The Kancheepuram central co-operative Bank has 48 branches around kacheepuram district. And the main Branches are 1.kamarajar salai, 2.Chrompet, 3.tambaram, 4.guduvanchery,5.ambatur,6.aavadi,7.mugapeir,8.thiruvallur9.porur,10.thiruporur

Date of Registration: 10.05.1967. Date of Opening: 12.05.1967.

ADMINISTRATIVE SET UP:

1secretary

2Assistant secretary

3clerk

4Office assistant

FINANCING CONTROL:1nabard

2State apex co-operative bank

3DISTRICT CENTRAL CO-OP BANK

MANAGEMENT PROFILE: The name of the financing institution from the Kancheepuram Central Co-operative Bank. The Joint Registrar who covers the Kancheepuram Region. The Deputy Registrar Circle covers through out the Chengelpet. The Bank belongs to the jurisdiction of St.Thomas Mount. The Management Co-operative Sub Registrar / Special Officer effect manages from 25.05.2001.

Name of the Chairman : Mr.E.KrishnamurthyName of the Secretary:Mr.P.JeyapaalMAINTAINING OF ACCOUNTS:Meaning: The Accounting In practice, it is impossible for any businessman to memorize and recollect all his business dealings. Moreover, he will be interested in knowing at the end of each year. 1. What he owns? 1. What he owes? 1. How much profit he has earned? 1. Whats his financial position is? To relieve from the burden of memorizing all the business dealings and for providingnecessary information, Accounting was developed.Definition of Accounting : According to American Institute of Certified Public Accountants (AICP) Accounting is the art of recording, classifying and summarizing in a significant manner and in terms of money transactions and events which are of financial character and interpreting the results thereof. Objectives of Accounting :1. Maintenance of Accounting Records. 1. Ascertainment of Profit or Loss. 1. Depiction of financial position. 1. Providing information. METHODS OF ACCOUNTING0. Single Entry System. 0. Double Entry System. TYPES OF ACCOUNTS:1. Personal Accounts:Debit the Receiver Credit the giver.1. Real Accounts :Debit what comes in Credit what goes out.1. Nominal Accounts:Debit all expenses and losses Credit all incomes and gains.

LIABILITY:WHAT DOES LIABILITY MEAN?

Acompany's legal debts or obligationsthat arise during the course of business operations. Liabilities are settled over time throughthe transfer of economic benefits including money,goods or services. LIABILITY OF THE SOCIETY:The liability of the member of the bank shall be limited to the share capital subscribed by them. In accounting, liability is a loan, expense, or any other form of claim on the assets of an entity that must be paid or otherwise honored by that entity.LIMITED LIABILITY :The limited liability means the liability of members is limited up to the extend of share capital subscribed by them. In short we can say Limited Liability is one that does not go beyond the owner's investment in the business.UNLIMITED LIABILITY :Unlimited liabilities the members personal assets such as land, properties, movable and immovable are attached in the event of loss incurred by the society.OBJECTIVES: Following are the main objectives of the Kancheepuram central co-operative bank.To finance co-operative societies registered under the Tamil Nadu Co-operative Societies Act, 1983To carry on the business of Banking (banking means the accepting, for the purpose of lending or investment, of deposits of money from the public, repayable on demand or otherwise and withdrawable by cheque, draft, order or otherwise as defined in the Banking Regulation Act 1949).To open, with the permission of the Registrar, branches at suitable places in the District.To develop, assist and co-ordinate the work of affiliated societies;To arrange for the supervision of societies;To arrange for the holding of periodical Co-operative conferences and for taking necessary action, pertaining to its own functions, on the resolution, passed at such conference;To maintain a library of co-operative literature;To receive moneys from the Tamil Nadu State Co-operative Bank for purchasing shares in affiliated societies;To advance long term loans for the purchase and construction of building and issue of medium term loans for purchase of vehicles for the employees of the bank;In addition to the business of Banking, the Bank may engage in anyone or more of the following forms of business, subject to the rules and regulations framed by the Board of Directors from time to time. DUTIES OF CITIZENS:1. Every member should repay the dues to the co-operative bank in time.2. Every member should exercise his vote for the selected of Board Of Directors by the board of member.

MEMBERSHIP :The following persons are eligible to become the members of the bank.1. Any individual agricultural or non-agricultural member competent to contract under Section 17 of the Tamilnadu Co-operative Societies Act 1961 and Section 21 of the Tamilnadu Co-operative Societies Act 1983 and Section 11 of the individual should reside within the area of operation or should have immovable property with the jurisdiction. 1. The Government of Tamilnadu. 3.The financing bank to which the bank is Affiliated.4.Minors may be admitted as members in some cases. These persons are only eligible to get surety loans on the society of immovable property. The business which are dealt with the bank should be through their guardian as trustee.

WORKING CAPITAL:WORKING CAPITAL

SHARE CAPITALRESERVE FUNDSOWNED FUNDSBORROWINGS

TNSCP NABARDDEPOSITS

MEMBERS MEMBERS GOVTNON_ MEMBERS

NABARD:NABARD the apex institution providing financial assistance to agriculture and other economic activities in rural areas came into existence on July 12, 1982.The main functions of NABARD pertain lo policy development, coordination, research, training, etc., relating to rural credit. It provides refinance lo cooperatives, regional rural banks, etc. Moreover it makes loans and advances to stale governments for a period not exceeding more than 20 years to enable (hem lo subscribe directly or indirectly lo share the capital of cooperative credit societies.Working Capital :The Working capital of the Kancheepuram central co-operative bank consists of Owned Funds and Borrowings.The most common liquidity ratios are the current ratio and the quick ratio is net working capital, while not a ratio, is a measure of liquidity and frequently included in this section. The inventory valuation method can have a significant impact on current ratio and net working capital.Formula for calculating Net Working Capital = Current Assets - Current Liabilities.

YEARS2009-20102010-20112011-20122012-20132013-2014

WORKING CAPITAL(Rs. In crores)1250.741515.861793.232052.472131.9

OWNED FUNDS The Owned Funds of the Bank consists of paid-up Share Capital plus Reserve Fund created out of the Net Profit. This is one of the indicators of viability. Share Capital Reserve Fund

SHARE CAPITAL :Share capital is that part of the capital of a company received from its owners (i.e. its members or shareholders) in return for shares. Every company must commence with some share capital (a minimum of two shares). See authorized share capital; called-up share capital; issued share capital; paid-up share capital; reserve capital.

S.NO YEAR SHARE CAPITAL (Rupees in Crores)

12009-2010106.58

22010-2011112.69

32011-2012122.29

42012-2013125.28

52013-201451.67

RESERVE FUND An account set aside by an individual or business to meet any unexpected costs that mayarise in the future as well as the future costs of upkeep. In most cases, the fund is simply a savings account or another highly liquid asset, as it is impossible to predict when an unexpected cost may arise.However, if thefund is set up to meetthe costs of scheduled upgrades, less liquid assets may be used.The Bank is required to create 20% of its Net Profit as a Reserve Fund to meet the unforeseen losses arises in future. The Credit society is maintaining two types of reserves. Statutory and Non-Statutory reserves. This fund is invested in the Kancheepuram Central Co-operative Bank Ltd. S.NOYEARRESERVE FUNDS(Rupees in crores)

12012-2013565.95

22007-20081992.19

II. BORROWINGSThe Borrowings are an important sources of Mobilizing Funds. Loan from Banks (KCCB) Deposits LOAN FROM BANKS :Meaning :Financial Institutions offer business many types of short-term loans. No matter what the type of loan, however, the cost to a borrower is usually measured by the percent interest rate charged by the lender. The annual interest rate that reflects amounts of interest paid divided by the amount borrowed is the effective interest rate. The Kancheepuram central co-operative bank, borrows long term loans from the Tamil nadu state cooperative bank because it owned fund was not enough. S.NO YEAR KCCB (Rupees in crores)

12012-2013287.63

22013-2014131.13

DEPOSITS: Accepting deposits is one of the two major activities of the banks. Banks are also called custodians of public money. Basically the money is accepted as deposit for safe keeping. But since the Banks use this money to earn interest from people who need money. Banks share a part of this interest with the depositors. The quantum of interest depends upon the tenor-length of time for which the depositor wishes to keep the money with the bank-and the ease of withdrawal. The thumb rule is , longer the tenor, higher the rate of interest and lesser the restrictions on withdrawal, lesser the interest. Exceptions however exists.

S.NOYEARDEPOSITS (Rupees in crores)

12009-2010673.39

22010-2011854.05

32011-20121005.00

42012-20131189.32

52013-20141451.25

DEPOSITS:GENERALFUNCTIONSA) Collection Of Deposits : The Kancheepuram central co-operative bank is authorized to collect various types of Deposits. Accept deposits from members and from the public it offers 25% more interest than any other commercial banks. All the deposits are granted byKancheepuram central co-operative bank The Bank accepts following types of Deposits.1. Fixed Deposits. 1. Cash Certificate. 1. Savings Deposits. 1. Recurring Deposits. 1. Current Account. Deposit may at the discretion of the Special Officer or president be received at any time from members and non-members. The collection of deposits and issuing of Jewel Loans is the secondary function.DEPOSITS OUTSTANDING POSITION FROM 2012-2014Outstanding Details on Deposits:PARTICULARS2012-13 (Rs in crores)2013-14 (Rs in crores)

Short term deposit:

Individual988.61158.3

Cooperative society159.2207.6

Saving deposit:

Individual1581.91606.7

Cooperative society233.7277.9

Current savings:

individual299.4273.9

Cooperative society1008.51117.3

B) ISSUE OF LOANS AND COLLECTION OF LOANS : The Primary Agricultural Co-operative Credit Society was started in order to fulfill the credit needs of the Agricultural members. But , at present, it was extended the services to the Non-Agriculturist also. Now it undertakes various functions. Giving loans to the needy members, is the main function of the bank. The various types of loans issued and collected are :1. Short Term Loan / Crop Loan 1. Medium Term Loan 1. Jewel Loan 1. Jewel Loan (Agri.) 1. Loan on Deposits 1. House Mortgage Loan 1. Consumer Loan 1. Micro Credit Loan 1. Self help Group Loan 1. SHG Auto Loan

S.NOYEARLoans (Rupees in crores)

12009-2010993.59

22010-20111219.10

32011-20121403.19

42012-20131592.34

52013-20141507.61

MANAGEMENT AND ADMINISTRATION:

BOOKS AND RECORDS MAINTAINED1. Chittaa. Due by ( Sundry Creditors )b. Due to ( Sundry Debtors )c. Deposits and Loans sub day Book.2. Loans Outstanding Register3. Main Day Book.4. General Ledger.5. Investment Register.6. Dividend Register.7. Cash Remittance Register8. Due date dairy. 9. Members Loan Register.10. Crop war Register.11. Loan Disbursement Register.12. Members Overdue Register.13. Land Register.14. Insurance Register.15. Demand collection due Balance Register16. Admission Book.17. Minutes Book.18. Forms and Ledger Register.19. Attendance Register.20. Postage Register.21. Godown Register.22. Gunnies details Register.23. Pay Disbursement.24. Dispatch Register.25. Inward Bill Register.26. Stock Register.27. Jewel Loan Register.28. Jewel Stock Register.

SPECIAL FUNCTIONS:COLLECTION OF DEPOSITSThe bank is authorized to collect various types of deposits. The Society gives 1% higher rate of interest that any other commercial banks or societies. All the deposits are guaranteed by the Kancheepuram Central Co-operative Bank.Types Of Deposits:Deposits may, at the discretion of the Special Officer or President be received at any time from members and non-members. The bank collect the following types of deposits.0. Fixed Deposit 0. Cash Certificate 0. Savings Deposits 0. Recurring Deposits 0. Security Deposits

1 ) FIXED DEPOSITS :Fixed Deposits is one which is made for a fixed period and for fixed rate of interest for fixed amount. It is collected from the members and general public. It is withdrawable only at the time of maturity. Fixed Deposits can be made for minimum period of 7 Days interest is payable monthly or annually.

S.NO YEARFIXED DEPOSITS OUTSTANDING(Rs. In crores)

12006-20071072.13

22007-20081150.68

32008-20091117.13

42009-20101323.93

52010-20111881.51

B) CASH CERTIFICATE: The compound interest is given. This certificate is issued under the joint signature of two authorized officers of the bank. The minimum period is one year. At the time of maturity interest is calculated and paid along with the principle amount. S.NO YEARCASH CERTIFICATE OUTSTANDING(Rs. In crores)

12006-20078.81

22007-20084.50

32008-20093.44

42009-20102.51

52010-20110.92

C) SAVINGS DEPOSITS :It is collected from the members and the general public. It is deposited by the members and public, whenever they had money. It is intended to tap the saving of the middle income and low-income groups. It develops the habit of saving among them. It is withdrawable during the working hours of the bank.S.NO YEARSAVINGS DEPOSITS OUTSTANDING (Rs. In crores)

12006-20071056.62

22007-2008808.27

32008-2009630.36

42009-2010646.48

52010-2011825.42

D) RECURRING DEPOSIT :It is collected from the members and non-members. A fixed amount usually in multiples of Rs.5/- to be deposited by the depositor every month for a fixed period of 12,24,36,48 and 60 months. It is accepted for a minimum period of 12 months. Every depositor shall pay his monthly deposit before the end of the month of which it relates, fraction there of compound interest is calculated.

S.NO YEARRECURRING DEPOSIT OUTSTANDING (Rs. In crores)

12006-20078.91

22007-200812.67

32008-200917.15

42009-201019.46

52010-201120.40

LOANS FROM OPERATIONSA. ISSUE OF LOANSB. RECOVERY OF LOANSC. ACTION TAKEN AGAINST THE DEFAULTER.

ISSUE AND RECOVERY OF LOANS :Disbursing Loans to the needy members is the most important function of the credit society.TYPES OF LOANS0. Short Term / Crop Loan (KISHAN) 0. Medium Term Loan. 0. Jewel Loan 0. Loan on Deposit 0. House Mortgage Loan 0. Consumer Loan 0. Micro Credit Loan The above types are explained as below.

1) Short Term / Crop Loan (KISHAN) :Short term loan is a type of Loan issued for a period of 12 months by the bank. This is issued to the members for the purpose of purchasing fertilizers and pesticides and to meet the seasonal agricultural expenses. Current period this loan called KISHAN Crop Loan is a credit facility sanctioned on the basic of anticipated crop. It is sanctioned only to meet the seasonal agricultural needs. The period of the loan is fixed according to the types of crop and the seasons. Generally the period is 12 months. Seasonality is fixed by the agricultural Department.At first, the Primary Agricultural Co-operative Credit Society prepares Annual Credit Limit Statement for each and every A Class members. It contains full details of individuals and his cultivable land. The Bank sends this statement to the Chengalpet Circle Supervisor and Field Manager along with the signature of the President and Secretary. 2) Medium Term Loan :Medium Term Loans are given to the members for the following purposes.1. To effect semi permanent improvement on lands. 1. To increase production which is important to the growth of agriculture. 1. To put vegetables and fruit gardens in the land. 1. To arrange for proper irrigation facilities. 1. To purchase cattles, implements, machinery, vehicles etc., for agriculture. 1. To purchase donkeys and mules. 1. To construct and repair farmhouses, living house or stable for cattles. 1. To repay prior debts. 1. To grow hens, fish, bees, silk moth and cattles. 1. To purchase implements used in agriculture and to construct buildings, or to do production works or to spend on their management. 1. To purchase shares in processing societies. 1. To purchase land.

3) Jewel Loan :The bank has issued Jewel Loan to members and non-members. It is sanctioned on the security or the pledge of gold Jewel which belonging to the borrowers and not to exceed 70% of the estimated market value of the Jewels. The main purpose of giving Jewel Loan is to meet the family expenses of the borrowers. The period of the loan is one year. The bank introduced this loan in the year 1987.A member who wants to get jewel loan should first meet the secretary to get application form. Before getting the application form, he should become the B class members of the bank. B class share value is Rs.5/- and the entrance fee is Re.1/- only. It is not refundable. The application form should be filled with full details. It is signed by the borrowers and atleast two witnesses in the presence of the Secretary/President of the society or Special Officer and he should submit it to the Secretary. The Secretary and President will verify the application form. After verification of the application form they will send it to the appraiser for valuation of the jewels. After verification of the jewels he weighs it and the value is recorded. After knowing the exact value, he should ask the member to give the application form and make the necessary entries in the form, specifying the value, weight and the other essential details. He should put the signature in the form to certify that, he has valued the jewel. And he sends it to the Secretary/President. Appraiser, affixes his seal on the jewel packet and then, the banker to seal it. Then the jewels are kept in the safe custody of the society. The Reserve Bank of India fixes the rate of interest. Now the bank charges 13% as the rate of interest for the jewel loan. If the borrowers fails to repay the loan on time 3% interest is collected additionally aspenaltyinterest.

4) Loan On Deposit :This Bank provides loan on deposits to the tune 80% of the deposits amount of each depositor charging +2% margin as deposit interest rate.5) House Mortgage Loan :The kanchepuram central cooperative bank has introduced Housing Loan in the year 1992. The bank issues Housing Loans to A Class members only. The loan is sanctioned with in the area of operation. To get the Housing Loan the members should give full details about property namely plot.1. Documents 1. Parent Documents 1. House Tax Receipts 1. Approved Plan 1. Tax Bill 1. Electricity Board Bill 1. Encumbrance Certificate 1. Family Ration Card (Xerox) 1. Passport Size Photos three copies 1. Electricity Board Card (Xerox) 1. Maximum loan amount Rs.5 lakhs in the year with agreement. The rate of interest is 14%.6) Consumer Loan :The Bank has issued Consumer Loan for its member. Salary certificate will be produced for it. Maximum Rs.25,000 is issued as loan amount for buying TV, Two Wheeler, Washing Machine. Period is for 2 years and its rate of interest is 16%.7) Micro Credit Loan :The Bank has issued Micro Credit Loan to member. It is sanctioned for ladies also from Rs.500 to Rs.5000 only for flower shops, fish shops, street vendors. Period is for 4 months. Rate of Interest 5%.

RATE OF INTEREST DETAILS FOR LOANS:

S.NO TYPESOF LOANSYPERCENTAGETAGE

1PADDY7%

2JEWEL LOAN14%

3CONSUMER LOAN12%

4N.F.S14%

5S.H.G LOAN12.5%

S.NOTYPES OF ACCOUNTSPERCENTAGE

1SAVINGS ACCOUNT3.50%

2FIXED DEPOSIT

46 Days to 90 Days5.5%

91 Days to 180 Days6.5%

181 Days to 364 Days7.5%

1 Year to below 2 Year8.5%

2 Years and Above9%

3RECURRING DEPOSIT

1 Year8.5%

Above 2 Years9%

To Senior CitizenAdd. 1%

Self Help GroupsSelf Help Group is group of rural poor who have volunteered to organize themselves into a group for eradication of poverty of the members. They agree to save regularly and convert their savings into a Common Fund known as the Group

corpus. The members of the group agree to use this common fund and such other funds that they may receive as a group through a common management. The group formation will keep in view the following broad guidelines :Generally a self-help group may consist of 10 to 20 persons. However, in difficult areas like deserts, hills and areas with scattered and sparse population and in case of minor irrigation and disabled persons, this number may be from 5-20. The difficult areas have to be identified by the State Level SGSY Committee and the above relaxation in membership will be permitted only in such areas.Generally all members of the group should belong to families below the poverty line. However, if necessary, a maximum of 20% and in exceptional cases , where essentially required, upto a maximum of 30% of the members in a group may be taken from families marginally above the poverty line living contiguously with BPL families and if they are acceptable to the BPL members of the group. This will help the families of occupational groups like agricultural labourers, marginal farmers and artisans marginally above the poverty line, or who may have been excluded from the BPL list to become members of the Self Help Group. However,the APL members will not be eligible for the subsidy under the scheme. The group shall not consist of more than one member from the same family. A person should not be a member of more than one group. The BPL families must actively participate in the management and decision making, which should not ordinarily be entirely in the hands of APL families. Further, APL members of the Self Help Group shall not become office bearers ( Group Leader, Assistant Group Leader or Treasurer ) of the Group.

AUDIT CLASSIFICATIONS MARKS A 60% & AboveB 50% - 59%C 35% - 49%D Below 35%

NET PROFIT DISTRIBUTION The Sozhanganallur Primary Agricultural Co-operative Credit Society has eared profit from 2004 till now. The profit position of society as below.S.NOYEARLoans (Rupees in crores)

12009-20103.98

22010-20113.70

32011-20127.49

42012-201310.82

52013-201414.88

ACTION TAKEN AGAINST THE DEFAULTER :This KCCB takes all possible steps initially to recover the loan issued. However, is a member does not repay the loan installment continuously for 3months, the society institutes action against such defaulters only after informing the defaulter by registered post. Even after all these steps were taken, if the member does not pay attention, the concerned individuals file will be handed over to the arbitration for further action.WORK LEARNT During the Training I have undergone, I have learnt the followings:1. I have gone through the Bye-Laws of the society and understood the important contents of it. 1. I have understood the various functions undertaken by the society. 1. I have understood clearly the terms fixed and followed. Regarding maintaining of Accounts regarding Audit Classification. 1. I have understood the disposal of Net Profit in Conformity with the Bye-Laws, Rules and Acts. 1. I have gone all the Books, Records ,Applications, Various Forms, Etc. maintained by the co-operative credit society. SUGGESTION Advertisement is needed, to make an effective turning profit for benefiting more customers in the bank. Government of TamilNadu have to provide sufficient funds. Improvement is needed in the Public Distribution Shops. Infrastructure facility , Sufficient Furniture is needed for all customers. CONCLUSION: This institution training gave me the practical experience. It helps me to know how the management terms are used and where it is applicable in the organization. It gave me an experience of knowing about how to deal with Customers. Also I have learned from my company that handling with a service is not important but in what way it has the social responsibilities and how do the credit society members toattain benefit by satisfaction on their services. The motivation of the kanchepuram central cooperative bank is only Service to the Customers. They are not aiming for the Huge Profits.

KANCHEPURAM CENTRAL COOPERATIVE BANKName of the bank : kanchepuram central cooperative bankBranch : guduvancherry branchLocation : 32,First main road, Gandhi nagar,Chennai-600020Business hours : 9.00 AM To 4.30 PM (Monday to Friday) 9.00 AM To 11.00 AM (Saturday).No of Staff : 4(including manager)Service provided : Savings &Current account, , Jewel loans, Deposit, Safe deposit, Fixed deposit,Cash CertificateMICR Code : 600091001IFSC Code : TNSC0000001Deposits (Till date 31.12.2014) : Rs. 77,45,35,493.80Loans (Till date 31.12.2014) : Rs.30,27,56,509.50Net income : Rs.54,23,39.302