He’s known as a no-nonsense banker. A former colleague remembers that he held his ground with the unions and ran Corporation Bank, where he was CMD for 21 months, with an iron hand. At the same time, he was flexible with colleagues.
That experience will stand J M Garg in good stead as he takes on his new job as vigilance commissioner — a role that requires him to be stern, while keeping in mind the handicaps that public sector bankers often face. A post-graduate in physics from Punjab University, Garg spent 34 years with Indian Bank, before serving as an executive director in Punjab National Bank.
During his tenure in Corporation Bank, the bank’s business rose by over 55 per cent, while profits went up by over 30 per cent.
Garg’s colleagues credit him with charting out new areas for the bank, which has a unique shareholding pattern: LIC holds 26 per cent stake.
Since the bank could not enter into life insurance, Garg prepared the ground for a foray into the non-life segment and, later, into asset management.
“He had clarity and was quick with decisions. So, he will do well as a regulator,” said a person who was a director on the Corporation Bank board.