The government moved heads to two top public sector banks to second level banks and appointed 5 news MDs and CEOs at the state-run banks. The changes were effected in a matter of hours after the government promulgated an ordinance empowering the Reserve Bank of India to initiate action against loan defaulters apart from forcing the banks to take insolvency and bankruptcy processes. Punjab National Bank MD and CEO Usha Ananthasubramanian was shifted as MD and CEO at Allahabad Bank and Bank of India MD and CEO Melwyn Rego as MD and CEO at Syndicate Bank. In an earlier similar move, the government had shifted M.K. Jain from Indian Bank to the troubled IDBI Bank, replacing K.P. Kharat, who was in turn shifted to Indian Bank. Usha Ananthasubramanian was replaced at Punjab National Bank by Sunil Mehta, who was ED at Corporation Bank, while Canara Bank ED Dinabandhu Mohapatra was shifted to head Bank of India. ED of the Indian Overseas Bank, R. Subramania Kumar, has been elevated to MD & CEO position, and Oriental Bank of Commerce ED Rajkiran Rai G has been moved to Union Bank of India as MD and CEO.
