INDIAN INSTITUTE OF BANKING & FINANCE

(An ISO 9001 - 2008 CERTIFIED ORGANISATION)

Kohinoor City, Commercial-II, Tower-1, 2nd Floor, Kirol Road, Kurla (West), Mumbai - 400 070
Web-site : www.iibf.org.in

ADVANCED DIPLOMA IN URBAN CO-OPERATIVE BANKING

Rules & Syllabus 2012

OBJECTIVE

To build professional competence and enhance decision making skills in urban co-
operative banks.

ELIGIBILITY

The applicant should be Graduate from a recognized university.

SUBJECT OF EXAMINATION

(i) Principles & Law of Co-operative Banking

(ii) Co-operative Banking Operations, and

(iii) Technology, Risk Management & Regulation of Co-operative Banks

EXAMINATION FEES / REGISTRATION FEES

For Members For Non-Members

First 2 attempts `4,000/- @`6,500/-

Subsequent each attempt `2,000/- `2,000/-

@Includes `500/- towards registration fee.

MEDIUM OF EXAMINATION

Examination will be conducted in English only.

PATTERN OF EXAMINATION

(i) Question Paper will contain approximately 120 objective type multiple choice
questions.

(ii) Information about mode of examination (online / offline) and a list of

examination centre will be provided along with Examination Application Form.

DURATION OF EXAMINATION

Examination will be of two hours duration.

PERIODICITY AND EXAMINATION CENTRES

(i) The examination will be conducted normally twice a year in June and December
on a Sundays.

(ii) Examinations will be conducted on two consecutive Sundays (two papers on first
Sunday and one paper on second Sunday)

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PASSING CRITERIA

(i) Pass : Minimum marks for pass in every subject - 50 out of 100 marks.

(ii) Candidate securing atleast 45 marks in each subject with an aggregate of

50% marks in all subjects of examination in a single attempt will also be
declared as Pass.

(iii) Candidates will be allowed to retain credits for the subject/s they have passed
in an attempt till the expiry of the time limit for passing the examination as
mentioned below :

TIME LIMIT FOR PASSING THE EXAMINATION

(i) Candidates will be required to pass the examination within a time limit of 2
years (i.e. 4 consecutive attempts). Initially a candidate will have to pay
examination fee for a block of one year i.e. for two attempts. In case a
candidate is not able to pass the examination within a time limit of one
year, he can appear for a further period of one year i.e. two attempts on
payment of requisite fee.

(ii) Candidates not able to pass examination within stipulated time period of
two years are required to re-enroll themselves afresh by submitting a fresh
Examination Application Form. Such candidates will not be granted credit/s for
subject/s passed, if any, earlier.

(iii) Attempts will be counted from the date of application irrespective of whether a
candidate appears at any examination or otherwise.

“CLASS OF PASS” CRITERIA

(i) The Institute will consider the FIRST PHYSICAL ATTEMPT of the candidate at
the examination as first attempt for awarding class. In other words, the candidate
should not have attempted any of the subject/s pertaining to the concerned
examination any time in the past and has to pass all the subjects as per the
passing criteria and secure prescribed marks for awarding class. Candidate
re enrolling for the examination after exhausting all permissible attempts as per
the time limit rule will not be considered for awarding class.

(ii) First Class : 60% or more marks in aggregate and pass in all the subjects in the
FIRST PHYSICAL ATTEMPT.

(iii) First Class with Distinction : 70% or more marks in aggregate and 60 or more
marks in each subject in the FIRST PHYSICAL ATTEMPT.

PROCEDURE FOR APPLYING FOR EXAMINATION

Examination Application Forms will be available at the Institute’s website

www.iibf.org.in which could be downloaded and filled in. The application forms
will be also available at the Institute’s zonal offices, Corporate Office and also
at such other centres / offices as may be notified from time to time. Examination
Application Forms duly filled in (for the detailed instructions refer the Examination
Application Form) along with requisite examination fee should be submitted

2
to the respective zonal office at Mumbai, Chennai, New Delhi, Kolkata. The
Institute accepts no responsibility for delay or inconvenience arising from the
candidate’s failure to reach the Examination Application Form in time or if the
form is incomplete or failure to furnish all the essential information about himself /
herself and the details of his / her examination.

PROOF OF IDENTITY

Non-members applying for Institute's exams / courses are required to submit a copy
of any one of the following documents along with Examination Application Form.
Forms without the same shall be liable to be rejected.

1) Photo i/card issued by Employer or 2) PAN Card or 3) Driving License or

4) Election Voter's i/card or 5) Passport

STUDY MATERIAL

The Institute has developed a courseware to cover the syllabus. Candidates are
advised to make full use of the courseware and also the updates put on the IIBF
website from time to time. However, as banking and finance fields are dynamic, rules
and regulations witness rapid changes. Hence, candidates should keep themselves
updated on latest developments by going through Master Circulars issued by RBI,
visiting the websites of organizations like RBI, SEBI, BIS etc.

The Institute has published study books to facilitate study and they will be available at
outlets / showrooms / distributors of M/s. Macmillan Publishers India Ltd. :

The price of each book and detail list of outlets is mentioned below. Candidates may
purchase directly from outlets / showrooms / distributors of the above. Candidates
who purchase books directly from outlets of publishers will be offered a discount of
20% on the cost price of the book. Candidates desirous of purchasing books by post
will not be offered any discount. However the postage will be borne by publishers.

Candidates would be required to send their indent to publishers’ outlet along with a
Demand Draft for the cost of books. The Demand Draft should be drawn in favor of
M/s. Macmillan Publishers India Ltd. (No cheques will be accepted). Candidates
are requested not to send any request for the purchase of books to the
Institute’s Zonal Offices / Corporate Office.

Name of the Book Price

Laws of Co-operative Banking, 2007 `285/-

Co-operative Banking Operations, 2007 `325/-

Technology, Risk Management & Regulation of `345/-

Co-operative Banks, 2007

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 ADDRESSES OF MACMILLAN PUBLISHERS INDIA LTD.
BRANCHES & SHOWROOMS

New Delhi Patna

2/10 Ansari Road, Daryaganj, Sinha Kothi, Sinha Library Road, Patna-001
New Delhi-110002 Phone : (0612) 2232550 / 2224348
Phone : (011) 23273624 / 23273814 / E-mail : milpat@macmillan.co.in
47972200 Pune
E-mail : mildel@macmillan.co.in Plot no.17, 1st floor,
Kolkata Swastishree Co-op Hsg. Society Ltd.,
Unit No 302, L&T Chambers, Ganesh Nagar, Karve Nagar, Pune-411052
(3rd Floor), 16 Camac Street, Phone : (020) 25420321 / 22
Kolkata-700017 E-mail : milpun@macmillan.co.in
Phone : (033) 22834481-5 Bangalore
E-mail : milcal@macmillan.co.in Jaico Publishing House, 14/1,
Chennai 1st Main Road, 6th Cross,
21 Patullos Road, Chennai-600002 Gandhi Nagar, Bangalore-560009
Phone : (044) 28520646 / 30915100 Phone : 080-22267016 / 22257083
E-mail : rnilmds@macmillan.co.in E-mail : bangalore.sales@jaicobooks.com
Bhopal The BOOKWORM - Good Books Great
76 Malviya Nagar, TT Nagar, Bhopal-462003 Prices
Phone : (0755) 2553895 / 2576029 No. 80/1, Shrunghar Shopping Complex,
E-mail : milbho@macmillan.co.in M. G. Road, Bangalore-560001
Chandigarh Phone : (080) 40913205, Mob. 9854076757
First Floor, SCO 91, Sector 44 C, E-mail : kris.bookworm@gmail.com
Chandigarh-160047 The BOOKWORM - Good Books Great
Phone : (0172) 2611561/ 5088291 Prices
Email : milchd@macmillan.co.in No. 32 Basement, Brigade Road,
Cuttack Cross Brigade Rd., Below Prabhu Digitals,
Maitree Vihar, Link Road, Cuttack-753012 Bangalore-560001
Phone : (0671) 2311979 / 2331979 Phone : (080) 41126755, Mob. 9845076757
E-mail : milcut@macmillan.co.in E-mail : krishana_ruk@yahoo.com
Guwahati E. R. Manoharan
S. C. Goswami Road, UBS Publisher's & Distributors Pvt. Ltd.,
Pan Bazar, Guwahati-781001 No. 148, Mysore Road, Bangalore-560026
Phone : (0361) 2516564 / 2633529 Phone : (080) 26756671-73
E-mail : milguw@macmillan.co.in E-mail : manohar@bngm.ubspd.com
Jaipur Madurai
B-48 Sahkar Marg, Opp. Imliwala Phatak, M/s. Selvi Book, Shop. 92, Nethaji Road,
Lai Kothi Scheme, Jaipur - 302015 Near New Arya Bhavan Signal,
Phone : (0141) 2741308 Madurai-625001.
E-mail : miljai@macmillan.co.in Phone : (0452) 4380169 / 2343510
Lucknow E-mail : selvibookshop@yahoo.com
17/1, Mudra Building, Trichy
Madan Mohan Malviya Marg, M/s. Golden Book House, No. 5, First Floor,
Lucknow-226001 Vignesh Aparna, New Bishop Heber Colleg,
Phone : (0522) 2209780 / 2208810 Vayalur Road, Puthoor, Trichy-620017
E-mail : milluc@macmillan.co.in E-mail : goldenbookhouse1@gamil.com
Mumbai Tanjore
404, Antariksh, Makwana Road, M/s. Sri Murugan Publications,
Off. Marol Maroshi Road, Marol, Raja Rajan Vanigga Valaga Arangam,
Andheri East, Mumbai-400059 Southrampet, Tanjore-613001
Phone : (022) 42152803/ 04 Phone : (04362) 272922 / 272168
E-mail : mumvpo@macmillan.co.in Palayamkottai
Mumbai M/s. Eagle Book Centre, 168 Trivandrum
Mercantile House, Magazine Street, Road, Opp to VOC Ground,
Reay Road (East), Mumbai-400010 Palayamkottai-627002
Phone : (022) 23724401 / 23726017 / Phone : (0462) 2578899
23741423 Trichy
Nagpur M/s. International Books, 76,
G9-11, Achraj Towers- II, Chhaoni, Nandhi Koil Street, Trichy-620002
Nagpur-440013 Phone : (0431) 2703743
Phone : (0712) 2593103 / 2552595 E-mail : intbok@yahoo.co.in,
E-mail : milngp@macmillan.co.in ntbok@gmail.com

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SYLLABUS

The details of the prescribed syllabus which is indicative are furnished in

the booklet. However, keeping in view the professional nature of examinations,
all matters falling within the realm of the subject concerned will have to be
studied by the candidate as questions can be asked on all relevant matters
under the subject. Candidates appearing for the Examination should particularly
prepare themselves for answering questions that may be asked on the latest
developments taking place under the various subjects of the said examination
although those topics may not have been specifically included in the syllabus. The
Institute also reserves to itself the right to vary the syllabus / rules / fee structure
from time to time. Any alterations made will be notified from time to time. Further,
questions based on current developments in banking and finance may be asked.

Candidates are advised to refer to financial news papers / periodicals more

particularly "IIBF VISION" and "BANK QUEST" published by the Institute.

SYLLABUS

PAPER - I : PRINCIPLES AND LAWS OF COOPERATIVE BANKING

Module A
Law and rules relating to Urban Cooperative Banks
lPrinciples of Co-operation
lBrief overview of structure of co-operative credit institutions - Federal,
central and primary credit societies. Types of credit institutions-
salary / wage earner / employee / consumer credit societies, agriculture
credit societies, Land development banks, urban co-operative Bank’s
etc. Co-operative Marketing Societies
lMembership shares linkage, types of members-regular, nominal & associate
membership
lSalient provisions of Multi State Co-op. Societies Act, 1984 relating to :
- Registration, duties and privileges of the members
- Members and their rights and obligations
- Management of Societies
- Audit and related matters including systems audit
- Disputes between members and societies & Co-op. Courts
- Liquidation and winding up
- Election of committee members and other officers of the societies
- Officers, penalties, appeals and revision etc.
- Supervisory and Regulatory Role of state / Central Govt.

5
Module B
Legal aspects of banking operations
lCase laws on responsibility of paying / collecting banker
lIndemnities / guarantees-scope and application-obligations of a banker -
precautions and rights - laws relating to bill finance, LC and Deferred Payment
Guarantees
lLaws relating to securities-valuation of securities-modes of charging
securities - lien, pledge, mortgage, hypothecation etc-registration of firms /
companies - creation of charge and satisfaction of charge
Module C
Banking related laws
lProvisions of Bankers Book Evidence Act
lSpecial features of Recovery of Debts Due to Banks and Financial Institutions
Act, 1993
lThe Securitisation and Reconstruction of Financial Assets and Enforcement
of Security Interest Act, 2002
lThe Consumer Protection Act, 1986 Definition, Consumer Protection
Councils Chapter-II (Sections 4-8) Consumer Disputes Redressal
Agencies (Sections 9-15) District Forums, State Commission and National
Commission, their powers etc.
lBanking Ombudsman
PAPER - II : Co-operative Banking Operations
Module A
Deposits and New Products
lDifferent Deposit Products
lBanker - Customer relations - services rendered by Banks - Mandate and
Power of attorney - Know Your Customer (KYC)
lResponsibility of Paying / Collecting Bankers.
lVarious types of relationships with customers such as Creditor - Debtors,
Bailor - Bailee, Principal - Agent, etc.,
lGarnishee orders and Attachment orders, Bankers’ right of lien, set-off and
appropriation Indemnities and Bank Guarantees; scope and application
Customer and Deposit Policy (Fixing ROI ,Products, etc.)
Module B
Credit Management
lLoans and advances-concepts, terms and conditions, refinance, exposure
limits, appraisal standards
lPriority sector lending
lFinancing of small Business, Retail Trade, Professional and Self Employed
lTransport Operators, SSI/ Tiny Sector Units

6
lPersonal Finance and Consumer Durables
lHousing loans
lUrban poverty and Financing of subsidy-linked programs
lLoan Policy (Fixing rate of interest, delegation, exposure, ALM for loans etc)
Module C
Essentials of Book Keeping and Accountancy
lAccounting concepts and conventions and systems of recording transactions
lMeaning of Financial Statements
lJournal and Ledger
lWriting cash books
lTypes of Trial balance
lTypes of Accounting Errors
lBalance Sheet Equation
lInterest and annuities
Paper - III : Technology, Risk Management and Regulation of Cooperative
Banks
Module A
Investment Management
lCRR / SLR Management
lInvestment Management.
lFinancial Markets &Instruments
lApproved Investment avenues for the banks-guidelines of RBI / NABARD in
regard to investment.
lMoney Market - Call money - Commercial bills - Commercial papers -
Certificate of deposits - Term money - money market mutual Funds
(MMMFs) - RBI Repurchase Agreements (repos) - RBIs Reverse Repos -
Inter bank repos - Foreign Exchange Market- Government Securities
Market - Treasury Bills.
lOperations in primary and secondary Market in Government Securities-
trading norms and policies
lDebt market
lOverview of Financial Services - Role and functions of Capital market -
Regulation thereof.
lRole and Functions of Mutual Funds, Insurance Companies - SEBI,
AMFI, IRDA
lBancassurance - Meaning and Scope
lCompliances
lInvestment Policy

7
Module B
Risk Management
lIRAC Guidelines
lNPA - Management of NPA
lRestructuring and re-phasing of credit
lExposure limits
lAsset Liability Management
lRisk Management Policies
lCapital Adequacy - Basel-II - Profit and Profitability - Approach of
Banks to profitability Effects of NPA on profitability - A profitability
Model - Share holders value Maximisation and EVA - Profit Planning-
Measures to improve profitability.
Module C
Supervision and Regulation
lBanking Regulation Act (As applicable to Co-op. Societies )
lRole of R.B.I.
lSupervision and control
lBranch licensing
lInspection / audit
lStatutory / Reserve requirements
lSalient features of R.B.I. guidelines / directives on Deposits, advance, priority
sector lending, weaker section lending, Control Returns, maximum limit on
lending, unsecured loans etc.
lRecommendations of Marathe Committee and Madhav Rao Committee
lProblems and prospects of Urban Co-operative Banks
lCo-operative Banking & Commodity market relation
lRole of Directors and Corporate Governance - Principles and Best
Practices - Code of ethics / conduct for bankers. Management Information
System
Module D
Technology Banking
lElectronic Payment systems - Teller Machines at the Bank Counters -
Cash dispensers - ATMs - Anywhere Anytime Banking - Home banking
(Corporate and personal) - Personal identification numbers and their
use in conjunction with magnetic cards of both credit and debit cards,
smart cards, signature storage and display by electronic means, cheque
truncation, note and coin counting devices.
lElectronic funds transfer systems - plain messages (Telex or data
communication) - structured messages - RTGS.

8
 COURSES OF IIBF
A. Flagship Courses
+
JAIIB
+
CAIIB
+
Diploma in Banking & Finance
B. Specialised Post Graduate Diploma Courses (for Member* and Non-Members**)
+
Diploma in Treasury, Investment and Risk Management
+
Diploma in Banking Technology
+
Diploma in International Banking and Finance
+
Diploma in Urban Co-operative Bank
+
Diploma in Commodity Derivatives for Bankers
+
Diploma for Micro Finance Professionals in collaboration with Sa-Dhan
+
Advanced Wealth Management Course
+
Diploma in Home Loan Advising
C. Specialised Certificate Courses (for Member* and Non-Members**)
+
Certificate in Trade Finance
+
Certified Information System Banker
+
Certificate in Anti-Money Laundering / Know Your Customer
+
Certificate in Quantitative Methods for Bankers
+
Certificate in Credit Cards for Bankers
+
Certificate Examination in Banking Oriented Paper in Hindi
+
Certificate Examination in SME Finance for Bankers
+
Certificate Examination in Customer Service & Banking Codes and Standards
+
Certificate Examination in Basics of Banking / Credit Cards for employees of
IT Companies
+
Certificate Course for Business Correspondents / Business Facilitators
+
Certificate Examination for Debt Recovery Agents
D. Management Courses
+
Advanced Management Program in collaboration with SIES - Mumbai, Welingkar-
Mumbai, IMI-Delhi, IPE-Hyderabad.
+
Project Finance Management Blended Course with IFMR, Chennai
+
CAIIB linked MBA with IGNOU.
Educational support :
+
Publishing specific courseware for each paper / examination and Workbooks etc.
+
Tutorials through Accredited Institutions, Virtual Classes, e-learning through Portal,
Contact Classes or Campus Training - Model Questions and subject updates on
the net
Other activities :
+
Research, Seminars, Conferences, Lectures, etc.
+
Publications of books, Daily e-newsletter, monthly newsletter and quarterly journal
+
Training & Consultancy and Financial Education
* Members are employees of Banks and Financial Institutions who have enrolled as
members of IIBF.
** Non-Members are eligible candidates for each course / examination without IIBF
Membership.
The Syllabi, Rules / Regulations, Examination Forms and other information pertaining to the
examinations are available with Institute's Offices at Mumbai, Chennai, New Delhi, Kolkata
and also at such other centers / offices as may be notified from time to time. The same is also
available at our website www.iibf.org.in.

9
 MEMBERS OF THE GOVERNING COUNCIL (As on 01/01/2012)
PRESIDENT Shri M. Narendra, Chairman & Managing
Shri M. D. Mallya, Chairman & Managing Director, Indian Overseas Bank
Director, Bank of Baroda Shri T. M. Bhasin, Chairman & Managing
VICE PRESIDENTS Director, Indian Bank
Shri M. V. Nair, Chairman & Managing Representing Financial Institutions
Director, Union Bank of India Shri T. C. A. Ranganathan, Chairman &
Shri Rana Kapoor, Managing Director & Managing Director, Export-Import Bank
Chief Executive Officer, YES Bank of India
Representing Reserve Bank of India Representing Private Sector Banks
Shri S. Karuppasamy, Executive Director Shri Ananthakrishna, Chairman,
Representing State Bank of India and its Karnataka Bank Ltd.
Associate Banks
Representing Co-operative Banks
Shri Pratip Chaudhuri, Chairman, State
Shri S. K. Banerji, Managing Director,
Bank of India
The Saraswat Co-op. Bank Ltd.
Shri Dilip Mavinkurve, Managing Director,
State Bank of Mysore Representing other Bodies / Experts
Smt. Arundhati Bhattacharya, Deputy Shri M. Balachandran, Director, Institute
Managing Director & CDO, State Bank of of Banking Personnel Selection
India Shri Y. H. Malegam, former Managing
Representing Public Sector Banks Partner, S. B. Blllimorla & Co., Chartered
Shri K. R. Kamath, Chairman & Managing Accountants
Director, Punjab National Bank Prof. Y. K. Bhushan, Senior Advisor, ICFAI
Shri A. K. Misra, Chairman & Managing Business School
Director, Bank of India Shri Allen C. A. Pereira, Director, National
Shri S. Raman, Chairman & Managing Institute of Bank Management (NIBM)
Director, Canara Bank Dr. K. Ramakrishnan, Chief Executive,
Shri J. P. Dua, Chairman & Managing Indian Banks' Association (IBA)
Director, Allahabad Bank
From IIBF
Shri Arun Kaul, Chairman & Managing
Dr. R. Bhaskaran, Chief Executive Officer
Director, UCO Bank

ADDRESSES FOR CONTACT

Corporate Office :
Indian Institute of Banking & Finance
Kohinoor City, Commercial-II, Tower-1, 2nd Floor,
Kirol Road, Kurla (West), Mumbai - 400 070
Tel : 022-2503 9746 / 9604 / 9907 Fax : 022-2503 7332
E-mail : iibgen@bom5.vsnl.net.in
Northern Zonal Office : Western Zonal Office :
Indian Institute of Banking & Finance Indian Institute of Banking & Finance
109-113, Vikrant Towers, 1st Floor, 191-F, Maker Towers, 19th Floor,
4, Rajendra Place, New Delhi - 110 008 Cuffe Parade, Mumbai - 400 005
Tel. : 91-011-2575 2191/92 Tel. : 022-2218 3302 / 2218 5134
Fax : 91-011-2575 2193 Fax : 022-2218 0845
E-mail : iibnz@iibf.org.in E-mail : iibwz@iibf.org.in
Quality Printers (I) Ph. 24922297

Southern Zonal Office : Eastern Zonal Office :

Indian Institute of Banking & Finance Indian Institute of Banking & Finance
No.94, Jawaharlal Nehru Road, 408, 'Anandlok', 'A' Block, 4th Floor,
(100 Feet Road), Opp. Hotel Ambica 227, Acharya J. C. Bose Road,
Empire, Vadapalani, Chennai - 600 026 Kolkata - 700 020
Tel. : 044-2472 2990/2472 7961 Tel. : 033-2280 9681/82/83
Fax : 044-2472 6966 Fax : 033-2280 9680
E-mail : iibsz@iibf.org.in E-mail : iibez@iibf.org.in

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