Their objective was to cater to the financial needs of people in and around Karur who were occupied in trading businesses, industry and agriculture.

In 1974, the bank started expanding the branch network beyond Tamil Nadu to benefit from opportunities in the pan-Indian market.

Meanwhile, the bank attained the status of Authorized Dealer in foreign exchange in 1976 enabling it to provide full range of services to customers engaged in international trade and to overseas travellers.

Mechanization was introduced in the Administrative Office as early as 1977, and data processing and computerization began in right earnest in 1993 by the bank's own in-house team.

The absence of any viable strategic plan, declining advances and mounting non-performing assets (NPAs), the losses are expected to continue," the RBI said.