Union Bank’s “gift” to customers and schools has turned into a national controversy, all thanks to a book that came with a multi-crore price tag and no clear approvals.
Union Bank of India, one of the country’s major public sector lenders, is facing intense heat after spending a whopping ₹7.25 crore on nearly 2 lakh copies of a book, India@100: Envisioning Tomorrow’s Economic Powerhouse, written by Krishnamurthy V Subramanian, the former Chief Economic Adviser to the Government of India.
The purchase was made even before the book’s release in August 2024, raising eyebrows about the timing, intent, and internal approvals of the deal. The Economic Times reported that the bank justified the expense as an initiative to distribute the books among “customers, corporates, schools, colleges, libraries, and others.” But what was pitched as a PR and knowledge-sharing effort has now snowballed into a controversy involving top management, hasty financial decisions, and unanswered questions.
A Premature Investment, A Silent Leadership
Two internal memos, reviewed by The Economic Times, revealed that the bank’s central office support services department had written to 18 zonal heads in June and July 2024, instructing them to procure and distribute both hardcover and paperback versions of the book. Each zonal office was directed to purchase 10,525 paperback copies priced at ₹350 and 10,422 hardcover editions at ₹597, adding up to ₹7.25 crore.
Interestingly, 50% of the payment, over ₹3.6 crore, was already made in advance to the publisher, Rupa Publications, before the matter even reached the Union Bank’s board for ratification in December 2024.
When this advance payment was finally brought to the board’s notice, it created internal friction. Executive Director Nitesh Ranjan, who oversees the marketing and publicity division, reportedly declined to ratify the expenditure, stating he had not been informed about the bulk purchase in advance. This raised critical questions: Who approved such a large financial commitment without full consensus? And why?
Scapegoating and Suspensions: The Fallout Begins
The spotlight turned to Girija Mishra, General Manager in charge of support services. According to insiders, he executed the payment without formal ratification. Bank Chairperson A. Manimekhalai later told the board that she had verbally asked Mishra to initiate the purchase but clarified she had not instructed him to break protocols.
Mishra was swiftly suspended on December 26, 2024, an action some insiders claim was meant to control the damage rather than solve the deeper accountability issues. Critics say he became a convenient scapegoat for a decision made at higher levels.
Consultants Called In, But Details Still Murky
In January 2025, Union Bank brought in global consultancy firm KPMG to audit the decision-making process and identify procedural lapses. Though KPMG submitted its findings by the end of the month, the report’s contents remain undisclosed to the public.
Meanwhile, Krishnamurthy Subramanian, the author at the heart of the scandal, has also faced professional fallout. Reports suggest his early termination from the role of India’s executive director at the International Monetary Fund (IMF) may have been influenced in part by this controversy, although no official statement confirms this.
Questions Still Linger
The bank’s top leadership, including MD & CEO A. Manimekhalai and Chairman Srinivasan Varadarajan, have chosen to remain silent on the issue. Their refusal to comment adds to the growing perception that the entire episode was poorly managed from top to bottom.
Was this a well-meaning educational outreach gone wrong, or a strategic attempt to boost a former bureaucrat’s personal brand with public funds? Either way, taxpayers are left wondering if ₹7.25 crore could have been better spent, perhaps on actual books needed in underfunded schools, or even on improving banking infrastructure for rural India.
As the dust settles and investigations play out behind closed doors, one thing is certain: this incident exposes a gaping hole in the governance and financial oversight within public sector institutions. In a system that should be built on trust and transparency, Union Bank’s bookish blunder has become a cautionary tale about unchecked authority and the price of poor judgment.