Research articles published by Hemindra Hazari.

Contrary to the expectations of life insurance deregulation, some of the large private companies have established their business model on ULIPs, a mutual fund product and in doing so sacrificed the objective of raising genuine life insurance and long-term savings for the economy. In retrospect, the liberalisation of the life insurance sector provided a license to open a casino.
Compliance with the formal corporate governance code will be incorporated in FY2001 annual reports. investors should not be dismayed by the lack of a corporate governance structure or conversely, lower their guard at elaborate corporate governance norms. Our report reveals that substance (eg, the importance of truly independent directors)...
HDFC Bank has used ingenious ways to understate its profits under Indian provisioning rules for FY2000. Apparently the year ended with the bank being flush with profits and, therefore, management decided to use some of its FY2000 profits for future contingencies. HDFC-Bank-BUY-3-May-2000Download
Post this report and the subsequent media coverage, the Indian government changed the selection policy of appointment of SBI chairman solely on the basis of seniority.
Forecasts for financial institutions have to take into account the coming of a new chief executive officer (CEO). Some new CEOs have presented shocking results in their first year. Robust profits of previous years have suddenly evaporated, replaced by marginal profitability or even losses. New-CEO-New-Accounts-15-June-99Download
In our experience companies adopt liberal accounting policies to cover up flagging fundamentals otherwise there is rarely a valid business reason.