1.  We have audited the accompanying Financial Statements of United
 Bank of India as at March 31, 2012 which comprises the Balance Sheet as
 at March 31, 2012, the Profit and Loss Account and the Cash Flow
 Statement for the year then ended, and a summary of significant
 accounting policies and other explanatory information. Incorporated in
 these financial statements are the returns of 20 branches audited by us
 and 1032 branches audited by branch auditors. The branches audited by
 us and those audited by other auditors have been selected by the Bank
 in accordance with the guidelines issued to the Bank by the Reserve
 Bank of India.  Also incorporated in the Balance Sheet, the Profit and
 Loss Account and the Cash Flow Statement are the returns from 33
 Regional Offices, 596 Branches and 1 Staff Training College which have
 not been subjected to audit. The unaudited branches account for 1.92
 per cent of gross advances, 19.11 per cent of deposits, 3.10 per cent
 of interest income and 13.51 per cent of interest expense.
 
 Management''s Responsibility For The Financial Statements
 
 2.  Management is responsible for the preparation of these financial
 statements in accordance with the Banking Regulation Act, 1949. The
 responsibility includes the design, implementation and maintenance of
 internal control relevant to the preparation of the financial statements
 that are free from material misstatement, whether due to fraud or
 error.
 
 Auditors'' Responsibility
 
 3.  Our responsibility is to express an opinion on these financial
 statements based on our audit. We conducted our audit in accordance
 with the Standards on Auditing issued by the Institute of Chartered
 Accountants of India. Those Standards require that we comply with
 ethical requirements and plan and perform the audit to obtain
 reasonable assurance about whether the financial statements are free
 from material misstatement.
 
 4.  An audit involves performing procedures to obtain audit evidence
 about the amounts and disclosures in the financial statements. The
 procedures selected depend on the auditors'' judgment, including the
 assessment of the risks of material misstatement of the financial
 statements, whether due to fraud or error. In making those risk
 assessments, the auditors consider the internal control relevant to the
 Bank''s preparation and fair presentation of the financial statements in
 order to design audit procedures that are appropriate in the
 circumstances. An audit also includes evaluating the appropriateness of
 the accounting policies used and the reasonableness of the accounting
 estimates made by the management, as well as evaluating the overall
 presentation of the financial statements.
 
 5.  We believe that the audit evidence we have obtained is sufficient
 and appropriate to provide a basis for our audit opinion.
 
 6.  In accordance with Standard on Audit (SA) 706 Emphasis of Matter
 Paragraph, without qualifying our opinion, we draw attention to Note
 No. 2.3 in Schedule 18 regarding deferment of pension and gratuity
 liability of the bank to the extent of Rs268.39 crores pursuant to the
 exemption granted by the Reserve Bank of India from application of the
 provisions of Accounting Standard 15 on Employee Benefits.
 
 Opinion
 
 7.  In our opinion, as shown by the books of the Bank and to the best
 of our information and according to the explanations given to us:
 
 i.  the Balance Sheet, read with the significant accounting policies
 and the notes thereon, is a full and fair Balance Sheet containing all
 the necessary particulars, is properly drawn up so as to exhibit a true
 and fair view of state of affairs of the Bank as at March 31, 2012 in
 conformity with accounting principles generally accepted in India;
 
 ii.  the Profit and Loss Account, read with the significant accounting
 policies and the notes thereon, shows a true balance of the profit, in
 conformity with accounting principles generally accepted in India, for
 the year covered by the account; and
 
 iii. the Cash Flow Statement gives a true and fair view of the cash
 flows for the year ended on that date.
 
 Report On Other Legal And Regulatory Requirements
 
 8.  The Balance Sheet and Profit and Loss Account have been drawn up in
 Forms ''A'' and ''B'' respectively of the Third Schedule to the Banking
 Regulation Act, 1949.
 
 9.  Subject to the limitations of the audit indicated in paragraph 1 to
 5 above and as required by the Banking Companies (Acquisition and
 Transfer of Undertakings) Act, 1970 and the limitations of disclosure
 required therein we report that:
 
 i.  We have obtained all the information and explanations which to the
 best of our knowledge and belief, were necessary for the purpose of our
 audit and have found them to be satisfactory.
 
 ii.  The transactions of the Bank, which have come to our notice, have
 been within the powers of the Bank.
 
 iii. The returns received from the offices and branches of the Bank have
 been found adequate for the purpose of our audit.
 
 10.  In our opinion, the Balance Sheet, Profit and Loss Account and
 Cash Flow Statement comply with the applicable Accounting Standards.
 
 
 M/s. George Read & Co.   M/s. D. K. Chhajer & Co.  M/s. M. Choudhury &
                                                    Co.
 
 Chartered Accountants    Chartered Accountants     Chartered Accountants
 
 FRN 302208E              FRN 304138E               FRN 302186E
 
 (CA Rajiv Panja)        (CA Abhimanyu Kumar)      (CA D. Choudhury)
 
 Partner                  Partner                   Partner
 
 Membership No. 057393    Membership No. 213872     Membership No. 052066
 
 
 M/s. M.C. Bhandari & Co. M/s. Ramesh C.          M/s Dinesh Mehta
                          Agrawal & Co.           & Co.
 
 Chartered Accountants    Chartered Accountants   Chartered Accountants
 
 FRN 303002E              FRN 001770C             FRN 000220N
 
 (CA Neeraj Jain)        (CA Manoj Agrawal)      (CA Anup Mehta)
 
 Partner                  Partner                 Partner
 
 Membership No. 064393    Membership No. 076918   Membership No. 093133
 
 Date : 05.05.2012
 
 Place : Kolkata