Money & Banking

Indian Bank reports ₹266.73 crore worth of fraud to RBI

Mumbai | Updated on October 31, 2021

Nature of fraud for all three accounts has been specified as “Diversion of funds”

Public sector lender Indian Bank has reported ₹266.73 crore worth of fraud to the Reserve Bank of India (RBI), it said in a regulatory filing on Saturday.

The bank has reported three non-performing accounts as fraudulent.

It detailed the Non Performing Accounts (NPAs) as that have been declared as fraud and reported to RBI as per regulatory requirements, it said in the filing.

The nature of fraud for all three accounts has been specified as "Diversion of funds."

The lender has declared M P Border Checkpost Development Co Ltd as fraud with an outstanding of ₹166.89 crore, Pune Sholapur Road Development with the amount involved totaling ₹72.76 crore and M/s SONAC with an amount of ₹27.08 crore.

The bank further specified that as on September 30, 2021, it has held provisions worth ₹12.58 crore against SONAC.

In the case of M P Border Checkpost Development Co and Pune Sholapur Road Development, the provisions held were equal to the entire exposure, respectively.

Published on October 31, 2021

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