NPA account of Saravana Stores declared as fraud: Indian Bank

Indian Bank on Wednesday said it had declared the NPA account of Saravana Stores with an outstanding balance of ₹231 crore as ‘fraud’.

“We have to inform that non-performing account [NPA] Saravana Stores [Gold Palace] has been declared as fraud and reported to RBI as per regulatory requirement,” Indian Bank said in a regulatory filing.

The nature of the fraud is in the form of diversion of funds, the public sector lender said, adding that the outstanding balance on Saravana Stores stood at ₹230.74 crore.

The bank has held provision to the tune of ₹115.32 crore against this as of December 31, 2020, it said.

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Printable version | Jun 13, 2021 11:58:02 PM |

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