India’s largest public sector Punjab National Bank (PNB) on Thursday declared its ₹3,688.58 crore exposure to mortgage Dewan Housing Finance Ltd (DHFL) as fraud.
This is the Fourth scam in three years, Other banks such as State Bank and Union Bank have also reported (DHFL) accounts as fraudulent.
Punjab National Bank (PNB) shares fell down as much as 7 per cent to hit intraday low of Rs 34.60 after the current problem of reported Rs 3,689 crore loan permitted to Dewan Housing Finance Limited (DHFL) as fraud to the Reserve Bank of India.
The bank has been already made provisions amounting to Rs 1,246.58 crore, as per prudential norms,” PNB said in a stock exchange filing.
Government agencies started investigating DHFL’s promoters and its loan book to determine the extent of any fraud happened.