The National Bank of the Punjab said it detected a loan fraud worth Rs 1,203 crore by Sintex Industries
New Delhi:
The Punjab National Bank (PNB) has reported a new loan fraud worth Rs 1,203 crore by ailing Ahmedabad-based company Sintex Industries Ltd, whose debt restructuring plan was rejected by lenders in December of last year.
In a regulatory filing on Wednesday, the government-owned PNB said it had planned a provision of 215.21 crore rupees, which is required by law, after detecting fraud at its corporate bank branch. in Ahmedabad.
“Report of loan fraud of Rs 1,203.26 crore in M / s Sintex Industries Ltd (SIL) NPA account at big branch of Ahmedabad, area office, Ahmedabad,” PNB said in the regulatory file .
Sintex Industries Ltd, which manufactures textiles and yarns, belongs to the Sintex group which manufactures plastic water tanks and is almost a household name in India. The Sintex group is owned by Sintex Plastics Technology Ltd, which split from Sintex Industries in 2017.
The country’s banks are trying to collect money from delinquent borrowers amid a protracted credit crunch, the coronavirus crisis and slowing economic growth.
