Bank of Baroda slips as govt orders forensic probe into bank's irregularities

Bank of Baroda fell 0.81% to Rs 172.35 at 14:28 IST on BSE, with the stock extending Wednesday's slide triggered by government ordering a forensic probe into the alleged irregularities from the bank's Ashok Vihar branch.

Meanwhile, the S&P BSE Sensex was down 112.47 points or 0.43% at 26,005.38.

On BSE, so far 1.63 lakh shares were traded in the counter as against average daily volume of 7.50 lakh shares in the past one quarter.

The stock was volatile. The stock fell as much as 2.1% at the day's low of Rs 170.10 so far during the day. The stock fell 0.25% at the day's high of Rs 173.30 so far during the day. The stock had hit a 52-week low of Rs 137.50 on 29 June 2015. The stock had hit a record high of Rs 228.90 on 23 January 2015.

The stock had outperformed the market over the past one month till 2 November 2015, advancing 7.39% compared with Sensex's 1.66% fall. The scrip had, however, underperformed the market in past one quarter, gaining 2.45% as against Sensex's 2.61% rise.

The large-cap state-run bank has equity capital of Rs 460.83 crore. Face value per share is Rs 2.

Shares of Bank of Baroda (BoB) have fallen 2.84% in two trading sessions from Rs 177.40 on 1 December 2015, after Finance Minister Arun Jaitley in a written reply in Rajya Sabha on Tuesday, 1 December 2015, said that a forensic probe has been ordered into the alleged irregularities in outward foreign remittances to the tune of about Rs 6000 crore from BoB's Ashok Vihar branch. The stock had fallen 2.06% to settle at Rs 173.75 yesterday, 2 December 2015.

Finance Minister Arun Jaitley said that the Central Bureau of Investigation (CBI) and Enforcement Directorate (ED) have registered cases on the basis of complaint filed by BoB regarding irregularities in outward foreign remittances from its Ashok Vihar branch, New Delhi through newly opened accounts, to the tune of about Rs 6000 crore. He also said Ministry of Corporate Affairs has ordered investigation in respect of 11 companies involved in the transaction.

Bank of Baroda's net profit declined 88.7% to Rs 124.48 crore on 4.1% growth in total income to Rs 12300.40 crore in Q2 September 2015 over Q2 September 2014.

Government of India held 59.24% stake in Bank of Baroda (as per the shareholding pattern as on 30 September 2015).

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