ICICI Bank slumps over 11% in six sessions

ICICI Bank fell 1.58% to Rs 290.45 at 10:29 IST on BSE, extending losses for the sixth straight session.

Meanwhile, the S&P BSE Sensex was down 51.03 points, or 0.15% to 33,266.17.

On the BSE, 4.93 lakh shares were traded in the counter so far compared with average daily volumes of 19.01 lakh shares in the past two weeks. The stock had hit a high of Rs 294 and a low of Rs 285.30 so far during the day. The stock hit a record high of Rs 365.65 on 29 January 2018. The stock hit a 52-week low of Rs 240.70 on 23 March 2017.

Shares of ICICI Bank have fallen 11.18% in six trading sessions to its current market price of Rs 290.45, from a close of Rs 327 on 26 February 2018.

With reference to a news item titled, "ICICI's Chanda Kochhar, Axis Bank's Shikha Sharma summoned by SFIO in PNB scam case," ICICI Bank issued a clarification after trading hours yesterday, 6 March 2018.

ICICI Bank drew reference to its earlier letter dated 28 February 2018, through which it had informed that the bank routinely and regularly cooperates with regulatory authorities who require information during their investigation. To aid the investigating authorities, representatives of ICICI Bank continue to engage actively and provide requisite inputs as routinely done in the case of all investigating authorities who approach the bank.

The bank clarified that the above news item will not have any material impact on the bank or trigger any reporting under Regulation 30 of the SEBI Listing Regulations owing to the fact that the bank has no exposure to the Nirav Modi group of companies, nor it has issued any Letter of Undertaking (LOUs); nor has any buyer's credit exposure against LOUs with respect to the Nirav Modi group of companies as well as the Gitanjali group of companies. The bank is a part of the working capital lender consortium in the Gitanjali group of companies along with several other banks wherein its exposure is not the largest.

Last month, state-run Punjab National Bank (PNB) uncovered fraudulent transactions worth nearly $2 billion from one of its Mumbai branches. The branch staff had given unauthorised, improperly logged letters of understanding to a few select account holders who then used the fake documents to obtain advances abroad from the foreign branches of other Indian banks. Nirav Modi, a diamantaire whose eponymous luxury boutiques span the globe; his uncle Mehul Choksi, owner of Gitanjali Gems, a publicly listed jewellery company; and a third company Chandri Allied Paper & Allied Products, which makes waxes, oil and lubricants, were named alleged beneficiary of the unauthorised transactions.

According to media reports, investigators widened their probe on Tuesday, 6 March 2018, with the government's Serious Fraud Investigation Office (SFIO) beginning to call senior executives from Gitanjali's creditor banks for questioning over their loan exposure.

ICICI Bank reported 32.4% slide in net profit to Rs 1650.24 crore on 4.1% fall in total income to Rs 16832.22 crore in Q3 December 2017 over Q3 December 2016.

ICICI Bank is one of the leading private sector banks in India.

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