UCO Bank, other lenders' shares fall 4% on KFA debt woes

Shares of many banks, having exposure to the grounded Kingfisher Airlines, today fell by up to 4 per cent amid continuing uncertainty over the recovery of loans following Vijay Mallya leaving the country.
SBI fell by 1.53 per cent and PNB was down 1.21 per cent on the BSE.
Shares of UCO Bank plunged 4.16 per cent, IDBI Bank dipped 3.01 per cent and Bank of Baroda slipped 2.55 per cent.
The Attorney General had yesterday informed the Supreme Court that Vijay Mallya left the country a week ago.
SBI leads the consortium of 17 banks that lent money to the Mallya's Kingfisher Airlines, which was grounded in 2012. SBI had an exposure of over Rs 1,600 crore to the now defunct airline. Since January 2012, the loan was not serviced.

Other lenders include Punjab National Bank, Bank of Baroda, Canara Bank, Bank of India, Central Bank of India, Federal Bank, UCO Bank and Dena Bank among others.
"There have been clear instructions that every possible action should be pursued" to recover the money from Mallya who owes Rs 9,091 crore to a consortium of banks led by SBI as of November 2015, Finance Minister Arun Jaitley told the Lok Sabha today.