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PNB loses m-cap worth Rs 87.31-bn after shares slump for third session

In the last three trading sessions, the company m-cap saw a total erosion of Rs 8,731.5 crore. This is more than 6-times of the company's full-year net profit of Rs 1,324 crore recorded in FY 2016-17

Press Trust of India  |  New Delhi 

Nirav Modi scam at PNB
Madhya Pradesh Youth Congress activists raise anti-government slogans after the Punjab National Bank fraud scam, in Bhopal | Photo: PTI

(PNB) has lost market capitalisation (m-cap) worth Rs 87.31 billion after shares of the company slumped for the third straight session following the detection of a Rs 11,400-crore fraud.

At the end of today's trading session, the shares of the company fell 2.10 per cent to Rs 125.65 apiece. The stock had slumped 6.03 per cent intraday to its 52-week low of Rs 120.60.

Following the downtrend, m-cap of the company slumped by Rs 6.5 billion to Rs 304.7 billion.

In the last three trading sessions, the company m-cap saw a total erosion of Rs 8,731.5 crore. This is more than 6-times of the company's full-year net profit of Rs 1,324 crore recorded in FY 2016-17.

The quantum of fraud itself is more than 8-times the bank's annual profit.

The stock hit its 52-week low on both BSE and NSE today.

Meanwhile, shares of Housing settled in the positive territory at Rs 1,210.00 up 0.92 per cent. The stock had slipped 2.25 per cent to a low of Rs 1,172 during the session.

On Wednesday, said it has detected a fraud, in which allegedly acquired fraudulent letters of undertaking (LoUs) from one its branches for overseas credit from other Indian lenders, and is being probed by and among other agencies.

has already suspended 10 officers and referred the matter to for investigation.

Today, PNB said it has suspended eight more officials, including one at for their suspected involvement in the multi-crore scam.

First Published: Fri, February 16 2018. 18:16 IST
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