PNB scam: Bank to focus on internal audits, recovery, small depositors

Bank outlines multi-pronged strategy to strengthen internal controls in its EGM held on Friday

Punjab National Bank (PNB) has decided to increase the number of internal audits and increase focus on recovery of bad debts in the aftermath of the Rs 129 billion scam that hit the bank earlier this year.

The decisions were taken in an extraordinary general meeting held by PNB's top management on Friday to approve giving a matching portion to the government through preferential shares as a part of government's bank recapitalisation process. Government will infuse Rs 54.7 billion in PNB in 2017-18 through recapitalisation bonds after which the government's stake in the bank will increase to 62.2 per cent from