Centurion Bank may end up eroding its net worth by posting a huge net loss. The bank will announce its financial results for 2001-2002 on September 28.
According to sources in the bank, the institution will need to make massive provisioning on account of non-performing assets and the net loss can be as high as Rs 250 crore. Centurion Bank chairman V Janakiraman declined to comment on the matter.
Deloitte Haskins and Sells, appointed by Andhra Bank for the valuation of Centurion Bank, is believed to have indicated a provisioning requirement of over Rs 250 crore, in its draft report. Janakiraman is in a massive clean-up drive in the run-up to the bank