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PNB posts consecutive quarterly loss on fraud-related provisions

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Reuters
Last Updated : Aug 07 2018 | 12:55 PM IST

(Reuters) - India's Punjab National Bank reported its second consecutive quarter of loss as the country's second-biggest state-run lender set aside more funds for a massive fraud it disclosed earlier this year.

Net loss was 9.40 billion rupees ($136.72 million) for the three months to June 30, compared with a profit of 3.43 billion rupees a year earlier, the bank said in a statement https://www.bseindia.com/xml-data/corpfiling/AttachLive/75191d4c-3345-467a-98b4-cf98b8331312.pdf.

That compared with an estimated average loss of 24.18 billion rupees based on the views of 15 analysts compiled by Thomson Reuters I/B/E/S.

PNB, the fourth-biggest bank by assets among all of India's lenders, in February said it had been defrauded by two jewellery groups which raised more than $2 billion credit overseas using fake guarantees provided by the bank's staff at a Mumbai branch.

($1 = 68.7550 Indian rupees)

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(Reporting by Chris Thomas in BengaluruEditing by Christopher Cushing)

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First Published: Aug 07 2018 | 12:48 PM IST

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