UCO Bank plunges 14% after CBI books former CMD in Rs 6.21 billion fraud

The stock plunged 14% to Rs 19.15 on the BSE, its lowest level since September 7, 2006

UCO Bank plunged 14% to Rs 19.15 on the BSE in early morning trade after the media report suggested that the  Central Bureau of Investigation (CBI) has booked former chairman-cum-managing director of the bank’s Arun Kaul and others in connection with an alleged Rs 6.21 billion loan fraud.

The stock was trading at its lowest level since September 7, 2006. It touched an all-time low of Rs 14.30 on July 19, 2006 on the BSE in intra-day trade.

Besides Kaul, the CBI booked Era Engineering Infra India Ltd. (EEIL), its CMD Hem Singh Bharana, two chartered accountants --