Punjab Nationwide Financial institution (PNB) has reported a brand new borrowing fraud value Rs 1,203 crore by the troubled Ahmedabad-based Sintex Industries Ltd, whose debt-restructuring plan was rejected by lenders in December final yr.
In a regulatory submitting on Wednesday, the government-owned PNB stated it has made a provision of Rs 215.21 crore, which is required by regulation, after it detected the fraud at its company banking department in Ahmedabad.
“Reporting of borrowal fraud of Rs 1203.26 crore in NPA account of M/s Sintex Industries Ltd (SIL) at Giant Company Department at Ahmedabad, Zonal Workplace, Ahmedabad,” PNB stated within the regulatory submitting.
Sintex Industries Ltd, which makes textiles and yarn, belongs to Sintex group that makes plastic water tanks and is sort of a family identify in India. Sintex group is owned by Sintex Plastics Expertise Ltd that demerged from Sintex Industries in 2017.
Banks within the nation have been attempting to recuperate cash from delinquent debtors amid a protracted credit score crunch, the coronavirus disaster and weakening financial development.