Fortis to hire external legal firm to probe fund diversion

Fortis Healthcare, which on Thursday reported a consolidated net loss of Rs 19.10 crore for the December 2017 quarter against a profit of Rs 453.29 crore in the year-ago period, said it will hire an external legal firm to probe into alleged siphoning of cash by the firm's promoters, Malvinder Singh and Shivinder Singh.

The duo, who last month resigned from the company’s board, are alleged to have taken Rs 473 crore out of the company without board approval. This happened about a year ago.

Fraud-hit PNB, SBI, ICICI hike lending rates

After a series of frauds running into thousands of crores of rupees, banks, including the Punjab National Bank, delivered another shock to customers on Thursday. Top lenders SBI, PNB and ICICI Bank hiked their lending rates, increasing your EMI on home and auto loans. Other lenders are also set to follow suit.

PNB fallout: PSBs to close 35 foreign branches

In a bid to optimise resources at foreign operations of state-owned lenders, the government has ordered shutting down 35 overseas branches of public sector banks (PSBs).

Another 69 international branches of PSBs and their subsidiaries and joint ventures are being examined for closure.

Equity MFs get over $1 billion in Jan via SIP

Despite volatility in the market, domestic investors are pouring in money into equity mutual funds through the SIP route with over $1 billion coming in January alone. The domestic asset management industry, which has seen a 4.8 per cent or Rs 1.03 lakh crore growth in assets to Rs 22.41 Lakh crore in January, signed up a million SIP accounts. It is estimated that the average ticket size of SIP is about Rs 3,000.

Interest rates begin to harden

The State Bank of India (SBI), the country’s largest lender, on Wednesday hiked retail deposit rates by 10-50 basis points across various maturity baskets, a move that is likely to be followed by other banks. 

Recurring frauds can be traced to banks flouting RBI norms consistently

Lenders flouting RBI restrictions are at the centre of all bank scams. The same applies to the most recent Rs 12,000-crore fraud at the Punjab National Bank (PNB) by diamantaire Nirav Modi as well.

As per extant RBI guidelines, banks can extend gold loans to jewellery exporters, who are customers of other scheduled commercial banks, by accepting a stand-by letter of credit or bank guarantee issued by their bankers in favour of the nominated banks. This is subject to authorised banks’ own norms for lending and other conditions stipulated by the Reserve Bank of India (RBI).

PSU bank stocks come tumbling down, PNB crashes below Rs 100

Public sector banking stocks came under fresh pressure, as more negative news on the mega banking fraud stumbled out, hitting investor sentiments.

PSU banking stocks dragged down the market on Tuesday. The Punjab National Bank (PNB) stock took the biggest hit, losing  12 per cent of its value and ended at a 20- month low of Rs 98.35. The Nifty PSU Bank Index closed 3.49 per cent lower.

Public sector banking stocks have been facing severe selling pressure ever since the PNB scam was revealed. The Nifty PSU Bank Index has lost 15.73 per cent over the past month.

Govt springs into action to pre-empt bank frauds

Startled by the nearly $2 billion dollar fraud at the country’s second largest lender Punjab National Bank (PNB), the finance ministry on Tuesday took a proactive action to check similar future risks. The department of financial services set a 15-day deadline for state-owned banks to take pre-emptive action against operational and technical risks. It also asked all public sector banks to examine bad loan accounts of over Rs 50 crore for possible cheating.

Finally bank credit growth moves into double-digits in Q2

After five quarters of low growth, bank credit resumed double-digit growth at 10.7 per cent in the quarter to December, led by private sector banks, according to the latest RBI data.

In the September quarter, bank credit had grown at 6.5 per cent while in the June quarter, it was up by 8 per cent.

"Bank credit revived across all population groups and resumed double-digit growth after five quarters. The recovery was led by private sector banks and supported by public sector banks," RBI said in its quarterly statistics on deposits and credit today.

The importance of being Sridevi

Sridevi died of accidental drowning in her hotel bath tub after losing consciousness, the Dubai government said on Monday, giving a dramatic twist to her sudden death that has stunned legions of fans and industry colleagues. The Dubai government said in a tweet that the police have transferred the case to the “Dubai Public Prosecution” which will carry out regular legal procedures followed in such cases.