Gold Silver Reports (GSR) – UCO Bank Set For Biggest Drop Since 2003 – Shares of the Kolkata-based bank fell as much as 18 percent before trading down about 8 percent as of 11:10 a.m. in Mumbai on Monday. The 10-member Bankex index was little changed.
The Central Bureau of Investigation registered a case against Arun Kaul, a former chairman of UCO Bank, and some others for cheating the lender of about 6.21 billion rupees ($95 million), according to a text message from a CBI spokesman Saturday. The bank had reported losses for nine straight quarters through Dec. 31 as it had to make provisions for soured debt that remains higher than the banking system’s average.
UCO Bank headed for its biggest drop since 2003 after India’s federal investigative agency registered a case against UCO’s former chairman for cheating the state-run lender.
Read More: UCO Bank Slumps As Ex-Chairman, Others Charged In Fraud
A call to UCO Bank’s corporate headquarters wasn’t immediately answered on Monday. Kaul couldn’t be reached when tried on his mobile phone. – Neal Bhai Reports (NBR) INDIA
