Hubballi's businessman buys Mallya's 2 luxury cars for mere Rs 1.58 lakh

Jun 6: Private sector lender Karnataka Bank has reported to the RBI that it has been defrauded of over Rs 285 crore consequent to loans gone bad to four entities including DHFL.

A total of Rs 285.52 crore has been reported as fraud wherein the bank was one of the consortium lenders during 2009 to 2014 to Dewan Housing Finance Corporation Ltd (DHFL), Religare Finvest, Fedders Electric and Engineering Ltd and Leel Electricals Ltd, Karnataka Bank said in a regulatory filing on Friday.

The maximum is owed by DHFL at Rs 180.13 crore, followed by Religare Finvest Rs 43.44 crore, Fedders Electric Rs 41.30 crore and Leel Electricals Rs 20.65 crore.

"DHFL (defaulted entity) dealing with us since 2014 had availed various credit facilities under consortium arrangement wherein, we were one of the member banks. In view of Early Warning Signals (EWS) in the conduct of the account and other developments, the account was red flagged on November 11, 2019.

"The borrowing account was classified as Non-Performing Asset on October 30, 2019 and now, for misappropriation & criminal breach of trust & diversion of funds in the credit facilities extended earlier to the company, a fraud amounting Rs 180.13 crore has been reported to RBI," Karnataka Bank said.

Likewise, Religare Finvest Ltd (RFL) was dealing with the bank since 2014, availing various credit facilities.

Following classification of this account as non-performing in October 2019 by a consortium member, Karnataka Bank reported to RBI a fraud amounting to Rs 43.44 crore in the credit facilities extended earlier, on account of diversion of funds.

Leel Electricals was classified as NPA account in March 2019 and it reported to RBI a fraud amounting to Rs 20.65 crore in the credit facilities to the company on account of diversion of funds.

"In all the referred three non-performing accounts, necessary provisions have been made in full to be spread across four quarters," it said.

Fedders Electric and Engineering Limited was reported as NPA in July 2018 by a member bank in consortium, subsequent to which Karnataka Bank reported fraud of Rs 41.30 crore on account of fund diversion.

The account has already been fully provided for, it added.

Bengaluru, Ju 2 As many as 19 deaths and 1,502 new COVID-19 cases were reported in Karnataka till 5 pm on Thursday, as per information provided by the State Health Department.

The total number of COVID-19 cases in the state now stands at 18,016, including 9,406 active cases.

While 8,334 patients have been discharged after treatment, 272 people have succumbed to the virus.

India's COVID-19 tally breached the 6 lakh cases mark with 19,148 new coronavirus cases being reported in the last 24 hours, informed the Union Ministry of Health and Family Welfare on Thursday.

The total cases now stand at 6,04,641 of which there are 2,26,947 active cases while 3,59,860 patients have been cured/discharged/migrated. 434 deaths have been reported in the last 24 hours taking the number of COVID-19 deaths in the country to 17,834.

Udupi, May 12: The Coastal Bus Owner’s Association members have approached Deputy Commissioner to permit them to run bus service in the District.

Nearly 80 buses coming under the Coastal Bus Association and they are prepared to run the buses as per the guidelines set by the government. They have also requested RTO officials for permission to operate and are awaiting approval. If the bus service starts operating, many workers like drivers, conductors, cleaners, mechanics will get employment.

Coastal Bus Owners Association President Raghavendra Bhat said that the bus owners must provide services to the public as per regulations set by Deputy Commissioner.