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Karnataka Bank reports over Rs 285-cr fraud in four loan accounts

News Network
June 6, 2020

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.

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Agencies
February 13,2020

Dubai, Feb 13: An Indian expatriate found to be infected with coronavirus in the UAE on February 10 is in a stable condition, the Indian Embassy told Gulf News.

“The Indian is a 36-year-old male,” an embassy official said, adding “he a resident of the UAE”.

However, the official did not say if the man had any travel history to China and also refused to divulge which state he hailed from.

On February 10, the Ministry of Health said the Indian national was found infected with coronavirus in the latest such case in the UAE. “The Indian national had interacted with a recently diagnosed person,” the ministry had said in a statement.

"All reported cases are in stable condition, except for one case, who is being put under close observation by a team of senior consultants at the Intensive Care Unit," added the statement.

The man is among the eight cases of coronavirus detected in the UAE so far. Others include six Chinese nationals and one from Philippines.

Earlier this week, the UAE announced that one of the infected patients, a 73-year-old Chinese national, Liu Yujia, had recovered.

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coastaldigest.com news network
June 28,2020

Bengaluru, Jun 28: Karnataka Minister for Medical Education Dr K Sudhakar faced criticism by netizens after he shared a TikTok video sent by his daughter and wife, who are currently undergoing treatment in a COVID-19 facility.

TikTok is a Chinese video-sharing social networking service owned by ByteDance, a Beijing-based internet technology company founded in 2012 by Zhang Yiming.

Dr Sudhakar’s father, his wife and daughter who tested positive for Covid-19 has been admitted to a designated facility and in order to make his birthday memorable, his daughter sent him greetings through TikTok video.

When the minister shared the TikTok video, people pointed out that the minister should know better and that he should urge his family to boycott the Chinese video-sharing platform and lead by example.

Many were miffed that a BJP leader put up a TikTok video at a time when tensions are running high between India and China along the Line of Actual Control (LAC) in eastern Ladakh.

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coastaldigest.com web desk
June 5,2020

Mangaluru, June 5: A local businessman was hacked to death while two of his relatives suffered critical injuries in a broad daylight attack by a group of miscreants at Mulki on the outskirts of the city today.

The victim has been identified as Abdul Lateef (38). He was proprieter of Align Gold, Moodbidri. His wife is an advocate in Moodbidri. 

Abdul Lateef's father-in-law Muneer and latter's son Hayat suffered stab injuries. They are undergoing treatment at a hospital in Mangaluru. 

The attack took place near the Vijaya Bank in Mulki. 

According to sources, a gang of miscreants stabbed all three. While Abudl Lateef succumbed to his injuries, the other two are responding to the treatment. 

Police have registered a case. Investigations are on. 

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