India State Banks Reveal Exposure in Billion-Dollar Fraud Case
- UCO Bank set for biggest fall since ’16 on disclosing exposure
- Authorities have arrested former Punjab National Bank manager
Photographer: Sanjit Das/Bloomberg
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Shares of India’s government-controlled banks fell on Monday as more lenders disclosed exposure to one of the nation’s biggest frauds.
UCO Bank tumbled 7.5 percent as of 9:26 a.m. in Mumbai -- set for the steepest plunge since September 2016 -- after it said it has exposure of $411.8 million in the nearly $2 billion bank fraud allegedly perpetrated by billionaire jeweler Nirav Modi against Punjab National Bank. PNB dropped 2.4 percent, its fourth straight day of declines.