Banking scam: 21 PSBs lost Rs 25,775 crore in 2017-18, says RBI in RTI reply

More stunning revelations of banking frauds are pouring in after the Rs 14,000-crore Punjab National Bank (PNB) fraud case came to light on January 16 this year. A Right to Information (RTI) reply has revealed that 21 public sector banks (PSBs) have incurred of Rs 25,775 crore losses due to banking frauds in the financial year 2017-18.
 
Scam-hit PNB had incurred Rs 6461.13 crore lost, which is the highest among the banks, due to different cases of fraud during the financial year. The RTI was filed by Chandrasekhar Gaud with the Reserve Bank of India. According to a PTI report, the reply was sent to him on May 15. However, the reply did not specify details of any particular case of banking fraud.
 
During this period, the State Bank of India had incurred losses of Rs 2390.75 crore, the Bank of India had suffered a loss of Rs 2,224.86 crore, Bank of Baroda suffered a loss of Rs 1,928.25 crore, Allahabad Bank's loss was at Rs 1,520.37 crore. Andhra Bank and UCO Bank suffered Rs 1,303.30 crore and Rs 1,224.64 crore, respectively, the RTI reply stated. The RTI reply also revealed that other banks too have incurred losses in this period. IDBI Bank suffered a loss of Rs 1,116.53 crore, Union Bank of India lost Rs 1,095.84 crore, Central Bank of India lost Rs 1,084.50 crore, Bank of Maharashtra's loss was at Rs 1,029.23 crore and Indian Overseas Bank suffered a loss of Rs 1,015.79 crore.

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The PNB case, involving Nirav Modi and Mehul Choksi and PNB officials, is the biggest known banking fraud case in recent years. The scam is being investigated by the various investigation agencies including the Central Bureau of Investigation.
 
In the latest update, the ED is set to move a Mumbai special court to seek permission for the confiscation of about Rs 7,000 crore assets of Nirav Modi.