Allahabad Bank slash 3% on reporting fraud by SEL Manufacturing

Allahabad Bank shares fell 3 percent intraday on July 18 after public sector lender reported fraud by a Ludhiana-based textile company.

"Non-performing account of SEL Manufacturing with outstanding dues of around Rs 688.27 crore has also been declared as fraud and reported to RBI as per regulatory requirement," the lender said in its BSE filing.

It further said this is a fully provided non-performing account and for which National Company Law Tribunal proceedings are in progress.

Last week, the bank had also reported a fraud of over Rs 1,775 crore by Bhushan Power and Steel Ltd. For which, the lender already made provisions amounting to around Rs 900.20 crore against the exposure.