Indian Bank declares NPAs worth Rs 25 crore as fraud; shares gain

Public sector lender Indian Bank shares gained 1.7 percent in early trade on October 16 after the bank declared non-performing assets (NPAs) worth Rs 24.76 crore as frauds and reported it to the RBI. The NPAs include Rs 16.20 crore from Samsarapu Polaraju, Samsarapu Narasimha Raju, and Maheswari Constructions & Engineering Works, who have submitted fake documents and diverted funds. Further, the bank reported NPAs worth Rs 8.56 crore from S V Exports due to diversion of funds.

As of 10.35 a.m., shares of Indian Bank were trading at Rs 423.70 on the NSE, higher by 1.27 percent.

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On October 13, Indian Bank said it has partnered with subsidiaries of Tata Motors to offer inventory financing solutions through its digital supply-chain finance platform. As part of the collaboration with Tata Motors Passenger Vehicles Ltd and Tata Passenger Electric Mobility Ltd, Indian Bank would offer inventory financing solutions to authorised dealers for the electric and passenger vehicles division.

Indian Bank stock price movement, shareholding pattern

Nifty 50’s one-year run came in at 16.1 percent while Indian Bank jumped 107.24 percent in the same time period. Over the past six months, the share price has risen 36.88 percent. The counter sees average volatility as indicated by the one-year beta of 1.04. Indian Bank shares are neither in the overbought nor oversold territory; the RSI is at 52.8.

The promoters maintained a stake of 79.9 percent over quarters. FIIs and DIIs owned 4.3 percent and 11.8 percent, respectively, while the public had a stake of 4.1 percent as of the June quarter shareholding data.

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