PNB Reports ₹2,434 Crore Fraud Linked to Erstwhile SREI Promoters

Punjab National Bank has reported a ₹2,434 crore borrowal fraud to the RBI, involving former promoters of SREI Equipment Finance and SREI Infrastructure Finance. The bank has made 100% provisions for the amount, and the SREI entities have undergone NCLT resolution.

• PNB reported ₹2,434 crore borrowal fraud to the Reserve Bank of India (RBI).
• The fraud is linked to the erstwhile promoters of SREI Equipment Finance (SEFL) and SREI Infrastructure Finance (SIFL).
• PNB has made 100% provisioning for the entire outstanding amount.
• SREI entities were successfully resolved under the NCLT's Corporate Insolvency Resolution Process (CIRP).
• Individual fraud amounts were ₹1,240.94 crore for SEFL and ₹1,193.06 crore for SIFL.
• The RBI had superseded SREI boards in October 2021 due to governance and repayment issues.

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