SBI hits 52-week low; down 22% in two months

State Bank of India (SBI) hit a 52-week low of Rs 240.65, down 3% on the National Stock Exchange (NSE), falling below its previous low of Rs 241.15 touched on October 26, 2017 in intra-day trade.

In past three months, SBI has underperformed the market by falling 22% as compared to 7% decline in the Nifty 50 index.
At 03:04 pm; the stock was trading 2.7% lower at Rs 241, against 0.32% decline in the benchmark index. It was the Nifty PSU Bank and Nifty Bank index.

According to PTI report, the Central Bureau of Investigation (CBI) has registered a case on a complaint from state-owned bank major of alleged loan fraud of Rs 8.24 billion committed by Chennai-based Kanishk Gold Pvt Ltd.

The SBI alleged that the "fraud" is to the tune of Rs 8.24 billion, but the security available with it to cover the "loss" is only around Rs 1.56 billion, the PTI report suggested.

Kanishk Gold Pvt Ltd engaged in manufacturing gold jewellery which was marketed under the brand name 'Krizz' which were sold through distributors till 2014. But in 2015 it changed its business model to B2B (business-to-business) and started supplying to large retail jewellers, the SBI said in the complaint to the CBI.

The loan accounts of the company were taken over by the SBI from the ICICI in 2008, while it’s banking arrangement was converted into a multiple banking system in March 2011, it said. CLICK HERE TO READ FULL REPORT

ICICI Bank was trading 2% lower at Rs 283 after hitting a low of Rs 281 on the NSE in intra-day trade today.


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