INSUBCONTINENT EXCLUSIVE:
UCOBank reported a divergence in provisions for FY 19 at Rs 1390 crore.Within days of market regulator asking the listed PSU banks to report
and more could follow suit.SBI had on Thursday directed all listed lenders to make disclosures on divergences and provisioning within a day
of receipt of the RBI's final risk assessment report (RAR).Indian Bank in a disclosure to BSE said "in compliance to Regulation 30 of SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015 and SEBI circular of 31.10.2019, we enclose the report of divergence in
asset classification and provisioning for NPAs as per Risk Assessment Report (RAR) of RBI for the year 2018-19."The Gross NPAs as on March,
2019 as reported by Indian Bank was Rs 13,353 crore while RBI assessed it as Rs 13,537 crore leading to a divergence of Rs 184 crore
There was divergence in Net NPA also but it was higher reported by the bank at RS 6,793 crore while RBI estimated it as Rs 5,973 crore
resulting in a higher net NPA of Rs 820 crore by the Bank on books.There was provisioning divergence naturally where RBI said provisioning
is Rs 7,135 crore will bank put Rs 6,131 crore resulting in divergence of Rs 1,004 crore
Divergence in provisioning led to adjusted notional net loss for the the year ended March 31, 2019 is now at Rs 333 crore as per RBI against
Its gross NPA divergence at Rs 1,217 crore and Net NPA divergence at Rs 165 crore where the bank has estimated higher net NPA than RBI
There was naturally divergence in provisions for FY 19 at Rs 1,390 crore.The fiscal 2019 actual loss was Rs 4,321 crore by Bank estimates
while with changes in provisioning the loss came to Rs 5,225 crore as per RBI
Union Bank of India has too reported a divergence in the reporting of net NPAs at Rs 998.70 crore for FY19
Its divergence in the reporting of gross NPAs stood at Rs 589 crore.Private sector Lakshmi Vilas Bank (LVB) has also reported its net NPA
divergence to the tune of Rs 54.9 crore in the last fiscal.Get Breaking news, live coverage, and Latest News from India and around the world
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