Punjab & Sind Bank reports Rs 76 crore fraud by Saptarishi Hotels

Government-owned Punjab & Sind Bank said on Saturday it will soon approach the Central Bureau of Investigation (CBI) to conduct a probe against Hyderabad-based Saptarishi Hotels for committing fraud involving Rs 76.58 crore.

New Delhi [India], Apr 4 : Government-owned Punjab & Sind Bank said on Saturday it will soon approach the Central Bureau of Investigation (CBI) to conduct a probe against Hyderabad-based Saptarishi Hotels for committing fraud involving Rs 76.58 crore.

"It is informed that a non-performing asset (NPA) account namely Saptarishi Hotels Pvt Ltd with amount outstanding as on date of NPA that is April 30, 2016 of Rs 76.58 crore has been declared as fraud and reported to RBI as per regulatory requirement," it said in filings at stock exchanges.

"The bank is in the process of filing of complaint and first information report (FIR) with the CBI. This is in compliance with the regulation 30 of SEBI (LODR) Regulations 2015," it added.

Saptarishi Hotels operates public hotels and motels and offers accommodations, lodging, bar and dining services.

Punjab & Sind Bank has been hit by a series of such cases. In July last year, it reported a Rs 238.3 crore fraud relating to allegations of diversion of funds by the indebted Bhushan Power & Steel Ltd (BPSL).

( With inputs from ANI )