New Delhi: The Karnataka Bank revealed on Saturday that it has reported to the Reserve Bank of India about a fraud amounting to Rs 13.26 crore in the fund-based working capital facility extended to SRS Finance Ltd.
As per reports, the fraud was on account of “diversion of funds”, the bank said in a filing to the Bombay Stock Exchange (BSE).
The lender extended the working capital facility under multiple banking arrangement and necessary accounting treatment has already been given as per the extant RBI guidelines, it added.
Earlier, the RBI had imposed a fine of Rs 4 crore on Karnataka Bank for delayed implementation of four of the Swift related operational controls. Swift is the global messaging software used for transactions by the financial entities.
Also Read: Rupee Appreciates 6 Paise To 68.57 Against US $ In Early Trade
Ms Kalinga