IDBI Bank Ltd said on Tuesday fraudulent loans of 7.72 billion rupees ($118.8 million) were issued from five of its branches in Andhra Pradesh and Telangana, sending its shares lower on Wednesday. Also read IDBI Bank to auction Loop mobile's Mahim propertyThe Central Bureau of Investigation (CBI), has registered cases for two of the five complaints, relating to branches at Basheerbagh and Guntur, the company said. Meanwhile, weak state-run banks like Indian Overseas Bank, IDBI Bank, Bank of India and Union Bank of India are in for regulatory action if the tightened prompt corrective action (PCA) is implemented properly, warns S&P in a report. Meanwhile, IDBI Bank has said it has strengthened its internal audit system by initiating a quality assurance audit to make it fall in line with "best practices". Assessing compliance to standards for professional practice of internal audit will also be part of the enhanced system.

Source: dna March 28, 2018 08:06 UTC