IDFC First Bank News: Amid a massive sell-off in the IDFC First Bank Shares post the private sector lender reported a Rs 590 crore fraud at a branch in Chandigarh, the Reserve Bank of India (RBI) said that it has a close watch on the development.
At a press briefing after the customary post-budget address by Finance Minister Nirmala Sitharaman to the Central Board of Directors of the Reserve Bank of India (RBI), the central bank governor, Sanjay Malhotra, said that RBI is watching the development around the Rs 590 crore fraud at IDFC First Bank, and there is no systemic issue.
"We are watching the development; there is no systemic issue," the Governor said.
On Sunday, IDFC First Bank reported that some employees and others at a specific branch in Chandigarh defrauded the Haryana government of Rs 590 crore.
According to the bank, the fraud was “limited to a specific group of government accounts of the Haryana government maintained at that branch in Chandigarh” and stressed that it did not extend to other customers of the Chandigarh branch.
IDFC First Bank Share Price
The IDFC First Bank Shares reacted sharply to the development, plunging nearly 20 per cent in the intraday trade despite buying interest in banking stocks.
Also Read: IDFC First Bank Share Price Plunges Up To 20% On Rs 590 Crore Fraud Reports
At the time of writing, the IDFC Bank shares were trading at Rs 70.28, down Rs 13.23 or 15.84 per cent on NSE. During the sesion it hit an intraday low at Rs 66.80, down around 20 per cent as compared to last session's closing of Rs 83.51.
Meanwhile, its 52-week high and low values stood at Rs 87 and 52.46, respectively.
(With Inputs From PTI)
Disclaimer: This story is for informational purposes only. It should not be considered as investment advice.