BoB, UBI have direct exposure

The Bank of Baroda (BoB), on Friday, said it did not discount any letters of undertaking for companies involved in the fraud. However, BoB does have a direct exposure of Rs 4.5 billion to these companies. “I don’t think loan exposure to Nirav Modi firms, Gitanjali Gems is in excess of 425-450 crore. And there are collaterals as well available to us,” MD and CEO of BoB PS Jayakumar said.

Union Bank said it has an exposure of $300 million, or around Rs 1,915 crore, to the PNB fraud, but stressed its money is safe and that it will recover it. “We wish to inform you that the bank through our foreign branches has been taking exposure with PNB as counterparty under various LoU issued through authenticated SWIFT message,” UBI said.

The State Bank of India (SBI) stated it does not have any direct exposure to high profile, fraud-accused jeweller Nirav Modi, but the public-sector lender does have an “exposure” to the tune of $212 million by way of an LoU issued by the PNB. Allahabad Bank said it has an outstanding exposure of about $366.87 million in the $1.8 billion fraud detected by the PNB, but added it was confident of receiving the payment. “The outstanding exposure related to the incident is approximately $366.87 million and the bank is fully secured by LoU documents and fully confident to receive the payment,” it said.