Bank of Baroda shares slide over 3% at close

Mumbai: Shares of Bank of Baroda ended the day over 3 percent lower after the CBI carried out searches at three locations in New Delhi in connection with alleged Rs 6,100 crore remittances sent from BoB to Hong Kong camouflaged as payments for non-existent imports.

After plunging 7.84 percent to Rs 168 in intra-day trade, shares of the company finally ended at Rs 176.10, down 3.40 percent on BSE.

At NSE, shares of the company dipped 2.91 percent to Rs 176.80.

The company's market valuation fell by Rs 1,473.83 crore to Rs 40,530.17 crore.

On the volume front, 17.99 lakh shares of the company changed hands at BSE and over one crore shares were traded at NSE during the day.

CBI teams had on Saturday carried out searches in connection with alleged remittances.

Meanwhile, amid investigations into the allegations of black money transfers, state-owned Bank of Baroda today said the Rs 6,100 crore remittance amount being mentioned is exaggerated and the actual amount involved is much less than that.

BoB also said that 90 percent of the funds came from 30 other banks, while only 10 percent were received as cash at its branch in New Delhi.

"Since investigation is on... We expect that actual amount will be much less than Rs 6,100 crore being reported," BoB executive director B B Joshi told PTI.

Last week, CBI and Enforcement Directorate started investigation on the matter. It is alleged that Rs 6,172 crore black money was remitted from Bank of Baroda to Hong Kong camouflaged as payments for non-existent imports like cashew, pulses and rice.

It is also alleged that amount was deposited in 59 accounts of the bank's Ashok Vihar branch in cash as advance for import and the money was sent to some selected companies in Hong Kong.