State-owned Bank of India (BoI) has reported a significant financial setback, disclosing a fraud of Rs 226.84 crore involving Odisha-based Gupta Power Infrastructure Ltd. The bank informed the Reserve Bank of India (RBI) on Friday that the Non-Performing Asset (NPA) of Gupta Power Infrastructure Ltd has been declared as a fraud, as per a regulatory filing.
In response to the fraud, BoI has made provisions of Rs 212.62 crore against the outstanding amount of Rs 226.84 crore related to Gupta Power Infrastructure Ltd, as per the bank’s statement.
Despite the setback, Bank of India reported strong financial performance for the third quarter of FY25. For the quarter ending December 2024, the bank posted a 35 percent rise in net profit, reaching Rs 2,517 crore compared to Rs 1,870 crore in the same period the previous year.
The lender’s total income also saw an impressive increase, rising to Rs 19,957 crore during Q3 FY25 from Rs 16,411 crore in the corresponding quarter of the previous year. Additionally, the bank’s interest income surged to Rs 18,210 crore, compared to Rs 15,218 crore in Q3 FY24.
Bank of India’s Net Interest Income (NII) grew to Rs 6,070 crore in the third quarter of FY25, up from Rs 5,463 crore in the same period the previous year.
Despite the fraud incident, the bank’s robust performance reflects its strong fundamentals and strategic financial management.