SBI shares rise 4% despite graft case against Deputy MD

Mumbai – In tandem with a bullish trend in bank stocks, shares of SBI on Monday rose as much as 4 percent even as its deputy MD Shyamal Acharya was asked to go on leave a day after his residence was raided by CBI.

Stocks of the country’s biggest bank gained 3.84 percent to Rs 1,809 during afternoon trade at BSE.

At the NSE, the scrip climbed 4 percent to Rs 1,809.

The BSE banking index was trading higher by 3.27 percent at 12,600.99 and was the top gainer among the 13 sectoral indices during afternoon trade.

SBI today said it has constituted an internal panel comprising two MDs to probe the corruption charge against Acharya.

“We have been informed by the Central Bureau of Investigation that Shyamal Acharya, deputy managing director and group executive (mid corporate groups) of our bank is being investigated. Acharya has been asked to proceed on leave,” State Bank of India said in a statement.

“We have also constituted an internal committee comprising two senior managing directors to investigate internally,” the statement added.

SBI said it stands committed to probity in its dealings and assured that it will continue to hold the highest standards of honesty and transparency in its operations. The statement also said the bank is cooperating with the investigating agency in the probe.

Yesterday, CBI registered a case against Acharya, ex-SBI additional general manager K K Kumarah and Chairman of Worlds Window Group Piyoosh Goyal for alleged graft in disbursing loans above Rs 100 crore.

According to CBI, a team of its economic offences wing in Mumbai has registered a case against them for alleged graft.