Private sector lender ICICI Bank, on Wednesday, said it has made full disclosures about its bad loans and non-performing assets (NPAs) in its annual report, investor presentations and analysts’ calls.
“The bank’s accounts are audited by reputed statutory auditors whose audit report and audit opinion form part of the bank’s annual report,” it said in a regulatory filing.
The bank is conducting an investigation into 31 loan accounts involving ₹6,082 crore, following a complaint by an anonymous whistleblower, and is also in touch with the US market regulator Securities and Exchange Commission (SEC) over “the timing and amount of the bank’s loan impairment provisions taken under US GAAP”.
In its latest regulatory filing to the bourses, the lender said that it classifies loans as non-performing (sub-standard/doubtful/loss) and makes provisions for them as per RBI guidelines.
Write-offs are generally made out of existing provisions against existing NPAs.
“The write-offs do not impact loan classification, additions to NPAs, the profit and loss account or the net NPA ratio of the bank,” it said, adding that the Significant Accounting Policies, which are part of the audited financial statements in the annual report of the bank, have always mentioned that “loss assets and the unsecured portion of doubtful assets are provided or written-off as per the extant RBI guidelines”.
It said it has also made detailed disclosures on write-offs in the financial statements, as well as management’s discussion and analysis, investor presentation and analysts’ call.