Can Fin Homes says 3 employees of Ambala branch committed Rs 38.5-cr fraud, FIR registered

Canara Bank's housing finance unit Can Fin Homes Ltd on Tuesday said employees at its Ambala branch committed fraud to the tund of Rs 38.5 crore.

Can Fin Homes said the fraud will have "one-time impact on the profitability to the extent of the amount misappropriated" and won't impact its assets or asset quality. 

It said that the fraud was committed over a period of time and got detected on July 24, 2023. 

Employees of Ambala branch of Can Fin Homes have committed fraud over a period of time by transfer of funds to different personal bank accounts by misusing the cheque signing authority given, said the firm. Vishal Saxena, Vivek Bhagat, Deepak Gupta have been named as the accused in the fraud.

"FIR has been lodged with the Jurisdictional Police. Necessary reports will be submitted to appropriate authorities within the prescribed timelines. Based on a summary verification, the incident is found to be isolated to the said branch only," said the firm in a stock exchange filing. 

On Tuesday, Can Fin Homes' scrip on BSE closed 4.4% lower at Rs 850.6.

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