ALARMING DEFAULTERS:UCO BANK:SELL

We are giving hereunder Loan exposure of FEW big a/cs of UCO Bank:

Name                      Rs/Cr

AMTEK Group          494

LANCO Group          818

Sterling Bio/Grp        286

ESSAR Group         1416

Electrosteel Steel      359

VISA Steel Group     130

ZOOM developer       309

Even the most optimistic person will agree that chances for   recovery of loans(approx 3800 crores) from majority of above DIIs (Dacoits of India Inc) are  almost nil:

1. AMTEK group: Group companies had been resorting to bogus billing to show fake/inflated financials to trap bankers for taking big loans. Now, flagship co Amtek Auto has reported LOSS of 448 crores for 9 months (other listed companies also showing HUGE losses). With such MASSIVE LOSSES, how loans of UCO Bank will be repaid?

2. LANCO Group: Although this group is not thief/rogue like some of other clients of UCO Bank and is in genuine biz activities, but entire group is in financial trouble due to indulgence in capital intensive sectors and excessive debt. Lanco Infra reported LOSS of 717 crores for FY15. With such huge losses, group will definitely not in a

position to repay  full amounts (principal amount+interest). If at all there is hope in future (after few years), UCO bank will have to forego entire interest amount and even substantial portion of principal sum (OTS or CDR).

3. STERLING BIO/Group: Sterling Biotech alone has reported whopping LOSS of 473 crores for 9 months. Group companies may barely survive but it is almost 100% likely that revival is ruled out and it means that sooner or later, UCO Bank will have to write off such loans as bad debts

4. ESSAR Group: Here comes King of Bad Loans. This group has shamelessly mastered the art of exploiting Indian Law (wherein default is not criminal liability, just breach of contract) and even more shamelessly looting PSU Banks with regular frequency. Essar Steel in 2003 (or so) had gone for massive CDR under which banks and minority shareholders lost heavily. Despite proven BAD track record, it is shocking and defies explanation that how banks again showered loans of nearly 45000 crores? This group has always been in controversy whether back-dating of subsciption to E Oil IPO, whether colluding with journalists/politicians (to avoid expose in media). Promoters in their personal capacity are rolling in BILLIONS OF DOLLARS (not Re) with unlisted power companies, huge real estate portfolio and what not. Any banks who enters this group cannot leave unscathed. There are already reports that E Steel again in financial trouble and looking for relief from banks. Naturally, UCO will to have to make sacrifice on its

exposure amounts

5. ELECTROSTEEL STEELS: This case like still born baby (dead). Even before co could start commercial production, co looking for relief from banks. With huge project cost, UCO bank will find it nearly impossible to recover its 359 crores and sooner or later write off as bad debts. Or best scenario, to make big big sacrifice under OTS after

few years

6. VISA  STEEL group: Another thief from Kolkatta who camouflage as industrialist and then brazenly loot public money. Can UCO bank ever recover its 130 crores when Visa Steel has reported LOSS of 412 crores in just 9 months

7. ZOOM Developers: We dont have to say any words about this group as same has already gone bust and various govt agencies are investigating into this big fraud. Definitely, 100% write off 309 crores

Above list of potential defaulters is not FULL List. We may be again revealing some more names of what would ultimately be bad loans for UCO Bank. We estimate that loans worth 10,000 crores (or even higher) are completely stressed, sooner or later will be NPAs and may be, next year to be written off as bad debts.

With such huge defaults, NPAs of UCO Bank may continue to rise even in FY17 and financial position of UCO Bank can take big hit. That is why, we say that UCO Bank may turn out to be AIR INDIA of Indian Banking

Industry.

SELL