State-run Punjab National Bank (PNB) has reported a fraud of Rs 2,060 crore in the non-performing account of IL&FS Tamil Nadu Power Company Ltd (ITPCL).

The bank has already made provisions amounting to Rs 824.06 crore, as per prescribed prudential norms.

“A fraud of Rs 2,060.14 crore is being reported by the bank to RBI in the accounts of the company,” PNB said in a regulatory filing. 

A month back, state-owned Punjab & Sind Bank had declared IL&FS Tamil Nadu Power Company a fraud account, with dues of over Rs 148 crore. "It is informed that an NPA (non-performing asset) account, viz IL&FS Tamil Nadu Power Company Ltd with outstanding dues of Rs 148.86 crore has been declared as fraud and reported to RBI today as per regulatory requirement," the lender said in a regulatory filing.

IL&FS Tamil Nadu Power Co. was set up as a special purpose vehicle (SPV) by the debt-laden Infrastructure Leasing & Financial Services Ltd (IL&FS) under its energy platform IEDCL for implementation of thermal power projects at Cuddalore in Tamil Nadu.

As of April 2020, ITPCL owed over Rs 6,700 crore to its lenders and around Rs 900 crore to IL&FS Group entities, according to the affidavit submitted by IL&FS before the National Company Law Appellate Tribunal (NCLAT).