Bank Of Baroda Shares Fall 3% After Reports Of BR Shetty Filing $15 Billion Lawsuit In Bombay HC

Bank of Baroda shares declined 3% in early trading on Wednesday following reports that NMC Healthcare founder BR Shetty had filed a $15 billion damages lawsuit against the public sector lender and 25 other defendants in the Bombay High Court.

The stock fell to Rs 231.30 from Tuesday's closing price of Rs 238.43, becoming the biggest loser on the Nifty 100.

The bank's shares have declined 22.7% in 2026, compared with a 13% fall in the Nifty 50. Its market capitalisation stood at approximately Rs 1.2 lakh crore.

Shetty Seeks $15 Billion In Damages

According to reports, Shetty has sought approximately Rs1.44 lakh crore in damages, alleging that Bank of Baroda and certain officials facilitated fraudulent transactions involving his companies.

The petition reportedly seeks $5 billion each for direct losses, consequential damages and alleged reputational harm.

Shetty has also demanded annual interest of 18% on the claimed compensation.

His allegations include diversion of funds through accounts linked to purported suppliers, inadequate investigation of anti-money-laundering alerts and unauthorised transactions.

He further claims that forged signatures on personal guarantees were used to secure loans and pursue liabilities against him.

The petition seeks access to banking records and internal compliance documents.

These allegations have not been established by a court.

BoB Vows Strong Defence

Responding to the reports, Bank of Baroda said it had not received formal notice of the lawsuit.

The lender maintained that it would vigorously defend itself if served and take necessary measures to protect its interests.

It also highlighted ongoing recovery proceedings against Shetty in India and the United Arab Emirates involving outstanding dues of approximately Rs2,800 crore.

The bank said it had secured several decrees against him and cited a 2021 Karnataka High Court order restricting the disposal of his assets.

It further noted that a New York lawsuit involving similar allegations was dismissed in July 2024.

Separately, the lender said judgment had been reserved in proceedings involving Shetty and former NMC executive Prashant Manghat before the Abu Dhabi Global Market Court.

Meanwhile, broader Indian equity markets opened marginally lower, with both the Sensex and Nifty recording early losses.