Our loans to Adani Group are secure: J&K Bank

Srinagar, February 3

Jammu and Kashmir Bank, which has an exposure of nearly Rs 250 crore in the Adani Group, on Friday said the bank investors have nothing to worry as its loans to the embattled business group are secured.

“Our loans to Adani Group are secured against the assets of the projects that were financed by JK Bank,” JK Bank Deputy General Manager Nishikant Sharma told PTI.

Sharma said J&K Bank had given a loan of Rs 400 crore to Adani Group to finance two thermal power projects – one in Maharashtra and one in Mudra, Gujarat.

“When we financed the two projects 10 years ago, our exposure was Rs 400 crore, which has now come to Rs 240 crore to Rs 250 crore. The payments are regular and both the power projects are operational with power purchase agreements in place. The bank has the first charge on their sale. Not a single penny is overdue from the Adani account,” he added.