Bank of Baroda to pay $600 million to settle NMC Health insolvency claims

Bank of Baroda shares fell 4% to Rs 260 after the bank disclosed a $600 million settlement with joint administrators of insolvent UAE-based NMC Health PLC and related entities, more than double its initially reported $253 million exposure and nearly equal to its Q4FY26 net profit of Rs 5,616 crore. The settlement resolves claims alleging BoB was negligent in AML/KYC procedures and processed fraudulent payments routed through its accounts for NMC's promoters, though the bank denies all allegations and maintains a robust defence. BoB opted to settle rather than prolong ongoing trials in the Abu Dhabi Global Market court, where proceedings began in March 2026.