'

'
' ~,,,.---- -- - - - --- ' - - - - - · · - - - - - - --=---- - - - - - - - - - - - - ; - - - ~ - - - - - - - - - ~ - - , - - , .
f ~ ... - ; ,

. (f: LA'KSHNII VILAS BANK . t' .:,_,•',..

Corporate Office, "LVB HOUSE", No.4 Sardar Patel Road, Guindy, Chennai 600 032
(Regd. Office: Salem Road, Kathaparal, Karur • 639 006)
AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED 31ST MARCH, 2019
(tin lakhs)
QUARTER-ENDED YEAR ENDED
PARTICULARS 31-Mar-19 31-0ec-18 31-Mar-18 31-Mar-19 31-Mar-18
IAudited I (Reviewed\ IAuditedl (Audited} (Audited\

1. INTEREST EARNED (a+b+c+d) 68225.12 70135.85 70262.59 283989.39 304162.17

(a) Interest/discount on advances/bills 51926.01 52515.73 51415.08 216315.27 233147.02
(b) Income on investments 16106.81 17259.00 18302.07 66634.80 69305.43
(c) Interest on balances with RBI & Other inter- bank funds 123.06 282.36 114.81 684.93 702.93
(d) Others 69.24 78.76 430.63 354.39 1006.79
2. Other Income 5747.42 6111.93 3828.40 25031.79 34680.78
3. Total Income (1+2) 73972.54 76247.78 74090.99 309021.18 338842.95
4. Interest expended 54205.45 56256.82 58215.87 227975.13 225102.10
5. Operating Expenses (I) + (ii) 21885.94 22501.13 22799.71 82242.66 78202.97
(I) Employees cost 11142.43 11102.72 11492.02 40166.07 39213.36
(ii) Other operating expenses 10743.51 11398.41 11307.69 42076.59 38989.61
6. Total Expenditure (excluding provisions and contingencies (4)
+ (5) 76091.39 78757.95 81015.58 310217.79 303305.07

7. Operating Profit before provisions and contingencies {3) - (6) -2118.85 -2510.17 -6924.59 -1196.61 35537.88
8. Provisions (other than Tax} and Contingencies 47877.35 43138.80 92141.54 127656.17 130615.49
of which provisions for NPA & Diminution value of all
restructured a/cs 30123.89 31376.54 88040.24 86813.36 123745.03
9. Exceptional Items 0.00 0.00 0.00 0.00 0.00

IO.Profit/Loss from ordinary activities before tax (7}-{8)-(9) -49996.20 -45648.97 -99066.13 -128852.78 -95077.61
11. Tax expense -23553.07 -8300.00 -36841.00 -39443.07 -36591.00

12. Net Profit/LOSS from Ordinary activities after tax (10) - (11) -26443.13 -37348.97 -62225.13 -89409.71 -58486.61
13. Extra •:'\r,Jinary items (Net ofTaX Expense) o.oo 0.00 0.00 0.00 0.00
14. Net Profit/l.Oss for the period (12-13) -26443.13 -37348.97 -62225.13 -89409.71 -58486.61
15. Paid up equity share capital (Face Value UO/-) 31990.32 25607.19 25599.38 31990.32 25599.38
16. Reserves excluding revaluation reserves as per balance
sheet of previous accounting year 139106.50 190442.03 190442.03 139106.50 190442.03
17. Analytical Ratios
I) Percentage of shares held by Govt. of India NIL NIL NIL NIL NIL
ii) Capital Adequacy Ratio(%) - Basel - Ill 7.72 7.57 9.81 7.72 9.81
iii) Earnings Per Share (EPS)(•Not Annualised)
(a) Basic EPS - before/after extraordinary items
(•Not annualised) (f)
(b) Diluted EPS - before/after extraordinary items
• (10.02 • (14.59 • (24.65 • (34.66 . .
(28.29

(•Not annualised} ('O • (10.00' • (14.54 • /24.52 • (34.59 • /28.111

iv} NPA RATIOS
(a) Gross NPA 335899.36 336427.66 269421.15 335899.36 269421.15
Net NPA 150629.49 171621.59 145788.98 150629.49 145788.98
(b) % of Gross NPA 15.30 13.95 9.98 15.30 9.98
' % of Net NPA 7.49 7.64 5.66 7.49 5.66
(c) Return on Assets (%) (Annualised) -2.86 -3.90 -6.22 -2.32 -1.57
 Corporate Office, "LVB HOUSE", No.4 Sardar Patel Road, Guindy, Chennai 600 032
(Regd, Office: Salem Road, Kathaparai, Karur - 639 006)

1 The above audited financial results for the quarter/year ended 31st March 2019 were recommended for approval to the
Board by the Audit Committee at their meeting held on 28th May, 2019 and approved by the Board of Directors of the
Bank at their meeting held on 28th May, 2019. The same have been audited by the Statutory Central Auditors of the Bank
in line with the guidelines issued by the Reserve Bank of India and as per the requirements of SEBI (Listing Obligations and
Disclosure Requirements) Regulation,2015.
2 The working results for the quarter/year ended 31st March 2019 have been arrived after considering provisions for
Standard Assets including requirements for exposures to entities with unhedged Foreign Currency Exposure, Non-
Performing Assets, Depreciation on Investments, Provision for Employees Benefit and other usual and necessary
provisions.
3 For the preparation of financial results, the Bank has followed the same accounting policies and generally accepted
practices adopted for the preparation of audited financial statements for the year ended 31st March 2018.
4 Pending Bipartite settlement, the Bank has made an adhoc provision towards wage revision of Rs.13.80 crore during the
year 2018-19 and bank holds Rs.24.70 crore as on 31st March 2019 towards wage revision due with effect from
November 2017.
5 The bank had spread the provisioning for MTM losses on the investments held in AFS and HFT categories for the quarter
ended 30.06.2018 equally over four quarters as permitted by RBI vide circular DBR.No.BP.BC. 113/21.04.048/2017-18
dated June 15, 2018. The unamortised amount as at 31st March 2019 is Nil.

6 The figures tor the quarter ended 31st March 2019 and the corresponding quarter ended in the previous year as reported
in these financial results are the balancing figures in respect of full financial year audited and the published year to date
figures reviewed up to the end of the third quarter of the relevant financial year.
7 The Bank has recognized net Deferred Tax Assets as on 31st March, 2019 aggregating to Rs 859.55 Crores (PY Rs 464.95
Crores) on timing differences in accordance with Accounting Standard - 22 on "Taxes and income" issued by the Institute
of Chartered Accountants of India.
8 The Board at its meeting held on April 5, 2019 had approved the scheme of amalgamation between lndiabulls Housing
Finance Limited (IHFL) and The Lakshmi Vitas Bank Limited (LVB). In furtherence, the Board at its meeting on May 3,2019
had approved amendments to effect merger of IHFL and its wholly owned subsidiary, lndiabulls Commercial Credit Ltd.,
(ICCL) into and with LVB under sections 230 to 232 and other applicable provisions of the Companies Act 2013, as
amended, Companies (Compromises, Arrangements and Amalgamations) Rules, 2016, and other rules and regulations
framed thereunder. The Scheme is subject to the receipt of approval from the Reserve Bank of India, other Regulatory
approvals and applicable compliances
9 RBI circular DBR.No.BP.BC.108/21.04.048/2017·18 dated June6, 2018 permitted banks to continue the exposures to MSME
borrowers to be classified as standard assets where the dues between September 1, 2017 and December 31, 2018 are
paid not later than 180 days from their respective original due dates. Accordingly, the bank has retained advance of
Rs.58.86 crore as standard as at March 31, 2019. In accordance with the provisions of the circular, the bank has not
recognised the unrealised interest income of Rs.2.20 crore.

10 During the year, the book value of securities sold under HTM category exceeds 5% of the book value of investments held
in HTM category as at the beginning of the year. The details of HTM category as on 31.03.2019 are furnished hereunder-
(Rs.in Crore)
Market Value 6073.63
Book Vo!ue 6284.95
Excess of book value over market value for w'lich provision is not made 211.32
11 The provision coverage ratio as at 31st March 2019 stood at 62.08%. (55.07,;,/o as on March 31, 2018)

•-Contd/-
12 In terms of the RBI Circular DBR.BP.BC.No. 32/21.04.018/2018-19 dated 1st April 2019. banks are required to disclose the
divergences in asset classification and provisioning consequent to RBl's annual supervisory process in their notes to
accounts wherever either a) the additional provisioning requirements assessed by RBI exceeds 10% of the reported profit
before provisions and contingencies for the reference period or b) the additional Gross NP~ Identified by RBI exceed 15%
of the published incremental Gross NPAs for the reference period, or both. Accordingly, divergence in Asset Classification
and Provisioning for NPAs ln compliance to Risk Assessment Report (RAR) of RBI for the financial year 2017-18 is reported
hereunder.

A.mount (Rs
S.no Particulars In Crore)
I Gross NPAs as on March 31, 2018 as reported by the bank 2694.21
2 Gross NPAs as on March 31, 2018 as reported by RSI 2835.91
3 Divergence In Grass NP.As (2-1) 141.70
4 Net NPAs as an March 31, 2018 as reported by the bank 1457.89
5 Net NPAs as on March 31, 2018 as reported by RBI 1437.09
6 Divergence In Net NPAs (5•4) -20.80
7 Provisions for NPAs as on March 31, 2018 as reported by the bank 1169.05
8 Provisions NPAs as on March 31, 2018 as reported by RBI 1331.55
9 Divergence In Provisioning (8-7) 162.50
10 Reported Net Profit after Tax (PATI far the year ended March 31. 2018 -584.87
Adjusted (national) Net Profit after Tax (PATI for the year ended March 31, 2018 after taking into account the
II divergence In provisioning -747.37
(Resultant imoact of the RBI divergence has been duly considered and given effect to as of 31.03.2019)
13 As per RBI Circular No, OBR.No.B0.15199/21.04.048/2016-17 dated June 23, 2017, for the accounts covered under the
provisions of Insolvency and Bankruptcy Code (JBC), the bank is holdlng total provision of Rs.18428.36 lakhs (Rs 24152.22
Lakhs as at March 31, 2018),
14
ln accordance with RBI Circular no. DBOO.BP.BC.l/21.06.201/2015-16 dt:01.07.2015 and OBR,BP.BC.80/21.06.201/ 2014·
15 dt:31.03.2015, Pillar 3 disclosures including leverage ratios and liquidity coverage ratios under Basel 111 framework is
being made available on bank's website at http://www.tvbank.com/basel_iii.aspx and the disclosures have not been
subjected to audit or limited review by the statutory auditors of the bank,

15 In reporting of segment Assets, liabilities, Revenue. Results, certain estimates and assumptions have been considered by
the Management, which have been relied unon by the Statutory Central Auditors.

..
16 Notes on Segment Reporting
As per the guidelines with the Accounting Standards, the bank has adopted "Tresury Operations",
"Corporate/Wholesale", ·Retail· and "Other Banking Operations, as primary business segments for the purpose of
compliance with Accounting Standard 17 on Segment Reporting, issued by Institute of Chartered Accountants of India
(lCAI).
b. Segment revenue represents revenue from external customers -
c. Capital employed for each segment has been allocated proportionate to the assets of the respective segment.
17 Statement of Assets & Liabilities of the bank as on 31/03/2019
(tin lakhs)

I. CAPITAL & LIABILITIES AS AT

... ASAT

..
b.
Ca"ital
Reserves & Sur"lus
l.1 - · · . " · ... ,.. "
31990.32
157267.31
_ ......
25599.38
207167.45
_.,,..,.

c. oe-osits 2927944.08 3330948.29

d. Borrowin,:;s 92125.90 401278.03
e. Other Liabilities & Provisions 95288.68 77929.45
TOTAL 3304616.29 4042922.60

..
II. ASSETS
Cash & Balances with Reserve Bank
of India 165407 .21 169816.94
b. Balances with Banks and Monev at
Call & Short Notice 51504.07 31679.42
C. Investments 843016.53 1076774.83
d. Advances 2010325.93 2576820,17
e. Fixed Assets 46995.43 40245.35
f. Other Assets 187367.12 147585.89
TOTAL 3304616.29 4042922.60
-Contd/·
18 The Bank's QIP Issue for qualified institutional buyers was opened on 07/03/2019 and closed on 15/03/2019. The Bank has
alloted 6,38,31,328 equity shares (face value Rs.10 and premium Rs.62 per equity share) for an aggregate amount of
Rs.45958.56 lakhs to eligible Investors on 16/03/2019.
19 Status of Investor Comolaints for the auarter ended 31st March 2019:
-Complaints ru:>ndina at the beainninci of the Quarter : Nil
-Complaints received durino the Quarter : Nil
-Comolalnts disoosed durina the Quarter: Nil
-Comolaints unresolved at the end of the Quarter: Nil
20 In the matter of suit filed against the bank by M/s Religare Finvest ltd., for adjustment of their deposits to the dues of
M/s.RHC Holding Pvt.ltd & Mts.Ranchem Pvt Ltd., as reported in the earlier quarters, it is being defended appropriately by
the Bank and the matter still remains sub-judice.
21 The figures of the previous periods/year have been regrouped/reclassified, wherever necessary t~conform to current
period/ year classificatlon.

)</, l1--j,.__ hA

Place. Bengoluru P. Mukherjee

Date: 28-05-2019 MO&CEO
SEGMENT REPORTING - MAR 2019 (Rs. in lakh)
I
PART A: BUSINESS SEGMENTS Quarter Ended I YEAR ENDED
I
---
PARTICULARS 31-Mar-19 31-Dec-18 31-Mar-18 I 31-Mar-19 31-Mar-18
-·--·--
!
1. SEGMENT REVENUE (Audited) i
(Reviewed) ' (Audited) (Audited) '
(Audited)

a. Treasury operations 16047.83 ! 18175.40 ! _ _ 15513.241 66819.80 j 77996.44

---
b. Corporate/wholesale banking
16579.28' 16292.40, 1215.16 70541.55 77630.06
oneratlons ---
1
C. Retail banking operations !
40681.73 i 41435.59 56459.86 170013.69 181136.80
. ---
d. Other banking operations 663.70 ! 344.391 902.73; 1646.14 2079.65
--- ------·------ ---- -- ·---
TOTAL 73972.54, 76247.781 74090.99 309021.18 338842.95
:
2. SEGMENT RESULTS !
'
·---- --- - -·
a. Treasury operations -452.95 ! 832.83 -565.90 1257.96 14321.46
---- ---~---
b. Corporate/wholesale Banking I
-5476.42 -2608.51 5858.67
-1232.25 -2064.72
oaerations ---- ·----- ----- -
c. Retail banking operations -878.50 -1397.67 I -1670.07 ! -669.78: 13670.24
-------·
d. Other banking operations 444.85 119.39 787.80 823.721 1687.51
----- ----- I --
TOTAL -2118.85 -2510.17' -6924.591 -1196.61' 35537.88
-.
OPERATING PROFIT -2118.85 -2510.17! -6924.59! -1196.61 35537.88

PROVISIONS OTHER THAN TAX 47877.35 43138.801 92141.54 127656.17 130615.49

----- - ----
PROFIT BEFORE TAX -49996.20 -45648.97 -99066.13 -128852.78 -95077.61
---
Less : Tax expenses -23553.07 -8300.00 -36841.00 -39443.07 -36591.00
I
-- ----
I
NET PROFIT I LOSS -26443.13 -37348.97 -62225.13 -89409.71: -58486.61
I
- --- ·-----·- -

'
i ---
I
3. SEGMENT ASSETS
j
a. Treasury operations i 909440.381 990661.24 1130812.72 909440.37 j 1130812.72
~--
b. Corporate/ Wholesale banking
597296.89 634043.56 I' 835859.23 597296.89' 835859.23
Q.lt~rations
c. Retail banking operations 1582984.56 1775675.39 ! 1914900.24 1582984.56 1914900.24
---··
d. Unallocated Assets 214894.46 180120.52 161350.41 214894.47 161350.41
---

TOTAL 3304616.29 3580500.71 4042922.60 3304616.29 4042922.60

- - ---- -------
4. SEGMENT LIABILITIES i
- -
a. Treasury operations 888938.79! 970750.50 1070308.30 888938.79 1070308.30
I
b. Corporatetwholesclie banking
817004.32 ' 817004.32
'
'
592657.45 ! 630169.04 i 592657.45 i
oneration_~-- __
c. Retail banking operations
--
1567891.96: 1760680. 89 i 1875932.54 i 1567891.961
------
1875932.54

d. Unallocated liabilities 65870.46, 50853.191 46910.61, 65870.46] 46910.61

- - -·····-
TOTAL 3115358.66' 3412453.62 3810155.77 3115358.66 3810155.77
----- ·------
CAPITAL EMPLOYED (Segment Assets·
!
Seament Liabilities) -~- --
a. Treasury operations 20501.59 19910. 74' 60504.42 20501.59 60504.42
-
~Corporate/wholesale banking
4639.44 3874.52 18854.91 4639.44 18854.91
oceratlons ~--
c. Retail banking operations I
15092.60' 14994.50 38967.70 15092.60 38967.70
·- - - ----- --

d. Unallocated 149024.00! 129267.33 114439.80 149024.00 114439.80

------
189257.631 168047.091 232766.83 189257.631 232766.83
'

PART B: GEOGRAPHICAL SEGMENTS

Since the Bank is having domestic operation only, no reporting is necessary under this segment.
 C P. CHANDRASEKAR LLP
Chartered Accountants

Independent Auditor's Report on Standalone Financial Results of the Bank pursuant to

the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015

The Board of Directors

The Lakshmi Vilas Bank Limited

I. We have audited the financial results ("the Statement") of The Lakshmi Vilas Bank
Limited ("the Bank") for the year ended 31st March 2019, prepared by the Bank pursuant
to the requirement of Regulation 33 of SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015. which has been initialed by us for identification
purposes. The disclosures relating to "Pillar 3 under Basel Ill Capital Regulations".
··Leverage Ratio" and "Liquidity Coverage Ratio" as disclosed on the Bank's website in
respect of which a link has been provided in the financial results have neither been
reviewed nor audited by us.
2. This Statement is the responsibility of the Bank's Management ("'the Management'') and
has been approved by the Board of Directors in their meeting held on 28 1h May 2019. It
has been prepared in accordance with the accounting principles generally accepted in
India, including Accounting Standards ("AS'') prescribed under Section I 33 of the
Companies Act, 2013 read with relevant rules issued thereunder in so far as they apply
to Banking Companies. provisions of Section 29 of the Banking Regulation Act. I949.
circulars and guidelines issued by the Reserve Bank of India from time to time and other
accounting principles generally accepted in India. Our responsibility is to express an
opinion on the financial results based on our audit of the financial statements for the year
ended 31 st March 2019 and our review of the financial results for the 9-month period
ended 31st December 20 I 8.
3. We conducted our audit in accordance with the auditing standards generally accepted in
India. These standards require that we plan and perform the audit to obtain reasonable
assurance as to whether the financial statements are free of material misstatement. An
audit includes examining, on a test basis, evidence supporting the amounts disclosed as
financial results. An audit also includes assessing the accounting principles used and
significant estimates made by the Management. We believe that our audit provides a
reasonable basis for our opinion.
4. These financial statements incorporate the relevant returns of 9 branches audited by us.
560 branches audited by statutory branch auditors. The branches audited by us and
advances audited by us in the Central Office cover 41.98% of the total advance portfolio
of the Bank.

Bangalore • Chennai

5-512-514, Manipal Centre, U 47, Dikenson Road, Bangalore - 560042. T: +91 (80) 25585443 / 25597494 E-mail: partner@pchandrasekar.com
M/s P Chandrasekar (Partnership firm) is converted into P Chandrasekar LLP (a Limited Liability Partnership with LLP Identity No LLPIN AAJ-56681 with ellect trorn 31.05 2017
•

5. Basis for Qualified opinion

During the previous financial year, the Bank had adjusted loans aggregating to Rs.794
crore extended to RHC Holding Private Limited and Ranchem Private Limited against
deposits of Religare Finvest Limited duly supported by Legal Opinion. The said
adjustment has been contested by the Religare Finvest Limited and a suit has been filed
against the Bank in May 2018 before the Honourable High Court of Delhi. The matter
still remains sub-judice and hence we are unable to comment on the impact on the
financial statements and legal/ regulatory consequences. The audit opinion on the
financial statements for the year ended 31 st March 2018 was also qualified in respect of
this matter.
6. Except for the possible effects of the matter described in the "Basis for Qualified opinion"
paragraph, in our opinion and to the best of our information and according to the
explanations given to us, the financial results:
(a) are presented in accordance with the requirements of Regulation 33 of the SEBI
(Listing Obligations and Disclosure Requirements) Regulations,2015, read with
SEBI Circular CIR/CFD/FAC/62/2016 dated 5th July 2016 in this regard;
(b) give a true and fair view of the net loss and other financial information in conformity
with the accounting principles generally accepted in India for the year ended
31 ' 1 March 2019.
7. The financial results for the quarter year ended 3 JS' March 20 I9 being the balancing
figure between audited figures in respect of the full financial year and the published year-
to-date figures up to the nine-month period ended 31'1 December 2018, which were
subject to limited review by us.
8. The financial results for the three-month period and year, ended 31'1 March 2018,
included in the Statement, were audited by the predecessor auditor, M/s.R.K.Kumar &
Co., Chartered Accountants, who had expressed a modified opinion on those financial
results, vide audit report dated 25 th May 2018. Our opinion is not modified in respect of
this matter.

For P.CHANDRASEKAR LLP

Chartered Accountants
(FRN: 000580S/S200066)

Partner
Membership No.: 02 08
Place: Bangalore
Date: 28 th May 2019
 Annexurel

Statement on Impact of Audit Qualifications (for audit report with modlled opinion)
submitted along-with Annual Audlhtd Financial ResuHs - Statement on Impact of Audit
Quallllcatlons for the Financial Year ended March 31, 2019
[See Regulation 33 / 52 of the SEBI (LODRJ (Amendment) Regulations, 2016)

I.
Audited Figures (as
Adjusted Rgures
reported before
SI. (audited figures after
Particulars adjusting for
No. adjusting for
quallllc:allons) (In
qualfflcatlons) (In lakh)
lokhl
I. Turnover/ Total income 309021.18 309021.18
2. Total Expenditure 310217.79 310217.79
3. Net Profit/ [Loss) (89409.71 I (89409.71)
4. Earnings Per Share (Rs.) -34.66 -34.66
5. Total Assets 3304616.29 3304616.29
6. Total Liabilities 3304616.29 3304616.29
7. Net Worth 80227.31 80227.31
8. Any other financial item(s) - -
las felt onl"M'orviote bv the man--...mentl
II.
Audit Qualfflcallon leach audit auallllcallon ,...,aratelvl
a. Detans of Audit Qualfflcaflon:

During the previous financial year. the Bank had adjusted loans aggregating to Rs.794
crore extended to RHC Holding Private Limited and Ranchem Private Limited against
deposits of Religare Finvest Limited duly supported by Legal Opinion. The said
adjustment has been contested by the Religare Finvest Limited and a suit has been
fHed against the Bank in May 2018 before the Honourable High Court of Delhi. The
matter still remains sub-Judice and hence we are unable to comment on the Impact
on the financial statements and legal/ regulatory consequences. The audit opinion on
the financial statements for the year ended 31st March 2018 was also qualltled In
respect of this matter.

b. Type of Audit Qualfflcallon : Qualified Opinion

c. Frequency of qualfflcallon: Appeared for the second

time:
d. For Audit Quallllcallon(s) where the Impact Is quanllffed by the Not quantltled
auditor, Managemenfs Views:
e. For Audit Qualfflcallon(s) where the Impact Is not quanlllled by the auditor:

(I) Management's esllmalton on the Impact of audit quaHllcallon: I NIL

(II) If management Is unable to estimate the Impact, reasons for the same:

Reference is invited to the point no.20 to the notes to financial statements.

"In the matter of suit filed against the bank by Mis Religare Finvest Ltd.• for adjustment
of their deposits to the dues of M/s.RHC Holding Pvt. Ltd & M/s.Ranchem Pvt Ltd., as
reported in the earlier quarters / year. it is being defended appropriately by the Bank
and the matter still remains sub-judice."

(IU) Auditors' Comments on (I) or (H) above:

As regards (i/ & (ii/ we are unable to ascertain the impact on the financial statements.

Ill. Signatories/]

• Managing Director & CEO

Ji , '- , r,1 • AfO
_"'__,
• Chief Flnanclal Officer I \ ,,
i.---. • r
• Audit Committee Chairman

~~
<:. ,..

• Statutory Central Auditor

Place: Bengaluru
' ~~
\
Date: 28.05.2019