Standard Chartered Grindlays Bank (StanChart Grindlays) on Friday announced a net loss of Rs 393.2 crore despite posting a five per cent jump in profit before tax (before extraordinary items) to Rs 257.6 crore for the fiscal year 2001-02. The loss was incurred on account of a one-time out-flow of Rs 506.5 crore on the account of the settlement reached with National Housing Bank (NHB) relating to the stock market scam of 1992 and an extraordinary expense of Rs 144.3 crore for facilitating the bank’s early retirement scheme. The growth of the bank’s profit before tax has been attributed to the control of operating costs, which decreased by 14 per cent and an increase of 40 per cent in non-fund income. This was, however, partly set off by a 37 per cent decline in net-interest income.
