Study finds banking fraud hits public sector bank stocks harder

Dimapur, Oct 22 (UNI) A joint study by Nagaland University and Pandit Deendayal Upadhyaya Adarsha Mahavidyalaya Tulungia researchers found that major banking fraud announcements led to major negative stock market reactions. It noted that this trend was more pronounced with public sector banks, which experienced sharper losses than their private sector counterparts, a Nagaland University release said on Thursday. The findings highlighted how ownership structure, institutional credibility, and a bank's size and maturity strongly influenced investor responses when financial misconduct occurs. The study said financial fraud and unethical practices continue to occur despite regulatory reforms and oversight mechanisms. "Such incidents…