Shares of Union Bank of India extended their losing streak for the sixth consecutive session on Thursday, falling 2.78 per cent to a low of Rs 162.70. At this level, the stock has declined 16.13 per cent in six trading days.

The sharp fall comes amid concerns triggered by a media report referring to variations in deposits at certain private and public sector banks, including Union Bank. In response, the state-run lender issued a clarification to the stock exchanges, questioning the credibility of the report.

"In this regard, we would like to clarify that the said news/article appears to be based on a letter, the authenticity and credibility of which remain unverified. The news/article contains certain factual inaccuracies," it stated.

"The Bank categorically states that its financial statements are subject to rigorous audit processes. The auditors have issued unmodified audit reports, affirming that the financial statements present a true and fair view in accordance with applicable regulatory and accounting standards," Union Bank added.

Addressing concerns around deposit trends, the PSU lender said it remains focused on strengthening its liability franchise, particularly through CASA deposits.

"With regard to deposit trends, it is pertinent to highlight that the Bank continues to focus on liability accretion, especially CASA (Current Account Saving Account) deposits, through a range of strategic initiatives as already highlighted in the investor's presentation," it also stated.

The bank highlighted that its efforts have resulted in consistent growth in deposit base on an average basis, reflecting the underlying strength and stability of the lender's franchise, as detailed below:

"It can be observed that the average total deposits and CASA for the period 01.04.2026 to 28.04.2026 (unaudited) are much above the average figures for the Q4 of FY 2025-26. Any movement in deposits immediately after the financial year-end is in the normal course of business for entire banking industry," it further said.