Jammu & Kashmir Bank (J&K Bank) shares hit a newest low of 20% on Friday.Total amount of bad loans or NPAs of J&K Bank could be five times more of what the lender has shown, reports say.Reports say that the stock hit lower circuit today.JKB shares tumbled 20% following reports of thealleged concealment of stressed assets worth Rs2,500 crore. During the morning trading J&K Bank hit its lower circuit at Rs1,472.25 but later recovered to close the day 18.4% down at Rs1,501 on the BSE. In its latest balance sheet,three loans amounting to Rs1,100 crore–which by regulatory and prudential norms are non-performing assets (NPAs)–have not been classified and declared so by the Bank.The report mentions three big loans, Rs650 crore given to a Kolkata-based company engaged in agro and ancillary business, second of Rs400 crore given to a Mumbai-based real estate company and third, Rs100 crore given to a Hyderabad-based company byJ&K.As per to the sources the Auditors while scrutinising the loan accounts of borrowers outside J&K have found ‘shocking’ transactions in scores of such accounts, revealing the “clandestine” intent of the loan sanctioning and disbursing authorities. The sources say that that such ‘technically unsecured and non-performing’ loans total to around Rs2,500 crore. “The stressed assets of around Rs2,500 crore are over and above Rs783 crore of Gross NPA that the bank has declared in its balance sheet. In addition, the bank has restructured loans of Rs1,575 crore. Even with an industry mortality of 33%, this means NPAs of another Rs500 crore, taking the Gross NPA to around Rs4,000 crore. In reality the total amount of NPA of the bank could be five times more of what the bank has shown. This takes the NPA ratio to nearly 5%, which will be among the highest in the industry,” the sources add.