Shares of Mumbai-headquartered Anil Ambani-led heavy equipment manufacturer Reliance Naval and Engineering Ltd tanked more than 16% in the late-morning trades on Monday after Vijaya Bank labelled the firm as NPA. According to a PTI report,\u00a0the Bengaluru-based Vijaya Bank has classified Reliance Naval and Engineering as a\u00a0non-performing asset from the January-March quarter.\u00a0"Reliance Naval was under restructuring (SDR), but the implementation could not happen, and so, it slipped into NPA from the March quarter," PTI reported citing an unidentified Vijaya Bank official. Following the flurry, the stock of Reliance Naval and Engineering Ltd saw heavy sell-off in the early deals on Monday steering the scrip as the biggest losers among 'A' group of BSE. Shares of Reliance Naval and Engineering Ltd dropped 16.41% to an all-time low of Rs 14 on NSE while the stock crumbled 15.52% to a lifetime bottom of Rs 14.15 on BSE on Monday. Very high trading volumes were seen in the shares of Reliance Naval and Engineering Ltd on Monday, up until 11:13 am, more than 1.2 crore equity shares exchanged hands on both NSE and BSE with about 1.06 crore equity shares on NSE alone. As per the PTI report, Vijaya Bank said the action was necessitated according to the Reserve Bank of India's changes made on 12 February that the central bank brought to the NPA resolution framework. The Reserve Bank of India has asked banks to consider even one-day delay in payments as default which if not cleared in 180 days should be sent to NCLT for bankruptcy proceedings scrapping all the existing frameworks, including debt restructuring. "A few accounts, including Reliance Naval, were under various restructuring schemes like the SDR and S4A by all the lenders. With the February 12 circular, the RBI made it clear that all those accounts where restructuring could not happen by then, have to be treated as NPAs," PTI report added citing unidentified Vijaya Bank official. With Vijaya Bank classifying Reliance Naval and Engineering Ltd as NPA, Reliance Naval has seen third major downturn in the span of a\u00a0month. Earlier in April last month, Reliance Naval and Engineering posted a nearly three-fold increase in the net loss.\u00a0Reliance Naval and Engineering posted a net loss of Rs 408.6 crore for the quarter ended 31 March 2018 as against Rs 139.92 crore of net loss reported in the comparable quarter last year. Following the earnings release, the auditors of Reliance Naval and Engineering raised doubts about the company\u2019s ability to \u201ccontinue as a going concern\u201d. In the notes to the Reliance Naval and Engineering\u2019s 2017-2018 earnings statement, auditors Pathak H.D. & Associates listed cash losses, erosion of network, loans being called back by secured lenders, current liabilities being substantially higher than assets and winding up petitions being filed by few operating creditors to raise its doubts. \u201cThese conditions indicate the existence of a material uncertainty that may cast significant doubt on the company\u2019s ability to continue as going concern,\u201d the auditor Pathak H.D. & Associates said in the note. The assumption of going concern depends upon the approval of the Reliance Naval and Engineering\u2019s bankruptcy-related resolution plan by secured lenders, its ability to raise finance, generation of cash flows in future to meet obligations and earning profits in future, Pathak H.D. & Associates added. At the end of 31 March 2017, Reliance Naval and Engineering Ltd had an outstanding borrowings of Rs 8,753.19.38 crore. Anil Ambani took up controlling stake in Pipavav Defence & Offshore Engineering in 2016 renaming it as Reliance Defence & Engineering. Earlier last year, Reliance Defence & Engineering was again renamed as Reliance Naval & Engineering.