Hyderabad: Andhra Bank Chairman and Managing Director CVR Rajendran said here on Friday that the financial condition of his bank has deteriorated because of the loans given to politicians and cinema stars.

"We have developed non performing assets ( NPA ) just because of the  politicians and cine stars," he told reporters while releasing the financial results of the bank for the third quarter of 2014-15.

Rajendran also revealed that the bank has decided to auction the gold pledged by farmers in AP for agricultural loans in case of non-payment.