IndusInd Financial institution shares in focus as SFIO initiates probe into Rs 2,600 crore accounting discrepancies
This growth is a part of a broader inquiry into accounting irregularities that first got here to mild in the course of the audit of the financial institution’s monetary outcomes for the quarter and yr ended March 2025.
“In furtherance to our intimation dated December 18, 2025, whereby we had knowledgeable that issues regarding accounting of inside spinoff trades, sure unsubstantiated balances in “different property” and “different liabilities” accounts of the Financial institution and micro finance curiosity earnings/payment earnings had been reported to the Severe Fraud Investigation Workplace (“SFIO”), Ministry of Company Affairs, on June 2, 2025. We had additionally talked about that the SFIO had telephonic dialog with Financial institution official and a written communication was awaited,” the financial institution stated in an alternate submitting.
“On this regard, we hereby inform that the Financial institution has acquired a letter dated December 23, 2025, from SFIO, relating to an investigation into the affairs of IndusInd Financial institution Restricted u/s 212 of the Firms Act, 2013, in search of related data,” the submitting additional said.
The lender had earlier reported discrepancies amounting to Rs 2,600 crore, which had been attributed to fraudulent practices involving sure senior executives and former key administration personnel.
In a previous communication dated June 2, 2025, the financial institution had knowledgeable the SFIO about points associated to the accounting of inside spinoff trades, balances below “different property” and “different liabilities,” and microfinance-related earnings entries. These issues had been discovered in the course of the financial institution’s inside and statutory audits.
As per audit findings, one of many main corrections concerned a write-off of Rs 1,960 crore of notional income from inside trades gathered since FY16. As well as, incorrect reserving of Rs 673.82 crore as curiosity earnings and Rs 172.58 crore as payment earnings over three quarters was recognized and reversed in This autumn of FY25.One other Rs 595 crore pertaining to misclassified asset and legal responsibility entries was additionally netted off within the books.
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