Shares of IndusInd Bank fell sharply in Monday’s session, dropping nearly 6% to ₹779.25 after reports emerged that the bank has initiated a second forensic audit, this time to investigate a ₹600 crore discrepancy in its microfinance interest income.
According to a report by The Economic Times, the bank’s board has appointed EY (Ernst & Young) to conduct the new forensic investigation. This move follows red flags raised by the statutory auditors during the audit process for the financial year ended March 31, 2025. The auditors reportedly issued an additional communication under Section 143(12) of the Companies Act, 2013, triggering the probe.
Focus on irregularities The ₹600 crore issue pertains to accrual of interest income in the microfinance portfolio, which was flagged as part of the bank’s ongoing statutory audit. EY has been tasked with checking for any accounting lapses and assigning accountability.
This development comes even as a previous forensic audit, conducted by Grant Thornton Bharat, is underway to look into potential irregularities in IndusInd’s forex derivatives portfolio.
Meanwhile, stock details: IndusInd Bank shares opened lower and declined to an intraday low of ₹775.40. The stock closed at ₹779.25, down 5.91% or ₹48.95 from its previous close of ₹828.20. The lender’s market capitalization currently stands at ₹606.57 billion. It trades at a P/E ratio of 8.37 with a dividend yield of 2.12%, according to NSE data.
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