An external audit report revealed a negative impact of ₹1,979 crore to IndusInd Bank’s net worth due to discrepancies in its derivatives portfolio.
The external review estimates a 2.27% adverse impact on the bank's net worth as of December 2024.
The bank clarified that this impact will be reflected in the financial statements for FY25, not FY24.
While the internal audit earlier estimated a 2.35% impact, the external firm’s number of 2.27% is close, validating the bank’s initial assessment.
The issue was first disclosed on March 10, 2025, when the bank flagged discrepancies in account balances in its derivative portfolio.
Post the internal findings, an independent firm was hired to conduct an objective audit and verify the lapses.
RBI Governor Sanjay Malhotra termed it an "episode, not a failure", assuring the public that India’s banking system remains safe and secure.
The bank has been proactive in its communication, updating stock exchanges regularly about the developments and actions taken
While the financial impact is quantified, market and investor confidence will depend on how quickly and transparently the bank manages the aftermath.