ICAI to Probe IndusInd Bank's Financial Discrepancies

ICAI plans to review IndusInd Bank's financial statements amid Rs 2,100 crore accounting discrepancies. The issues, revealed in March, affect 2.35% of the bank’s net worth. ICAI's FRRB aims to ensure compliance with accounting standards following the bank's preliminary update to RBI about the lapse.

The Institute of Chartered Accountants of India (ICAI) is set to examine IndusInd Bank's financial statements. The review comes in response to inconsistencies amounting to Rs 2,100 crore in the bank's accounting practices.

Disclosed on March 10, the discrepancies, primarily found in the derivatives portfolio, threaten to impact 2.35% of the bank's net worth as of December 2024. An internal review by IndusInd Bank initially identified the issue.

Charanjot Singh Nanda, ICAI President, stated that the Financial Reporting Review Board (FRRB) may undertake the review as a preventive measure. This initiative will focus on adherence to accounting standards and regulations, with final figures pending from an external report due by early April.