Shares of IndusInd Bank declined on Wednesday after a media report said a whistleblower had called for an investigation into alleged insider trading, governance failures and shortcomings in the bank’s foreign exchange and audit review processes.
The stock fell as much as 3.12 per cent to Rs 884.05, marking its steepest intraday decline in three weeks. It was also the biggest percentage loser on the Nifty Private Bank index, which was down 0.9 per cent.
IndusInd Bank’s shares have fallen around 5.4 per cent over the past 15 months, compared with gains of 9.6 per cent in the banking index and 6.2 per cent in the private banking index over the same period.
According to the report, the whistleblower complaint was submitted to the Prime Minister’s Office and several regulators, including the Reserve Bank of India.
The complaint follows the bank’s disclosure in March 2025 of a derivatives accounting discrepancy amounting to Rs 20 billion.
It reportedly alleges manipulation of financial records, evergreening of microfinance loans, suppression of audit findings and attempts by senior management and board members to conceal irregularities.
IndusInd Bank has witnessed significant leadership changes since the disclosure of the accounting discrepancy. Veteran banker Rajiv Anand took over as chief executive in August 2025 following the departures of former Chief Executive Officer Sumant Kathpalia and Deputy Chief Executive Officer Arun Khurana. |
