IndusInd Bank share price dips 6% after reports of EY to probe ₹600 crore discrepancy

IndusInd Bank share price plunged more than 6% in early trade on Tuesday reports that the private sector lender has initiated a second forensic audit to probe a ₹600 crore discrepancy in its microfinance portfolio. IndusInd Bank shares declined as much as 6.26% to ₹776.15 apiece on the BSE.

According to a report by The Economic Times, IndusInd Bank has appointed Ernst & Young (EY) to conduct the audit after discrepancies related to the accrual of interest income were detected during the ongoing statutory audit for the previous financial year. The auditors, as per the report, issued an additional communication under Section 143(12) of the Companies Act, 2013, prompting the bank to undertake further investigation.

This development comes alongside an ongoing forensic audit being conducted by Grant Thornton Bharat (GTB) into irregularities concerning the bank’s forex derivatives portfolio.

Sources quoted in the newspaper report indicated that the discrepancy in question appears to have arisen during the second or third quarter of the previous fiscal year and is not believed to span multiple years. However, EY has been tasked with determining if any fraudulent activity occurred and assigning accountability.

A source within the bank cited time constraints as a reason for engaging EY, with GTB expected to conclude its review by the end of April.

Derivatives Portfolio Discrepancies

IndusInd Bank had earlier disclosed on March 10, 2025, that it had identified discrepancies in account balances within its derivatives portfolio. Following an internal review, the bank had estimated a post-tax adverse impact of approximately 2.35% on its net worth as of December 2024.

In a subsequent disclosure on April 15, the bank noted that an external audit by PwC had assessed a ₹1,979 crore negative impact on its net worth due to the derivative discrepancies — equating to a post-tax hit of 2.27% as of December 2024. This figure is marginally lower than the Reserve Bank of India’s (RBI) estimated impact of around ₹2,000 crore.

IndusInd Bank Stock Price Trend

IndusInd Bank share price has gained 17% in one month, but the banking stock is still down 17% on a year-to-date (YTD) basis. Over the past six months, IndusInd Bank shares have declined 37%, while the stock has fallen 45% in one year.

At 9:45 AM, IndusInd Bank shares were trading 3.10% lower at ₹802.35 apiece on the BSE.

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