The Critical Fraud Investigation Workplace (SFIO) has launched a proper probe into the affairs of IndusInd Financial institution underneath Part 212 of the Firms Act, 2013, the non-public sector lender disclosed in a regulatory submitting on Wednesday. The financial institution stated it acquired a communication dated December 23, 2025, from the SFIO searching for info and paperwork in reference to the investigation.
In keeping with the submitting, the inquiry pertains to points the financial institution had beforehand disclosed, together with the accounting therapy of inner by-product trades, unexplained balances mirrored underneath “different property” and “different liabilities,” and sure considerations linked to curiosity and price earnings from its microfinance enterprise.
“We hereby inform that the financial institution has acquired a letter dated December 23, 2025, from SFIO, concerning an investigation into the affairs of IndusInd Financial institution Ltd underneath Part 212 of the Firms Act, 2013 searching for related info,” the financial institution stated in a regulatory submitting on Wednesday.
Part 212 empowers the central authorities to assign complicated and critical instances of company fraud to the SFIO, granting the company wide-ranging authority to look at monetary data, summon people and examine suspected misconduct within the public curiosity.
IndusInd Financial institution had earlier knowledgeable inventory exchanges on December 18, 2025, that these issues had already been reported to the SFIO on June 2, 2025, consistent with regulatory necessities. At the moment, the financial institution stated it had held preliminary discussions with SFIO officers and was awaiting formal written communication, which has now been acquired.
The lender had clarified that the reporting was mandated underneath the Reserve Financial institution of India’s Grasp Instructions on Fraud Danger Administration, issued on July 15, 2024. These guidelines require banks to report all frauds involving ₹1 crore or extra not solely to the RBI but in addition to the SFIO underneath the Ministry of Company Affairs. Accordingly, IndusInd Financial institution stated it had proactively shared particulars associated to the by-product accounting points, unsubstantiated stability sheet objects and microfinance-related earnings with the investigating company.
The financial institution stated it’s extending full cooperation to legislation enforcement authorities and can present all info sought as a part of the investigation. It additionally confirmed that the disclosure has been made public by way of filings with inventory exchanges and on its web site.
The SFIO probe comes in opposition to the backdrop of great accounting considerations flagged earlier this 12 months. In April, the financial institution’s exterior auditor highlighted a cumulative hostile affect of ₹1,959.98 crore on the revenue and loss account as of March 31, 2025, stemming from discrepancies within the derivatives portfolio. On April 15, IndusInd Financial institution individually disclosed findings from one other exterior company, which estimated a unfavourable affect of ₹1,979 crore on the financial institution’s web value resulting from accounting lapses linked to by-product transactions.
The financial institution has assessed that these discrepancies would lead to an hostile affect of round 2.27% on a post-tax foundation to its web value as of December 2024. In a subsequent disclosure, it pegged the affect at roughly 2.35% of web value, underscoring the fabric nature of the accounting points now underneath regulatory scrutiny.
Shares of IndusInd Financial institution closed at Rs 848.25, down by 0.05%.
