Overview

• IndusInd Bank issued a regulatory clarification denying that EY has been appointed for a forensic audit of its microfinance portfolio.
• The bank explained that EY is assisting its Internal Audit Department in reviewing records related to a reported Rs 600 crore interest income discrepancy.
• The Rs 600 crore discrepancy was flagged during a statutory audit, prompting additional regulatory notifications under Section 143(12) of the Companies Act 2013.
• Earlier reports suggesting EY's forensic audit engagement caused a 6.4% drop in IndusInd Bank's share price on April 22, 2025.
• This development follows March 2025 disclosures of Rs 1,500–2,000 crore accounting discrepancies in the bank’s forex derivatives portfolio, which are already under forensic review by Grant Thornton Bharat.