IndusInd Bank on Thursday stated that a whistleblower had complained regarding the "other assets" and "other liabilities" entries in the book of the bank, following which the audit committee of the Hinduja-promoted lender reviewed these transactions.The bank stated that unsubstantiated balances aggregating to ₹595 crore in "other assets" accounts of the bank were set off against corresponding balances appearing in "other liabilities" accounts in January 2025. The bank also disclosed that with regards to the microfinance loan book, a cumulative amount of ₹674 crore was incorrectly recorded as interest over three quarters of FY24-25, which was fully reversed as on January 10, 2025.The disclosures were made by the bank in response to an ET report on Thursday that a whistleblower letter had accelerated disclosures made by the bank on forex discrepancies in the forex derivatives portfolio on March 10 and the micro finance portfolio on April 22.ET had reported that the letter was delivered to the bank's senior management a few days before RBI approved a limited, one-year extension for chief executive Sumant Kathpalia, on March 6. The lender highlighted anomalies in its derivatives portfolio on March 10 to the stock exchanges, causing a 27% erosion in the stock's value overnight.On Thursday, the bank stated that on April 22, 2025, it disclosed that "the bank's internal audit department (IAD) was conducting a review of the bank's MFI business to examine certain concerns which had been brought to the bank's attention."These disclosures by IndusInd, too, were made by the bank after ET first reported on April 22 edition that the bank had engaged an audit firm to investigate a ₹600-crore discrepancy in recognising interest income in the lender's microfinance portfolio. On Thursday, the bank stated, "pursuant to receipt of a whistleblower complaint, the IAD was asked by the audit committee of the board to review transactions recorded in "other assets" and "other liabilities".
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