External Agency Pegs $231 Mln Discrepancy In Induslnd Bank’s Derivatives Portfolio
Induslnd Bank says it will appropriately reflect the resultant impact in the financial statements for FY25
(The Corner Office Journal) -- Induslnd Bank Ltd. said the review by an external agency pegged the negative impact of certain discrepancies in the bank’s derivatives portfolio at 1,979 crore rupees ($231 million) as of 30 June 2024.
The unidentified external agency, which independently reviewed the bank’s internal findings, submitted its report on 15 April, the private-sector lender said in a stock exchange announcement.
Based on the report, Induslnd Bank has assessed an adverse impact (on a post-tax basis) of 2.27% to the bank’s net worth as of December 2024 due to these discrepancies, it added.
On 10 March 2025, the bank disclosed that it noted certain discrepancies in accounts balances of its derivatives portfolio. Induslnd Bank’s internal review had estimated an adverse impact of about 2.35% to its net worth as of December 2024.
Following the bank’s disclosure, the Reserve Bank of India directed Induslnd Bank’s board and management to take the full remedial action during the fourth quarter of FY25.
Induslnd Bank said it will appropriately reflect the resultant impact in the financial statements for FY25 and continue to take suitable steps to augment the internal controls related to the bank’s derivative accounting operations.
Note: $1 = 85.7846 Indian rupees
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