Hyderabad: In a major blow to India’s private banking sector, the Reserve Bank of India (RBI) has uncovered significant accounting irregularities at IndusInd Bank, the country’s fifth largest private lender.
According to sources, an audit report revealed discrepancies in foreign transactions, leading to an estimated loss of nearly ₹2,000 crore. The revelations forced several top officials at the bank to resign, casting a shadow over the bank’s governance.
The RBI compared the situation to previous high-profile scams involving Punjab National Bank (PNB) and Yes Bank, which had similarly flouted regulations and triggered financial turmoil.
An RBI official, speaking on condition of anonymity, stressed the need for continuous monitoring of private banks to restore public trust. “These repeated scandals undermine people’s confidence in private banks, and we cannot let that happen,” the official said.
The investigation into IndusInd Bank’s operations is still ongoing. RBI officials hinted that further instances of malpractice may come to light as the probe progresses.
