Glancy Prongay & Rotter probes HDFC Bank over ₹45cr expenses
Business
A US law firm, Glancy Prongay & Rotter LLP, is looking into HDFC Bank after claims surfaced that the bank disguised ₹45 crore as marketing expenses to give unauthorized deposit perks to Maharashtra's road agency (MSRDC).
These allegations, first reported in late May, have raised questions about how transparent the bank has been with its investors.
HDFC ADRs drop over 5%
After the news broke, HDFC Bank's shares in New York (ADRs) dropped over 5%, showing investors were spooked.
This comes on top of recent governance concerns at the bank, like its chairman stepping down earlier this year over ethics worries (though outside reviews found nothing serious).
It's not the first time HDFC Bank has faced a US probe; a similar investigation happened back in 2020.