IndusInd Bank probe: Ex-CFO Jain flagged issues, resigned in June
IndusInd Bank is being investigated by Mumbai's Economic Offences Wing (EOW) for allegedly faking accounts, breaching trust, and manipulating derivative transactions worth nearly ₹2,000 crore.
Forensic audits uncovered manual entries of about ₹255 crore over various quarters that boosted the bank's assets and income without real trades or proper paperwork.
Jain raised red flags in whistleblower reports
Former CEO Sumant Kathpalia, ex-Deputy CEO Arun Khurana, and ex-CFO Gobind Jain have all been interrogated—Jain had resigned in June 2024 after repeatedly raising red flags.
His whistleblower reports allege senior management knew about these problems since 2015.
The bank has reported huge derivative losses and misstated income and assets.
Meanwhile, SEBI has banned several former executives from trading in securities over insider trading tied to the undisclosed losses.
The probe is ongoing, with more staff being questioned about possible criminal conduct and governance lapses.