IndusInd Bank has come under renewed scrutiny after media reports citing a confidential PwC review alleged accounting irregularities in the bank’s treasury operations.
According to the reported findings, manual accounting entries were used to offset trading losses, resulting in the creation of a receivable pool exceeding ₹2,200 crore. The review reportedly suggested that, after adjustments, the bank’s profits and assets may have been overstated by more than ₹1,800 crore.
The PwC review is also said to have highlighted concerns regarding maker checker controls, manual accounting adjustments, hedging documentation and coordination between risk management and trading functions.
The developments have reignited discussions about the importance of strong governance and internal controls within the banking sector. Analysts note that investor confidence depends not only on a bank’s profitability but also on the reliability and transparency of its financial reporting.
The PwC report has not been publicly released in full and no regulatory authority has publicly concluded that fraud occurred. Any determination of wrongdoing will depend on the outcome of ongoing reviews and potential regulatory action.
