New Delhi, Dec 24 (AHN) Private sector lender IndusInd Bank on Wednesday informed stock exchanges that the Serious Fraud Investigation Office (SFIO) has begun investigating the affairs of the bank under Section 212 of the Companies Act, 2013, and has sought relevant information related to accounting issues flagged earlier.

In a regulatory filing, the bank said it received a letter dated December 23, from the SFIO asking for specific details as part of the investigation.

“The Bank has received a letter dated December 23, from SFIO, regarding an investigation into the affairs of IndusInd Bank Limited u/s 212 of the Companies Act, 2013 seeking relevant information,” the private lender said.

IndusInd Bank added that it is fully cooperating with the law enforcement authorities and providing all necessary support.

“The Bank continues to give full cooperation and support to the law enforcement agencies,” the lender added.

Last week, the lender had already disclosed that officials from the SFIO had interacted with its management and were expected to formally seek information linked to accounting discrepancies identified at the bank.

Media reports had earlier suggested that the Ministry of Corporate Affairs ordered an SFIO probe after statutory auditors and forensic reports flagged serious accounting irregularities, citing concerns in public interest.

In March this year, IndusInd Bank had revealed that an internal review uncovered discrepancies in its derivatives portfolio.

The bank then appointed external agencies to assess the impact and find the root cause of the issues.

The review found that several derivatives transactions carried out between FY16 and FY24 were accounted for in a manner not aligned with prescribed accounting guidelines.

As a result, the bank had recognised notional income in its profit and loss account over multiple years, with corresponding balances shown under assets.

In FY25, the lender wrote off accumulated notional profits worth Rs 1,959.98 crore arising from these transactions.