ICAI may review financial statements of IndusInd Bank amid accounting discrepancies – CNBC TV18

The chartered accountants’ apex physique, ICAI, may review the financial statements of IndusInd Bank, which is grappling with discrepancies in accounting estimated to be ₹2,100 crore.

The non-public sector lender, on March 10, disclosed some discrepancies in its derivatives portfolio, which may have an adversarial impression of about 2.35% of the financial institution’s internet value as of December 2024, as per its inner review.

Analysts peg the discrepancy at ₹

2,100 crore in absolute phrases. In opposition to this backdrop, the Financial Reporting Review Board (FRRB) of the Institute of Chartered Accountants of India (ICAI) is more likely to review the financial statements of the financial institution.

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”As a proactive measure, ICAI-FRRB may undertake a review of the financial statements of IndusInd Bank,” ICAI President Charanjot Singh Nanda informed PTI on Thursday.

FRRB conducts opinions of financial statements of corporations to evaluate compliance with Accounting Requirements, Requirements on Auditing,and  Schedule II and III of the Firms Act, 2013, amongst others.

Additionally, FRRB assesses the compliance with numerous steerage notes on accounting and auditing, and grasp circulars/ instructions issued by the Reserve Bank of India (RBI). Chartered accountants do most of the audit work.

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IndusInd Bank had additionally mentioned the accounting lapse was famous round September- October final 12 months, and the financial institution gave a preliminary replace to the RBI about this final week. The ultimate determine can be recognized after the exterior company, which the financial institution has appointed, finalises its report by early April.