IndusInd Bank Denies Forensic Audit By EY, Says Internal Review Underway

IndusInd Bank on Tuesday clarified that it has not appointed EY for a forensic audit and that its internal audit department is reviewing the bank’s microfinance business to examine certain concerns.

“As a part of the process of finalisation of accounts, the Bank's Internal Audit Department is conducting a review of the bank's microfinance business to examine certain concerns which have been brought to the bank's attention. In connection with this exercise, the bank is engaged with EY to assist the IAD in reviewing certain records of the bank. The review by the bank is ongoing,” IndusInd Bank said in an exchange filing.

The clarification comes after The Economic Times reported that the bank’s board had appointed EY to conduct a second forensic audit into a reported  ₹6-billion discrepancy related to interest income in its microfinance portfolio.