IndusInd Bank is set to incur a significant charge of Rs 1,956 crore in the fourth quarter of the financial year 2025 as a result of discrepancies in derivatives valuation. The discrepancies were uncovered following an independent investigation, which was initiated in response to the Reserve Bank of India’s stricter regulations. The investigation revealed that internal derivative trades conducted between the asset-liability management desk and the treasury department resulted in inflated earnings for the bank. In light of these findings, IndusInd Bank has announced its intention to hold accountable the employees responsible for these lapses. The bank’s decision to absorb this charge underscores its commitment to transparency and compliance with regulatory standards. This development is likely to have a significant impact on the bank’s financial performance for the quarter.