Delayed disclosures of accounting lapses by IndusInd catch Sebi eye

The Securities and Exchange Board of India (Sebi) is probing whether there were delays in disclosures of discrepancies in derivatives accounting and lapses by IndusInd Bank and its then management, according to people aware of the development.

- KHUSHBOO TIWARI

While the capital markets regulator is investigating alleged insider-trading violations, it is also reviewing documents and data for any possible violations of the Sebi (Listing Obligations and Disclosure Requirements) Regulations (LODR). The market regulator recently sought the forensic report from the bank, which it is analysing along with emails and other data to probe any violations, said sources.

"Along with possible Sebi (Prohibition of Insider Trading) Regulations violations, the regulator is verifying if the disclosures under LODR on these discrepancies were required much earlier, as the officials may have been aware of these lapses," said a person privy to the information.