ICAI Starts Detailed Review of IndusInd Bank and Gensol Accounts
ICAI Launches Six-Month Audit Investigation
The Institute of Chartered Accountants of India (ICAI) has begun a thorough review of the financial records of IndusInd Bank and Gensol Engineering. This review is expected to last at least six months. Any action against auditors for possible mistakes will happen after this period.
Financial Reporting Review Board (FRRB) Leads the Process
ICAI President Charanjot Singh Nanda announced that the Financial Reporting Review Board (FRRB) will conduct the review. The FRRB will look into:
- Financial records of IndusInd Bank for 2023–24 and 2024–25
- Financial records of Gensol Engineering for 2023–24
- Financial records of BluSmart Mobility for 2023–24
Nanda said, “FRRB will take at least six months or more to finish. It is a long process.”
Possible Disciplinary Action
If the FRRB finds any issues in the financial records, the case will go to ICAI’s disciplinary committee. This could result in disciplinary action against the auditors involved.
Why the Review is Happening
The review follows IndusInd Bank’s disclosure of a major accounting error in March. The bank reported:
- A Rs 1,979 crore error in its derivatives portfolio
- Rs 674 crore incorrectly recorded as microfinance interest income
- Rs 595 crore in unsubstantiated balances under ‘other assets’
Gensol Engineering is also under regulatory scrutiny. The Securities and Exchange Board of India (SEBI) has barred its promoters, Anmol Singh Jaggi and Puneet Singh Jaggi, from the securities market for governance violations. BluSmart Mobility, also promoted by Anmol Jaggi, is part of the same audit review.
ICAI Announces Summit Series
From Ledger to Global Leadership
ICAI has announced a summit series called “From Ledger to Global Leadership.” This series aims to show the role of Indian chartered accountants in the Global Capability Centres (GCC) ecosystem.
The first summit will be held in New Delhi on June 27–28, 2025. Regional events will follow in GIFT City, Mumbai, and Hyderabad.
Government Support and Initiative
The initiative is supported by several government bodies, including:
- Ministry of External Affairs
- Ministry of Electronics and IT
- IFSCA
- SEPC
- Invest India
- NSDC
- IIM Sambalpur
Nanda commented, “With over 1,800 GCCs operating in India and employing more than 1.9 million professionals, India is well-positioned to lead the next phase of GCC evolution.”
Promoting India as a Global Hub
ICAI has formed a group under its Directorate of International Trade, Services, and WTO. This group aims to promote India as a global hub for finance-led GCCs. It also seeks to expand the role of chartered accountants in areas like finance, compliance, taxation, risk, and analytics.
