By Kashish Tandon and Siddhi Nayak BENGALURU/MUMBAI (Reuters) -Shares of India's IndusInd Bank rebounded from sharp falls on Thursday on bets that the worst was behind the private lender, a day after it logged a record quarterly loss,

But not for IndusInd Bank Ltd. Over two months since the bank disclosed that it had detected certain discrepancies in its derivatives portfolio, it has now declared that the multitude of accounting gaps led to a suspicion of fraud.

IndusInd Bank's audit for the year ended March 2025 revealed significant accounting discrepancies amounting to Rs 2,600 crore. These irregularities, potentially involving senior executives, include incorrect accounting of derivative trades,