India's IDFC First Bank slips 10% premarket after reporting $65 mln fraud

IDFC First Bank

23/02/2026 03:42

Feb 23 (Reuters) - Shares of India's IDFC First Bank IDFB.NS slipped 10% before the bell on Monday after the private lender disclosed suspected fraudulent activities amounting to about 5.9 billion rupees ($65 million) involving accounts of local government entities.

The amount under reconciliation is equivalent to roughly 0.9% of the bank's net worth and about 20% of its fiscal 2026 pre-tax profit, according to brokerage estimates.

In a statement to the BSE late on Saturday, the lender said the issue was limited to certain government-linked accounts at a branch in Chandigarh, in northern India, and that it had suspended four employees and initiated a forensic audit.

($1 = 90.7640 Indian rupees)

 (Reporting by Surbhi Misra in Bengaluru; Editing by Sumana Nandy)

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