IndusInd Bank has experienced a significant decline in its stock price, falling more than 38% over the past six consecutive sessions. The sharpest drop came on Tuesday when the stock plunged by 27%, marking its worst trading session in history. On Wednesday, the stock continued its downward spiral, falling another 7% to reach a fresh low of ₹605.40 on the BSE. Accounting Discrepancies Trigger Investor Panic The sharp decline follows the bank's disclosure of accounting discrepancies related to its forex derivatives transactions. IndusInd Bank's internal review has estimated a one-time adverse impact of approximately 2.35% on its net worth. Given that the bank's net worth stood at ₹67,100 crore as of December 2024, this translates to an estimated financial hit of ₹1,577 crore post-tax and ₹2,100 crore pre-tax. Root Cause: Forex Trade Accounting Errors The root cause of the stock's downfall lies in the bank's failure to accurately account for past forex trades.