HDFC Bank concluded an internal review of its deposit arrangements with the Maharashtra State Road Development Corporation (MSRDC) between 2017 and 2021. The board found that employee conduct represented business overreach without evidence of personal enrichment or malicious intent.
The board imposed a ₹1 lakh fine and issued warning letters to the Managing Director & CEO, the Chief Financial Officer, and the Group Head of Retail Assets. A Special Disciplinary Committee of Independent Directors recommended these penalties. The bank has initiated communication regarding the matter with the Reserve Bank of India (RBI).
The bank released the announcement after market hours on July 27, 2026. HDFC Bank shares closed 0.44% lower on the National Stock Exchange before the disclosure. The internal investigation followed May 2026 media reports of a shadow interest deal that caused previous market volatility.