Overview
- Shares fell as much as 19.6% intraday to ₹136 and closed down 17.3% at ₹139.85 after fresh media reports about potential ED scrutiny of online gaming transactions.
- The reported trigger was an unverified story suggesting the DGGI may recommend an ED probe, which the bank called non-factual and speculative.
- Fino said the confirmed investigation is by the DGGI, Hyderabad into alleged GST evasion linked to programme managers and merchants associated with multiple banks, not the bank’s GST compliance or core operations.
- The lender reiterated that it does not engage in gaming or betting activities and reported operational resilience with deposits up about 9% to roughly ₹2,900 crore as of March 13 and about 1.5 lakh new accounts since February 27.
- CFO Ketan Merchant is serving as interim head after MD & CEO Rishi Gupta was arrested by the DGGI on February 27, and Gupta’s challenge to the arrest is pending an order from the Telangana High Court on March 17.