A day after IndusInd Bank acknowledged that frauds by employees had a role to play in accounting irregularities, Ashok Hinduja, chairman of the promoter group IIHL, expressed confidence that the interim management’s ‘swift’ clean-up would help rebuild trust in the private sector lender.

Coming out in support of the current leadership and the board, Hinduja also affirmed IndusInd International Holdings Ltd’s (IIHL) commitment to support the bank with further capital, if required.

"I express my continued, unequivocal trust in the chairman and board of directors of the bank for their appropriate, swift actions in order to address discrepancies and attendant areas of concern," Hinduja said in a statement.

On Wednesday, IndusInd Bank reported a Rs 2,329 crore loss for the March quarter amid accounting discrepancies in the derivatives portfolio.

"This would lead to higher standards of transparency and governance, leading to rebuilding trust in the bank," Hinduja said.

The actions have ensured that the bank's business remains healthy, with robust capital adequacy, he added.

Hinduja also lauded the Reserve Bank of India (RBI) for "addressing the issues in a very orderly manner with suitable guidance".

He said the continued confidence of customers in the bank shows their trust in the institution, and added that this trust "has always been upheld".

"This shall be a new dawn with a sanitised slate to regain the position the bank enjoyed for many decades," Hinduja said.