National Housing Bank Orders Forensic Audit of SRG Housing Finance
The National Housing Bank has initiated a forensic audit of SRG Housing Finance, citing growing concerns over alleged dubious lending practices. The audit will scrutinise allegations of fictitious loans, including unsupported accounts and discrepancies in repayment records. Auditors are set to examine consumer data and loan origination processes to uncover any fraudulent activities, building upon earlier findings that raised red flags about the company's operations.
Why it matters
A forensic audit is a deep dive into financial records to uncover fraud or financial misconduct, and its initiation by the National Housing Bank suggests serious irregularities are suspected. For the housing finance sector, this reinforces regulatory scrutiny on lending practices, particularly for smaller non-banking financial companies (NBFCs). Other housing finance companies (HFCs) might face increased scrutiny on their internal controls and loan book quality. The outcome of this audit could lead to significant penalties, management changes, or even regulatory intervention for SRG Housing Finance, and could influence future NHB oversight across the sector.
The Economic Times · Mon, 5 October 2026
Read more →UPI MDR Above ₹2,000: Survey Shows 76% May Shift to Cards or Cash if Fee is Passed On
A recent survey of over 67,000 UPI users suggests that a significant 76% may opt to use cards, cash, or bank transfers for purchases exceeding ₹2,000 if merchants pass on the proposed 0.4% Merchant Discount Rate (MDR) (a small fee paid by the merchant for processing digital transactions). Only 14% of respondents indicated they would continue using UPI and bear the additional cost. This comes as a new MDR framework is set to apply to UPI merchant payments above ₹2,000 from October 15.
Why it matters
This survey highlights a potential shift in consumer payment behaviour for higher-value UPI transactions if the MDR is indeed passed on. For banks, this could mean a potential dip in UPI transaction volumes and value for Person-to-Merchant (P2M) payments above ₹2,000, while usage of debit/credit cards or net banking might see a resurgence. While the intention of MDR is often to monetise payment infrastructure, its implementation might inadvertently incentivise a return to traditional payment methods for larger transactions, impacting digital adoption rates. Banks should monitor these trends closely to adjust their payment platform strategies.
Livemint · Mon, 5 October 2026
Read more →SBI Appoints Deepak Kaushik as Chief General Manager of Bengaluru Circle
State Bank of India (SBI) has appointed Deepak Kaushik as the Chief General Manager of its Bengaluru Circle. Kaushik, who previously served as the Country Head for East Asia, will now oversee the bank’s second-largest circle. The Bengaluru Circle comprises 1,573 branches spread across the state of Karnataka, making it a critical region for SBI's operations and customer base.
Why it matters
This is a significant leadership appointment within India's largest public sector bank. A Chief General Manager of a circle as large as Bengaluru oversees substantial operational responsibility, including branch network management, credit disbursement, and customer service for a vast number of accounts. Kaushik's prior international experience as Country Head for East Asia suggests a background in navigating complex markets and managing diverse portfolios. His leadership will be crucial in driving SBI's strategic objectives and maintaining its market share in the dynamic and economically important Karnataka region. Such appointments often signal strategic priorities for the bank in that specific region.
The Hindu BusinessLine · Mon, 5 October 2026
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