Fino Payments Bank shares crash 16% even as lender clarifies on ED probe reports

Fino Payments Bank shares crash 16% even as lender clarifies on ED probe reports

• Fino Payments Bank shares fell 16% after scrutiny reports
• Bank clarified it's only under DGGI investigation, not PMLA
• Deposit balances hit Rs 2,900 crore, 1.5 lakh new accounts added

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Shares of Fino Payments Bank fell over 16% to hit 52-week low on March 16 as a report said that certain online gaming transactions linked to the bank may come under scrutiny by the Enforcement Directorate.

The development comes after the bank recently disclosed that its Managing Director and Chief Executive Officer Rishi Gupta was arrested on February 27 under provisions of the Central Goods and Services Tax Act, 2017 and State Goods and Services Tax Act, 2017 by the Directorate General of GST Intelligence in Hyderabad.

The stock was trading in deep red in afternoon trade on March 16 even as the lender issued a clarification saying it's "not subject to any investigation by any authority other than DGGI (Hyderabad)" and added that the "ongoing investigation by DGGI is with respect to certain program managers and merchants".

The bank also said references in media reports to rejection of bail by a court are incorrect, and reiterated that it does not directly or indirectly engage in or promote any gaming or betting activities through any platform, website or channel.

"Certain program managers and merchants are associated with multiple banks including the bank, bank does not directly or indirectly engage in or promote any gaming or betting activities," the lender added in a stock exchange filing.

The bank said that media reports suggesting a probe under the Prevention of Money Laundering Act (PMLA) are “non-factual and speculative”.

On March 14, the bank said its deposit balances have increased by nearly 9% over the past two weeks, reaching an all-time high of around Rs 2,900 crore as of March 13, 2026.

The bank also reported strong customer traction, adding around 1.5 lakh new banking accounts since February 27, translating to nearly 10,000 new accounts per day.

As of December 2025, promoters held a 75% stake in Fino Payments Bank.