AU Small Finance Bank shares plummeted over 6% on Monday, February 23 after the Haryana government decisively removed the bank from its list of empaneled lenders due to serious allegations of fraudulent activities.
In a prompt response, the bank announced that it has initiated an internal review concerning two specific accounts. They firmly stated that both accounts were opened after completing all necessary KYC checks and requisite authorizations, fully complying with the bank’s internal policies and processes.
Additionally, IDFC First Bank faced similar repercussions, as the Haryana government de-empanelled it due to fraudulent activities tied to several employees at its Chandigarh branch, involving a staggering. ₹590 crore linked to government accounts. The bank has suspended four implicated officials and is actively cooperating with investigations.
Discussing the reasons of de-empanelment.On February 16, 2026, a department of the Government of Haryana sent the bank a message requesting account opening and transaction records for a particular account that the department had opened.
According to the bank, all of the needed account-related information has been submitted.
The department sent a separate notification to the bank on February 18, 2026, asking for details about alleged unauthorized transactions between the government account and another bank customer account.
That same day, the bank was notified by the Finance Department that it had been de-empanelled for government business in the state of Haryana.
AU Small Finance Bank share price today
AU Small Finance Bank share price today opened at ₹990 apiece on the BSE, the stock touched an intraday high of ₹998, and an intraday low of ₹950.50 apiece on the BSE.
According to Rajesh Bhosale, Equity Technical and Derivative Analyst at Angel One, AU Small Finance Bank share price today after failing to cross the key hurdle near 1040, the stock witnessed a sharp sell-off in today’s session, declining over 6%.
“The next crucial support is placed around 940, coinciding with the 89-EMA and the previous swing low. A decisive break below this level could trigger further downside towards sub-900 levels. On the upside, the gap near 1000, aligned with the 20-EMA, is likely to act as immediate resistance,” said Bhosale.
Ruchit Jain, VP – Head of Equity Technical Research, Motilal Oswal Financial Services, also explained that the stock has witnessed selling pressure and has breached its 50 DEMA support today. The volumes are correction are high hinting at profit booking post the recent run up.
“The immediate support is now placed around ₹944 while ₹1,040 will be seen as a hurdle,” added Jain.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
