Class Action Filed Against HDFC Bank Over Alleged Irregular Payments

Kaplan Fox & Kilsheimer LLP has announced the filing of a class action lawsuit against HDFC Bank Limited (HDB) on behalf of investors who purchased or acquired the company's securities between July 17, 2023, and May 26, 2026. The lawsuit alleges that HDFC Bank engaged in improper practices, including the camouflaging of payments to induce deposits from a state firm.

According to the complaint, an article published in The Indian Express on May 27, 2026, revealed that HDFC Bank had made covert payments of approximately Rs 45 crore, or about $4.7 million USD, to the Maharashtra State Road Development Corporation (MSRDC) to encourage large deposits. An internal investigation conducted in March and April 2026 found that over ten top officials, including HDFC's CEO Sashidhar Jagdishan, were responsible for these payments.

The complaint further alleges that throughout the class period, HDFC Bank made false and misleading statements about its business, operations, and prospects, which failed to disclose the company's involvement in these practices. These activities, it is claimed, led to an overstatement of HDFC Bank's interest income and operating expenses, as well as an artificial inflation of the company’s stock price.

Kaplan Fox & Kilsheimer LLP, a nationally recognized law firm with a history of significant recoveries in securities litigation, is representing the investors. The firm has a long track record of successfully prosecuting complex securities, antitrust, and consumer protection actions, recovering more than $10 billion for its clients and the classes it has represented.

The complaint alleges that these practices violated not only regulations but also HDFC Bank’s own policies, which prohibit improper inducements. The lawsuit seeks to hold the company accountable and potentially recover damages for the investors who were affected by these alleged misrepresentations.