HDFC Bank Securities Fraud Class Action

Hagens Berman, a national plaintiffs' law firm, has filed a securities fraud class action lawsuit against HDFC Bank Limited (NYSE: HDB) and certain top executives, including CEO Sashidhar Jagdishan and CFO Srinivasan Vaidyanathan. The lawsuit alleges that HDFC concealed material adverse facts regarding its business operations, financial accounting, and regulatory compliance. Specifically, HDFC allegedly funneled approximately Rs 45 crore (about $4.7 million) to the India — Maharashtra State Road Development Corporation (MSRDC) to induce large deposits, disguising above-market interest payments as marketing sponsorship for a road safety campaign. These practices allegedly violated State Bank of India (RBI) Master Directions and the bank's internal anti-bribery policies, leading to overstated interest income and operating expenses. The scheme began to unravel in March 2026 when Chairman Manas Chakraborty resigned, citing ethical concerns, causing a 7.28% drop in HDFC ADS. In May 2026, an investigative report by The Indian Express exposed the scheme, leading to a further 4.1% decline. Investors who purchased HDFC securities between July 17, 2023, and May 26, 2026, have until October 13, 2026, to seek lead plaintiff status. Hagens Berman is also encouraging whistleblowers to contact the SEC.