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Union Bank of India Dismisses Deposit Variation Reports as Inaccurate

Union Bank of India has dismissed recent media reports about variations in its deposits, calling them based on an unverified letter with factual inaccuracies. The bank clarified that its financial statements have received unmodified audit opinions, confirming a true and fair view. It noted that average total deposits and CASA levels from April 1-28, 2026 (unaudited) were higher than Q4 FY26 averages. The bank added that post-year-end deposit fluctuations are normal in the industry and the reports have no material impact on its financial position.

Key Points: Union Bank Denies Deposit Variation Reports

  • Bank dismisses reports as based on unverified letter
  • Financial statements have unmodified audit opinions
  • Average deposits and CASA higher in April 2026 vs Q4 FY26
  • Fluctuations post year-end are normal industry-wide
2 min read

Union Bank of India dismisses reports on deposit variation

Union Bank of India dismisses media reports on deposit variations, citing unverified claims and reaffirming strong financial health with audited statements.

"The bank said its financial statements undergo rigorous audit processes and have received unmodified audit opinions - Union Bank of India"

Mumbai, April 30

State-owned Union Bank of India on Thursday dismissed recent media reports regarding variations in deposits, stating that the claims are based on an unverified letter and contain factual inaccuracies.

In a clarification statement, the bank said its financial statements undergo rigorous audit processes and have received unmodified audit opinions, confirming a true and fair view in line with regulatory and accounting standards.

The bank said that it continues to focus on deposit growth, particularly in CASA (Current Account Savings Account) deposits, through targeted initiatives outlined in its investor presentation. These efforts have supported steady expansion in its deposit base.

According to the bank's internal data, average total deposits and CASA levels for the period from April 1 to April 28, 2026 (unaudited), were higher than the averages recorded in the fourth quarter of FY26.

The bank's MIS data showed total deposits at Rs 12.39 lakh crore in June 2025, moderating to Rs 12.22 lakh crore by December before rising to Rs 13.06 lakh crore at the end of March 2026 and Rs 12.61 lakh crore (as of April 28).

CASA deposits followed a similar trajectory, reaching Rs 4.60 lakh crore in March before easing to Rs 4.31 lakh crore, the bank highlighted.

It also noted that fluctuations in deposit levels immediately after the financial year-end are normal across the banking industry.

The bank further stated that the media report has no material impact on its financial position or operations, adding that the disclosure was made under SEBI's LODR regulations.

Shares of Union Bank of India on Thursday traded 1.47 per cent lower to Rs 164 from the previous close on the BSE. The PSU bank stock has touched a 52-week high of Rs 205.45 and a low of Rs 112.70 on the exchange.

- IANS

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Reader Comments

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Priya S
While the bank's response is reassuring, I wish they had addressed the source of the report more transparently. As a small shareholder, I'd appreciate if they also shared what the original 'unverified letter' claimed. Still, the stock slide today feels like an overreaction.
R
Rohit P
The way PSU banks are run nowadays is much better than 10 years ago. Glad they have robust audit processes. But I hope they track why deposits dipped between December and March—that's a 0.8% drop in three months. Every rupee matters for a bank like this. 🏦
K
Karthik V
Banks need to communicate better to avoid such confusion. The media should also verify before publishing—many retail investors panic sell on such news. Union Bank has a strong CASA ratio, and the FY-end dip is seasonal. No need for alarm. Hope the stock recovers soon.
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Nikhil C
As someone who works in a bank, I can confirm that deposit figures fluctuate significantly right after March 31. Corporates make large tax payments, and quarter-end window dressing reverses. The stock dip is a buying opportunity for long-term investors. Jai hind! 🇮🇳
D
Deepak U
I hold shares of Union Bank and was slightly worried this morning. Thankful for the timely clarification. The Rs 12.61 lakh crore figure as of April 28 is still higher than December's Rs 12.22 lakh crore—growth is clearly there. Just need more transparency on the press report's origin.

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