Yes Bank has denied a report alleging a cyber fraud loss of nearly $3.4 million involving government accounts. The lender said its systems remain intact and it suffered no financial losses.
The clarification follows a report by The Banker, a Financial Times Group publication. Titled ‘India on high alert after alleged $3.4mn cyber loss at Yes Bank’, it alleged that the incident occurred in late October 2026.
The bank described the claims as factually incorrect. It said the report did not reflect the actual position and that it had approached the publication seeking a retraction.
Yes Bank also said the publication of incorrect information could harm its reputation. Additionally, it could create unnecessary concerns among stakeholders.
“YES BANK remains committed to upholding the highest standards of banking security, operational integrity and customer trust,” the lender said.
Yes Bank faces separate AT-1 bond dispute
The clarification comes amid a separate dispute involving the reinstatement of Additional Tier-1 (AT-1) bonds worth Rs 8,415 crore.
Earlier this month, Yes Bank rejected allegations of wilful disobedience raised by Axis Trustee Services. The dispute concerns the bank’s delay in restoring the bonds after a Supreme Court order set aside their write-off.
Axis Trustee Services has warned that it could initiate legal action. The trustee sought reinstatement of the bonds within three days of its communication to the bank.
In a stock exchange filing, Yes Bank confirmed receiving the trustee’s letter dated October 28. The letter sought reinstatement of the bonds and completion of the required corporate actions within three days.
The bank said it did not accept the allegation that its conduct amounted to wilful disobedience. It added that its examination of the matter and assessment of the consequences aimed to ensure compliance with the Supreme Court judgment.
The lender therefore faces the possibility of contempt proceedings over the separate bond dispute. However, the bank’s denial of the reported cyber fraud loss remains distinct from the AT-1 bond matter.
