
Hyderabad-based startup taps IBM to automate Letter of Credit processing


Hyderabad-based IT solution provider NeuroGaint Systems on Thursday collaborated with tech major IBM to launch an advanced Artificial Intelligence (AI) platform designed to transform Letter of Credit (LC) processing, a financial instrument used in international trade to provide payment security.
Founded in 2020 by a team of technology enthusiasts, with Sandeep Bandaru as the Chief Executive Officer, Naresh Sagi as the Chief Finance & Operations Officer, and Shankar Kambhampaty as the Chief Technology Officer, NeuroGaint has a presence in the USA, Australia, Singapore, and Malaysia, besides India.
Built with watsonx.ai and IBM Cloud Pak for Business Automation (CP4BA), the new solution dubbed NeuroLC is expected to enhance trade finance operations with AI-driven risk assessment, and regulatory compliance, enabling banks and financial institutions worldwide to streamline LC processing, including issuance, amendments, and settlements.

The solution uses blockchain technology for transaction security, while its cloud-based multi-language, and multi-currency support a seamless global deployment, the company said in a press release.
Shankar Kambhampaty, Chief Technology Officer, NeuroGaint Systems, “By harnessing IBM’s advanced AI technologies like watsonx, and their robust integration with enterprise and banking ecosystems, we are empowering financial institutions to achieve unprecedented speed and security in LC processing, while maintaining adherence to global regulatory standards.”
Sandeep Bandaru, Chief Executive Officer, of NeuroGaint Systems added that “financial institutions can now turn traditionally labour-intensive, error-prone processes into a streamlined digital ecosystem prepared to meet both current demands and future challenges.”

Beyond solving current inefficiencies, the NeuroLC platform will LC processing by up to 80%, reducing operational costs by 80%, and utilising an AI-powered detection system to minimise fraud risks by 99%, the company claims.
“Today’s financial sector faces unprecedented complexity. AI has emerged as the definitive solution for strategic transformation, operational efficiency, and improved return of investment (ROI) while addressing critical risk and compliance requirements,” said Yukti Punjabi, Director, of Ecosystem, IBM India and South Asia. Punjabi believes this collaboration furthers IBM’s commitment to responsible AI implementation through platforms like Watsonx, helping financial institutions integrate generative AI into core workflows to maximise productivity.
IBM has been actively working with the startup community in India offering them innovative AI-driven solutions. In October 2024, IBM acquired Bengaluru-headquartered software-as-a-service (SaaS) startup Prescinto for an undisclosed amount. Founded in 2016 by Anmol Singh Jaggi, Puneet Jaggi, and Sanjay Bhasin, Prescinto provides asset performance management (APM) software for the renewable energy segment.

IBM India, which accounts for one-third of the global workforce, clocked net sales of ₹30,459 crore, as per data collated by VCCedge, a data research platform and a sister unit of VCCircle. The revenue growth rate for the year ended March 2024 more than halved from 22% in FY23 when it clocked a topline of ₹27,854.6 crore, as per the data.
The IT major is also reportedly laying off thousands of US employees while simultaneously expanding hiring in India, as evidenced by thousands of job openings listed on its career portal as of March 28, despite no official announcement.