Overview
- Atanu Chakraborty resigned with immediate effect, citing a mismatch between his personal ethics and certain bank practices over the past two years, and stated there were no other reasons.
- The board received his letter on March 18, and the Reserve Bank of India approved Keki Mistry as interim part-time chairman for three months starting March 19.
- Directors said they asked Chakraborty to spell out the issues referenced in his letter but he offered no substantive specifics, leaving several board members “baffled.”
- HDFC Bank’s shares fell as much as 8.7% in Mumbai and ADRs dropped about 7–8%, wiping out over Rs 1 lakh crore in market value, with the stock still under pressure the following day.
- Management and the RBI reassured stakeholders that operations and governance remain stable, though analysts flagged a lingering governance overhang and uncertainty around CEO Sashidhar Jagdishan’s upcoming reappointment.