Exit at HDFC Bank: Board of HDFC Bank Ltd has approved appointment of external law firms to to examine the resignation letter of former part-time chairman Atanu Chakraborty, who stepped down last week citing concerns over “values and ethics.”
Shares of HDFC Bank rallied 2 per cent in today’s early trade, climbing to Rs 759.20 compared with the previous close of Rs 744.15.
What bank said?
The private lender said in a statement that Chakraborty did not mention any happenings and practices which were not in congruence with his personal values and ethics.
“To reinforce the robust governance standards of the Bank, the Board of Directors of the Bank at its meeting
held on March 23, 2026, took a proactive step and approved the appointment of external law firms(domestic
and international), to conduct review regarding Mr. Chakraborty’s resignation letter. The said law firms
have been advised to provide their report on the same within a reasonable period of time,” the statement added.
HDFC Bank chairman Atanu Chakraborty resigned
In its last Thursday filing, HDFC Bank said Chakraborty has on March 18, 2026, tendered his resignation as the part-time chairman and independent director of the Bank with immediate effect.
The bank further said, “Whilst the resignation letter of Chakraborty was dated March 17, 2026, the same was received by the Bank on March 18, 2026, at 15:17 hours (IST).”
Further, the filing said, based on an application made by the bank, the Reserve Bank of India on March 18, 2026, has granted its approval for the appointment of Keki Mistry as an interim part-time chairman of the HDFC Bank with effect from March 19, 2026, for a period of 3 months.
The RBI will continue to engage with the board and management on the way forward, it added.
Chakraborty’s exit has come ahead of the closure of the ongoing financial year 2025-26.
In the letter addressed to the Chairman of Governance, Nomination, and Remuneration Committee, HK Bhanwala, Chakraborty said, “There are no other material reasons for my resignation other than those stated above”.
Chakraborty was appointed part-time chairman effective May 5, 2021, almost a year after his retirement as Economic Affairs Secretary.
His term was extended for another three years in 2024 till May 4, 2027.
Chakraborty, a 1985 batch IAS officer of Gujarat cadre, retired as Secretary of the Department of Economic Affairs in April 2020.
Prior to that, he was Secretary of the Department of Investment and Public Asset Management (DIPAM). Both departments come under the Finance Ministry. Chakraborty became chairman during the reverse merger process of the bank with the parent entity HDFC Ltd, a leading mortgage firm in the country.
The merger of HDFC Ltd with HDFC Bank became effective on July 1, 2023, creating a financial behemoth with a combined balance sheet of over Rs 18 lakh crore.
(With inputs from agencies)
