HDFC Bank Chairman Atanu Chakraborty resigns, citing differences with management

The non-executive Chairman of the country’s largest private lender, Atanu Chakraborty, resigned unceremoniously on Wednesday afternoon (March 19), citing differences with the board. The bank told exchanges that the RBI has approved the appointment of Keki Mistry as the part-time chairman of HDFC Bank for a period of three months.

"Certain happenings and practices within the bank, that I have observed over the last two years, are not in congruence with my personal Values and Ethics. This is the basis of my aforementioned decision," Atanu Chakraborty stated in his resignation letter.

Chakraborty — former economic affairs secretary of India — specifically thanked the independent directors on the bank's board.

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"I observed a great amount of energy and verve in the middle & junior levels of the organisation, which should form the core of a reimaged organisation. I also place on record my sincere appreciation for Secretarial, Compliance, Audit, and Group oversight functions," he said in the letter.

However, Chakraborty skipped thanking the top management of the bank and the executive directors. The current executive directors on the bank’s board include: CEO and MD Sashidar Jagdishan, Deputy MD Kaizad Bharucha, and executive director Bhavesh Zaveri.

Of them, Zaveri is on his way out as his term ends in April 2026. “Bhavesh Zaveri has requested not to seek re-appointment. He seeks to explore opportunities outside the banking sector, including in the group companies, if possible,” the bank had said in an exchange filing in January this year.

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Two different people with direct knowledge of the matter said that it was the Reserve Bank of India that expressed discomfort with the continuation of Zaveri on the board of the bank. Zaveri is part of the promoter group at Aurionpro Solutions — a tech vendor to the bank. The company is headed by Zaveri’s brother, Paresh Zaveri, as CEO and MD.

(This is a developing story. Check back for more details)