HDFC Bank on Wednesday announced that its chairman, Atanu Chakraborty, has resigned with immediate effect. In a regulatory filing issued late at night, the bank said Chakraborty submitted his resignation letter to the board on March 17.

The bank also clarified that there were no reasons for his exit beyond what was stated in his letter. His departure comes at a time when the lender continues to integrate operations following its merger with HDFC Ltd.

Ethical concerns highlighted

In his letter to the chairman of the bank’s governance, nomination and remuneration committee, Chakraborty raised concerns about certain internal developments. He wrote that some “happenings and practices” he had observed over the past two years were not aligned with his personal values and ethics. He stated that this formed the basis of his decision to step down.

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“Certain happenings and practices within the bank, that I have observed over last two years, are not in congruence with my personal values and ethics,” he wrote. “This is the basis of my aforementioned decision”, Chakraborty wrote.

Chakraborty also confirmed that there were no additional factors influencing his resignation beyond those mentioned.

Tenure marked by major merger

Chakraborty joined the HDFC Bank board in May 2021 and served as part-time chairman and independent director.

During his tenure, the bank completed its merger with HDFC Ltd, a move that significantly expanded its scale and position in the financial sector. In his letter, he described the merger as a major milestone, noting that while it made the bank the largest in the country, the full benefits of the integration are yet to be realised.

Keki Mistry appointed interim chairman

Following Chakraborty’s exit, the Reserve Bank of India has approved the appointment of board member and HDFC group veteran Keki Mistry as interim part-time chairman.

The bank said Mistry will hold the position for three months, starting March 19.

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Acknowledges board and staff

Chakraborty expressed appreciation for the support he received during his tenure. He thanked the board, senior management and employees for their cooperation and professionalism, and wished the bank continued success. “I would like to express my sincere appreciation to the Board and senior management for their cooperation and support during my tenure”, he wrote.

He also requested that necessary filings be completed with the relevant regulatory authorities.