RBI tells HDFC to postpone elevation of two top officials till new CEO is appointed
The Reserve Bank of India (RBI) on Wednesday asked HDFC Bank to postpone the elevation of two key board officials till the new CEO takes over. The private lending Bank's long-time Managing Director and Chief Executive Officer (CEO) Aditya Puri is set to retire in October this year. Puri has been at the helm of the bank since its inception in September 1994.
In November 2019, the HDFC had informed the RBI that it was appointing Sahshidhar Jagdishan and Bhavesh Zaveri to the position of Additional Director and Executive Director (whole-Time Director) subject to the RBI and shareholders’ approval.After receiving the communiqué, the HDFC has said that it would accordingly ensure compliance with the RBI’s instructions.
However, the elevation of the two officials had raised speculations that the two were probable candidates to Puri’s post.
The private lender received a communication from the top bank on Tuesday stating that ‘since these are important position in the bank, the bank is advised to examine and submit the proposal after a new MD and CEO assumes charge later this year’.