HDFC interim chair Keki Mistry assures governance stability, business continuity after Chairman's sudden exit

New Delhi [India], March 19 (ANI): HDFC Bank on Thursday sought to reassure investors and stakeholders on governance stability and business continuity following the resignation of acting Chairman Atanu Chakraborty, with Interim Chairman Keki Mistry underlining that the development has no bearing on the bank's operational strength or future growth trajectory.
Addressing analysts in a post-resignation conference call, Mistry emphasised that the institution's core framework remains intact, stating, "The bank operates with strong governance standards, controls, and risk management. Direction, business priorities, and executive abilities continue to remain as always at the bank."
He reiterated confidence in the bank's institutional resilience, adding, "We are committed to institutional resilience and investor confidence... We continue to build on the shared values and the potential of the institution."
On the circumstances surrounding the resignation, Mistry clarified that the board was not aware of any specific issues, noting, "None of us are aware of what specific issues he had... He didn't give any explanation as to his resignation." He maintained that there were no material governance concerns, asserting, "There has never been anything from the governance standpoint... which has come to the attention of the board."
Importantly, the bank struck a confident tone on near-term operations and growth outlook. Mistry categorically stated, "What happened yesterday has nothing whatsoever to do with the operational ability of the bank. None of that changes. The bank will do what it has always done."
Backing management continuity, he highlighted leadership stability under MD & CEO Sashidhar Jagdishan, saying, "Sashidhar has been running the bank successfully for the last three years, and we hope that he will continue to do so with the same devotion." He further added that Jagdishan "will only get more responsibilities as we move forward."
On the broader outlook, Mistry expressed strong conviction in the bank's trajectory, stating, "I am extremely confident... that the bank will come out very clean. We have truly the highest standards." He also signalled that the coming years could be particularly strong, describing them as "some of the best years in the history of the bank."
The interim chairman's appointment has been approved for three months, during which the board and nomination committee will initiate the process of identifying a permanent successor in consultation with the regulator.
The Reserve Bank of India's swift approval of the interim arrangement was cited as a sign of regulatory confidence, while the bank reiterated that governance, audit, and risk oversight mechanisms remain robust and unchanged. (ANI)