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Following a board meeting in the evening, several directors met the Reserve Bank of India, after which the regulator approved Keki Mistry’s appointment at short notice. Mistry said this reflects the RBI’s comfort with the situation and confirmed that the regulator remains fully in the loop.

He added that the board will reconvene soon to decide the next steps, with discussions ongoing at multiple levels.

Keki Mistry said the board is not aware of any specific concerns flagged by Atanu Chakraborty in his resignation letter, adding that what prompted the communication “defies logic.” He said Chakraborty was asked during the board meeting to elaborate on any issues, but none were articulated.

Mistry emphasised that the board regularly conducts audits across functions and no governance lapses have come to its attention. He reiterated that there has been no power struggle within the board and described the functioning as cohesive.

Sashidhar Jagdishan said the bank remains committed to maintaining stakeholder trust over the long term. He added that engagements with the Reserve Bank of India have been constructive, with the regulator remaining supportive through ongoing supervision.

Mistry emphasised that the institution continues to be anchored in transparency, integrity and long-term value creation. He added that the board remains committed to safeguarding institutional resilience through the transition. The interim chairman said he would not have taken on the role if it did not align with his principles, reaffirming confidence in the bank’s governance and internal strength.

The board of HDFC Bank said that the merger has enhanced the lender’s scale and presence, while strategic direction and business priorities remain unchanged. Management reiterated its focus on building a strong, long-term legacy.

Keki Mistry said the board has not identified any material issues, with oversight remaining fully operational. He added that disclosures have been complete and transparent, in line with regulatory requirements.

Chakraborty thanked the bank’s independent directors, saying that there is a great amount of energy and verve in the middle and junior levels of the bank. “(This) should form the core of a reimaged organization. I also place on record my sincere appreciation for Secretarial, Compliance, Audit, and Group oversight functions,” Chakraborty’s letter stated.

In his resignation letter, Chakraborty wrote that certain happenings and practices within the bank that he observed over the last two years were not in congruence with his personal values and ethics. “This is the basis of my aforementioned decision,” he wrote.

HDFC Bank shares declined as much as 9% today, after its part-time Chairman and independent director, Atanu Chakraborty quit and Keki Mistry, the former CEO of HDFC Ltd., was appointed as the interim part-time chairman, with approval from the Reserve Bank of India.

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