The country’s largest private lender HDFC Bank said on Tuesday that Anoop Bagchi has taken charge as its Managing Director (MD) and Chief Executive Officer (CEO). In a disclosure to stock exchanges, the bank said his predecessor, Shashidhar Jagdeeshan, had left the post after completing his tenure on Monday. Bagchi, a veteran ICICI Group executive, is the first person to take charge of HDFC Bank in its more than three-decade history. Prior to this he worked as MD and CEO at ICICI Prudential Life Insurance. He has joined HDFC Bank at a time when the bank is facing several challenges. These include challenges related to core revenue growth and margins, which have made investors wary.
Anup will meet all stakeholders
During the earnings call, Bagchi said that some work related to the merger with housing finance company HDFC in 2023 is yet to be completed. He also said that he will meet all stakeholders to understand the bank better. Speculations were rife whether Bagchi would work with the old team or bring in a new one. Meanwhile, he praised the strong and dedicated leadership of HDFC Bank. Before he took charge, veteran HDFC Bank executive and deputy managing director (DMD) Kaizad Bharucha announced his retirement by December this year.
Many kinds of allegations were made
Amid allegations of lapses on the governance front, Jagadisan decided not to extend his tenure. The bank’s own investigation also revealed some deficiencies. Such as raising large amounts of deposits by paying depositors more than the ‘Card Rate’, which was shown under a separate head. Jagdeeshan was also fined for this process. In March this year, the bank’s non-executive chairman Atanu Chakraborty suddenly resigned. Citing values and ethics, he questioned some of the working practices of the bank.
Appreciation of Jagdeeshan’s wonderful tenure
In a disclosure to the stock exchange on Tuesday, HDFC Bank said it greatly appreciates Jagdeeshan’s strategic vision and unwavering commitment during his illustrious tenure. The bank said his leadership has been instrumental in strengthening the bank’s operations, culture and customer-centric approach. The bank also acknowledged his instrumental role in successfully completing the largest merger in corporate India. At 09:56 am on Tuesday, shares of HDFC Bank rose 0.07 percent on the BSE to Rs. 688.7 per share, while the benchmark index was down 0.11 percent.
