The board of IndusInd Bank Ltd. has started the process for identifying potential chief executive officer candidates and has been advised by the Reserve Bank of India to submit proposals for new names for its approval by June 30, Chairman Sunil Mehta said on Wednesday.
The bank is making speedy progress on the same and the board is at an advanced stage in the selection process and is confident that recommendations will be submitted to the RBI well in advance of the timeline. "This will provide strong leadership and management stability at the bank," he said during an analysts' call.
In the interim, the committee of executives is entrusted to oversee the operations of the bank under the guidance of an oversight committee of the board, Mehta said.
The board and the management team are committed to ensure a smooth transition. This has come as the bank last month informed that as a direct result of these various investigations and accounting issues, IndusInd Bank Chief Executive Officer Sumanth Kathpalia and Deputy CEO Arun Khuranna announced their immediate resignations in April.
The lender's Chief Financial Officer Gobind Jain had resigned in January, just days before reporting the December quarter results.
In April, IndusInd Bank had informed the exchanges that it had sought approval from the RBI to constitute a "committee of executives" to discharge the duties, roles and responsibilities of the CEO. The committee of executives include Soumitra Sen, head of consumer banking and Anil Rao, head of operations.
For the quarter ended March, IndusInd Bank's net loss widened more than estimated in the January-March quarter, as the private lender disclosed additional accounting discrepancies
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