Fino Payments Bank on Thursday said its board has accepted the early retirement request of Managing Director and Chief Executive Officer Rishi Gupta, according to an exchange filing. The company said Gupta will cease to be the MD & CEO of the bank, while adding that an internal review did not indicate any prima facie case against him.
“Based on the information available with the Bank as of date, the Board believes that no prima facie case may be made out against Mr. Rishi Gupta,” the company said in its filing to stock exchanges.
To ensure leadership continuity during the transition period, the board approved a three-month extension for Interim Chief Executive Officer Ketan Merchant.
The tenure of Interim Chief Financial Officer Anup Agarwal has also been extended by another three months, the filing showed.
The development comes nearly three months after Gupta was arrested in a GST-related case, but was subsequently granted bail.
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The lender, however, did not specify the detailed reasons behind Gupta's early retirement request in the disclosure.
The development comes at a time when payments banks continue to navigate regulatory scrutiny, rising competition in the digital payments ecosystem and a broader push toward profitability and operational scale.
Fino Payments Bank said the interim arrangements are aimed at ensuring smooth functioning of the organisation until a long-term leadership structure is finalised. The company did not disclose any timeline for appointing a permanent MD & CEO.
The exchange filing further indicated that the board has taken the necessary steps to maintain operational and financial stability during the management transition.
ALSO READ: Fino Payments Bank CEO Arrested Under GST Act; CFO Ketan Merchant Appointed As Head
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