HDFC Bank Ltd. has appointed an external law firm to conduct a thorough review of Atanu Chakraborty's shock exit as part-time chairman and Independent Director of the bank, the lender confirmed in an exchange filing on Tuesday.
Chakraborty, who had joined HDFC Bank in 2021, had announced his resignation from HDFC Bank last week, as he pointed to ethical differences between him and how the bank operates, without providing further details.
The nature and tone of Chakraborty sent ripples through the stock market, with HDFC Bank's shares taking a sharp fall. Since his announcement, the lender's shares have fallen almost 12% ahead of Tuesday's market open.
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Following the sharp drawdown, HDFC Bank has now confirmed it has taken proactive steps to probe into Atanu Chakraborty's exit by hiring both international and domestic law firms, who have been advised to report their findings in a 'reasonable' time frame.
HDFC Bank has further clarified that the lender wasn't notified by Atanu Chakraborty regarding any practices that were not in line with his personal ethics.
"We wish to inform you that Mr. Chakraborty did not mention any happenings and practices which were not in congruence with his personal values and ethics," the lender said in an exchange filing.
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