Atanu Chakraborty has resigned from HDFC Bank, raising questions about the bank’s internal practices and governance standards. Keki Mistry will serve as interim chairman.
Atanu Chakraborty has resigned as Part-time Chairman and Independent Director of HDFC Bank, effective March 18, 2026. His resignation comes amidst concerns regarding certain practices within the bank that he believes do not align with his personal values and ethics.
In his resignation letter, Chakraborty stated, “Certain happenings and practices within the bank, that I have observed over last two years, are not in congruence with my personal Values and Ethics.” He confirmed that there were no other material reasons for his resignation beyond those mentioned.
The bank has appointed Keki Mistry as interim Part-time Chairman for a period of three months, starting March 19, 2026. Mistry’s appointment has been approved by the Reserve Bank of India, ensuring a smooth transition following Chakraborty’s departure.
Chakraborty joined the Board of HDFC Bank in May 2021, a tenure that included the significant merger of HDFC Bank with HDFC Ltd. This merger created a conglomerate under HDFC Bank, making it the second largest bank in India.
Chakraborty described the merger as a momentous development, noting that the benefits are yet to fully fructify. His remarks in the resignation letter, however, have raised questions about the bank’s governance standards and internal practices.
As a retired IAS officer with over three decades of experience in public policy and financial administration, Chakraborty’s insights into the bank’s operations carry weight. His previous role as Secretary in the Department of Economic Affairs under the Ministry of Finance adds to his credibility in addressing governance issues.
The nature of Chakraborty’s remarks has sparked discussions among investors and analysts, who are now closely monitoring the situation for further clarity from HDFC Bank or regulators regarding the concerns he raised.
Chakraborty’s resignation highlights the importance of ethical governance in financial institutions, particularly in light of recent developments in the banking sector.
Details remain unconfirmed regarding the specific practices that led to his resignation, but the implications for HDFC Bank’s governance are significant.
As the banking community reflects on this development, it remains to be seen how HDFC Bank will address the issues raised and what measures will be taken to ensure adherence to ethical standards.
