HDFC Bank fines 3 senior executives ₹1L each over MSRDC
HDFC Bank just handed out ₹100,000 fines to its MD and CEO Sashidhar Jagdishan, CFO Srinivasan Vaidyanathan, and Group Head (Retail Assets) Arvind Vohra.
This happened after an internal check found issues with how deposits were handled for the Maharashtra State Road Development Corporation (MSRDC).
The bank's special committee of independent directors ran the investigation.
Committee finds overreach, no personal gain
Turns out, the execs went a bit too far in their business moves, what the committee called "business overreach." But there was no evidence of shady intent or personal gain.
The probe focused on MSRDC deposits from 2017 and 2021, including payments labeled "marketing spends," with earlier allegations about ₹450,000,000 connected to these deals.
HDFC says controls solid, no wrongdoing
HDFC Bank says its internal controls are solid and insists there was no wrongdoing.
Warning letters were sent to those involved, and the Reserve Bank of India was notified.
Plus, an independent legal review backed up these findings: no proof of governance issues or misconduct from former chairman Atanu Chakraborty's earlier concerns.