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He accepted responsibility for the derivatives portfolio discrepancy that caused a nearly Rs 2,000 crore impact on the lender’s finances.

The Kerala-based bank has been chasing costly and risky bulk term deposits amid tanking profitability.
As the private lender reeled from serial scandals, Hinduja insisted he was merely a shareholder. Board-level links, conflicts of interest and regulatory blind spots suggest otherwise.
After successive controversies and growing unease over promoter influence, the central bank is reshaping the lender—starting with management, moving to its board and tightening the screws on ownership.