He accepted responsibility for the derivatives portfolio discrepancy that caused a nearly Rs 2,000 crore impact on the lender’s finances.
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An independent investigation, in its report, blames the notional recording of profits by the bank in its internal derivatives trades.
A gaping hole in its books in the midst of a leadership crisis has seriously impacted India’s fifth largest private sector lender. Can its MIA promoters step up and restore the confidence of depositors and investors?
The CEO’s tenure has been extended to no more than a year by the RBI, instead of the three sought by the bank. The regulator’s message is loud and clear: this might be Kathpalia’s last chance at getting his house in order.