/
•
•
Context is everything.
Detailed stories on technology startups, business and economic current affairs.
Detailed stories on technology startups, business and economic current affairs.
Already on a two-year extension (instead of the usual three), the banker hasn’t really moved the needle on the tasks he was set. Plus, his demand for a hike seems to be a fresh irritant for the RBI.
Sumant Kathpalia is going through a rough time.
On the one hand, the IndusInd Bank CEO has been at odds with the Reserve Bank of India over his pay. He wants a hike in the variable component, over and above his Rs 7.5 crore fixed annual compensation, but the central bank is having none of it, according to three people with direct knowledge of developments.
On the other hand, there is still a question mark over his extension at the helm of IndusInd Bank. While the board is backing him, his fate rests with the RBI, in whose eyes …
The central bank’s shift to a 100% collateral requirement threatens to erode leverage, reduce volumes and force a consolidation across prop desks.
High returns, RBI-regulated comfort, and easy withdrawals drew investors in. Now, with repayments drying up, the fintech platform, its NBFC partner, and the regulator are pointing fingers—leaving customers to chase their own money.
The RBI’s unusually harsh order raises deeper questions about management credibility—and whether investors should take assurances at face value.
