• Trending India

This well-known bank is embroiled in a complicated locus. KNOW!

By Priti Kumari

The shareholders polled against one resolution out of 10, tabled at the Dhanlaxmi Bank`s AGM.

Akin to Laxmi Vilas Bank, Thrissur-based private lender witnessed a tough tussle between its shareholders and top management. During the 93rd Annual General Meeting of the Kerala- based bank,90.49% of its shareholders unanimously voted out the freshly elected MD & CEO, Sunil Gurbakshani. According to the sources, Gurbakshani`s endeavour to table such preferential issues which may pull down the shareholder`s present moieties results in discord. The Shareholders polled against the resolution of Sunil Gurbakshani`s appointment out of 10, tabled at the AGM. Gurbakshani was appointed recently on February 20, 2020, as MD & CEO for 3 years by the central bank.

Notwithstanding the financial stability since 9 quarters, Dhanlaxmi Bank undergoes a flurry of resignation. Before this, the former MD & CEO T Latha resigned in October 2019. In June end, its chairman & independent director Sanjeev Krishnan abruptly resigned, citing personal reasons. Along with Krishnan, other two veteran bankers K N Murali & G Venkatnarayanan also abdicated. Subsequently, RBI on September 28, appointed D Kashyap as a director on the bank`s board.

Seeking mediation, India Bank Employees Union (AIBEA) has written to RBI to fix the glitches. The bank had gone through various economic uncertainties between 2018 & 2012. With RBI`s mediation, this bank has recorded an unrivalled economic growth. Owing to which, C H Venkatachalam, general secretary AIBEA, has urged RBI Governor to meddle.

2 views0 comments