HDFC Bank Chair Quits Over Ethics Concerns

India's largest private sector lender, HDFC Bank, shares slid 5% on Thursday after part-time chairman Atanu Chakraborty resigned, citing governance and ethical concerns observed over two years. In his resignation letter dated March 17, Chakraborty stated that certain practices within the bank were "not in congruence" with his personal values. The bank's market cap stood at 13.08 trillion rupees ($140 billion) as of Wednesday, dwarfing State Bank of India's 9.95 trillion-rupee valuation. The interim chairman, Keki Mistry, pushed back during an investor call, stating no evidence of unethical practices had been provided to the board. India's Reserve Bank of India affirmed HDFC Bank has "sound financials" and no material governance concerns on record. However, analyst Deven Choksey warned of "significant selling pressure" ahead, advising caution until governance issues are fully resolved.