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YES Bank's Rana and Madhu Kapoor to name one director each

January 30, 2019 18:49 IST

Sources close to the bank said non-executive and non-independent director Ajai Kumar had been recommended for the interim CEO role.

Private lender YES Bank on Tuesday said the bank’s two co-promoter groups, led by Rana Kapoor and Madhu Kapur, have agreed to nominate one representative director each on the bank’s board.

It has also recommended to the Reserve Bank of India (RBI) a senior board director for interim managing director (MD) and chief executive officer (CEO) roles.

 

Sources close to the bank said non-executive and non-independent director Ajai Kumar had been recommended for the interim CEO role.

He previously worked in leadership positions at Bank of Baroda and UCO Bank.

The senior board director will temporarily hold the office as “Board Director on Interim Special Duty (MD & CEO’s responsibilities)” from February 1 till such date Ravneet Gill assumes office in March, subject to RBI approval.

The two new appointed directors will be announced at the next board meeting in April.

This is intended to ensure better coordination and support by the two promoter groups with the new MD and CEO and the Board of Directors of the Bank, said the bank in a filing to the exchanges.

The RBI in October had refused to give incumbent CEO Rana Kapoor an extension till January 31.

The bank last week announced that Ravneet Singh Gill, managing director of Deutsche Bank, will succeed Kapoor and join the bank on or before March 1.

Rana Kapoor and his family together owned 10.63 per cent of the bank’s equity, as of quarter ended December, while Madhu Kapur owns 9.19 per cent, according to a BSE filing.

The bank said efforts were underway for mutual resolution and a truce between Kapoor and Kapur, and a select senior board of directors of the bank had also interacted with Kapur and the family.

Photograph: Danish Siddiqui/Reuters

Nikhat Hetavkar in Mumbai
Source: source
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