HDFC Bank is not going to have the post of deputy managing director - a post that was held by Paresh Sukthankar since March 2017 who decided to put in his papers on Friday - the bank’s managing director Aditya Puri said.
“Deputy MD role was created for Paresh Sukthankar valuing his contribution made to the bank…From the Board, there will no more be a deputy managing director,” Mr Puri told in an interaction with analysts on Monday, adding Mr Sukthankar - who was with the bank since it’s inception in 1994- was a contender to succeed him.
Mr Puri, who is the managing director of the bank since 1994, will hang up boots in October 31, 2020, when he reaches 70, the regulator mandated retirement age.
Mr Puri, strongly refuted that Mr Sukthankar’s resignation is related to succession.
“This (resignation) has nothing to do with who will be the successor, these are his personal reasons, he has given his life for the bank, please do not demean it,” he said. While he said Mr Sukthankar was a contender for the MD post but said there will be a search for the post.
Earlier, the bank’s management had said that the search will begin 18 months before Mr Puri retires.
“There are young competent managers, who are here to stay for the next 5 years. The vision and strategy is clear for that period. We have the depth of management, and this will not affect the regular course of business. Of course, it is a loss of a great resource. The board and I will take an appropriate decision in 10-15 days,” Mr Puri said.
He assured investors that Mr Sukthankar’s exit will not impact decision making in the bank.
“An institution with the size and depth of HDFC Bank is not subject to any one individual and there are enough senior people including executive director Kaizad Bharucha and chief financial officer Sashidhar Jagdishan to take over Sukthankar’s portfolio,” he said.
“It will be the same even when I leave the board,” Puri added.
HDFC Bank stock closed 1.15% lower than it’s previous close at Rs 2090.65.