GN Bajpai resigns from new IL&FS board; cites personal reasons

GN Bajpai has resigned as an independent director of the newly-formed board of debt-laden IL&FS, citing personal reasons, according to a release filed with the exchanges.

The government’s decision to appoint Bajpai was reported to have been questioned by proxy advisory firms. The reason was a conflict of interest issue raised by the SFIO against Bajpai, former chairman of the Securities and Exchange Board of India, and also an independent director of the now-defunct Kingfisher Airlines.

Bajpai's firm was said to have received payments for services to the Vijay Mallya-promoted airline when he was on its board. He resigned from his post in January 2012, just before trouble started brewing at the airline.