Meet man, who is behind over 9% surge in Bandhan Bank share price today

Bandhan Bank share price surged 9.2% in Friday's intraday trade to Rs 205 apiece, after the Reserve Bank of India (RBI) approved the appointment of Partha Pratim Sengupta as Managing Director (MD) and Chief Executive Officer (CEO) of Bandhan Bank.

Bandhan Bank said in a regulatory filing said that Sengupta's three-year tenure counts from the date of taking charge, which shall not be later than November 10, 2024.

Sengupta, who has been part of the banking industry for nearly four decades, previously held leadership positions at the State Bank of India, the country’s largest lender.

He was also managing director and chief executive officer of state-owned Indian Overseas Bank between 2020 and 2022. At Bandhan Bank, he will replace Chandra Shekhar Ghosh, who retired this July after nearly a decade at the helm.

Bandhan Bank stated in a separate filing that the National Credit Guarantee Trustee Company had completed an audit of loan claims filed by the lender under a guarantee scheme and said the remaining claims payout to the bank stood at 3.15 billion rupees.

The audit by the government agency was related to a set of loans the bank had given out as part of a government-backed scheme during the COVID-19 pandemic. The scheme was meant to ensure payments to lenders in the case of defaults on micro loans by small borrowers.

The Reserve Bank of India had appointed a director to the board of Bandhan Bank in June, while the audit was underway, without disclosing the reason for the move.

(With inputs from REUTERS)