HDFC Bank announced today that an independent legal review has concluded, finding no substantiation for the claims made by its former Part-time Chairman and Independent Director, Atanu Chakraborty. The review, conducted by external law firms Wilson Sonsini Goodrich & Rosati and Wadia Ghandy & Co, scrutinized Chakraborty's statement made during his resignation, which cited "certain happenings and practices within the bank which were not in congruence with his personal values and ethics."
The comprehensive legal assessment evaluated whether any concerns raised in Chakraborty's resignation letter were evident, if he had recorded any dissent, and how such issues might have been addressed. According to HDFC Bank's exchange filing, the review found no contemporaneous support for Chakraborty's statement in board or board committee minutes, other materials reviewed, or communications regarding the approval of meeting minutes he attended.
Review Findings on Documentary Evidence and Witness Interviews
The external law firms determined that neither the bank's documentary records nor witness interviews supported or substantiated Chakraborty's allegations. Despite his post-resignation public statements referencing a "Dubai matter," the review identified no contemporaneous evidence indicating that he had raised concerns about his personal values or ethics, or disagreed with any decisions made by the board or its committees concerning this or any other matters.
HDFC Bank emphasized that the minutes of meetings attended by Chakraborty underwent a thorough drafting, review, and approval process, providing him ample opportunity to record any perceived discrepancies or practices. The review concluded that the contemporaneous evidence was inconsistent with Chakraborty’s statement, providing no basis for his claims.
Chakraborty's Response and Regulatory Context
In response to the bank's announcement, Atanu Chakraborty stated in an interview that the terms of reference and legal framework for the review were not shared with him. He maintained that the bank’s board failed to adequately introspect on the contents of his resignation letter.
Earlier, in March, the Reserve Bank of India (RBI) had also indicated that its supervisory assessments revealed no material concerns regarding HDFC Bank's governance or conduct. The central bank affirmed that HDFC Bank remained well-capitalized and maintained adequate liquidity.