Skip to content
Consider merging private bank Rbl with public lender, says Aibea

 |  Today Headlines

Consider merging private bank Rbl with public lender, says Aibea

| Latest News Headlines | Google News


RBL Bank’s Vishawvir Ahuja has resigned as the bank’s managing director and CEO, and the bank has appointed Rajeev Ahuja as the bank’s interim managing director and managing director with immediate effect. The Reserve Bank of India has also appointed its Managing Director Yogesh K Dayal as an additional director on the board of directors of RBL Bank.

RBL Bank, in a regulatory filing, said the bank’s board had accepted “Vishwavir Ahuja’s request for leave with immediate effect.” In a meeting held on Saturday, the board of directors appointed Rajeev Ahuja (currently executive director) as the bank’s interim managing director and managing director with immediate effect, subject to regulatory and other approvals, the bank said. Bank.

The other conditions of his appointment, such as remuneration, would remain unchanged. The bank said it received a communication from the Reserve Bank on December 24 and appointed its chief managing director Yogesh K Dayal as an additional director to the board of directors of RBL Bank for a period of two years, with effect from December 24, 2021 to December. 23, 2023 or until further notice.

“We would like to mention that the bank is well positioned to execute its business plan and strategy, as indicated in our call for results on October 28, 2021. The commercial and financial trajectory continues to improve, after meeting the challenges due to the Covid 2 pandemic, ”the bank said. The bank’s financial statements remain strong with a healthy capital adequacy of 16.3%, high levels of liquidity as evidenced by the liquidity coverage ratio of 155%, a stable net NPA of 2.14%, a 74.1% credit deposit ratio and a leverage ratio of 10. percent, for the quarter ended September 30, 2021, he said.

In addition, the bank has also improved the granularity of its deposits and advances, said RBL Bank. The umbrella body of bank employee unions, AIBEA, wrote a letter to Minister of Finance, Nirmala Sitharaman, expressing concern that all was not going well at RBL Bank and that everything was going in the direction of Yes Bank and Lakshmi Vilas Bank.

“We are concerned and concerned about the developments taking place in the business of RBL Bank Ltd, the private bank based in Kolhapur. “The sequence of events leading up to Vishwavir Ahuja’s sudden exit as well as Dayal’s induction from RBI to the board of directors as an additional member indicates that all is not well with the bank,” AIBEA said in his letter to the Minister of Finance.

Vishwavir had been running the private sector bank for a decade. While the board of directors recommended its continuation, we learn that RBI only gave its approval for a short period until 2022, added the AIBEA.

The bank was reported to have abused retail credit, microfinance and credit cards and consequently burned its finger, which weakened the bank’s finances, he said. “In the context of the problems faced by private banks like Yes Bank and Lakshmi Vilas Bank last year, we urge you to intervene immediately in the interest of the depositors of this private sector bank and consider the necessary measures, including the merger of this bank with a public sector bank, ”urged AIBEA’s letter to Sitharaman.

.

Consider merging private bank Rbl with public lender, says Aibea

| Business News Today Today Headlines
cnbctv18-forexlive-benzinga -Sp

Not all news on the site expresses the point of view of the site, but we transmit this news automatically and translate it through programmatic technology on the site and not from a human editor.