Kotak Mahindra Bank Joint Managing Director KVS Manian Resigns

Kotak Mahindra Bank Ltd.’s Joint Managing Director Krishnan Venkat Subramanian, also known as KVS Manian, resigned to pursue other opportunities in the financial services sector.

KVS Manian ceases to be the whole-time director designated a joint managing director with immediate effect, the Indian private sector lender said in a stock exchange announcement yesterday.

K.V.S. Manian, who worked with the bank for almost three decades, was redesignated as joint managing director in March this year.

“It is time for the next chapter, I am moving ahead with the belief and optimism that I can yet again find a fulfilling assignment,” KVS Manian said in his resignation letter to the board.

The exit comes at a time when Kotak Mahindra Bank is facing heat from the Reserve Bank of India (RBI) regarding its digital business.

On 24 April, the RBI directed the bank to cease and desist, with immediate effect, from i) onboarding of new customers through its online as well as mobile banking channels and ii) issuing fresh credit cards.

The banking regulator said these actions are necessitated based on significant concerns arising out of the RBI’s IT examinations of the bank for 2022 and 2023 and the continued failure on part of the bank to address these concerns in a comprehensive and timely manner.

Last week, S&P Global Ratings said the regulatory action preventing Kotak Mahindra Bank from onboarding new customers online or issuing new credit cards may set back its credit growth and profitability.

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