Yes Bank’s independent director Mukesh Sabharwal is said to have quit the board of directors, making him the second board level exit this week ahead of its shareholders meet today as per media reports.
Mukesh, who is a former defence personnel, is supposed to have cited personal reasons for resigning from the board. He has been on the bank’s board since April 2012. His exit comes merely a day after Ajai Kumar, a non-executive director of Yes Bank who served as independent director resigned from the board due to personal reasons on Monday.
The bank has seen a spate of resignations in the past year amidst intense regulatory scrutiny on its founder Rana Kapoor who was denied another term. R Chandrashekhar, Ashok Chawla were the other board members who quit the bank last year.
Last month, RBI had appointed former deputy governor Rama Subramaniam Gandhi as an additional director on the board of Yes Bank for two years. The appointment was being seen as a precautionary measure, given the bank’s governance issues under the former MD and CEO Rana Kapoor. The new CEO Ravneet Gill, who took over in March, has promised to clean up the bank’s balance sheet and improve governance practices of the bank and has spoken of a culture change in the bank with being liabilities led than asset led. Gill’s focus will be on moving the bank on the path of having strong regulatory compliance and uncompromising governance standards.