HDFC Bank's Chairman resigned abruptly in March over unspecified "ethical deviations," unsettling markets. The bank brought in corporate veteran Keki Mistry on an interim basis and commissioned three independent law firms to review internal communications.
The investigation concluded with a clean chit: the law firms found zero merit to the allegations against the former Chairman.
Rather than move quickly to appoint a permanent Chairman once cleared legally, HDFC Bank's board sought and received RBI approval to extend Mistry's interim tenure to September 2026.
The bank's rationale, per the board's approach: a hurried permanent appointment right after a governance crisis can unsettle investors, while a steady interim hand gives the search committee an unpressured runway to vet a permanent successor.
