HDFC Bank on Friday said an independent legal review commissioned after the resignation of former non-executive chairman Atanu Chakraborty has found no evidence to substantiate concerns raised in his resignation letter, according to a stock exchange filing.
“In sum, the contemporaneous evidence reviewed was inconsistent with Mr. Chakraborty’s Statement, and External Law Firms’ review did not identify any basis for the Statement,” the bank said in its exchange filing.
The bank said external law firms—Wilson Sonsini Goodrich & Rosati and Wadia Ghandy & Co.—conducted a three-month review covering the two years preceding Chakraborty’s resignation.
The exercise involved scrutinizing meeting minutes and agenda papers, conducting interviews, and reviewing additional documents and information, as well as interviews with each of the Independent Directors, including the Chairpersons of the relevant Committees, the Managing Director & Chief Executive Officer, and other senior management personnel heading certain control and assurance functions of the Bank.
The reviewers found no contemporaneous record supporting claims of dissent or ethical concerns in board proceedings, and said witness interviews did not substantiate the allegations. While Chakraborty later referred to a “Dubai matter” in public comments, the firms said there was no evidence he had raised objections or recorded disagreement on that or other matters during his tenure.
“External Law Firms found that Mr. Chakraborty’s Statement and its implications were not substantiated by the record and witness interviews,” the bank said in the exchange filing.
The bank added that the minutes of the meetings Chakraborty attended were a product of a comprehensive drafting, review, and approval process that allowed Chakraborty to record any “happenings and practices” that purportedly were not in congruence with his personal values and ethics.
The bank added that the external Law Firms repeatedly requested that Chakraborty speak with External Law Firms as part of the legal review, but ultimately, the interview with Chakraborty did not occur. The report has been submitted to the board, bringing the previously announced legal review to a close.
