HDFC Bank's Branch Banking Head Sampath Kumar to Appeal Termination, Sources Say Sampath Kumar, the former group head of branch banking at HDFC Bank, is reportedly planning to appeal against his termination, according to sources. The decision comes after the bank announced the removal of Kumar and two other Dubai-based senior executives for their alleged involvement in the mis-selling of additional tier-1 (AT-1) bonds issued by Credit Suisse through Dubai’s DIFC branch. A person close to Kumar, who requested anonymity, stated that the termination was based on an oversight issue rather than direct responsibility for the alleged misconduct. “He wasn’t directly responsible for what happened in Dubai,” the source said, adding that Kumar has informed them he intends to challenge the decision. The bank’s internal appeal process will be handled by its appellate authority, which is the board of directors. However, it remains unclear whether the entire board will review the case or if a specialized committee will be formed to address the appeal. Kumar, who oversaw the west and south zones of the bank’s retail branch operations, was also tasked with managing the bank’s international mandates, which likely contributed to his accountability for the DIFC branch’s alleged misdeeds. HDFC Bank confirmed the termination of Kumar and the two other executives in a statement to exchanges on Monday. The bank cited actions taken by the Group Non-Executive Directors’ Committee (GNRC) during a meeting on March 9, 2026, which included the removal of the three employees from the bank’s services. The GNRC, a body responsible for corporate governance and risk management, reportedly determined that the executives were accountable for their roles in the mis-selling of AT-1 bonds.#dubai #reserve_bank_of_india #hdfc_bank #sampath_kumar #credit_suisse
HDFC Bank shares plunged over 10% in four consecutive trading sessions, leading to a significant drop in the bank’s market capitalisation. The stock fell to an intraday low of ₹756.30 on the National Stock Exchange (NSE), with the market value of the bank being reduced by ₹1.34 lakh crore to ₹11.63 lakh crore. The decline followed reports that the bank had asked three senior executives to resign over alleged involvement in the mis-selling of Credit Suisse’s Additional Tier 1 (AT1) bonds. The affected executives included Sampath Kumar, group head of branch banking; Harsh Gupta, executive vice president for Middle East, Africa, and NRI onshore business; and Payal Mandhyan, senior vice president. According to reports, HDFC Bank is investigating claims that its employees, particularly in its Dubai branch, mis-sold high-risk AT1 bonds. The development coincided with the abrupt resignation of the bank’s non-executive chairman, Atanu Chakraborty, who cited differences over “values and ethics” as the reason for his exit. Keki Mistry, a veteran from the HDFC Bank Group, was appointed interim chairman following Chakraborty’s resignation. Mistry stated that while there were “relationship issues” between Chakraborty and the executive leadership, there were no “substantive” concerns regarding the bank’s operations or governance. This marked the first time the part-time chairman of HDFC Bank left midway, raising questions about the bank’s internal stability. AT1 bonds are perpetual, high-yield debt instruments issued by banks to strengthen their Tier 1 capital in compliance with Basel III regulations. These bonds have no fixed maturity date, meaning investors may not recover their principal on a set timeline. However, banks often include call options to redeem the bonds after a specified period.#hdfc_bank #atanu_chakraborty #sampath_kumar #harsh_gupta #payal_mandhyan
