RBI has informed that “in view of the alternate board constituted by the bank, it is now advised that R Gandhi and Ananth Narayan Gopalakrishnan shall cease to be additional directors on the board of Yes Bank Ltd with immediate effect,” the bank said in a regulatory filing on Wednesday. in filing.
Earlier on March 17, the RBI had directed the bank regarding the extension of the terms of appointment of Gandhi, former deputy governor and Gopalakrishnan, associate professor. sp jain institute of management and researchAs Additional Director on the Board of Yes Bank for a period of one year from March 26, 2022 to March 25, 2023, or until further orders, whichever is earlier.
Last month, the private sector lender had reported the formation of an alternate board as it came out of the reconstruction scheme and returned to profit in FY22 after two consecutive years of heavy losses.
Central government notified Yes Bank Reconstruction Scheme On March 13, 2020, after the private lender faced a governance crisis due to mismanagement at the top level.
The reconstruction plan helped the bank achieve significant progress in record time and turned a full-year profit of Rs 1,066 crore for the bank with FY22.
The bank had suffered huge losses in FY20 and FY21.
The nine-member new board of the bank comprises current MD and CEO Prashant Kumar, Atul Malik, Rekha Murthy, Sharad Sharma, Nandita Gurjar, Sanjay Kumar Khemani, Sadashiv Srinivas Rao, T Keshav Kumar and Sandeep Tewari.
Shares of Yes Bank closed at Rs 13.61 on the BSE, up 0.59 per cent from the previous close.