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Why Ashok Chawla quit Yes Bank

Updated : November 16, 2018 08:47:36 IST

Yes Bank shares plunged more than 1 percent on Thursday following the resignation of its non-executive chairman Ashok Chawla after he was named in the Central Bureau of Investigation chargesheet in the Aircel-Maxis case.

Sources also told CNBC-TV18 that differences with promoter Rana Kapoor may have also led to his exit.

According to sources, Rana Kapoor felt that Chawla, as the chairman of the board, did not make an effort to support him especially when the Reserve Bank of India (RBI) cut short his tenure and this may have led to souring of their relationship.

Reports also suggested that charges of alleged corruption in the Aircel-Maxis case also led to Yes Bank reviewing whether Chawla still met the fit and proper criteria.

The stock is likely to remain under pressure after Yes Bank on Thursday said OP Bhatt has tendered his resignation from his duties as an external expert of the search and selection committee with immediate effect.


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