Weekend events are not linked to RBL Bank's asset quality: Interim chief

 Vishwavir Ahuja on "medical leave", hunt for a successor on, says bank

RBL Bank’s interim chief executive officer (CEO) and managing director (MD) Rajeev Ahuja on Sunday tried to allay concerns around the health of the bank. He said events during the weekend are not linked to RBL’s asset quality.

The bank said Vishwavir Ahuja, its managing director (MD) and chief executive officer (CEO), had on Saturday proceeded on leave with immediate effect on medical grounds.

After Viswavir’s resignation, the bank appointed executive director (ED) Rajeev Ahuja interim MD & CEO on Saturday, subject to regulatory and other approvals. The bank’s board of directors is currently engaged in finding Rajeev’s successor, a process that may take four to six months.

In an analysts’ call, Rajeev said there are five-seven people in the management team that are in the fray to take over as full-time MD & CEO. Besides the internal pool, the board will also consider external candidates, the management said.

The Reserve Bank of India (RBI) also appointed Yogesh Dayal, its chief general manager, as additional director on the board of RBL Bank for a two-year term on Saturday.

The financial position of RBL Bank remains robust with capital adequacy at 16.3 percent. It will be in a similar range this quarter (Q3FY22). RBL Bank will take a call on further capital raising after FY22. From FY23, the annual growth is expected to be 15-18 percent, the management added.