HDFC Bank fines top executives 100,000 rupees each

HDFC Bank has imposed fines of 100,000 rupees each on its chief executive, chief financial officer, and group head of retail assets following an internal review of deposit arrangements with a state government body. The bank's board, acting on the recommendation of a special disciplinary committee, concluded the executives' conduct amounted to "business overreach" but found no evidence of malicious intent or personal enrichment.

The board made the decision at a meeting on July 23, 2026, and announced it in a regulatory filing on Monday, July 27. In addition to the monetary penalties for CEO Sashidhar Jagdishan, CFO Srinivasan Vaidyanathan, and Group Head of Retail Assets Arvind Vohra, warning letters were issued to other employees involved. The board also directed that the matter be communicated to the Reserve Bank of India.

The review centered on arrangements made in 2017 and 2021 to garner deposits from the Maharashtra State Road Development Corporation (MSRDC). According to earlier media reports, the bank allegedly paid approximately 45 crore rupees to MSRDC, classifying the payments as marketing expenses for a road safety campaign rather than directly as higher interest on...