Paytm Payments Bank, an associate entity of One97 Communications (OCL), which operates the Paytm brand, has appointed Arun Kumar Bansal as managing director (MD) and chief executive officer (CEO). Bansal is a former IDBI Bank executive.
The Reserve Bank of India (RBI) had approved Bansal’s appointment as the MD and CEO of the payments bank, he communicated on June 20 to IDBI Bank.
He resigned from his position as the executive director and head of treasury (on contract) at IDBI Bank.
“With pleasure, I wish to inform you that RBI has approved my appointment as MD and CEO of Paytm Payment Bank. Therefore, I hereby tender my resignation from the service of the (IDBI) Bank,” he said in his resignation letter.
Bansal added that since the former payments bank MD and CEO, Surinder Chawla, was due to retire from Paytm PB on June 26, he requested relief from his services at IDBI Bank on or before June 25.
Paytm PB’s former MD and CEO, Surinder Chawla, had resigned on account of personal reasons in April.
An emailed request for a comment to the payments bank’s CEO did not elicit a response till press time.
Bansal replaces Chawla as the new payments bank chief as the firm faces upheaval due to restrictions from the banking regulator.
Chawla’s resignation from the company was accompanied by other senior-level exits from the group following the RBI action.
Bhavesh Gupta, president and chief operating officer (COO) of Paytm, resigned from the company in May. Other exits include the resignation of Sumit Mathur, the company’s chief marketing officer, who quit the company after a year-long stint in April.
In March, Paytm founder Vijay Shekhar Sharma also stepped down from his role as non-executive chairman of Paytm Payments Bank, leading to its board being reconstituted.
Paytm Payments Bank had reconstituted its board by inducting former bureaucrats and public sector bankers.
The new set of independent directors on Paytm PB’s board includes former Central Bank of India chairman and managing director (MD) Srinivasan Sridhar, retired Indian Administrative Service (IAS) officer Debendranath Sarangi, former Bank of Baroda executive director Ashok Kumar Garg, and retired IAS Rajni Sekhri Sibal.
All of them had joined as independent directors, OCL said in February.
First Published: Jul 10 2024 | 8:05 PM IST
