
Sumant Kathpalia Steps Down As IndusInd Bank CEO & MD Amid Accounting Issues
Sumant Kathpalia has resigned as Chief Executive Officer and Managing Director (CEO & MD) of IndusInd Bank, effective April 29, 2025.
In his resignation letter, Kathpalia stated he was taking moral responsibility for various acts of commission and omission brought to his attention.
The resignation follows the Reserve Bank of India’s decision to extend his tenure by only one year, instead of the three-year term requested by the bank. Kathpalia’s resignation is linked to ongoing issues over accounting discrepancies in the bank’s derivatives portfolio. IndusInd Bank has sought RBI approval to form an interim committee to oversee the CEO’s responsibilities. The bank has also engaged Grant Thornton for a forensic review and is realigning senior management roles to address the lapses.