Atanu Chakraborty, former finance ministry bureaucrat, abruptly resigned as non-executive chair of India's largest private bank, HDFC Bank, citing irreconcilable ethical differences with internal practices. His departure, announced after Wednesday's market close, triggered an immediate 8.5% plunge in the bank's share price on Thursday morning. The Reserve Bank of India swiftly moved to calm markets, declaring 'no material concerns' regarding HDFC's conduct or governance.

HDFC, now a $133.6 billion entity following its 2023 merger with HDFC Ltd, remains India's second-largest bank by assets ($419bn), trailing only the State Bank of India. Chakraborty's interim replacement, Keki Mistry, asserted no specific issues were raised during discussions..