Bandhan Bank Slips 20% As RBI Freezes CEO Chandra Shekhar Ghosh's Salary & Restricts Opening New Branches

Mumbai, October 1: Bandhan Bank shares have locked at 20 percent lower circuit in the early trade after RBI has frozen the CEO's salary and put a restriction on the bank for opening of new branches. The remuneration of the MD & CEO of the bank, Chandra Shekhar Ghosh stands frozen at the existing level, till further notice.

The stock was trading at its lowest level since its listing on March 27, 2018. It has fallen 39 percent from its all-time high level of Rs 741 touched on August 9, 2018. Bandhan Bank IPO: Subscriptions of Shares Upto 1.49 Times at Rs 370-375 on Day 3.

In a statement to the exchanges on Friday, the bank had said that it is taking the necessary steps to comply with the shareholder requirement and that it continues to engage with RBI.

The bank's majority stake is owned by Bandhan Financial Holdings Ltd, a so-called non-banking financial company (NBFC) that does not take deposits. Bandhan Financial Holdings has an 82.28 percent stake in the bank.

(The above story first appeared on LatestLY on Oct 01, 2018 10:20 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).