The lender’s Managing Director & CEO Hari Hara Sarma, along with Executive Director Sekhar Rao, both quit, citing personal reasons in their letters on Sunday evening.
Karnataka Bank said in a statement that Sarma’s resignation will be effective from July 15 this year, while that of Executive Director Rao will be effective from July 31. Among the personal reasons cited by the MD & CEO in his letter, included his decision to relocate back to Mumbai.
On the flip side, Sekhar Rao, in his resignation, stated his inability to relocate to Mangaluru, along with other personal reasons.
A search committee has been formed to identify suitable candidates for the position of Managing Director and CEO, and a new Executive Director, Karnataka Bank said in a statement.
The lender has also appointed an experienced senior banker as Chief Operating Officer (COO), who will take charge on July 2, although it did not name the banker. Additionally, substitute arrangements are also being made, subject to the regulator’s approval.
Shares of Karnataka Bank are trading 6.6% lower on Monday at ₹193.97. The stock is down 21% from its 52-week high of ₹245.
First Published:Â Jun 30, 2025 6:34 AM IST
