Bank CEO Quits After Mistakenly Crediting 9,000 Crores To Chennai Cab Driver (image/tmb.in)

Days after Tamil Nadu Mercantile Bank mistakenly credited Rs 9,000 crores to a cab driver, the bank’s CEO S Krishnan resigned from his post. Krishnan said he decided to resign due to personal reasons on his resignation letter.

“Though I still have about 2/3rd of a term to go, for personal reasons, I have decided to resign as Managing Director and CEO of the Bank,” Krishnan”s resignation letter reads.

“It has been about thirteen months since I joined this Bank. In these times, we have taken various measures to fortify the Bank and make it future ready. These include Business Process Engineering, a Digital Transformation, Strengthening the systems and procedures to make it more robust, enhancing the skill set, strengthening the risk matrix, imbibing the compliance culture etc.,” he added.

The resignation was accepted in a board meeting on Thursday.

The thoothukudi-based bank”s Board of Directors said that they have updated the Reserve Bank of India about the resignation. And thus, till the guidance from central bank is received, Krishnan will continue as MD and CEO.

S Krishnan joined as the head of the bank in September 2022.

The resignation comes after the bank mistakenly credits Rs 9,000 crores into a bank account of Chennai cab driver. At first, the driver thought it was scam but later when transferred Rs 21,000 to one of his friend’s accounts, the money got transferred smoothly. However, the bank debited the full amount from the account within minutes, says India Today.

In June, after the verification process, the Income Tax Department has also pointed out some irregularities.