BENGALURU: Karnataka Bank's Managing Director & CEO, Srikrishnan Hari Hara Sarma, has resigned from his position.
According to a release from the bank, Sarma cited personal reasons, including his decision to relocate back to Mumbai, for his resignation. The Board of Directors of Karnataka Bank has accepted his resignation, which will be effective from July 15, 2025.
The Bank's Executive Director, Sekhar Rao, has also submitted his resignation, citing his inability to relocate to Mangaluru and other personal reasons. His resignation has been accepted by the Board and will be effective from July 31, 2025.
The Bank has formed a search committee to identify suitable candidates for the positions of Managing Director & CEO and Executive Director. It has also appointed an experienced senior banker as the Chief Operating Officer (COO), who will assume charge on July 2, 2025. Additionally, substitute arrangements are being made, subject to the regulator's approval.
Regarding the Notes to Accounts contained in the audited financial statements for FY25, which led to an Emphasis of Matter in the Auditor’s Report, the Bank stated that the matter has been discussed and amicably resolved.
The Bank affirmed that it continues to take the necessary steps to ensure operational stability and assured stakeholders that it remains well-capitalized and financially sound. The transformational journey embarked upon by the Bank will continue unhindered, the release added.