HDFC Bank has come under scrutiny from the Securities and Exchange Board of India (SEBI) for non-compliance with regulatory provisions. The bank has now received its second warning letter in less than a week.
SEBI’s initial warning stemmed from observations made during a routine inspection of HDFC Bank’s investment banking activities. The regulator flagged certain shortcomings and issued a cautionary note, urging the bank to ensure stricter compliance with prescribed guidelines.
The latest warning revolves around the resignation of Arvind Kapil, a senior executive at HDFC Bank. SEBI noted that the bank delayed disclosing Kapil’s resignation to stock exchanges by three days and failed to provide an explanation for the delay. SEBI has expressed serious concern over the violation and warned the bank to avoid similar lapses in the future.
As of December 17, 2024, 2:37 PM, the shares of HDFC Ltd. are trading at ₹1,832.60 per share with a decline of 1.75% from its previous day’s closing price. Over the last month, the stock has seen a surge of 7.47%. While over the year the stock has surged by 10.68%. The stock of HDFC Bank Ltd. has a 52-week high and 52-week low of ₹1,880.00 and ₹1,363.55 respectively.
SEBI has instructed HDFC Bank to take corrective measures, report these actions to its Board, and disclose the details to stock exchanges. The warning underscores the importance of maintaining transparency and adhering to regulatory timelines to avoid enforcement action.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
Published on: Dec 17, 2024, 3:29 PM IST
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