Decision on continuation of Chibber as Chairman awaited
Excelsior Correspondent
Jammu, Oct 27: Reserve Bank of India (RBI) has given its formal approval for appointment of Baldev Prakash as Managing Director and Chief Executive Officer (CEO) of Jammu and Kashmir Bank for a period of three years.
However, there is no word on the fate of R K Chibber whose name had also been recommended by the Board of J&K Bank for the post of Chairman.
“Reserve Bank of India vide letter no. DOR.GOV. No. 1865/08.39.001/2021-22 dated October 26, 2021 accorded approval to candidature of Baldev Prakash as Managing Director and Chief Executive Officer (MD and CEO) of the Bank for a period of three years from the date of taking charge or April 10, 2022, whichever is earlier”, says the official communication which is in possession of EXCELSIOR.
Prakash would be replacing R K Chibber, who is presently operating as Chairman and Managing Director of J&K Bank. Last month, Chibber had been granted six months extension by Reserve Bank of India with effect from October 10, 2021.
Reliable sources said, “the Board of J&K Bank had in two separate proposals to RBI recommended appointment of Baldev Prakash as MD and CEO and Chibber as Chairman of the Bank. While formal consent has been given in case of Prakash, there is yet no word on the proposal of Chairman”.
Sources added, “there is also yet no communication on the actual date of taking charge by the new CEO/MD and the same will be decided soon”.
Previously, Baldev Prakash was working with State Bank of India in various capacities including as Chief General Manager (Digital and Transaction Banking Marketing) responsible for framing bank level policy and strategy for developing and providing digital and transaction banking services to all corporate clients of the Bank.
Besides this, Prakash has worked for over four years at Muscat (Sultanate of Oman) responsible for handling remittances business including treasury operations successfully, the bank said in a release.
On Oct 1, this year Jammu and Kashmir Bank had received shareholders’ nod to raise up to Rs 2,000 crore through equity and debt to fund its business.
They had also approved raising of equity capital of up to Rs 1,000 crore in one or more tranches by way of rights issue/preferential allotment/private placement or qualified institutional placement (QIP) or any other approved mode, the bank said in a regulatory filing.
Chibber had been appointed as Chairman and MD of the bank on a time gap basis in June 2019 ahead of his retirement in October 2019, after Parvez Ahmad was sacked from the position.
As per guidelines of RBI and SEBI, J&K Bank needs to split the position of Chairman and Managing Director.
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