Attempt to remove Dhanlaxmi independent director may've led to abrupt exit
Dhanlaxmi Bank was planning a dramatic exit from the board of the Kerala-based lender, another story was unfolding.
The bank's largest shareholder had initiated a special resolution to remove the same director from the board a few days before he raised strong accusations against other directors in a letter addressed to the board, which was filed with stock exchanges.
In his letter addressed to the board, the largest shareholder, B Ravindran Pillai, proposed «removal of Mr Sridhar Kalyanasundaram from the board of directors», said two people aware of the development at the bank. Pillai proposed a special resolution at the annual general meeting scheduled on September 30 to remove Kalyanasundaram.
Pillai holds a 9.99% stake in the old-generation private bank.
The bank's managing director and CEO JK Shivan declined to comment on the matter.
Kalyanasundaram did not respond to ET's email but replied to a message that he was on a religious trip and had poor internet connectivity.
Pillai's letter to the board is dated September 13, while Kalyanasundaram tendered his resignation on September 16.
The largest shareholder proposed to the board to place his notice to the AGM under provisions of the Companies Act, the people cited above said. As per regulation, a board member can be removed from office after the approval of majority shareholders voting at the meeting convened.
