IndusInd Bank Chairman Sunil Mehta will step down after his term concludes in January, a Reuters report said. The latest leadership change at the private bank follows its largest-ever quarterly loss in the quarter ended March 31, after a $230 million hit to its accounts due to governance and accounting failures.
The incident prompted the departure of former CEO Sumant Kathpalia and Deputy CEO Arun Khurana earlier this year. IndusInd Bank’s board has faced criticism from investors over shortfalls in oversight and delays in disclosing the accounting lapses in its derivative portfolio, which led to the hit to the bank’s accounts.
According to the report, Sunil Mehta, who has been the chairman of IndusInd since January 2023, has informed the board of his intention to step down at the end of his term.
Organisation overall at IndusInd Bank
IndusInd Bank has been undergoing an organisational overhaul since senior banker Rajiv Anand took over as its CEO in August 2025.
This week, the lender appointed Ganesh Sankaran as the head of wholesale operations. Over the last three months, the bank has appointed a new chief financial officer, a chief human resources officer, and several other senior executives.
Earlier last month, Anand told Reuters that the process of filling gaps in the organisation and fixing accountability for the accounting discrepancies would be completed by the beginning of the next financial year.
He told that the bank will grow at a faster pace than the banking system and aims to achieve a return on assets of 1% over the next 12-18 months
Mehta’s previous experience
Mehta is the former chairman of Yes Bank, which underwent restructuring in 2020, and also of the state-owned Punjab National Bank, which was hit with a $1.8 billion fraud.
An IndusInd Bank spokesperson told Reuters that the bank’s chairman and the board “remain fully committed to leading the organisation in line with its strategic priorities” and the lender will “continue to make necessary disclosures in accordance with applicable laws and at the appropriate stage.”
A.P. Hinduja, a member of the UK-based Hinduja family, which is the largest shareholder in IndusInd Bank, told the Economic Times last week that the board was undergoing a restructuring process and plans to appoint new directors.