*Ujjivan Small Finance Bank* has witnessed a large-scale exodus of its directors with as many as eight board members including its MD& CEO Nitin Chugh making a hasty exit in the last nine months.
The list includes independent directors, non-executive directors, additional director, and MD& CEO. They all have cited personal reasons. No one has raised any governance issues in their letter of resignation.
The directors include Vandana Viswanathan, Jayanta Kumar Basu, Biswamohan Mahapatra, Mahadev Lakshminarayanan, Ittira Davis, Mona Kachhwaha, Harish Devarajan, and Nitin Chugh.
The micro-finance turned Small Finance Bank, which is into group and gold loans, SME, personal and vehicle loans, has seen higher stress in its loan portfolio. *The combined gross NPAs and restructured book is over 15 per cent of the total advances* . Given the challenging operating environment, the bank has been making aggressive provisioning from profits to take care of future loan slippages.
The rising stress could be one of the reasons for directors to leave.
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