Mumbai: The management of about 94 years old The Lakshmi Vilas Bank (LVB) is in turmoil. Last week, the bank's shareholders ousted seven board members. In view of this, the Committee of Directors (COD) of the Reserve Bank has shortlisted the names of three candidates for the post of Managing Director and Chief Executive Officer.

The three names will be sent to the Reserve Bank within a week. Let us tell you here that the COD committee consists of independent directors Mita Makhan, Shakti Sinha and Satish Kumar Kalra. Committee member Shakti Sinha has said, "The bank cannot function without managing director and chief executive officer (CEO). The bank has interviewed for the post and selected three candidates. We will send our recommendations to the Reserve Bank within a week," he said. Sinha said that COD is running the bank as an administrator and there is complete transparency in the functioning.

Asked what happened so that shareholders took such a step, he said that there was clearly no confidence in those directors and voting was made to remove them.  Let us tell you that the bank has been trying to raise capital for the past few years but has not succeeded. The proposal for a merger with non-banking financial giant India Bulls Housing Finance Company was rejected by rbi in 2019.

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