Federal Bank has received the final go ahead from the Reserve Bank of India (RBI) for the re-appointment of Shyam Srinivasan as the lenders Chief Executive Officer.
Srinivasan’s present term ends on September 23, 2020 and the re-appointment was be extended September 22, 2021.
In a corporate filing, the bank said, “As required under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements Regulations, 2015), we wish to inform you that the approval from Reserve Bank of India has been received on July 16, 2020 for the reappointment of Shyam Srinivasan as the MD & CEO of the Bank, w.e.f. September 23, 2020 (the completion of the present term of office) till September 22, 2021, along with remuneration as proposed by the Bank.”
Srinivasan was first named as the Managing Director and CEO of the Federal Bank on September 23, 2010. His association with the bank completed nearly a decade and during this tenure he held several positions and re-appointments.
In June this year, an RBI discussion paper on ‘governance in commercial banks in India’ had recommended to limit the tenure of the promoters of the bank as Chief Executive Officers (CEOs) and Whole Time Directors (WTDs) to 10 years if the person belongs from the promoter group and 15 years if he belongs to the non-promoter group.
As per the policy, Srinivasan will have time till 2025 to continue as CEO. The RBI also proposed to cap the upper age limit for CEO/WTDs of banks at 70 years.
Srinivasan holds over 20 years of experience in the banking sector and have worked with leading multinational banks in India, Middle East, and Southeast Asia
He is an alumnus of the Indian Institute of Management, Kolkata, and Regional Engineering College, Tiruchirapally.