Sunil Mehta resigns as Adani Green Energy director, to join IndusInd Bank

Adani Green Energy (AGEL) on Friday said that its director Sunil Mehta has resigned to avoid any conflict of interest following his appointment as Chairman of IndusInd Bank.

"Sunil Mehta has informed the company that pursuant to RBI approval, he has been appointed as part-time/non-executive Chairman of IndusInd Bank Ltd (bank) and that he has been advised by the bank to relinquish his directorship in the company to avoid any conflict of interest, in view of on-going credit facilities extended by the bank to the Company," a BSE filing said.

Accordingly, it stated that Mehta has resigned as non-executive and independent director of the company with effect from today i.e. February 24, 2023, as per the attached resignation letter.

Mehta has also confirmed that apart from above, there are no other reasons for his resignation, it stated.

Mehta has resigned with effect from February 24, 2023.

In his resignation, Mehta said, "I have been advised that the bank has extended credit facilities to AGEL prior to my appointment as director of IndusInd Bank. In view of the applicable statutory/regulatory restrictions, the bank has requested me to relinquish my directorship in AGEL at the earliest as it will otherwise constrain the bank from renewing/rolling-over credit facilities till continuation of my directorship in AGEL."

He stated that "in interest of the bank's relationship with the AGEL, I resign as director of AGEL and from membership of all committees of the board of the company, effective immediately, i.e., February 24, 2023, to ensure full compliance with applicable regulations."

There are no other reasons for my resignation, he has said.