Beleaguered LVB suffers yet another top-level exit as CFO puts in papers

S Sundar follows at least three other senior executives, including former CEO Parthasarathi Mukherjee, who quit in August

Lakshmi Vilas Bank has had another top level exit with Chief Financial Officer S Sundar having resigned from the post on Tuesday. 

The bank, which has been facing a massive crisis, has seen quite a few resignations in the Board and in the top management this year. 

In August, the Bank's then Chief Executive Officer Parthasarathi Mukherjee resigned from the position citing personal reasons.

He was followed by Supriya Prakash Sen, an independent director who resigned from the Board in October, an Anuradha Pradeep, a non-executive, non-independent dof the Bank who quit on November 1.

It mau be recalled that Sen quit days after the RBI initiated a prompt corrective action (PCA) against the private sector lender on September 28. The apex bank brought LVB under PCA as the lender had a very high level of bad loans, insufficient capital to manage risks and negative return on asssets for two years on the trot. 

TO make matters worse for LVB, the central bank on October 9 rejected a merger proposal between the lender and Indiabulls Housing Finance. The merger proposal had received all necessary approvals but the nod from banking regulator had been pending since May.