Business Standard

Letter to BS: CEO, boards must follow the standards of corporate governance

Clawback provisions should apply not only to private banks but also to other RBI regulated entities like NBFCs


Business Standard
This refers to “RBI proposes to rein in pay of pvt banks CEOs” (February 26). The central bank has drafted regulations for clawback of the bonuses and stock options of CEOs of private banks where the Reserve Bank of India (RBI) Inspection Reports reveal wide variance in classification of non-performing assets (NPAs). This provision must be extended to cases of serious shortcomings in the functioning of the boards of these banks as they play a major role in the effective functioning (or the lack of) of these organisations. A case in point is of the ICICI Bank board which, despite

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Feb 26 2019 | 9:30 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on are available only to BS Premium subscribers.

Register to