A spokesman for HDFC Bank
confirmed to Bloomberg that there had been an investigation into the vehicle-financing unit but declined to give details.
"HDFC Bank’s management had been discussing a proposal for Khanna to stay on as the unit’s head for six months until October, to ensure continuity ahead of the retirement later this year of longstanding Managing Director Aditya Puri, according to the people. After the investigation, Khanna retired at the end of March in line with his contract, they added.
At 2:14 pm, the stock was trading 2.43 per cent lower at Rs 1,078.5 apiece on the BSE as against 27 points, or 0.08 per cent, rise in the S&P BSE Sensex at 36,621.86. The stock was the biggest loser on the Nifty Bank index. The Nifty Bank index was down 1.3 per cent at 22,108.30 level, having hit an intra-day low of 21,981.65.