Harkirat Singh out of private sector Rabo Bank venture

By Our Banking Bureau | 29 Apr 2003

Mumbai: Harkirat Singh, one of the three promoters of the proposed private sector Rabo Bank, has pulled out of the venture, stating that there is "lack of mutuality of the objective of the bank."

The Reserve Bank of India had granted an in-principle approval to the proposed bank in February 2003. The new bank was to be set up by three banking professionals in partnership with Rabo Bank of the Netherlands. Other individual promoters are Rana Kapoor and Ashok Kapur.

"I wish to withdraw as a promoter of this new banking company and I have resigned from the post of non-executive director of Rabo India Finance effective 31 March 2003. Developments in the recent past have convinced me that there is no longer a complete alignment with this vision going forward. Further, Rabobank now in consultation with the other two partners (in my absence) decided to appoint Ashok Kapur as the executive chairman and CEO. This decision is a further evidence of a lack of mutuality of the objectives of the bank as envisioned by me," says Singh.

Says Rana Kapoor, CEO and managing director, Rabo India Finance, however, says: "We value Harkirat Singh's contribution to our project greatly and it is a pity that he withdrew. His withdrawal was for wholly personal reasons."