Mangaluru: In a significant leadership development, the Board of Directors of Karnataka Bank has officially accepted the resignation of Mr. Srikrishnan Hari Hara Sarma, Managing Director & CEO, with effect from July 15, 2025. The resignation was tendered citing personal reasons, including Mr. Sarma’s decision to relocate back to Mumbai.
Adding to the top-level exits, Executive Director Mr. Sekhar Rao has also stepped down. His resignation, citing personal constraints and inability to relocate to Mangaluru, has been accepted and will be effective from July 31, 2025.
Leadership transition underway
In response to these resignations, the Bank’s Board has constituted a Search Committee to identify suitable candidates for the positions of Managing Director & CEO and Executive Director. The committee is expected to evaluate both internal and external candidates, with final appointments subject to Regulatory approvals.
Meanwhile, a senior and experienced banker has been appointed as Chief Operating Officer (COO), who will assume charge from July 2, 2025. Substitute arrangements are also in progress to ensure uninterrupted continuity of the bank’s operations.
Stability reaffirmed despite transition
The bank clarified that the Notes to Accounts in the audited financial statements for FY25, which led to an Emphasis of Matter in the Auditor’s Report, have been thoroughly discussed and amicably resolved.
In a public statement, Karnataka Bank reassured all stakeholders that the institution remains well-capitalised and operationally stable, reiterating its commitment to its ongoing transformation journey, which will continue unhindered despite leadership transitions.
This dual exit of top management comes at a time when Karnataka Bank is actively modernising its services and expanding its digital footprint, positioning itself as a future-ready financial institution rooted in its strong regional legacy.