HDFC Bank (NSE:HDFCBANK, BOM:500180) on Wednesday strongly denied what it called "false, malicious and defamatory" allegations made by the trustees of Lilavati Kirtilal Mehta Medical Trust (LKMMT) against the bank and its chief executive.
LKMMT has lodged a report against HDFC Bank MD & CEO Sashidhar Jagdishan, alleging serious financial misconduct, according to a Livemint report on Monday. The Trust has demanded his immediate suspension and prosecution, accusing him of direct involvement in financial fraud, criminal conspiracy, abuse of fiduciary responsibility, tampering with evidence, and obstructing justice, the report said.
The bank said the claims were completely baseless and aimed at obstructing its legal recovery and enforcement process, according to an Indian bourse filing on Wednesday.
Reiterating its compliance with legal and ethical standards, the bank accused LKMMT of launching a "malicious campaign" with the objective of harming the bank's and its leadership's reputation.
HDFC Bank said it has initiated the process of taking legal action, including possible defamation proceedings, and will pursue all remedies available under law.
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