Yes bank


(AKGupta) #820

“The shortlisted names include the head of a foreign bank having a relatively large presence in the country, the chief of a state-run bank apart from the heads of some private sector lenders.”

“The panel has crystalised the broad criteria which it will be looking at, which includes the necessity for the candidate to have corporate banking experience given Yes Bank’s asset book focus, experience in capital raising and also a clean reputation which will ensure a sail-through with the regulator, the source said”.


(AtulD) #821

Yes Bank employees reduce shareholdings in bank.


(Yatharth) #822

Sheer sensational news. One may download from BSE on number of shares acquired by employees / Rajat Monga and what % has been sold/disposed off in the last 1 year.


(AKGupta) #823

#824

Now everybody is calling it a cleanup . What is the reason behind these changes being called as cleanup? How did these cockroaches came into the kitchen unnoticed? Or is it that these yes men are not needed anymore after RK’s removal?

Old trick by RK - surround yourself with Yes Men and old bureaucrats whose only achievement would be to survive a long career as an IAS officer. RBI must be taken to task for long delayed actions. These few bankers pose systemic risk to the economy.


(AKGupta) #825

Everybody needs a team they can work with. Even our PM got his team of bureaucrats from Gujarat to work with him at the center. That doesn’t mean they’re “Yes men” just means a leader wants a team he/she can work with. Some from Yes Bank’s top mgmt have been with the Bank since inception including Rajat Monga.

Just because some people agree on a decision doesn’t mean they’re Yes men. How else do you think decisions will be made if everybody is contradicting everybody else? There has to be someone who calls the shots. Every organisation is run that way.

You position Yes Bank as some criminal enterprise led by henchmen the worst of whom is Rana Kapoor.

I don’t think things are that worse. The Bank & its investors, including Rana Kapoor himself, have already paid the price for its NPA underreporting. With leader transition, I don’t expect things to further deteriorate.

Of course, I might be wrong. So can many who think the opposite.

Whatever it turns out to be, Yes Bank should prove to be an ultimate test of any investor’s convictions!


(Abhishek Jain) #826

This is nothing to do with clean up et all.
Basically, these old directors have been removed so that the new board is acceptable to both parties( Rana and Madhu).
Let us not speculate too much into it and show some empathy for those who have invested in this franchise.


(AKGupta) #827

To be sure, one should only stay invested in any stock out of his/her own conviction based on facts not emotions. To that end, one shouldn’t expect empathy from fellow investors. One can exit at a loss if not confident about the fundamentals.

No offense but just a thought. Cheers!


(mrai74) #828

(Abhishek Jain) #829

Fair point…empathy for not creating a false propaganda… I hope we remember Nestle saga on maggi couple of years back.
Business was intact,solid then also and rebounded later with full vigour.
The same is happening today as well in yes bank case.
People dont have even an iota of knowledge about business are writing obituaries about it daily.

“No offense but just a thought. Cheers!”


(Batterinram) #830

Yes the CEO needs a team to work with but that team is his senior management not the board. The board’s job is to primarily protect the shareholders including the minority shareholders (not just promoters). The fact that there are serious Corporate Governance issues with the company (yes I consider the huge NPA deviation as a CG issue) means the board comprising of Yes Men has not done its job. However this is not a problem limited to Yes Bank it is spread across corporate India. The CEO’s are larger than life personalities where as the board is generally made up of people who are not as famous. We all know the CEOs of ICICI, HDFC Bank and Yes Banlk but how many of us can name a prominent board member of these banks.


(mrai74) #831

Yes bank board exits due to differences with ceo Rana Kapoor… but what is baffling is Rana Kapoor himself is moving…


(Abhishek Jain) #832

Please go thru the above picture showing the investments more than 1% in yes bank. There has been new additions in September 2018 by the world’s largest mutual fund house Vanguard, to the tune of 2.24% which in INR terms is 495 Crores(for 56 Mn shares). The question is, have not they done due diligence in picking the script? should they have waited for the dust to settle down? If the bank has big issues as the folks/media is pointing out, then why the biggest fund house is buying it,at the time of distress…Think about it, take your own decision, do your own research and do not get influenced by what others say…ultimately its your money.
FYI Vanguard emerging markets funds other investments in India are: Reliance industries,HDFC,INFY,TCS,HUL,Axis bank,maruti,HCL,M&M,L&T,Bajaj finance,JSW steel,Airtel,Vedanta,TechM,Coal India, Ultratech,NTPC,SBI,iNDIAN Oil,Eicher, Indiabulls housing, Godrej,Titan,Grasim etc. …All solid names.

refer the link : https://investor.vanguard.com/mutual-funds/profile/overview/VEIEX/portfolio-holdings


(novice2014) #833

There is churning going on within the organization…

The question which disturbs me is with regard to the independent board member who suddenly found conscience and resigned due to differences.

Whether he was part of the board when board suggested Rana Kapoor’s name second time to RBI or not ?

If yes, and he did not show spine then, it appears to be opportunism.

Rats fleeing the sinking boat rather than actively contributing to and justifying their hefty perks…

Sadly, that is the story with most so called independent directors in India…

Government should bring a strict law to ban these people who are happy to allow organizations use one’s name as independent director at a hefty sum…

May be one or two can be jailed to set a precedence…


(aswin) #834

Yes Bank has come up with a much needed clarification on recent developments: https://www.bseindia.com/xml-data/corpfiling/AttachLive/04b3549f-1c59-45c2-b570-7f7dc30a5dba.pdf

Summary: Post the back-to-back resignation of 3 members, the board consists of 7 members including Rana Kapoor; their credentials/previous posts held are mentioned. (I feel this is to indirectly assure shareholders that there won’t be further surprises in the form of resignations.)

Moreover, they’ll meet on Dec 12th to discuss the final shortlist for new MD/CEO. On Dec 13th, they’ll meet again to discuss replacements for those who resigned recently. The doc also states that efforts are underway for mutual resolution with Madhu Kapur and family.


(rakeshgms) #835

The fund that you are talking about is an index fund. The only criteria for entry is the market capitalization. I wouldn’t read anything into their purchase.

DIsclaimer: I don’t have any position in the stock and don’t track it as well.


(Rohit) #836

I have a simple query , can anyone please help me in understand this.

RBI removed CEO for under reporting of NPA’s. Does that mean the NPA’s which were not reported earlier will appear in the future upcoming quarters. Will it increase the NPA’s by larger extant ?


(maniarjunan) #837

Hello Abhishek,
Please double check the JUN18 holding for “Vanguard emgering…”. They had a holding of about 1.19% in that quarter.


(dprashant) #838

RBI has not given any reason officially , NPA issue can be one of the likely reason and in addition to that there can be other issues too.

Disc- its of the top 2 holding in my PF


(AKGupta) #839

Mixed bag of news in this article: RC says bank is not focused enough on searching for new CEO.
Also RC says he believes in"inherent strength of the bank" & is hopeful that the bank will tide over the current crisis.

This is all as per “sources” so don’t know to what extent these are true…