Dhanlakshmi Bank falls and rises

Yesterday evening, an Independent Director of Dhanlakshmi Bank, Sridhar Kalyanasundaram announced his resignation with immediate effect, citing various issues, right from factionalism and unethical business conduct.

The problems were mainly on Rights issue, capital enhancement of bank, conduct of Board and Committee meetings of the bank, Probity and lack of consensus on the various 'whistle-blower' issues raised to the Directors, unethical conduct of the Bank's businesses, unethical conduct of the Bank's businesses.

The market somehow shrugged off all this; though the stock first tanked 10% to an intraday low at Rs.26.30, it rose from there to in fact hit a new 52-week high at Rs.30.40 and is now trading at Rs.29 levels.