In his resignation letter, Bansal said he is quitting from Ujjivan Small Finance Bank's board “in the interest of propriety and corporate governance as an entity owned and controlled by him has made an application to the Reserve Bank of India for a universal banking license."
“I would like to resign as an Independent Director of the Bank with effect from January 27, 2020. Consequently, I shall also cease to be a member of various Board Committees of the Bank,” he wrote in the letter.
Bansal, who founded Navi Technologies after moving out of Flipkart in 2018, will now focus on the financial services sector, including insurance and banking. Earlier this month, Navi Technologies said its microfinance arm, Chaitanya India Fin Credit Pvt. Ltd (CIFCPL), has formally approached the Reserve Bank of India (RBI) for a universal banking licence.
“Given an entity owned and controlled by me has made an application to the RBI for a universal banking license, I felt it was — in the interest of propriety and corporate governance — only appropriate that I stepped down from this role,” he said, adding that there is no other material reason for his resignation.
The bank confirmed that it has received Bansal's resignation letter dated January 27 and the Board of Directors has taken note of it.