Habib Bank Limited (HBL) on Monday sent a notification to the Pakistan Stock Exchange stating that the bank’s President and Chief Executive Officer (CEO) Nauman K. Dar will retire in December, 2017. The bank has not revealed the reason for his exit, but recognizes his 15 years of service and wished him all the best for his next phase of life.
During his tenure at one of the biggest banks in Pakistan, a hefty fine worth $225 million was imposed on the bank by New York State Department of Financial Service (DFS) for not complying with anti-money laundering and risk management rules. As a result, the bank experienced a loss worth PKR 14.1 billion in July – September this year.
Nauman’s association with the bank started in 2003 when he joined Habib Allied International Bank, UK as CEO and in 2012 he was appointed as a CEO of HBL. Prior to joining HBL, Nauman has worked for Bank of America (BoA) and Citi Bank.
Rayomond Kotwal who is working as a chief financial officer (CFO) will serve as the interim CEO, until the board makes a formal appointment.
It appears that HBL is trying hard to address “control and compliance issues” that have affected its profitability.