mumbaihyderabad amitabh chaturvedi a veteran of the banking financial services industry who was brought in to steady the ship at scamhit karvy group as its ceo for financial services operations has put in his papers chaturvedi had joined the hyderabadheadquartered business house in december 2019 he resigned from his executive role in january this year and is currently on the boards of three of the karvy group companies as nonexecutive directorchaturvedis resignation letter submitted by karvy stock broking ksbl to the registrar of companies roc hyderabad is dated january 14 2021 i hereby submit my resignation from the post of chief executive officerfinancial services businesses and key managerial personnel kmp of the company in terms of the provisions of the companies act 2013 and the rules issued thereunder with effect from january 14 2021 chaturvedi said in his resignation letter addressed to the board of directors of ksblsources said that while he has resigned from the post of ceo kmp in the financial services businesses he has been asked to continue on the boards of three karvy group entities in a nonexecutive rolehe is on the boards of karvy capital the groups asset management arm karvy financial services the nbfc focused on providing financial support to msmes and karvy investor services the entity that offers investment banking and advisory serviceschaturvedi did not respond to tois calls and messages at the same time c parthasarathy chairman karvy group denied that chaturvedi had quit no he has not resigned from the services of the company he has stepped down as kmp he continues to be in the employment of the company as head of the financial services business and a ceo not being a kmp parthasarathy said he also denied that chaturvedi was serving his notice period at the groupchaturvedis appointment was announced by karvy group on december 31 2019 as part of a corporate restructuring exercise ostensibly aimed at cleaning up the house after the demat account scam by ksbl came to light in late november 2019the rejig came a little over a month after stock market regulator sebi banned karvy group flagship ksbl for pledging securities of its clients with lenders without permission from those very clients to raise funds this was a violation of the then newly introduced sebi rules that had kicked in on october 1 2019ksbl had pledged securities of around 95000 clients to raise over rs 2300 crore from various banks and financial institutions including icici bank hdfc bank bajaj finance aditya birla finance axis bank and indusind bankchaturvedi was brought in to clean up the mess at the groups financial services operations before joining karvy chaturvedi over a span of three decades had worked with essel group dhanalakshmi bank reliance now nippon mutual fund and icici bankto come out of the bad phase karvy had plans to sell off some of its assets to generate funds to pay off its loans release the pledged shares and pay back the same to ksbls clients