The Paytm Saga Continues: Former Independent Director Manju Agarwal Steps Down From CMS Amid Criticism

Agarwal resigned from the board on February 1, citing “personal commitments."

Updated on: 6 March 2024 1:13 pm

Agarwal resigned from the board on February 1, citing “personal commitments."

Ever since Paytm Payments Bank Limited (Paytm), has been in trouble, several of its board members have resigned. One of them is Manju Agarwal, a former SBI official. Agarwal resigned from the board on February 1, citing “personal commitments." This was a day after the RBI imposed restrictions on Paytm Payments Bank on January 31.

Agarwal, who was with the SBI for 34 years, had been associated with Paytm since May 2021. The exchange filling says, “We hereby submit that our associate entity, Paytm Payments Bank Limited, has informed us that Manju Agarwal, independent director, resigned from the board of PPBL on February 1, 2024, due to her personal commitments, which were noted by the PPBL board on February 6, 2024.”

Agarwal has been a board member of several other companies, including Polycab, Glenmark Life, and Switch Mobility. Interestingly, she was also a board member of CMS Info Systems, a listed company that provides cash management solutions. She was seeking a reappointment from the company.

Agarwal faced criticism for this with scrutiny from proxy advisories regarding her decision to leave Paytm abruptly and focus on CMS Info Systems, reports the Economic Times. Eventually, Agarwal resigned from CMS Info Systems as well.

CMS Info Systems said that Agarwal resigned on March 1 from the post of non-executive independent director of the company. In her resignation, Agarwal wrote, “This is to inform you that I wish to step down from my role as an independent director of CMS Info Systems Ltd. (CMS) due to personal commitments. Therefore, I tender my resignation from the position of Independent Director, with immediate effect.”

On January 31, the RBI imposed business restrictions on Paytm for "persistent non-compliance and continued material supervisory concerns." Following this, Vijay Shekhar Sharma, the founder of Paytm, also stepped down from his post as the part-time non-executive chairman and board member.