**HDFC Bank CEO Faces FIR from Mehta Family Amid Loan Dispute**
The Mehta family has lodged a First Information Report (FIR) against Sashidhar Jagdishan, the Managing Director and CEO of HDFC Bank, following allegations related to the Lilavati Trust on June 8, 2025. According to a filing by HDFC Bank on the Bombay Stock Exchange (BSE), senior officials of the bank are being targeted by “unscrupulous persons” who are attempting to exploit the legal system to evade repayment of a long-overdue loan owed by Splendour Gems Ltd, a company linked to the Mehta family.
HDFC Bank has characterized the FIR as “frivolous,” labeling it “malicious and baseless.” The bank asserts that the Mehta family, having exhausted all other legal options, is now resorting to personal attacks against the bank and its executives in an effort to tarnish their reputation and pressure the bank to cease its recovery efforts. The bank stated, “Having exhausted all legal avenues without success, these individuals have now resorted to launching personal attacks against HDFC Bank and its MD & CEO in a clear attempt to malign their reputation and intimidate HDFC Bank into halting its recovery actions.”
This situation arises despite a 2004 order from the Debt Recovery Tribunal, which issued a recovery certificate for dues that remain “substantially unpaid” by the defaulter. Splendour Gems, owned by the Mehta family, defaulted on loans originally granted in 1995 by HDFC Bank and other consortium banks.
The allegations from the Lilavati Trust, which is controlled by the Mehta family, include claims of financial fraud and corruption involving HDFC Bank’s CEO and eight other individuals, including former bank employees, regarding the misappropriation of trust funds.
In response to the FIR, HDFC Bank has expressed its commitment to pursuing all legal avenues to recover public funds and to counter the retaliatory actions taken by the Mehta family. The bank stated, “HDFC Bank will continue to pursue all lawful remedies to recover public funds and address the retaliatory actions taken by the Mehta family as well as to defend the reputation and integrity of the Bank, its Directors, and other employees.”
As the situation unfolds, HDFC Bank’s shares are expected to attract attention from investors on June 9, 2025, as they assess the implications of the Mehta family’s actions against the bank.
**FAQ**
**What prompted the Mehta family to file an FIR against HDFC Bank’s CEO?**
The Mehta family filed the FIR following allegations related to financial misconduct involving the Lilavati Trust, amid ongoing disputes over loan recovery from Splendour Gems Ltd, a company they own.
