In a call with Macquarie analysts, the senior management of HDFC Bank, CEO-elect Shashidar Jagadeesan and CFO Srinivasan Vaidyanathan clarified on recent news reports.
CFO Srinivasan Vaidyanathan said that there is no ongoing case against HDFC Bank from US law firms. "The way law firms like Rosen work," Vaidyanathan said (Rosen Law was reported in the media as investigating HDFC Bank), "They are looking to see if they can garner some support against HDFC Bank and bring some plaintiffs to their side to file a case. There is no lawsuit, rather this is a lawyer advertising, looking for plaintiffs, saying, 'Come over, we will help you make a case.' "
Viadyanathan noted that this is the business model of some law firms. "On their website you will see that there are all major companies featured, from Airbus to McDonald's. There are several such law firms whose full time job is to create litigation"
On Experian, Vaidyanathan said that HDFC Bank contacted Experian after the news that Experian had written to RBI on HDFC Bank delaying repayment reports. Experian told them that they have written no such letter to RBI. "We have clarified with Experian that nothing has been reported to RBI by them, and they have not spoken to any journalist either", Vaidyanathan said. "I don't know from where the journalist got this information."