Poonawalla Fincorp CTO Dhiraj Saxena steps down over ‘harassment, unnecessary interventions’ of CHRO

Poonawalla Fincorp Ltd.’s Chief Technology Officer, Dhiraj Saxena, has stepped down, citing harassment by the company’s Chief Human Resources Officer (CHRO). Saxena’s resignation, submitted on September 6, took effect on December 3, according to a regulatory filing shared late Friday.

In his resignation letter, Saxena stated that “harassment and unnecessary interventions” from the CHRO were hindering his ability to manage IT functions effectively. He claimed these issues created unrest within the IT team and affected overall delivery. “I have tried my best to collaborate, but it seems it is not as per the HR policy,” Saxena noted in his letter.

Leadership Transition Amid Challenges

Saxena’s departure comes during a period of significant leadership changes at Poonawalla Fincorp. Arvind Kapil, formerly of HDFC Bank, joined as Managing Director and Chief Executive Officer in June 2024. In July 2024, Harsh Kumar was appointed as CHRO. Reports suggest these transitions have caused disruptions, with concerns raised about Kapil bringing in new personnel.

I hereby resign from the post of Chief Technology Officer due to harassment & un-necessary interventions of CHRO which is impacting me in managing the IT function effectively and efficiently. This is creating major unrest in the team thereby impacting the IT delivery. I have tried my best to collaborate, but it seems it is not the intention of the other side.

Would request you to relieve me as per the HR policy.

I wish Poonawalla Fincorp all success in the future.”

The company, formerly known as Magma Fincorp, rebranded to Poonawalla Fincorp in July 2021 after its acquisition by Adar Poonawalla’s Rising Sun Holdings. It has since positioned itself as a leading player in the non-banking financial sector.

Saxena’s resignation raises questions about workplace culture and conflict resolution at the company. His letter concluded with a request for formal relief under HR policies and expressed good wishes for the organization’s future. However, the resignation of a senior executive under such circumstances could indicate deeper organizational issues.

Poonawalla Fincorp has yet to issue an official statement addressing the allegations or Saxena’s departure. Regulatory filings confirm the resignation and state compliance with SEBI disclosure requirements.