HSBC Holdings is planning to wind down its private banking business in India following a strategic review of its global private banking operations in the country.
The bank will shut down the private banking operation by first quarter of 2016, according to media reports.
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The London-based lender will shift some 70 employees from the Indian private banking unit, led by Shantanu Ambedkar, to the Premier banking business under HSBC’s retail bank.
The reports added the bank will also offer selected customers a choice to move to HSBC Premier, its global retail banking and wealth management platform.
The bank will also invest in HSBC Premier in India to expand its range of product and services.
A bank spokesperson said: "This marks further progress in the HSBC group strategy to simplify business and deliver sustainable growth."
The spokesperson added that the bank will retain all its 32,000 employees in India.
The bank officials said that the closure was related to the scandal, which found out that over 1,000 Indians had parked over $4bn in HSBC Geneva till 2007. They added the move was not an outcome of any cost rationalisation measures.
