HDFC Bank has taken disciplinary action against 12 executives for their alleged involvement in the mis-selling of additional tier-1 (AT1) bonds linked to Credit Suisse. This includes the cancellation of salary increments and employee stock options for those implicated, notably Ashish Parthasarthy, the group head of branch banking and other divisions. The penalties follow previous actions taken by the bank, including the termination of three senior executives in March 2023 after an internal investigation revealed that clients were improperly advised to transfer their foreign currency non-resident deposits from India to Bahrain. The controversy originated when Swiss authorities wrote down Credit Suisse's AT1 bonds to zero during its emergency takeover by UBS, impacting many investors. HDFC Bank's managing director and CEO, Sashidhar Jagdishan, has stated that there was no fraud involved, describing the issue as a technical lapse in documentation rather than mis-selling. The Dubai Financial Services Authority has previously barred HDFC Bank's DIFC branch from onboarding new clients due to regulatory non-compliance, further complicating the bank's operational landscape.