Padma Bhushan N Vagul, Legendary Banker & Former ICICI Bank Chairman Dies At 88; Anand Mahindra, Others React

N Vagul, a prominent banker and former ICICI Bank chairman passed away on Saturday at the age of 88. As per the statement issued by his family, Vaghul who was also awarded Padma Bhushan, passed away in Chennai due to age-related ailments. Many renowned figures both in the business, banking sector, and parliament mourn the death of N Vagul.

In the early hours of Saturday, Vagul was rushed to Chennai's Apollo Hospital's multidisciplinary critical care unit and was later declared dead at 12.38 pm.

Born in 1936 in a remote village in South India, Narayanan Vaghul did not choose to be a banker or plan to achieve greatness in the sector, growing up. Graduating from Loyola College, Madras University in the late 1950s, Vaghul aspired to become a civil services personnel.

Had it not been for his father who once questioned him about the difference between civil services and State Bank. And that was the beginning of his career where he took one test for joining India's largest PSU lender, State Bank of India (SBI).

Till the early 1980s, Vaghul took many leadership roles in PSU banks. Vaghul worked at SBI for almost 19 years, in branches of Trichi, and Madras and later moved to India's financial hub, Mumbai in the 1960s.

He later moved on from SBI to take a teaching job at the National Institute of Bank Management and later in 1978 he joined another PSU, Central Bank of India as an Executive Director. He was also the chairman and managing director of another state-owned lender Bank of India in 1981, becoming one of the youngest leaders of a nationalised bank at the age of 44, before resigning from the position in 1984 as well.

But in 1985, Vaghul joined as chairman and managing director of the Industrial Credit and Investment Corporation of India (ICICI), which is now known as ICICI Bank. During his regime, he transformed ICICI from a public financial institution to holding the title of India's second-largest private bank. He stayed at ICICI Bank till 2009.

Narayanan wasn't just transforming Indian banks, he was also part of transfiguring many key businesses, one of them including Mahindra & Mahindra (M&M) the leading automobile company of India.

During his career, Narayanan achieved many renowned awards such as the Business Man of the Year Award in 1991 by 'Business India, the Lifetime Achievement Award by the Times publications, The Economic Times Lifetime Achievement Award, and the Corporate Catalyst - Forbes Philanthropy award in 2012. He also has a Padhma Bhushan, India's third highest civilian award, to his cap of success.

On the death of such a legendary banker, many popular figures including Mahindra & Mahindra chief Anand Mahindra have responded to the news, paying tributes to Narayanan and mourning his passing away.

Through his X handler, Anand Mahindra said, "Today, I grieve for the Bhishma Pitamah of Indian Banking-Mr. N.Vaghul, who passed away this morning." He added, "I grieve not just for a Titan of Indian Business but for one of the most inspiring & generous people I have ever had the good fortune to encounter."

Mahindra reminisced about the time when Narayanan was a member of the Board of Mahindra & Mahindra for many years, and from the time he took charge as CEO. Anand said, "he never failed to show his enduring support & encouragement through good times & bad."

Anand further shared a distinct story of how Narayanan guided him to never lose conviction in dire times. Anand revealed that he agreed to be the Chairman of Mahindra World City, Chennai when it was just taking shape as the 1st private sector SEZ.

At that point, Anand was told by his consultants that they had created a white elephant and it would be wiser to shut it down or turn it into a CSR project. Anand added, "But he (Narayanan) advised me never to lose conviction in something path-breaking."

"He was a diligent Chairman and always asked sharp questions about the strategy & situation of MWC," Anand added, "But not once did he get apprehensive & ask to step down as Chairman. He stuck with it right until it became a big financial success and an emblem of pride in our Group. And no one derived more joy in its success than he did."

While Jairam Ramesh, a Member of Parliament and general sectary of Congress Party's communications, said, "N. Vaghul, one of India's most distinguished bankers, has just passed away. He left his indelible mark both on public sector and private sector institutions and will be remembered most for his impactful tenure at ICICI. He played a crucial role in the financial sector reforms initiated by Dr Manmohan Singh as Finance Minister in late 1991."

Ramesh added, "He was an extraordinary mentor who had an uncanny instinct for spotting and nurturing talent. I fondly remember his wonderful sense of humour as well. His memoir is a delightful read."

Also, RBI governor, Shaktikanta Das said via his X handle, "Very sad to hear about the demise of Shri N.Vaghul. A visionary who made a huge contribution to India's financial sector. Every interaction with him was refreshing. May his soul rest in eternal peace. "

Apart from his inspirational journey in India Inc., Vaghul also leaves behind his Padma Vaghul, children Mohan & Sudha, and grandchildren Sanjay, Kavya, Anuv and Santosh.