| This follows a petition filed by the department of company affairs. |
| According to sources familiar with the development, the bank will now be managed by two Company Law Board nominees and two Reserve Bank of India nominees along with the chairman of the bank R Natarajan. |
| The two Company Law Board nominees are N R Krishnan and N R Sridharan. The two RBI nominees are B Ramaniraj and George John. The department of company affairs had in its petition said the recent controversy the bank, which has pitted a section of the directors of the bank against the bank's chairman, would lead to loss of depositor confidence. |
| The department's petition also said unnecessary personal issues between various parties could take the bank to insolvency. |
| The petition said the future administration of the bank would be jeopardised by the dispute between the parties. |
| The development comes two days after the Madras High Court vacated the interim order of a district court restraining the chairman from discharging his duties. |
| The petition was filed in the district court by the Tamilnad Mercantile Bank Shareholders Welfare Association. |
| All cases pertaining to the bank in the Madras High Court have been clubbed and will be heard by the Chief Justice. |
| The Madras High Court's decision came a week after a district court restrained Natarajan from discharging his duties. |
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