NEW YORK: Ending weeks of speculation, Citigroup, the world’s largest financial services company has named Vikram Pandit, a native of Mumbai and Nagpur, India, as its Chief Executive Officer (CEO).

Fifty-year old Pandit will be heading the group that employs more than 300,000 employees, has 200 million consumer accounts in 100 countries and has more than $2.4 trillion in assets under management. Pandit beat out several candidates, including fellow Indian Ajay Banga, who runs Citi’s international consumer banking group.

Two other Indian names in the senior echelons at Citigroup — Victor Menezes and Rana Talwar – were also in the running for the top post. The Board of Directors of Citi announced the appointment of Pandit as CEO and member of the Board of Directors, effective immediately.

Sir Win Bischoff, who has been acting Chief Executive Officer since Nov 4, will succeed Chairman Robert E. Rubin, who will return to his previous duties as a member of the Citigroup Board of Directors and Chairman of the Executive Committee of the Board.

Pandit was most recently Chairman and Chief Executive Officer of the Institutional Clients Group, which comprises Citi Markets & Banking and Citi Alternative Investments. Previously, he was a founding member and chairman of Old Lane, LP, a multi-strategy hedge fund and private equity fund manager acquired by Citi in 2007.

Prior to founding Old Lane, Pandit held a number of senior positions at Morgan Stanley over more than two decades, including President and Chief Operating Officer of Morgan Stanley’s Institutional Securities Group, which included Morgan Stanley’s investment banking, fixed income and capital markets businesses.

Commenting on Pandit’s appointment, Rubin said, "Vikram has earned a reputation as one of the most respected leaders in the financial services industry. The combination of his deep executive experience and long history as a strategic thinker makes him the outstanding choice to be Citi’s CEO. During Vikram’s time at Citi, he has come to know this company and its people, and he has earned the respect of managers and directors alike for his incisive intellect and ability to balance risk and opportunity in making and executing tough decisions.

The Board is unanimous in its conviction that, as part of a new generation of executives in this industry, Vikram is the right leader to build on the exceptional strengths of this great company and take the steps necessary to lead us forward."

"Our company has tremendously talented employees, an unrivaled international franchise and plays an important and very special role in the global economy. I look forward to a long and active role at Citi," Rubin concluded.

Pandit said, "I am honored to become Citi’s leader to drive the changes we need. Citi is an extraordinary institution with tremendous talent, resources and capabilities and geographic and business scope.

Our challenge is to capitalize on these strengths to deliver the high-quality service and products our clients require and to generate the superior returns our shareholders expect. I will work closely with Win, Bob and Citi’s Board and management to assure that our strategy, structure, scale and diversification position the company for growth. Simplifying the company’s organizational structure and aligning our businesses and resources with appropriate goals and economic realities will be among our initial priorities."

"During this challenging time, Citi’s role in the global markets is more vital than ever. We will address our issues head-on while continuing to deliver value for our clients, shareholders, employees and the communities in which we operate," Pandit added. Pandit serves on the boards of Columbia University, Columbia Business School, India School of Business Hyderabad, India and the Trinity School (NY).

He is a former board member of NASDAQ, New York City Investment Fund, American India Foundation and the Council on U.S. Competitiveness. He earned a Ph.D in Finance from Columbia University. He also holds a Master’s degree and a Bachelor’s degree in electrical engineering from Columbia University.