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Showing posts with label ICICI. Show all posts
Showing posts with label ICICI. Show all posts

ICICI board backs Chanda Kochhar amidst questions over Videocon

The Indian Express’ lead story today, headlined “Videocon gets Rs 3250-cr loan from ICICI Bank, bank CEO’s husband gets sweet deal from Dhoot”, details a stunning case of conflict of interest that involves country’s top corporate and bank. Essentially, the story pertains to what might have been a kickback from Videocon to ICICI Chief Operating Officer Chanda Kochar’s husband in lieu of a Rs 3,250-crore loan. This loan was declared as a non-performing asset in 2017.

However, The board of ICICI Bank threw its weight behind chief executive Chanda Kochhar, squelching speculation about nepotism and corruption over loans to the Dhoot family-promoted VideoconBSE group of companies. The lender’s stock price has dropped 6% in the past 10 days or so.

“The board has full confidence and reposes full faith in the bank’s MD & CEO Chanda Kochhar,” it said in a release. “On looking at all the above facts, the board has come to the conclusion that there is no question of any quid pro quo/nepotism/conflict of interest as is being alleged in various rumours.”

The loans were among those given by a consortium of about 20 lenders, the bank said. ICICI Bank’s share was about 10% and the rest was provided by others under the same terms and conditions.