ICICI Bank slips after ordering probe into whistle-blower's allegations

ICICI Bank fell 1.49% to Rs 281 at 9:36 IST on BSE after the bank said that it will start an enquiry into whistleblower complaint.

The announcement was made after market hours yesterday, 30 May 2018.

Meanwhile, the S&P BSE Sensex was up 94.47 points, or 0.27% to 35,000.58.

On the BSE, 1.17 lakh shares were traded in the counter so far compared with average daily volumes of 5.03 lakh shares in the past two weeks. The stock had hit a high of Rs 285 and a low of Rs 280.35 so far during the day. The stock hit a record high of Rs 365.65 on 29 January 2018. The stock hit a 52-week low of Rs 256 on 24 October 2017.

The board of directors, at its meeting held on 29 May 2018, decided to institute an enquiry to be headed by an independent and credible person, to examine and enquire into an anonymous whistle-blower complaint, disclosing certain information, alleging in substance that bank's MD & CEO had not adhered to provisions relating to "Code of Conduct" of the bank and legal and regulatory provisions relating to "conflict of interest" over a period of time, as also alleging quid pro quo in the course of her work in dealing with certain customers/borrowers of the bank.

The scope of enquiry would be comprehensive and include all relevant matters arising out of and in the course of examination of the facts and wherever warranted, use of forensics/email reviews and recordal of statements of relevant personnel etc. The enquiry would also cover all connected matters in the course of the investigation to bring the matter to a final close.

In keeping with the Whistle Blower Policy of the bank, the board has mandated its Audit Committee to take all further actions in the matter to operationalize this decision including in particular, appointment of an independent and credible person as head of the enquiry, determining the terms of reference of the enquiry, the period which will be covered by the enquiry etc. The audit committee will also, in consultation with the head of the enquiry, make arrangements to assist him with independent legal and other professional support as may be required.

ICICI Bank's net profit dropped 49.62% to Rs 1020 crore on 20.24% rise in total income to Rs 19942.97 crore in Q4 March 2018 over Q4 March 2017.

ICICI Bank is one of the leading private sector banks in India.

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