In its first board meeting after a controversy erupted involving Chanda Kochhar and the Videocon Group, leading private lender ICICI Bank examined insolvency cases pending before the National Company Law Tribunal (NCLT) under the Insolvency and Bankruptcy Code, 2016. (IBC)
Furthermore, the private lender noted that contrary to the reports of a meeting being convened for discussing the alleged conflict of interest with the Videocon Group, the Board conducted the same as part of a routine set of meetings carried out in the first week of April each year to review the progress in the resolution of large cases.
"ICICI Bank's Board meeting being held on Monday is a pre-scheduled Board meeting convened for review of cases which are before National Company Law Tribunal under Insolvency and Bankruptcy Code, and other routine matters. It's important to note that the Board has been meeting regularly in the first week of April in the previous years too, to review progress in resolution of large cases," the bank said in an official statement.
Indian Investors Protection Council Trustee Arvind Gupta said the evidence in the case pointed out that Chanda Kochhar was herself a beneficiary of the loan, and said her husband Deepak Kochhar is an indirect beneficiary of the loan granted to Videocon.
"Venugopal Dhoot transferred money from Videocon Group to Supreme Energy, in which he had 90 percent shares. He promoted it and later transferred it to Deepak Kochhar. Deepak Kochhar then transferred his shareholdings to Pinnacle Energy. Pinnacle Energy was a trust formed by Kochhar family. Now they are saying they sold their shares of Nupower Renewables much before. NuPower Renewables was special purpose vehicle made to revert allegations in future. ICICI never gave it loan, but company was benefited," Gupta told ANI.
Meanwhile, the Central Bureau of Investigation (CBI) has also questioned few ICICI Bank officials as part of a preliminary enquiry to find if any quid pro quo was involved in the bank's issuance of Rs. 32.5 billion loan to the Videocon Group in 2012.