INSUBCONTINENT EXCLUSIVE:
The notice has been issued in connection with the Rs
3,250-crore Videocon loan case.
Stock markets regulator Securities and Exchange Board of India (SebI) issued
a notice to ICICI Bank, and its managing director and CEO Chanda Kochhar in connection with the Rs 3,250-crore Videocon loan case, the bank
The notice, which ICICI Bank received on Thursday, had sought responses from the second largest private lender for not adhering to the stock
market disclosure requirements in connection with the ongoing controversy over alleged conflict of interest involving Chanda Kochhar in the
favour received by NuPower Renewables, an entity in which Mr
Deepak Kochhar has alleged economic interests.Sebi sent the notice in the wake of responses sent by the bank to several queries in the
recent past relating to the Videocon case
The markets regulator felt that adequate disclosures were not made by ICICI Bank to the stock markets relating to the case.Thus, Sebi issued
the notice for alleged violations of certain provisions of the Listing Obligations and Disclosure requirements (LODR)
The notice has been sent under the Rule 4(1) of SCR (Procedure for Holding Inquiry and imposing penalties by Adjudicating Officer) Rules
As per the securities market regulator's LODR regulations, all listed entities are mandated to immediately disclose relevant and important
information to stock exchanges."Appropriate responses would be submitted to Sebi by the Bank in accordance with regulation," ICICI Bank said
in a regulatory filing.In 2008, Mr Dhoot set up a company with Deepak Kochhar and two relatives
Mr Dhoot later allegedly gave Rs
64 crore loan to NuPower Renewables through an entity owned by him
Later, he transferred the ownership of this entity to a trust headed by Deepak Kochhar for a meagre amount of just Rs
9 lakh, an Indian Express investigation had disclosed.The transfer of the company to Deepak Kochhar happened six months after Videocon Group
3,250 crore from ICICI Bank.ICICI Bank's management has denied the allegations on the grounds that it was not only ICICI Bank but a
consortium of 20 banks and financial institutions that sanctioned in 2012 credit facilities to the Videocon Group for a debt consolidation
programme and for its oil and gas capital expenditure programme aggregating to approximately Rs 40,000 crore.Besides CBI, even the income
tax (I-T) department has also tracked the Videocon case closely
During the course of investigation, the I-T department on May 15 questioned Mr Dhoot regarding an allegation of tax evasion
Earlier, Deepak Kochhar was also questioned and notices were issued to him for his alleged dealings with Mr Dhoot
The Central Bureau of Investigation (CBI) is conducting a preliminary enquiry in the case, whereby it is probing if there was any quid pro
quo arrangement when the loan was issued by ICICI Bank
