Chanda Kochhar-case: Whistleblower asks government to dig deep

India

25 Jan 2019

Chanda Kochhar case: Whistleblower says it's just "tip of iceberg"

On Thursday, the Central Bureau of Investigation (CBI) charged former ICICI Bank CEO Chanda Kochhar with criminal conspiracy, but the whistleblower has said this is just the tip of the iceberg.

The case relates to irregularities in a loan. In the alleged scam, Chanda, her husband Deepak Kochhar, Videocon head Venugopal Dhoot and two others were also named as accused.

Context

Backstory: Chanda, the head of ICICI, sanctioned Dhoot's loans

Backstory: Chanda, the head of ICICI, sanctioned Dhoot's loans

The case pertains to an alleged Rs. 3,250 crore scam. Dhoot got a loan from ICICI when Chanda was the CEO of the bank. In return, Deepak and other relatives of the Kochhars got several benefits.

After the case caught attention in March last year, several agencies including CBI, SEBI, RBI and US' SEC (Securities and Exchange Commission) launched separate investigations.

Whistleblower

Chanda found 'new ways' to make profit, claims whistleblower

Speaking on the development in the case, whistleblower Arvind Gupta said the agencies need to scratch the surface to reveal more such irregularities in the Indian banking system.

He claimed though the companies which were given loans by ICICI went bankrupt, Chanda found 'new ways' to make profits.

Gupta said all banks face similar situation and loans should be given on merit basis.

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Government should look into foreign funding in Indian companies: Gupta

"As a shareholder, I felt that these are things people must know. So I informed everybody. I would like the government to look into foreign funding in Indian companies because Chanda Kochhar's case is just the tip of the iceberg," Gupta reportedly said.

Details

Earlier, ICICI bank had given clean chit to Chanda

Earlier, ICICI bank had given clean chit to Chanda

The money given to Dhoot was part of Rs. 40,000 crore loan which Videocon received from a consortium of 20 banks, which was led by the State Bank of India.

Notably, when the allegations surfaced, ICICI stood by Chanda saying there was no conflict of interest.

But the FIR filed by CBI tears into the bank's claims and highlights she sanctioned the loan.

Findings

Chanda got undue benefit through her husband, noted CBI

The investigative agency mentioned Chanda was part of a committee which sanctioned loan to Videocon International Electronics Limited on September 7, 2009.

A day later, Dhoot gave Rs. 64 crore to NuPower Renewable Ltd, Deepak's company.

"Chanda Kochhar got illegal gratification/undue benefit through her husband from VIL/VN Dhoot," noted CBI.

The sanctioned loans violated the bank's credit policy at the time, CBI added.

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Chanda Kochhar Icici Bank

Arvind Gupta

Central Bureau

Central Bureau of Investigation (CBI

Deepak Kochhar

Exchange Commission

FIR

ICICI Bank

ICICI Bank CEO Chanda Kochhar

NuPower Renewable Ltd

RBI

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Most asked questions

Who is Chanda Kochhar?

What is the ICICI-Videcon case?

What did CBI say in its FIR?

When did Chanda Kochhar leave ICICI?

More questions

Who is Chanda Kochhar?

Asked 2019-01-25 10:42:22 by Shreyas Shah

Answered by NewsBytes

Chanda Kochhar is the former CEO of ICICI bank. She joined the bank in 1984 as a management trainee and was made MD and CEO in 2009.

What is the ICICI-Videcon case?

Asked 2019-01-25 10:42:22 by Shreya Das

Answered by NewsBytes

The ICICI-Videocon case is about Rs. 3250 loan given to Videocon by ICICI when Chanda was the CEO. In return of the loan, Videocon head Venugopal Dhoot helped Chanda's husband Deepak.

What did CBI say in its FIR?

Asked 2019-01-25 10:42:22 by Hemant Trivedi

Answered by NewsBytes

In its FIR, CBI named Chanda, Deepak, Venugopal, and two others. They were charged with criminal conspiracy and cheating.

When did Chanda Kochhar leave ICICI?

Asked 2019-01-25 10:42:22 by Surabhi Kadam

Answered by NewsBytes

Chanda Kochhar resigned from her post in ICICI in October last year.

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