An appellate tribunal has held former ICICI Bank CEO and MD Chanda Kochhar guilty of receiving a bribe of Rs 64 crore from the Videocon Group, as per a report by Times of India. According to the report, the money was allegedly paid by the Videocon group for facilitating a Rs 300 crore loan sanctioned by the bank.
Tribunal says Rs 64 crore was bribe for loan
In its order dated July 3, the tribunal observed that the Rs 64 crore was transferred as a quid-pro-quo after ICICI Bank approved the loan to the Videocon group, notes Times of India. The money was routed through Videocon’s company SEPL to NuPower Renewables (NRPL), a firm managed by Deepak Kochhar.
“The allegation made by the appellants stands because on paper, ownership of NRPL is shown to be of V N Dhoot (CMD of Videocon group), but according to him also, the entire control of the company was of Deepak Kochhar,” the order stated, according to TOI. “Thus, the company was of Deepak Kochhar.”
Tribunal overturns earlier relief order in ED case
The tribunal backed the Enforcement Directorate (ED)’s move to attach assets worth Rs 78 crore in the case. It overturned the 2020 ruling of the adjudicating authority, which had earlier given relief to the accused and ordered the release of the attached properties.
“The adjudicating authority has ignored the material facts while drawing the conclusions… We cannot endorse the finding of the adjudicating authority going against the record and ignoring the relevant facts,” the tribunal noted, according to TOI.
Loan sanctioned in violation of ICICI norms
The tribunal further pointed out that the Rs 300 crore loan sanctioned by ICICI Bank to the Videocon group was in violation of the bank’s policies. Chanda Kochhar was part of the committee that approved the loan and did not disclose her conflict of interest, it added.
“The issue remains about the transfer of Rs 64 crore by Videocon group through its entity SEPL to NRPL a day after the disbursement of the loan by ICICI Bank,” the tribunal observed.
Tribunal admits statements under PMLA as valid evidence
TOI writes that citing statements recorded under Section 50 of the Prevention of Money Laundering Act (PMLA), the tribunal said these were admissible as evidence. It ruled that the ED had provided sufficient material to support its claim that the money was a bribe linked to the loan sanction.
With this ruling, the appellate tribunal has paved the way for further action in the case, reinforcing ED’s charges of money laundering and impropriety by Chanda Kochhar, TOI noted.