ICICI Bank stands by Chanda Kochhar, urges not to spread rumours


Mumbai, March 29: Reiterating its stand on the Videocon issue, ICICI Bank Chairman MK Sharma on Thursday said reports alleging nepotism by the lender’s MD and CEO Chanda Kochhar were unfounded and malicious in nature.

Saying that ICICI’s exposure to the Videocon group (Videocon Industries and 12 of its subsidiaries/associates as co-obligors) for a debt consolidation programme and for the group’s oil and gas capital expenditure programme aggregating approximately Rs 40,000 crore was less than 10 per cent.

Sharma asserted that no individual bank employee has the ability to influence any credit given by it.

He also said Kochhar did not chair the committee that had lent to Videocon. “Kochhar was part of the committee.”

Sharma also clarified that Kochhar had always made all regulatory disclosures abiding by the Securities and Exchange Board of India guidelines.

“…the Board has come to the conclusion that there is no question of any quid pro quo/nepotism/conflict of interest as is being alleged in various rumours. The Board has full confidence and reposes full faith in the Bank’s MD & CEO, Chanda Kochhar,” the bank said in a statement on Wednesday.

“ICICI Bank was not the lead bank for this consortium and the Bank only sanctioned its share of facilities aggregating approximately Rs 3,250 crore which was less than 10 per cent of the total consortium facility in April 2012,” Sharma said.


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