Friday, October 23, 2020

ICICI Bank former CEO’s husband arrested on money laundering charges

-

Businessman Deepak Kochhar and husband of former ICICI Bank CEO Chanda Kochhar has been arrested by the Enforcement Directorate for alleged money laundering in a deal between the bank and Videocon Group. He had been questioned since noon today before he was arrested at night.

The probe agency had filed a criminal case under the Prevention of Money Laundering Act (PMLA) early last year against Ms Kochhar, her husband and Venugopal Dhoot of Videocon Group to investigate alleged irregularities and corrupt practices in sanctioning ₹ 1,875 crore in loans by ICICI Bank.

Mr Deepak has not been cooperating, after which he had to be placed under arrest, sources in the Enforcement Directorate said. He will be taken to an anti-money laundering court in Delhi tomorrow.

The Enforcement Directorate is also probing at least two other instances of loans given by ICICI Bank during Ms Kochhar’s tenure to Gujarat-based pharmaceutical firm Sterling Biotech and to Bhushan Steel Group; both these are also being probed on alleged money laundering charges.

- Advertisement -

The Enforcement Directorate’s case is based on a complaint registered by the Central Bureau of Investigation (CBI), which is running an independent investigation; it too had named all three individuals and added three companies, including two under the Videocon name, owned by Mr Dhoot’s companies.

NuPower Renewables, a company controlled by Deepak Kochhar, had also been named.

The CBI has alleged that Mr Dhoot invested in NuPower through another company – Supreme Energy – in a quid pro quo deal via loans cleared by ICICI after Ms Kochhar took over as CEO in May 2009.

In preliminary investigations the CBI found six loans worth ₹ 1,875 crore were sanctioned between June 2009 and October 2011, in alleged violation of established policies. These loans were declared non-performing assets in 2012, causing a loss of ₹ 1,730 crore to the bank, the CBI further alleged.

- Advertisement -

In January this year, ICICI Bank filed a petition in the Bombay High Court seeking recovery of bonuses given to Ms Kochhar. Ms Kochhar had challenged the “termination” of her employment by the country’s second-largest private bank last year, which had blocked her remuneration over allegations of granting “out-of-turn” loans.

 

MUST READ

Goldman Sachs agrees $3 billion settlement with US DoJ over 1MDB corruption scandal

Goldman Sachs has agreed to pay nearly $3bn (£2.3bn) in the US to end a probe of its role in Malaysia's 1MDB corruption scandal. The...

Hong Kong fines Goldman Sachs $350 million over 1MDB scandal

Goldman Sachs ignored multiple red flags over the multibillion-dollar fundraisings it arranged for state fund 1Malaysia Development Berhad, Hong Kong’s financial regulator said on...

Texas attorney general Ken Paxton fires top aide who accused him of bribery

Lacey Mase, one of the top aides who accused Texas Attorney General Ken Paxton of crimes including bribery and abuse of office, has been fired, she told The...

Fundraiser Elliott Broidy pleads guilty in foreign agent case linked to 1MDB

Major Republican Party and Trump fundraiser Elliott Broidy pleaded guilty Tuesday to acting as an unregistered foreign agent, admitting to accepting millions...

Germany issues international arrest warrant for founders of law firm at the centre of Panama Papers

Germany has issued international arrest warrants for the two founders of the firm at the centre of the tax haven scandal exposed by the...
Advertisement
Advertisement

Latest News

This Week

Goldman to pay over $2 billion in DOJ’s 1MDB Probe

Goldman Sachs Group Inc. has reached a long-awaited pact with the U.S. Department of Justice to pay more than $2 billion for the bank’s...

Billionaire Robert Smith to Pay $140 million after admitting to tax evasion

Billionaire Robert Smith will pay about $140 million and acknowledge wrongdoing to end a four-year U.S. tax investigation involving assets held in offshore tax...

US arrests members of international money laundering group QQAAZZ

The US Department of Justice has unsealed charges against 14 members of an international money laundering group known as QQAAZZ. US authorities said the group...

Ex-managers of Security firm pleads guilty in Santa Clara County concealed gun permit bribery scandal

Two former managers of a Silicon Valley international security firm pleaded guilty Monday to charges related to a bribery scheme to obtain concealed firearms...
Advertisement

Adblock Detected!

Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by whitelisting our website.

Enable Notifications    Ok No thanks