After CBI chargesheet, ICICI maintains Videocon loans caused no wrongful loss

economictimes.indiatimes.com:

Chanda Kochhar. This is the conclusion of the bank's board in line with the opinion of a former judge, ICICI Bank said in a communication to the CBI that ET has seen.

The bank added that this has no connection to «whether the alleged crime(s) has/have been committed.» The note dated May 15 hadn't been made public previously. In its chargesheet against Kochhar and her husband Deepak, the CBI has alleged that they along with the other accused, including businessman VN Dhoot, caused a loss of ₹1,033 crore to ICICI Bank.

However, the bank said in its note to the CBI that, at a meeting on April 22, the board deliberated on the need for reiterating that it had not incurred any wrongful loss and that due process had been followed in sanctioning loans to Videocon companies.No rules violated «It was noted that Justice Dr Arijit Pasayat (retd) has also opined that approval for sanction to prosecute Chanda Kochhar, if granted by the board, should specifically state the bank's stand as stated while granting approval under Section 17 A of the Prevention of Corruption Act,» the communication reads. ICICI Bank had sought Pasayat's opinion on the matter.

The bank said this refers to all six standalone loans to Videocon Group companies — Millennium Appliances India Ltd, Videocon International Electronics Ltd, Sky Appliances Ltd, Techno Electronics Ltd, Applicomp India Ltd and Videocon Industries Ltd — being investigated by the CBI. «Hence there was no issue of wrongful loss and violation or contravention of rules and policy.

The stand of the bank continues to be the same,» the bank contended. The bank elaborated that if a manager accepts a bribe to sanction a loan, but this is repaid with interest, then there is no loss to the lender.