ICICI Bank orders inquiry into allegations against Kochhar

Source: The Hitavada      Date: 31 May 2018 09:10:45


 

MUMBAI,

The bank says, the enquiry would be comprehensive and include all matters arising out of and in the course of examination of the facts and wherever warranted, “use of forensic/email reviews and recordal of statement of relevant personnel, etc

 

ICICI Bank’s Board of Directors have decided to institute a “comprehensive enquiry” to look into an anonymous whistle blower’s complaint alleging that Bank’s MD and CEO Chanda Kochhar had not adhered to provisions relating to “code of conduct” of the bank.


In a regulatory filing on Wednesday, the bank said: “The Board of Directors, at its meeting held on May 29, 2018 decided to institute an enquiry to be headed by an independent and credible person, to examine and enquire into an anonymous whistle blower complaint, disclosing certain information, alleging in substance that Bank’s MD and CEO had not adhered to provisions relating to “Code of Conduct” of the bank and legal and regulatory provisions relating to “conflict of interest” over a period of time, as also alleging quid pro quo in the course of her work in dealing with certain customers/borrowers of the Bank.”

The bank said the scope of enquiry would be comprehensive and include all relevant matters arising out of and in the course of examination of the facts and wherever warranted, “use of forensic/email reviews and recordal of statement of relevant personnel, etc.” The enquiry would also cover all connected matters in the course of the investigation to bring the matter to a final close.“

In keeping with the Whistle Blower Policy of the bank, Board has mandated its audit committee to take all further actions in the matter to operationalise this decision -- including in particular, appointment if an independent and credible person as Head of the Enquiry, determining the terms of reference of the Enquiry, the period which will be covered by the Enquiry,” the bank said. “The Audit Committee will also, in consultation with the Head of the Enquiry, make arrangements to assist him with independent legal and other professional support as may be required,” the bank added.

Private lender ICICI Bank on May 25 said that Securities and Exchange Board of India (SEBI) had sought responses from the company and its MD and CEO Kochhar on alleged non-compliance of the “erstwhile ‘Listing Agreement’ and the ‘Listing Obligations and Disclosure Requirements) Regulations, 2015’“.


According to a BSE filing, SEBI sought the reply via a notice issued to the private lender and its MD and CEO on May 24. As per the securities market regulator’s LODR regulations, all listed entities are mandated to immediately disclose relevant and important information to stock exchanges.