Chanda Kochhar Took Rs.64 Crore Bribe for sanctioning Rs.300 Crore Loan to Videocon

Chanda Kochhar, the former CEO of ICICI Bank, has been found guilty by an appellate tribunal of receiving bribes worth ₹64 crore through her husband, Deepak Kochhar. This money was allegedly given in exchange for sanctioning a ₹300 crore loan to the Videocon Group while she was in a key position at the bank.

How the Bribe Was Given

In 2012, ICICI Bank approved a ₹300 crore loan to the Videocon Group. Chanda Kochhar was part of the internal committee that cleared the loan. Just a day after the loan amount was disbursed, ₹64 crore was transferred by Videocon to a company called NuPower Renewables Pvt Ltd (NRPL), which was shown on paper to be owned by Venugopal Dhoot, the CMD of Videocon. However, he later admitted that NRPL was actually controlled and managed by Deepak Kochhar, Chanda Kochhar’s husband. The tribunal concluded that this was a clear case of “quid pro quo”—something given in return for a favor.

Valid Evidence and Conflict of Interest

The tribunal said the evidence and statements presented by the Enforcement Directorate (ED) under the Prevention of Money Laundering Act (PMLA) were valid and legally acceptable. It found that Chanda Kochhar had not disclosed her personal connection to the company receiving the money, which is a serious conflict of interest. She was expected to inform the bank about any such links, but she failed to do so.

Mistake by Lower Authority Corrected

In November 2020, an earlier authority had allowed the release of assets worth ₹78 crore that had been attached by the ED. However, the appellate tribunal criticized that decision, saying that important facts and evidence had been overlooked. It reversed the earlier decision and upheld the ED’s action of attaching the properties, saying there was clear evidence of financial misconduct.

Final Findings

The tribunal concluded that the ₹300 crore loan given by ICICI Bank to the Videocon Group was against the bank’s rules and policies. It also emphasized that the ₹64 crore transferred to Deepak Kochhar’s company right after the loan was issued was strong proof of wrongdoing. The tribunal found that Chanda Kochhar had misused her position, failed to disclose her conflict of interest, and benefited personally from her official actions. Therefore, the Enforcement Directorate’s move to attach the Kochhars’ assets was justified.