The Prevention of Money Laundering Act (PMLA) court here remanded businessman Deepak Kochhar, husband of former managing director and chief executive officer of ICICI Bank, Chanda Kochhar, in the Enforcement Directorate’s (ED) custody till September 19.
Mr. Kochhar was arrested by the ED on Monday on money laundering charges.
The ED said Mr. Kochhar had been evasive and non-cooperative. He was involved in laundering the proceeds of crime and in projecting the proceeds as untainted.
The case pertains to the deals between the Videocon Group of companies and the bank. The ED has relied upon an FIR registered by the CBI in 2019.
The accused include Videocon International Electronics Limited (VIEL); Videocon Industries Limited (VIL); V.N. Dhoot, MD, Videocon Group; Ms. Chanda Kochhar, then MD & CEO of ICICI Bank; Mr. Kochhar, MD of Nupower Renewables Limited; Nupower Renewables Limited, which is now known as Nupower Renewables Private Limited; and Supreme Energy Private Limited.
High value loans
The CBI’s case states, “From June 2009 to October 2011, ICICI Bank sanctioned six high value loans to various Videocon Group companies. On August 26, 2009, Rupee Term Loan of ₹300 crore was sanctioned to VIEL in contravention of the rules and policy by the sanctioning committee. Ms. Kochhar was one of the members of the sanctioning committee, who in criminal conspiracy to cheat ICICI Bank and in pursuance of criminal conspiracy on the same day dishonestly by abusing her official position sanctioned this loan in favour of VIEL.”
The investigation under the PMLA “revealed that the rate of interest charged by ICICI Bank on the said loan of ₹300 crore [which was later refinanced on 26.04.2012 and sanctioned to VIL] was more than 12% per annum, since disbursement of this loan, which at times increased to more than 14% per annum.”
The ED said, “On April 26, 2012, the existing outstanding of the six accounts were adjusted in RTL of ₹1730 crore sanctioned under refinance of domestic debt. The account of VIL and its group companies were declared NPA w.e.f. June 30, 2017. Thus, causing loss to ICICI Bank.”
