The last to know

The last to know

News:

1. The inquiry against the CEO Chanda Kochhar of ICICI bank has pointed out the conduct of the bank board and raises concerns about corporate governance.

Important Facts:

2. In 2016, a complaint has been raised by an investor alleging a quid pro quodeal between Ms. Kochhar’s immediate family members and the Videocon group.
3. The Videocon group has received ₹3,250-crore loan from ICICI bank.
4. Central Bureau of Investigation and SEBI has pitched an inquiry in the issue.
5. The investigating authority pointed out that the bank had failed to make adequate disclosures about its dealings with the borrower (who is now a defaulter) and a firm.
6. The board of ICICI Bank has finally acted on the allegations of misconduct against its CEO and managing director, Chanda Kochhar.
7. Chanda Kochhar will stay away from the office till the completion of an inquiry into the charges levelled against her by a whistle-blower.
8. Till the inquiry is complete the bank will be steered by a new chief operating officer Sandeep Bakhshi.
9. The probe panel has been constituted under retired Supreme Court judge B.N. Srikrishna.
10. Issues

• The delay and inefficiencies of public sector banks in dealing the cases
• The reluctancy of board in initiating inquiry
• There is still no clarity on his successor of the chairman of the bank’s board.
• Weather such debatable case need a high-profile panel inquiry.
• The reluctance of board in constituting an internal investigation.
• Concern about the possibility of prejudge in inquiry findings.
• The strength of corporate governance practices.