[ad_1]
Chanda Kochhar, who was arrested in the money laundering case on Friday, was once a powerful banker and played a key role in the production. ICICI Bank The country’s largest private sector lender.
Kochar, a regular feature Forbes The international leader was arrested by the Central Bureau of Investigation (CBI) along with her husband Deepak Kochhar in connection with fraud and irregularities in loans sanctioned by ICICI. Bank to do Videocon Group Companies. The Kochars were called to agency headquarters and arrested after a brief interrogation session.
His chapter at ICICI Bank came to an abrupt end in 2018, when the board of directors approved Kochhar’s request for early retirement. rest Following corruption allegations, now when loans are given to bankrupts Videocon Industries.
Kochhar, occupying the corner office of the largest private sector lender, has been embroiled in allegations of conflicts of interest, lack of disclosures and quid pro quo while disbursing loans to Videocon. She is, in fact, the first woman to head a major lender in the country.
The then group chairman K.V. Kochhar, a favorite of Kamat, joined infrastructure lender ICICI in its previous incarnation in 1984 as a management trainee. He was instrumental in its transformation into a retail-focused lender. A Commercial Bank In the early 1990s.
In 2009, despite having a strong leadership bench, he was named Managing Director and Chief Executive of Lust Larger Than Life. His elevation also led to Shika Sharma’s ouster (ex Axis Bank Chairman), senior to him in rank in the group.
Prior to his elevation to the corner office, he was a key member of the bank’s management, overseeing the retail business and serving as chief financial officer. While Kamat faced several bank runs during his tenure, Kochhar’s firm control of such negative press was completely put to rest. Only one bank operation incident occurred during his tenure.
When a RBI A review in 2015 found so many under-reported dud assets at the bank that he announced a new strategy to focus only on well-rated borrowers.
He fought for many social causes, but his inspirational rise is the most admired. However, she confused many with her contradictory views that women lack quantitative analytical skills, which leads to fewer women in B-schools.
Over the years, his leadership of the bank became a hyphenated affair in which he came to define ICICI Bank, until his formal exit announcement six months after the corruption allegations first surfaced, leaving him on indefinite leave from the board. It was forced to launch an external inquiry into the entire issue.
The reasons for his eviction were debt-related Videocon and the business relationship between its promoter Venugopal Dood and her husband Deepak Kochhar. Dood invested in a power company promoted by Deepak and exited, and Chanda Kochhar did not divest himself or disclose when ICICI Bank extended a loan to Videocon as part of the consortium.
Initially, he enjoyed the group’s full support, but lost favor as the list of allegations kept growing and more names emerged, such as Ruyas’s Essar Group shell company linked to the Kochhar family.
Ruiya Ties’ profits, however, in FY11 were higher than Videocon’s Rs. 3,250 crore was a fraction of the debt, which was quickly disillusioned. The allegations led to investigations by several agencies, including the CBI, ED and SFIO.
Finally, it was the complaint of a whistleblower, who has yet to be named, that proved to be his undoing.
After Videocon initially acquitted her in the face of allegations, the bank initiated an independent inquiry by retired judge PN Srikrishna and Kochhar went on indefinite leave pending the hearing. It replaced Sandeep Bakshi as Chief Operating Officer to oversee day-to-day operations.
Kochhar’s current term ends in March 2019 with six months remaining. Norms allow private sector bank heads to continue till the age of 70. The proposal for his resignation was accepted with immediate effect.
Over the past few months, shareholders have clarified the issue at annual meetings and raised concerns over the bank’s move to appoint him as head of the group’s security arm. Kochhar, who maintained a large public profile, stayed out of the public eye after the forced leave.
From a performance perspective, when he took over ICICI Bank, it was the second largest in the organization and the largest among its private sector peers. But by the end of his career, it had slipped to a distant third in the sector and the second largest private sector lender after that. HDFC Bank.
[ad_2]