Chanda Kochhar, former managing director and chief executive officer of ICICI Bank. (Photographer: Graham Crouch/Bloomberg)

Inspection Of Six Firms Linked To ICICI Bank Controversy At ‘Advanced Stage’

The Corporate Affairs Ministry’s inspection of the books of six companies linked to the ICICI Bank controversy is at an “advanced stage”, according to a senior official.

There are allegations of involvement of former ICICI Bank chief Chanda Kochhar and her family members in a loan provided to Videocon Group on a quid pro quo basis. It was alleged that Videocon pumped money into NuPower Renewables, a firm owned by Deepak Kochhar, husband of Chanda Kochhar. The ministry ordered inspection of six companies, including NuPower Renewables, on April 23.

Chanda Kochhar stepped down as the bank’s managing director and chief executive officer in October amid the raging controversy. Corporate Affairs Secretary Injeti Srinivas said the inpection had reached a “very advanced stage”.

The inspection is being carried out by the Regional Director (Western Region) under Section 206 (5) of the Companies Act, 2013. “I think they (RD) have completed their inquiries, they have taken the depositions from whomever they want to take and I think they are preparing the report,” he told PTI.

As per Section 206 (5), the central government may, if it is satisfied that the circumstances so warrant, direct inspection of books and papers of a company by an inspector appointed by it for the purpose.

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