Tribunal Rules Former ICICI CEO Abused Power; Bribe Routed Through Husband’s Firm NuPower Renewables
New Delhi (Economy India): In a major setback for India’s corporate governance standards, a Delhi tribunal has held former ICICI Bank CEO Chanda Kochhar guilty in the long-running Videocon loan fraud case, ruling that she misused her official position and violated banking disclosure norms by sanctioning a Rs300 crore loan in exchange for a Rs64 crore bribe.
The judgment revives one of the most high-profile financial frauds in the Indian banking sector and is expected to have serious ramifications for ongoing regulatory and criminal investigations.
🔍 Bribery Linked to Loan Approval
The tribunal found that Videocon Group, headed by Venugopal Dhoot, received a ₹300 crore loan from ICICI Bank in 2012. Just one day after the disbursal, Rs64 crore was transferred from Videocon’s associate firm Supreme Energy Pvt. Ltd. (SEPL) to NuPower Renewables Pvt. Ltd. (NRPL) — a company run by Chanda Kochhar’s husband Deepak Kochhar.
Although ownership records showed NRPL under Dhoot’s name at the time, the tribunal ruled that actual control remained with Deepak Kochhar, who was also its Managing Director.
📉 Loan Turned into NPA, Triggering Red Flags
The Rs300 crore loan was part of a larger R3,250 crore sanctioned package from ICICI Bank to Videocon. Over time, the loan turned into a non-performing asset (NPA), causing major losses to the bank and drawing scrutiny from regulators.
Agencies including the Central Bureau of Investigation (CBI), Enforcement Directorate (ED), Serious Fraud Investigation Office (SFIO), and Income Tax Department launched parallel probes into the case.
🕵️♂️ Whistleblower Flagged Irregularities in 2016
Concerns about the irregularities were first raised in 2016 by investor Arvind Gupta, who wrote to the Reserve Bank of India (RBI) and even the Prime Minister’s Office, but the matter received official attention only in January 2019 when the CBI filed a formal FIR.
Despite public pressure, ICICI Bank initially backed Chanda Kochhar, issuing a statement in 2019 expressing full faith in her leadership. However, in October 2018, Kochhar stepped down amid rising controversy.
🏦 Key Findings by the Tribunal
- Chanda Kochhar violated disclosure norms and failed to recuse herself from the credit committee that sanctioned the loan to Videocon.
- Bribe was deliberately routed via SEPL to NuPower to obscure the conflict of interest.
- NuPower was shown to be held by Dhoot “on paper,” but was functionally under Deepak Kochhar’s control.
- The transaction was structured to bypass internal risk checks at ICICI Bank.
💼 ED Seized ₹78 Crore Worth Assets
The ED had previously seized properties worth ₹78 crore from Chanda and Deepak Kochhar. Although a separate tribunal had reversed the seizure in 2020, the latest ruling has revalidated ED’s action and permitted the attachment of assets.
👮♂️ Timeline of Arrests and Legal Actions
| Year | Event |
|---|---|
| 2016 | Whistleblower raises issue |
| 2018 | Chanda Kochhar resigns from ICICI |
| Jan 2019 | CBI registers FIR |
| 2020 | ED arrests Deepak Kochhar |
| 2022 | CBI arrests Chanda & Deepak |
| 2023 | Bombay HC declares arrest illegal; grants bail |
| 2025 | Tribunal declares Kochhar guilty; upholds ED’s asset seizure |
👥 Who’s Involved in the Case
- Chanda Kochhar – Former MD & CEO of ICICI Bank
- Deepak Kochhar – Husband; MD of NuPower Renewables
- Venugopal Dhoot – Ex-Chairman, Videocon Group
- NuPower Renewables Pvt. Ltd. – Alleged vehicle for bribery
- Supreme Energy Pvt. Ltd. (SEPL) – Videocon affiliate
- CBI, ED, SFIO, IT Dept – Investigating agencies
🧾 Wider Implications for India’s Financial Sector
This case underscores the urgent need for transparency and accountability in the upper echelons of corporate India. The ruling sends a strong message that top-level financial fraud will not be tolerated, even among elite bankers and industrialists.
The outcome is also expected to strengthen oversight practices in private sector banks, especially regarding loan approvals and related-party transactions.
📌 What Happens Next
With the tribunal verdict now in place, further prosecution under the Prevention of Corruption Act and Prevention of Money Laundering Act (PMLA) is likely. Both Chanda and Deepak Kochhar may face criminal trials, and ED is expected to push for full confiscation of tainted assets.
(Economy India)
