Thursday, May 13

ICICI Bank slaps Rs 12 cr recovery suit on Chanda Kochhar

Mumbai: The ICICI Bank has filed a civil recovery suit against its former chief executive Chanda Kochhar for the recovery of around Rs 12 crore, that she received as part of bonus and other benefits before she was terminated from the bank.

On Monday, Senior counsel Vikram Nankani, who is appearing for the Kochhar along with advocate Sujay Kantawala informed the court that the bank has initiated a civil suit against Kochhar to effect the termination, which might create further complication in the matter.

As per the Bombay High Court website, Abhijit Joshi led law firm Veritas Legal has filed a civil suit on January 10. Meanwhile, on Monday, in a case filed by Chanda Kochhar against the bank, the former chief executive of the bank has sought time to file her response in the reply of ICICI Bank respond. In November, Kochhar had moved the High Court against her former employer for terminating her employment after it accepted her request for early retirement.

She had alleged that no prior approval was sought from the banking regulator and that it was a breach of a statutory obligation. After hearing both the parties, the division bench of Justice Ranjit More and Justice SP Tavade allowed a week’s time and have adjourned the case to January 20.

In a case, filed by Kochhar, ICICI Bank has said that it is a private bank and hence it is administered by its board of directors and hence its former chief executive Chanda Kochhar’s plea is not maintainable said the bank in its reply in a case filed by Kochhar to counter her termination. The bank has also in its response said that Kochhar’s termination was due to lack of disclosures.

The largest private sector bank in its response has said that the petitioner (Kochhar) showed a lack of diligence with respect to annual disclosures, where various mandatory disclosures in relation to her were not made by the petitioner.

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