 ICICI Bk gives Rs 15L to suicide victim's familyPublished on Thu, Sep 27, 2007 at 20:43 | Source : Moneycontrol.com Updated at Fri, Sep 28, 2007 at 09:22 Like this story, share it with millions of investors on M3
Ten days after being blamed for the suicide of 38-year old Prakash Sarvankar , ICICI Bank has given his family an ex-gratia payment of more than Rs 15 lakhs, reports CNBC-TV18.
The incident evoked strong reactions from activists, who blamed the bank for using strong arm tactics. Now the bank has announced an ex-gratia payment to Sarvankar's family, which includes a fixed deposit, which will give them about Rs 9,500 a month and insurance of Rs 25 lakh over 20 years. But Sarvankar's widow is still inconsolable. " He is not going to come back," said Priyanka Sarvankar, Prakash Sarvankar's widow. Consumer organisations welcome the move, but demand stricter checks and balances on banks. "Even the senior most official, in this case the CEO of the bank, is responsible for this," said Vinod Chand , General Secretary, Credit Consumers Association of India . The payment may be an unusual move for, but police say that it will not affect investigations against the bank. For now four men are under arrest for abetting Sarvankar's suicide. One of them is the owner of the recovery agency, and another, Kailash Choudhary, is an employee of I-Process. The police are investigating whether senior officials of the bank are responsible as well.
An inquiry has been launched into that alleged incident of harassment. The RBI backed Banking Codes and Standards Board of India has stepped in. According to sources, BCSBI has shot off a letter to ICICI Bank asking if it had done adequate due diligence before appointing the collection agency.
BCSBI also asked ICICI Bank to spell out the action taken against the agency and produce details of tangible evidence, which show that such incidents do not recur. Sources say the Bank has in its reply, assured due diligence while appointing collection agents. It has also said none of those arrested in this case are employees of ICICI Bank and that it has suspended all business with the accused agency.
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Six-year old Prajakta was witness to her father being harassed by recovery agents of ICICI Bank, when he defaulted on a loan of Rs 50,000, which the bank describes as "small ticket". Fed up of the insults, on September 17, Prakash Sarvankar hanged himself and blamed recovery agents of the ICICI Bank in his suicide note. 
