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Last Updated : Jun 08, 2018 03:47 PM IST | Source: Moneycontrol.com

ICICI Bank seeks more time to respond to SEBI's showcause notice: Report

SEBI had sent a 12-page showcause notice to ICICI Bank and Chanda Kochhar on May 23 in relation to disclosures made while giving loans to Videocon group

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ICICI Bank and its managing director and chief executive officer, Chanda Kochhar, have sought more time to respond to a showcause notice served by markets regulator SEBI, according to a Business Standard report.


SEBI or Securities and Exchange Board of India had sent a 12-page showcause notice to ICICI Bank and Chanda Kochhar on May 23 in relation to disclosures made while giving loans to Videocon group.


“The notice, however, did not have adequate documents to support the allegations. Before filing an appropriate reply, evidence of alleged contravention of securities laws need to be examined by the recipients,” the report quoted a source.

The bank has written to the regulator, requesting it to share documents on the basis of which the notice was served, it added.

Moneycontrol could not independently verify the report and email sent to ICICI Bank remained unanswered until this article was published.

The deadline to respond to the notice was Thursday.

The regulator in its notice alleged violations of the code of conduct because Chanda Kochhar reportedly had not disclosed the conflict of interest arising out of business dealings among ICICI Bank, Videocon and NuPower Renewables, led by her husband, Deepak Kochhar.

All listed companies and their key managerial staff are required to follow a code of conduct and should comply with all securities norms.

On April 17, the regulator had initiated a preliminary inquiry into whether the bank’s board was aware of the conflict of interest and also the stance of the independent directors when the board had approved the loan. Besides, the regulator sought an explanation on lapses in disclosures of business dealings involving Deepak Kochhar.

First Published on Jun 8, 2018 10:43 am
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