Bakhshi is ICICI Bank COO; Kochhar stays, goes on leave

Bakhshi is ICICI Bank COO; Kochhar stays, goes on leave

The whistleblower has alleged that Kochhar had not adhered to provisions relating to code of conduct of the bank while dealing with certain customers.

It isn't clear when Justice Srikrishna will submit his report.

When allegations of conflict of interest against the bank's CEO Chanda Kochhar first surfaced, the board did not give the impression of taking these seriously.

Sandeep Bakhshi is managing director and CEO of ICICI Prudential Life Insurance.

In a major management reshuffle, the ICICI Bank on Monday announced the appointment of Sandeep Bakhshi as the Wholetime Director and Chief Operating Officer-designate, ICICI Bank.

Bakhshi, who now heads ICICI's life insurance arm, will take up a newly created position of chief operating officer at the bank for a five-year term beginning June 19, pending regulatory approvals, the bank said in a statement late on Monday. Kannan is now Executive Director of ICICI Bank.

He will be responsible for handling all the businesses and corporate centre functions at the bank.

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The directors tried to soften the blow by saying in a statement that Bakhshi will report to Kochhar.

Shriram Subramanian, founder of InGovern, a proxy advisory and corporate governance firm, said the board should have asked Kochhar to go on leave a month ago.

Kochhar had until recently enjoyed full support of the board, but following a fresh anonymous allegation complaint against Kochhar from a whistleblower - the second such person to do so - the board made a decision to investigate into the allegations of a quid pro quo against Kochhar. The ICICI Bank's share price, which had gained 3.6 per cent on Monday, declined by Rs 1.6 to Rs 291 on Tuesday. Her husband Deepak Kochhar has denied any wrongdoing, as has the head of the Videocon group.

April 2018: The CBI issues look-out notices against Dhoot, Kochhar, and her husband to ensure that they don't leave the country without informing the authorities. According to Jefferies, the transition from Kochhar to Bakshi should be smooth considering that Bakshi has been associated with the ICICI bank group for 32 years, working across its diverse verticals (both corporate & retail) and other subsidiaries.

2016: Arvind Gupta, a whistleblower, writes to prime minister Narendra Modi and finance minster Arun Jaitley alleging nepotism by Kochhar in the loan extended to NuPower Renewables. It's unclear what led to this move, but questions are raised on the board's hasty decision to clear Kochhar of all charges without a probe.

June 2018: Kochhar goes on her annual planned leave from June 01.

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