Ex-ICICI Bank CEO Chanda Kochhar Found Guilty in Rs 64-Crore Bribery Case Linked to Rs 300-Crore Videocon Loan

On July 3, 2025, an appellate tribunal in New Delhi delivered a landmark ruling, finding former ICICI Bank CEO and Managing Director Chanda Kochhar guilty of accepting a Rs 64 crore bribe in exchange for sanctioning a Rs 300 crore loan to the Videocon Group in 2009. The tribunal’s order, which overturned a 2020 decision that had cleared Kochhar, confirmed a "quid pro quo" arrangement, with the bribe routed through her husband, Deepak Kochhar’s, company, NuPower Renewables Pvt Ltd (NRPL). This high-profile case, one of India’s most significant corporate scandals, has reignited debates about corporate governance, conflict of interest, and accountability in the banking sector. Here’s the inside story of the ruling, its background, and its implications.

The Case: Aస

The scandal centers on a Rs 300 crore loan sanctioned by ICICI Bank to Videocon International Electronics Ltd (VIEL) on August 26, 2009, under Kochhar’s leadership as part of the loan approval committee. Just one day after the loan’s disbursement on September 7, 2009, Rs 64 crore was transferred from Videocon’s subsidiary, Supreme Energy Pvt Ltd (SEPL), to NRPL, a company controlled by Deepak Kochhar, despite being nominally owned by Videocon’s chairman, Venugopal Dhoot. The tribunal, in its July 3, 2025, ruling, declared this payment a clear case of bribery, supported by evidence and statements under Section 50 of the Prevention of Money Laundering Act (PMLA). The tribunal highlighted Kochhar’s failure to disclose her husband’s financial ties to Videocon, a violation of ICICI Bank’s conflict-of-interest policies, labeling it a “serious misuse of power and breach of ethical conduct.”

Background: A Scandal Unfolds

The ICICI Bank-Videocon case first gained public attention in 2018 following whistleblower complaints and media investigations. Allegations surfaced that Kochhar had approved loans totaling Rs 1,875 crore to Videocon Group companies between 2009 and 2012, including the Rs 300 crore loan, in exchange for personal financial gains. The Enforcement Directorate (ED) and Central Bureau of Investigation (CBI) launched probes, accusing Kochhar, her husband, and Dhoot of criminal conspiracy and corruption under the Prevention of Corruption Act.

In January 2019, the CBI filed a case against the trio, alleging that the loans, which later turned into non-performing assets (NPAs), were granted in violation of banking regulations and ICICI’s internal policies. The ED’s investigation revealed that the Rs 64 crore transfer to NRPL, made the day after the loan disbursement, constituted “proceeds of crime” under the PMLA. In January 2020, the ED attached assets worth Rs 78 crore belonging to the Kochhars, including their Mumbai residence, which was allegedly acquired at a fraction of its market value through Videocon affiliates. However, the PMLA Adjudicating Authority reversed this attachment in November 2020, a decision now overturned by the appellate tribunal.

Kochhar resigned as ICICI Bank CEO in October 2018 amid mounting pressure. The couple was arrested by the CBI in December 2022, but the Bombay High Court granted them interim bail in January 2023, later deeming their arrest unlawful in February 2024. Despite this, the tribunal’s 2025 ruling has reinstated the ED’s case, validating the attachment of assets and framing the transaction as a prima facie case of money laundering.

The Tribunal’s Findings: A Clear Case of Corruption

The appellate tribunal, operating under the Smugglers and Foreign Exchange Manipulators (Forfeiture of Property) Act (SAFEMA), delivered a scathing verdict. It criticized Kochhar for presiding over the loan approval committee despite knowing about her husband’s business ties with Videocon, calling her claim of ignorance “implausible” for a senior executive. The tribunal confirmed that Deepak Kochhar held operational control of NRPL, despite its nominal ownership by Dhoot, who resigned from SEPL in January 2009, transferring control to Deepak. The Rs 64 crore payment, funneled through SEPL to NRPL, was deemed direct evidence of a bribe, corroborated by admissible statements under Section 50 of the PMLA.

The tribunal also slammed the 2020 adjudicating authority’s decision to release the Kochhars’ assets, stating it “ignored crucial material facts” and drew conclusions “contrary to the record.” The ED’s evidence, including a clear timeline of the loan disbursement and the subsequent transfer, justified the asset attachment. The ruling emphasized Kochhar’s breach of fiduciary duties and ICICI Bank’s internal policies, reinforcing allegations of criminal misconduct and money laundering.

Broader Implications: A Blow to Corporate Governance

The ruling has sent shockwaves through India’s corporate and banking sectors, raising serious questions about governance and ethical standards. Once celebrated as a trailblazing leader and a symbol of women’s empowerment in Indian banking, Kochhar’s fall from grace has highlighted vulnerabilities in board-level accountability. Legal experts suggest the verdict could influence other financial fraud cases and drive reforms in CEO oversight and conflict-of-interest disclosures.

Public sentiment on X reflects outrage and skepticism. Users like @bsindia noted the ED’s vindication, emphasizing the direct money trail, while @idesibanda warned that bank privatization could enable similar misconduct, stating, “Privatization of Banks will give free Hand to few Corporate Houses to Loot Public Money.” Others, like @ggganeshh, referenced the overturned 2020 clean chit, questioning the credibility of earlier rulings.

The case also underscores the challenges of regulating complex financial transactions. The tribunal’s findings, backed by the ED’s meticulous evidence, highlight the importance of transparency in loan approvals and the need for robust internal controls to prevent abuse of power.

The Road Ahead

The tribunal’s decision paves the way for further legal action, with the ED and CBI likely to intensify their prosecution under the PMLA and Prevention of Corruption Act. While the final determination rests with the trial court, the tribunal’s ruling strengthens the case against Kochhar, potentially leading to criminal penalties and further asset seizures. The ED’s ongoing investigations may also uncover additional irregularities in the Rs 1,875 crore loans to Videocon, which turned into NPAs, causing significant losses to ICICI Bank.

For ICICI Bank, the scandal continues to cast a shadow over its reputation, despite its efforts to strengthen governance since Kochhar’s exit. The bank’s stock, which hit a 52-week high on July 22, 2025, remains resilient, but the case may prompt investors to demand greater accountability from financial institutions.

A Cautionary Tale

Chanda Kochhar’s conviction in the Rs 64 crore bribery case marks a pivotal moment in India’s fight against corporate corruption. The tribunal’s ruling exposes the dangers of unchecked power and conflicts of interest in the banking sector, serving as a cautionary tale for executives and regulators alike. As the legal process unfolds, the case will likely shape future policies on corporate governance, emphasizing the need for transparency, ethical conduct, and rigorous oversight to protect public trust in India’s financial system.