ICICI Securities reinducts Chanda Kochhar on board

Kochhar reappointed on ICICI Securities Board Mumbai | Updated on August 31, 2018 Published on August 30, 2018

15/03/2018 MUMBAI: Chanda Kochhar, Chairperson, ICICI Securities Ltd at a press conference to announce the company's IPO in Mumbai on March 15, 2018. Photo: Paul Noronha   -  BusinessLine

With 80% stake in I-Sec, ICICI Bankappears to have voted in her favour

The ICICI Bank Managing Director & CEO, Chanda Kochhar who is on a leave of absence pending an investigation into allegations of misconduct in loan sanctioning, will continue to be on the board of directors of ICICI Securities.

ICICI Bank, which holds 80 per cent stake in ICICI Securities, is understood to have voted in favour of Kochhar’s reappointment as a director on the board.

The decision was taken on Thursday at the annual general meeting of ICICI Securities. Sources said that Vinod Dhall, independent director on the board of the broking firm, chaired the meeting.

Kochhar, who was also chairperson of the board of ICICI Securities, did not attend the AGM.

“A new chairperson will be appointed when the board meets next time. It could be Kochhar or anyone else, as decided by the board,” said a person familiar with the development.

Kochhar had offered herself for re-appointment on the board of directors of ICICI Securities.

Some shareholders are understood to have, however, opposed the proposal. Earlier, proxy advisory firm Institutional Investor Advisory Services (IiAS) had also asked shareholders to oppose the proposed reappointment of Kochhar.

A veteran banker, she is also a director on the board of other group companies including ICICI Lombard General Insurance, ICICI Prudential Life Insurance Company, ICICI Prudential Asset Management Company and ICICI Bank Canada.

Allegations and probe

However, faced with allegations of corporate misconduct and quid pro quo in giving loans to the Videocon Group, she has been on leave since June 19 this year.

A panel headed by former Supreme Court Justice BN Srikrishna is conducting an independent probe into the allegations and is expected to submit its report by November.

On Thursday, the scrip of ICICI Securities fell 1.27 per cent to close at ₹327.20 apiece on the BSE.

Published on August 30, 2018
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