Chanda Kochhar-Videocon Scam: Inside The Rs 3,250 Cr Loan And Rs 64 Cr Bribery

Last Updated:July 23, 2025, 08:30 IST

Appellate Tribunal has found Chanda Kochhar guilty of accepting a Rs 64 cr bribe for sanctioning a Rs 300 cr loan to Videocon; Here’s what happened

Chanda Kochhar-Videocon Case: The ICICI Bank–Videocon loan fraud case took a decisive turn in July 2025 after the PMLA Appellate Tribunal held Chanda Kochhar, former MD and CEO of ICICI Bank, guilty of accepting a Rs 64 crore bribe in exchange for approving a Rs 300 crore loan to the Videocon Group. The ruling upheld charges filed by the Enforcement Directorate (ED), calling it a “clear case of quid pro quo.”

Origins of the Case: Rs 3,250 Cr Loans & CBI Allegations

The case traces back to allegations by the Central Bureau of Investigation (CBI) that ICICI Bank, under Kochhar’s leadership, sanctioned loans totalling Rs 3,250 crore to Videocon Group firms promoted by Venugopal Dhoot. These sanctions allegedly violated the Banking Regulation Act, RBI norms, and ICICI’s own internal credit policies.

Among the disbursals, a pivotal transaction took place in September 2009 when ICICI Bank sanctioned Rs 300 crore to Videocon International Electronics Ltd (VIEL), a group subsidiary. Just one day later, Rs 64 crore was transferred from Supreme Energy Pvt Ltd (a Videocon-linked firm) to NuPower Renewables Pvt Ltd, a company effectively controlled by Chanda Kochhar’s husband, Deepak Kochhar.

Allegations of Quid Pro Quo & Conflict of Interest

Investigators labelled this fund movement as an illicit “quid pro quo” deal. Though Deepak Kochhar was not the listed owner of NuPower at the time, he was its Managing Director and exercised substantial control over operations. The ED alleged the Rs 64 crore payment was routed through layers of corporate entities as indirect gratification for the loan sanctioned.

The case spotlighted deeper issues of conflict of interest and corporate governance lapses, as Chanda Kochhar failed to disclose her husband’s links to Videocon during her participation in loan sanctioning decisions.

Early Red Flags & Chanda Kochhar’s Exit

Red flags were raised as early as 2016 by whistleblowers and media reports, which pointed to potential conflicts of interest in the ICICI-Videocon dealings. Following mounting scrutiny, the CBI launched a preliminary probe in March 2018.

Kochhar resigned from her post in October 2018, citing personal reasons, but her exit coincided with growing internal and regulatory investigations. These probes sought to determine if she had breached ICICI Bank’s code of conduct by concealing personal financial links that could influence lending decisions.

FIR, ED Probe, and Asset Attachments

The case intensified in January 2019 when the CBI filed a formal FIR against Chanda Kochhar, Deepak Kochhar, and Venugopal Dhoot, alleging criminal conspiracy, cheating, and misuse of official position under the IPC and the Prevention of Corruption Act.

The Enforcement Directorate followed suit with a money laundering probe and provisionally attached Rs 78 crore worth of assets belonging to the Kochhars. However, in November 2020, the PMLA Adjudicating Authority ordered the release of these assets, stating the ED had not established a direct link between the funds and criminal activity at that point.

Arrests and Bail Orders

In December 2022, the CBI arrested Chanda Kochhar, Deepak Kochhar, and Venugopal Dhoot, claiming to have conclusive evidence linking them to the illicit transactions. A month later, the Bombay High Court granted interim bail to the Kochhars, slamming the arrests as “arbitrary” and lacking procedural rigour. The court criticised the CBI for making routine arrests “without application of mind.”

Case Resurfaces in Supreme Court

The case regained national attention in September 2024 when the Supreme Court issued notices to Chanda and Deepak Kochhar in response to a CBI plea. The CBI challenged the interim bail, arguing that the Kochhars’ release could hinder ongoing investigations. The ED, too, reiterated its stance before the Appellate Tribunal, emphasising the structured nature of the fund transfers and Kochhar’s conflict of interest.

July 2025 Tribunal Verdict: Bribery and Ethics Violation Confirmed

On July 3, 2025, the PMLA Appellate Tribunal overturned the 2020 ruling and ruled in favour of the ED. The tribunal concluded that Chanda Kochhar was guilty of accepting a Rs 64 crore bribe in return for approving the Rs 300 crore loan to Videocon.

It rejected claims that the payment to NuPower was a legitimate business transaction and called it a bribe, routed through Supreme Energy and NuPower, which was controlled by Deepak Kochhar. The tribunal emphasised that Chanda Kochhar, as a member of ICICI’s credit committee, had a fiduciary duty to disclose any conflict of interest—something she failed to do.

Citing evidence recorded under Section 50 of the PMLA Act, the tribunal also ruled that the earlier adjudicating authority had overlooked material facts and erred in releasing the attached assets.

Aparna Deb

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More

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