The resolution comes in the face of the conflict of interest for clearing loans to Videocon group which, in turn, invested in Nupower Renewables, a firm owned by Kochhar's husband
Kochhar, the CEO and MD of ICICI Bank, had been sent on leave after the bank appointed former Supreme Court judge B N Srikrishna to probe allegations of conflict of interest against her
The annual general meeting of shareholders is scheduled for August 30
Kochhar, MD & CEO of ICICI Bank, is currently under scrutiny for her role in extending loans to the Videocon group, a conflicted party
On the latest quarterly losses posted by the bank, Chaturvedi said they were due to RBI norms
He further said that pending the report Kochhar remains the CEO of ICICI Bank
Chanda Kochhar is also a director for ICICI Lombard General Insurance, ICICI Prudential Life Insurance Company and ICICI Prudential Asset Management Company
Kochhar did not respond to the notice by the June 7 deadline
ICICI Bank may face a penalty of up to Rs 250 million under the relevant Sebi regulations for such lapses, while the fine for Kochhar may go up to Rs 10 million, besides other penal actions.
Accusations about improper loan evaluation procedures at the highest level should have been addressed much before now
Chanda Kochhar will be on leave till completion of the enquiry. However, she will continue to remain the CEO and MD of the bank
The ICICI board, which consists of 12 members, is divided on whether Kochhar should be on leave during the internal enquiry
Indian regulators and investigative agencies are mulling seeking help from their overseas counterparts including in Mauritius as part of their own probes
Showcause notice had given time to respond till Thursday
Without detailing the allegations, the bank in a regulatory filing said the enquiry will be headed by an independent and credible person
we will continue to focus on resolution and recovery, for which we may get some write-back, in addition to reducing our concentration limits, and reducing the corporate loan book, said Chanda Kochhar
Further, Kochhar said that she has taken the allegations as a professional and that they have not unfazed her
The board of India's second-largest private sector bank may meet as early as this week to consider its next course of action
Mobile banking transactions have almost doubled to nearly 150 million in October 2017 as compared to over a year back
On resolution of stressed cases, she said ICICI Bank has been taking the lead in several cases and was the first bank to refer a case to NCLT