(LiveMint)
With the US Securities and Exchange Commission (SEC) intensifying its probe into ICICI Bank Ltd, India’s second largest private lender is reviewing all loans disbursed over the past five years to overhaul processes, plug loopholes and prepare reports to address regulatory inquiries, if any. The bank’s compliance division, risk management department and the arm that manages non-performing assets (NPAs) asked its main loans divisions last week to provide valuations of the securities (on loans that turned bad) over the past five years, three people directly aware of the latest review and the bank’s plans said, requesting anonymity.
Under the newly appointed chief operating officer Sandeep Bakhshi, ICICI Bank is trying to review and overhaul the credit disbursal processes to avoid controversies such as those surrounding its chief executive Chanda Kochhar, who is now on indefinite leave. Kochhar’s leadership came under a cloud because of allegations of a conflict of interest over loans made to Videocon Group, whose chairman had business links with her husband Deepak Kochhar.
