Videocon loan controversy: Deepak Kochhar dismisses allegations of quid pro quo deal

Deepak Kochhar, the husband of ICICI Bank MD and CEO Chanda Kochhar, and promoter of NuPower Renewables, has dismissed allegations of a quid pro quo deal and alleged wrongdoing in connection with the ongoing probe in the ICICI-Videocon loan case. “These are all false allegations and the truth will surface very soon — there is absolutely no conflict of interest. My chartered accountant will respond to any notices like we do in the normal course of business,” Kochhar was quoted as saying by The Economic Times. The Income Tax Department (IT-D) recently issued a notice to Deepak Kochhar, in connection with its  tax evasion probe in the Videocon loan case. [caption id=“attachment_4419179” align=“alignleft” width=“380”] File photo of Deepak Kochhar. Image courtesy: NuPower Renewables[/caption] That notice to Kochhar was issued under Section 131 of the I-T Act and the Department has asked him to furnish details of his personal finances, I-T returns for the last few years and business transactions with NuPower Renewables. The Department has also mailed a detailed questionnaire, seeking details of the firm’s operations. In December 2008, Deepak Kochhar and the Videocon Group promoter Venugopal Dhoot floated a clean energy firm NuPower Renewables Pvt Ltd (NRPL). Deepak Kochhar and his relatives owned one half of the company. The remainder was owned by Dhoot, his family and his associates. Between 2008 and 2012, through multiple transactions Dhoot, transferred a majority stake to Kochhar. These transactions involved Supreme Energy, Pinnacle Energy, a trust where Deepak Kochhar was the managing trustee, and Dhoot’s associate Mahesh Chandra Punglia. “When Pinnacle Trust bought the stake of Supreme Energy, it included a liability of Rs 640 million. The purchase was at a fair market value (prevailing price) of Rs 8.80 per share,” Kochhar was quoted as saying by the  Business Standard. In a related development, the Central Bureau of Investigation (CBI) has said that Deepak Kochhar, who has been named in a preliminary enquiry, will be called for questioning. The CBI has questioned a few ICICI bank officials as part of the preliminary enquiry that aims to determine allegations of  a quid pro quo deal – a Rs 3,250 crore ICICI loan given to the Videocon Group in 2012 has been linked to Dhoot’s dealings with NuPower Renewables. With inputs from agencies