Public To Private: The Great Indian Banking Mess
First there was the Punjab National Bank scam and now another crisis is brewing in India's banking sector. But this time, in India's second largest private sector bank ICICI. The story is essentially of a conflict of interest involving the bank's CEO Chanda Kochhar and a loan of Rs 3,250 crore to the Videocon Group which is now being investigated by the CBI. The loan was not paid back and turned into an NPA or non performing asset for the bank. Even though until now the ICICI board has expressed faith in Chanda Kochhar, NDTV has learnt that board members have held confernece calls with top investors. They are worried the ICICI stock has been down 7.5% over one month. Is India's banking crisis much worse than we thought?
