The bank had given a composite reply to the court on all the objections raised by Kochhar stating that Section 35B of the Banking Regulation Act of 1949, under which she is seeking nullification of the termination of her services, is a “regulatory provision”. The
(RBI) had also said that its approval to the termination was within its jurisdiction and was given after considering the request of Kochhar’s former employer.
The bank has raised the objection that Kochhar’s writ petition is not maintainable, that “it is a private banking company and the writ petition seeks to contest what are purely private contractual terms”. Hence, the bank argued that Kochhar’s writ petition did not have a legal basis.
Earlier in January, the Enforcement Directorate (ED) attached assets and cash belonging to the Kochhar duo, which included her South Mumbai apartment at CCI Chambers, valued at Rs 3.5 crore (book value) along with assets of projects of Deepak Kochhar’s Nupower Renewables and its subsidiaries such as Wind Farms, Echanda Urja Private worth Rs 74 crore (book value). Besides, a cash amount Rs 10.5 lakh, which the ED had seized during the search operation from the premises of Pacific Capital Services, another company of Deepak Kochhar.
The total book value of these assets attached is to the tune of Rs 78 crore, however, the market value is believed to be higher at around Rs 800 crore.
The CBI is investigating the case on the issue of conflict of interest involving loans to Videocon Industries under Chanda Kochhar’s leadership and her husband Deepak Kochhar
receiving a favourable financial deal from Videocon promoter Venugopal Dhoot.