Chanda Kochhar, 10 others accused of ‘cheating’ private company

In the nation’s capital, a case has been filed against Chanda Kochhar, the former managing director and CEO of ICICI Bank, charging her and ten other people with defrauding a private company and causing a loss of Rs 27 crores. On December 20, the Delhi Police’s Economic Offence Wing filed a formal complaint (FIR) alleging criminal conspiracy and cheating. On December 9, the Patiala House Court directed Delhi Police to file a case in response to a complaint made by P & R Overseas Pvt Limited (Tomato Magic) director Shammi Ahluwalia. Ahluwalia claims in his complaint that the accused planned to present a fictitious “Letter of Credit” from a “foreign bank” as authentic.

The complainant said he had received an order from a Russian buyer. As per the payment risk, the condition was that the order shall be premised on a 100% irrevocable ‘LoC’ issued by an ‘A’ class bank of international repute.
Economic Offence Wing on December 20 registered an FIR under various IPC sections including 406/420/467/468/471/120B/34.
Accordingly, the complainant said that he received the ‘LoC’ through ICICI purportedly issued by the Royal Bank of Scotland (RBS). However, later it was found out the LoC was issued by a bank, RBS Alliance, Moscow, which had a bad track record.