DEEPAK KOCHHAR SENT TO ED CUSTODY

Deepak Kochhar, one of the prime accused in Videocon-icici loan fraud case, on Tuesday was remanded in Enforcement Directorate’s (ED) custody until September 19 by a special Prevention of Money Laundering Act court in Mumbai. Kochhar was arrested on Monday night.

Deepak Kochhar, one of the prime accused in Videocon-icici loan fraud case, on Tuesday was remanded to Enforcement Directorate’s (ED) custody until September 19 by a special Prevention of Money Laundering Act (PMLA) court in Mumbai. Kochhar was arrested on Monday night.

ED, in its remand application, said that in September 2009, ICICI Bank had sanctioned a ~300-crore loan to Videocon International Electronics (VIEL), when Deepak Kochhar’s wife Chanda was the chairman of the sanctioning committee of ICICI Bank. VIEL is a subsidiary of Videocon group. Soon after the bank disbursed the loan, VIEL transferred ~64 crore to Nupower Renewables, managed, owned, and controlled by Deepak Kochhar, ED’S remand plea noted.

According to the agency, “Kochhar is not cooperating in the investigation, despite being presented crucial aspects of funds and money trails, and therefore custodial investigation is necessary.” “Deepak Kochhar is involved in the laundering of the proceeds of crime and has been involved in projecting the proceeds of crime as untainted. Sustained interrogation under custody is required to unearth the trails, corroboration and confrontation with other person involved in the case,” ED said.

The court observed: “There is voluminous record to be investigated and, therefore, custody is necessary. It is an economic offense that requires certain different types of investigations.” It, therefore, allowed the ED to take remand of the accused. However, during the hearing, Kochhar’s counsel contested that “it is an illegal detention and it is not the case of money laundering.”