Early hour trading in Indian stock markets saw some real anxious moments for ICICI directors. The private lender had to lose bucks as its shares capsized by a whopping 2%. Did the board factor in this possibility while announcing an independent probe into the allegations of quid pro quo and ‘conflict of interest’ against bank CEO Chanda Kochhar?
The bank had informed about its decision in an exchange filing on Wednesday. Morning session in the market on Thursday bank’s shares tested the day’s bottom of Rs 279.35 on BSE while the stock lost 1.97% touching Rs 279.3 level on NSE.
Now, there is a key uncertainty for the stock. Only a conclusive outcome either from the proposed independent inquiry by the board or by the CBI could help alleviate the doubt.
The stock was the second-most traded stock among all the scrips of Nifty 50. More than 1.83 crore equity shares of ICICI Bank were traded on National Stock Exchange alone till 11:53 am.
In keeping with the whistleblower policy of the bank, board has mandated its audit committee to take all further actions in the matter to operationalize this decision – including in particular, appointment of an independent and credible person as head of the enquiry, determining the terms of reference of the enquiry, the period which will be covered by the enquiry etc.