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Videocon stock closes lower after CBI books group MD Venugopal Dhoot, others in loan fraud case

Videocon stock closes lower after CBI books group MD Venugopal Dhoot, others in loan fraud case

The Videocon Group stock closed lower today after the central bureau of investigation (CBI) booked Videocon group MD Venugopal Dhoot, former ICICI Bank CEO and MD Chanda Kochhar and her husband Deepak Kochhar in connection with alleged cheating and irregularities in loans sanctioned by the bank to the group in 2012.

The stock closed 2.73% lower at 2.85 level compared to previous close of 2.93 on the BSE. The microcap stock opened at 2.92 level and hit an intra day high of 3.05 on the BSE.

The stock has been losing for the last three days and fallen 6.56% during the period.

It has lost 85.19% during the last one year and fallen 15.18% since the beginning of this year.

The agency on Thursday carried out searches at multiple locations, including the offices of Videocon group in Mumbai and Aurangabad, offices of Nupower Renewables which is operated by Deepak Kochhar, and Supreme Energy after registering a case.

“It was alleged that the accused sanctioned certain loans to private companies in a criminal conspiracy with others to cheat ICICI bank,” the CBI spokesperson said.

In addition to Chanda, her husband Deepak and Dhoot, the agency has also named companies Nupower Renewables, Supreme Energy, Videocon International Electronics and Videocon Industries as accused in the FIR registered under IPC sections related to criminal conspiracy and provisions of prevention of corruption act, they said.

It is alleged that Videocon promoter Venugopal Dhoot allegedly invested crores in Nupower months after the Videocon group got Rs 3,250 crore as loan from the ICICI Bank in 2012, they said.

The move comes 10 months after the CBI registered a preliminary enquiry (PE) against Videocon promoter Venugopal Dhoot, Deepak Kochhar and unidentified others in March last year, they said.

A PE is a precursor before the agency lodges an FIR to probe criminal charges on the basis of evidence collected during the former exercise.