325

ICICI Bank May Adopt System Of Having Rotating Chairman Until A Full-Time Chairman Is In Place

New Delhi:After ChandaKochhar stepping aside till investigation is going on against her and current chairman MK Sharma retiring this month-end, ICICI Bank may adopt a system of having a rotating chairman to head board meetings until a full-time chairman is in place.

According to sources, the board will nominate an independent director as chairman for its next meeting after Sharma’s term comes to an end. Besides Sharma, the six independent directors on the board of the bank include UdayChitale, DileepChoksi, NeelamDhawan, M D Mallya, Radhakrishnan Nair and V K Sharma.

309

Tatas Win Auction Bid To Run The Connaught For 33 Years; Was Closed Since 2013

New Delhi:  By winning the NDMC auction bid on Wednesday,Tataswould be checking in at The Connaught for 33 years. The prime central Delhi property was closed in 2013, after the previous operator ran it for 18 years without an NDMC licence.

With the 1987-era Connaught, the number of Taj Hotels under various brands in Delhi-NCR goes up to 15. However, Taj did not indicate when the hotel will reopen as it requires extensive renovation.

Indian Hotel Company Limited (IHCL), a Tata Group company which runs the Taj brand, will participate in an auction for another central Delhi hotel, Asian International on Janpath Lane, on Thursday. A question mark hangs over NDMC auction of the prime TajMansingh, which is now slated for July 18, but will take place only if three eligible bids are received by July 9.

303

Air India Seeks Restoration Of Rs 2,200-Crore Equity Infusion From The Government

New Delhi: To meet its operational requirements, Air India has sought immediate restoration of Rs 2,200-crore equity infusion from the government as the process to sell the debt laden airline has now been put on the back burner.

Once this decision is formally adopted by the group of ministers led by FM ArunJaitley, AI will be asked to consider its fleet requirements and see how many planes it needs to take on lease to ensure its market share does not get eroded further as private Indian carriers have collectively ordered almost 1,000 planes. Renting planes, instead of buying them, does not need government nod.

"The government has given guarantee for aRs 1,000-crore loan (which had been revoked by banks earlier). We hope to give May's flying allowances - which form up to 65-70 per cent of a pilot's total pay -by Thursday," said a senior airline official.

273

Kochhar To Temain On Leave Till Completion Of Enquiry Into Conflict-Of-Interest Allegations Against Her

New Delhi:  Board of India's largest private sector bank ICICI announced that its MD and CEO ChandaKochhar has decided to go on leave till the completion of the enquiry by former Supreme Court judge B N Srikrishna into conflict-of-interest allegations against her. The bank reposed "full faith and confidence" in Kochhar and stated that there was "no question of any quid pro quo/nepotism/conflict of interest."

The announcement comes in the wake of speculation that she would be asked to step aside and that SandeepBakhshi, MD and CEO of ICICI Prudential Life, would be brought in to hold the fort. The board has now named him chief operating officer. Bakshi (57) will handle the entire range of businesses and all executive directors will report to him.

259

Stage Seems Set For Intensification Of Consolidation Attempts At Public Sector Bank

New Delhi: Although it isn't clear on who will make the first move, but the stage is set for intensification of attempts at public sector bank consolidation after a presentation by State Bank of India (SBI) chairman Rajnish Kumar at a recent meeting of bankers.

Bankers and government officials said that Kumar made a detailed presentation on SBI's experience with the merger of five associate banks, pointing out how there were some initial niggles during the first few months, along with heightened anxiety. But things have settled down smoothly and the positive impact is now visible. The presentation talked about how there were apprehensions about the impact on stock of bad debt, integration and staff issues. SBI, however, saw it as a move to gain size, something that has eluded Indian banks.