BBB member’s stint at Avista under scanner

The Finance Ministry is looking at the professional assistance provided by newly-appointed Banks Board Bureau member P. Pradeep Kumar during his stint at Avista Advisory Group, which is caught in the controversy involving ICICI Bank and Videocon Group, sources said.

Rajiv Kochhar, brother-in-law of ICICI Bank CEO Chanda Kochhar, is the founder of Singapore-based Avista Advisory.

Conflict of interest

Avista Advisory was involved in restructuring of loans of some ICICI Bank borrowers, which, in turn, has raised concerns over propriety and conflict of interest against the backdrop of the Videocon matter.

Till recently, Mr. Kumar, a former managing director of State Bank of India (SBI), was an adviser to Avista Advisory. Sources said the Department of Financial Services (DFS) is examining the post-retirement professional assistance provided by Mr. Kumar during his stint at Avista Advisory. Various aspects, such as whether Mr. Kumar discharged his duties at Avista only in an advisory role or whether he was also part of the executive decision-making process, would be looked into, they added.