ICICI Bank on September 2 denied Congress’s allegations of paying any remuneration in form of salary or ESOPs to SEBI Chairperson Madhabi Puri Buch.
The bank in a statement said that has come to its attention that there are certain reports in media alleging payment of salary by ICICI Group to Madhabi Puri Buch, Chairperson of SEBI.
“In this connection, we would like to clarify as follows: ICICI Bank or its group companies have not paid any salary or granted any ESOPs to Madhabi Puri Buch after her retirement, other than her retiral benefits. It may be noted that she had opted for superannuation with effect from October 31, 2013. During her employment with the ICICI Group, she received compensation in the form of salary, retiral benefits, bonus and ESOPs, in line with applicable policies,” it said.
“Under the Bank’s ESOP rules, the ESOPs vest over the next few years from the date of allotment. As per rules existing at the time of her ESOP grant, employees including retired employees had the choice to exercise their ESOPs anytime up to a period of 10 years from the date of vesting. As per Income Tax rules, the difference between the price of the stock on the day of exercise and the allotment price is treated as perquisite income and is reflected in Part B of the Form16 of employees, including retired employees. The Bank is required to deduct the perquisite tax on this income. In addition, Form -16 covers the payment made towards the retiral benefits of former employees,” the statement added.
Congress on September 2 posed fresh questions to SEBI chairperson Madhabi Puri Buch and asked her to step down for allegedly violating Section 54 of SEBI. In a press briefing, Congress leader Pawan Khera said that Buch was taking a regular salary from ICICI Bank despite being a full-time member of SEBI.
Khera alleged that Buch was a whole-time member of SEBI from April 5, 2017 to October 4, 2021. “Then on March 2, 2022, Madhabi Puri Buch became the Chairperson of SEBI. Buch, while being a full-time member of SEBI, was drawing regular income from ICICI Bank, which was Rs 16.80 crore. She was also taking ICICI Prudential, ESOP and TDS of ESOP from ICICI Bank. So, we want to know why you were taking your salary from ICICI despite being a full-time member of SEBI?” Khera asked.
Congress has stepped up its attack on SEBI chief after Hindenburg Research last month claimed Buch and her husband had stakes in obscure offshore funds used in the alleged Adani money siphoning scandal. Buch and her husband have denied the allegations levelled against them as baseless and asserted that their finances are an open book.