ICICI Bank on Monday gave its reply to the allegations leveled by the Congress on SEBI Chief Madhavi Puri Buch. The bank said that it has not given any salary or ESOP to Madhabi since her retirement in October 2013. Let us tell you that the Congress had alleged that Madhabi Puri Buch, who became a member of the Securities and Exchange Board of India (SEBI) in the year 2017, had received Rs 16.8 crore from ICICI Bank as salary and other remuneration. Congress has said that the SEBI Chairman has received Rs 16.8 crore from ICICI Group since 2017, which is 5.09 times the income he received from SEBI.
Nothing was given except retirement benefits
On the allegations of Congress, the bank said, “ICICI Bank or its group companies have not given any salary or any ESOP (Employee Stock Option Plan) to Madhabi Puri Buch after her retirement apart from her retirement benefits. It is worth noting that she had opted for retirement with effect from October 31, 2013.” During her tenure in ICICI Group, Madhabi Puri Buch received remuneration in the form of salary, retirement benefits, bonus and ESOP in accordance with the policies of the bank.
What did the bank say in the statement regarding ESOP
The bank said, “As per our rules, ESOPs are available in the next few years from the date of allotment. Under the rules applicable at the time of allotment of ESOP to Buch, bank employees, including retired employees, had the option to exercise their ESOP anytime for a period of 10 years from the date of authorization.”
Congress leader Jairam Ramesh had raised questions
Congress general secretary and media in-charge Jairam Ramesh said that serious questions have been raised about the conflict of interest on the SEBI chief in the case of regulatory investigation being conducted on the violation of SEBI rules by Adani Group. Ramesh said in a post on social media platform ‘X’, “It seems that the Government of India has easily sidelined these questions. Now this new disclosure of shocking illegal aspect has been made.”
What are the income tax rules regarding ESOP
The bank’s statement said that according to the income tax rules, the difference between the price of the stock on the day of ESOP allocation and its implementation is considered as perquisite income and is shown in Part B of Form 16 of retired employees. It is necessary for the bank to deduct perquisite tax on this income. Apart from this, Form-16 also includes payments made for retirement benefits of former employees.