ICICI Bank - Controversy Over Debt Recovery Methods

Controversy Over Debt Recovery Methods

A few years after its rise to prominence in the banking sector, ICICI bank faced allegations on the recovery methods it used against loan payment defaulters. A number of cases were filed against the bank and its employees for using "brutal measures" to recover the money. Most of the allegations were that the bank was using goons to recover the credit card payments and that these "recovery agents" exhibited inappropriate and in some cases, inhuman behavior. Incidents wee reported wherein the defaulters were put to "public shame" by the recovery agents.

The bank also faced allegations of inappropriate behavior in recovering its loans. These allegations started initially when the "recovery agents" and bank employees started threatening the defaulters. In some cases, notes written by the bank's employees asking the defaulters to "sell everything in the house including family members", were found. Such charges faced by the bank rose to a peak when suicide cases were reported wherein the suicide notes spoke of the Bank's recovery methods as the cause of the suicide. This led to a lot of legal battles and the bank paying huge compensations. ICICI BANK

Read more about this topic:  ICICI Bank

Famous quotes containing the words controversy, debt, recovery and/or methods:

    Ours was a highly activist administration, with a lot of controversy involved ... but I’m not sure that it would be inconsistent with my own political nature to do it differently if I had it to do all over again.
    Jimmy Carter (James Earl Carter, Jr.)

    A good debt is not as good as no debt.
    Chinese proverb.

    Walking, and leaping, and praising God.
    Bible: New Testament Acts, 3:8.

    Referring to the miraculous recovery of a lame man, through the intervention of Peter.

    A writer who writes, “I am alone” ... can be considered rather comical. It is comical for a man to recognize his solitude by addressing a reader and by using methods that prevent the individual from being alone. The word alone is just as general as the word bread. To pronounce it is to summon to oneself the presence of everything the word excludes.
    Maurice Blanchot (b. 1907)