Yes Bank founder Rana Kapoor was taken by the Enforcement Directorate to its Mumbai office this afternoon for detail questioning.
The agency has also conducted raids at the homes of his three daughters – Roshni Kapoor, Rakhee Kapoor Tandon and Radha Kapoor.
The raids come after Kapoor’s residence was searched, last evening and today, and he was questioned over malpractices by top leadership that led to a serious deterioration in the financial position of one of the country’s largest private lenders.
The Enforcement Directorate began its probe after a money laundering case under the Prevention of Money Laundering Act (PMLA) was initiated based on details from an investigation into Dewan Housing Finance Corporation Limited (DHFL). The case against DHFL Promoter Kapil Wadhawan and his brother Dhiraj Wadhawan concerned the alleged purchase of properties belonging to the late drug baron Iqbal Mirchi. A case has been registered in this matter and Kapil Wadhawan, who was arrested in January, is currently out on bail.
The Enforcement Directorate alleges that Yes Bank granted loans to DHFL and around the same period, crores of rupees were transferred to accounts linked the family of Yes Bank founder Rana Kapoor, these accounts included those belonging to his wife.
Yes Bank was placed under a 30-day moratorium on Thursday, with the Reserve Bank of India (RBI) capping deposit withdrawals at the bank at 50,000 rupees per account, in a move that triggered widespread panic and superseding its board. A lookout circular has been issued against Kapoor to stop him from leaving the country.
Rana Kapoor was Chief Executive Officer of Yes Bank from its creation in 2004. However, he had to step down in 2018 after the RBI disapproved his request to extend his term.
Discussion about this post