The CBI has booked Yes Bank co-founder Rana Kapoor, DoIT Urban Ventures, a company allegedly held by his family members, and DHFL promoter -director Kapil Wadhawan for alleged criminal conspiracy, cheating and corruption, sources said on Sunday, 8 March.
The agency has alleged that Kapoor, 62, entered into a criminal conspiracy with Wadhawan for extending financial assistance to DHFL through Yes Bank in return for substantial undue benefits to himself and his family members through companies held by them, they said.
Earlier in the day, Kapoor was arrested by the Enforcement Directorate (ED) under money laundering charges, has been sent to custody till 11 March.
Presence of Active Dummy Firms
The ED, officials said, is looking at finding the proceeds of crime during the raids conducted at Kapoor's residence and those of his wife Bindu and three daughters. It has stumbled upon investments worth over Rs 2,000 crore by the family and the active presence of about a dozen shell or dummy firms used to rotate alleged kick backs, they said.
The central probe agency that began action against the banker by raiding his upscale residence in south Mumbai on Friday, 6 March is primarily investigating Kapoor, his wife and three daughters over a Rs 600 crore fund received by a firm allegedly "controlled" by them from an entity linked to the scam-hit Dewan Housing Finance Limited (DHFL).
Rana was questioned by the ED sleuths for over 20 hours after the central agency raided his residence on Friday night.
The Kapoor’s linked firm, DoIT Urban Ventures (India) Pvt Ltd, is alleged to have received the funds when Yes Bank had a exposure of more than Rs 3,000 crore loans to DHFL, already being probed for purported financial irregularities and diversion of funds.
The bank, they said, allegedly did not initiate action to recover the NPA-turned loans from DHFL and the agency suspects that the Rs 600 crore funds were part of alleged kick backs received as quid pro quo in the firm controlled by the Kapoor family.
It has also stumbled upon 44 expensive paintings purchased by the family, some of which were allegedly purchased from politicians.
The ED, meanwhile, is also recording the statement of Kapoor's wife and daughters.
The arrest of Kapoor, former MD and CEO of the private bank, comes after charges of alleged financial irregularities and mismanagement in its operations surfaced and the RBI and Union government initiated action to control its affairs.
(With inputs from PTI)
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