The investigation of the Enforcement Directorate (ED) into the activities of Yes Bank founder Rana Kapoor has so far yielded his family’s properties worth Rs 2,000 crore, 44 expensive paintings and over a dozen alleged shell companies. The ED arrested Kapoor on Sunday in connection with money laundering.
While expanding the scope of the investigation against Kapoor, the ED is questioning his daughters Rakhi Tandon, Roshni and Radha too.
Official sources said that the investigating agency has found some documents that show that the Kapoor family has some assets in London as well. The agency is scrutinising the source of funds used for the purchase of the London property.
The ED is additionally investigating the association of Kapoor, his wife and three daughters with a Rs 600 crore fund a shell company allegedly received. Rana Kapoor controlled this company. The company Dewan Housing Finance Ltd (DHFL) received this amount.
DOIT Urban Ventures (India) Private Limited, a company linked to Kapoor, allegedly obtained the fund. The fund reached them when DHFL got a loan worth more than Rs 3,000 crore.
As investigations go on against DHFL for alleged financial irregularities, it is now clear that Yes Bank did not take any action to recover the trapped debt (NPA).
The agency suspects that the Rs 600 crore fund may be part of an alleged bribe. This amount was given to the company which was controlled by the Kapoor family to benefit each other.
Authorities said the ED has been paying attention to the extent of Kapoor family’s crime. During the raid, the agency searched the residence of Kapoor’s wife Bindu and the three daughters. This was when the ED learnt of the family’s Rs 2,000 crore investment and more than a dozen mask companies. These companies were used to rig alleged bribes.
Furthermore, the family also received 44 expensive paintings, some of them from politicians.
Kapoor, the former head of Yes Bank, was arrested at the ED’s office in Ballard Estate under the Prevention of Money Laundering Act (PMLA). The central agency raided Kapoor’s residence on Friday night. He was then arrested after interrogation lasting more than 20 hours.
Rana Kapoor was at the helm of Yes Bank between the death of its co-founder Ashok Kapoor in 2008 and his replacement by Ravneet Gill in 2018.
Meanwhile, ED is also recording statements of Kapoor’s wife and daughters.
The ED sprung into action when the Reserve Bank of India on Thursday imposed a ban on Yes Bank, which is facing a shortage of capital. Every account holder can hereon withdraw only up to Rs 50,000. The RBI has ordered the dissolution of the board of this private sector bank with immediate effect.