The ED will be filing its chargesheet against Yes Bank founder Rana Kapoor and his family members.
New Delhi, May 6:
The Enforcement Directorate is set to file its chargesheet in the Yes Bank case in the PMLA court in Mumbai against founder Rana Kapoor and his family members.
ED has provisionally attached 168 bank accounts of Rana Kapoor and his family and their network companies with worth Rs 52 crore. The agency has also attached 59 paintings worth Rs 4 crore, including an MF Hussain painting of Rajiv Gandhi and mutual funds worth Rs 3 crore.
The Rajiv Gandhi portrait bought by Kapoor from Priyanka Gandhi Vadra for Rs 2 crore has been shown as proceeds of crime by ED, sources said.
The chargesheet being filed will be the first in this case and has named 8 people and entities, including Rana Kapoor, his wife Bindu Kapoor, daughters Rakhee, Roshni and Radha and three entities namely Morgan Credit Pvt Ltd, Yes India Capital Pvt Ltd and Rab Enterprises.
Sources claim that the chargesheet would show proceeds of crime worth around Rs 5,050 crore of which Rs 600 crore was directly received by companies owned by Kapoor’s daughters as alleged kickback for loans awarded by Yes Bank to some companies under investigation.
ED has recorded statements of multiple persons which includes Kapoor’s personal secretary Lata Dave, former CEO of Yes Bank Ravneet Gill, which has helped the agency learn more about the suspicious loans and network companies owned by Kapoor’s daughters.
During the course of investigation, a statement by Ravneet Gill, former MD & CEO of Yes Bank Ltd. was recorded by ED. His statement has brought to light several facts as alleged in the ECIR registered by ED. Gill has told ED that he joined as CEO and MD of Yes Bank on March 1, 2019 and he had been brought to Yes Bank Ltd. for reasons such as poor credit culture, poor compliance culture, centralization of power and and lack of institutionalization.
According to his statement, after joining the bank, Ravneet Gill found that the asset portfolio of the bank had assumed very large exposures to many entities which were facing significant stress and illiquidity. The bank had announced its results wherein it disclosed a credit watch list containing names of clients where there could be short term slippages.
He also found that the notable cases where large NPAs arose included (a) ADAG Group, (b) DHFL, (c) Essel Group, (d) Cox & Kings, (e) Radius Developer, (f) Sahana Developers, (g) Omkar Group, (h) Avanta Group, (i) Sumer Group and (k) Skil.
Gill also stated that Yes Bank had sanctioned loan of Rs 750 crore to Belief Realtor Pvt. Ltd. He inter alia stated that by Belief Realtor Pvt Ltd. is a group company of DHFL Group controlled by Dheeraj Wadhawan and Kapil Wadhawan; that the loan of Rs 750 crore had been sanctioned on date 18.06.2018 by Management Credit.
Rana Kapoor in his statement given to ED said, “In 2018, DHFL had issued retail senior public debentures worth Rs 8,000 to 10,000 crore and an amount of approximately Rs 3,000 crore plus was allocated for purchase by Yes bank Ltd. as per the Bank’s Board Credit Committee approval.”
He also stated that a loan of Rs 1,200 crore had been given by Yes Bank to Adhar Housing Finance Ltd which was a DHFL group company.
A loan of Rs 600 crore against property mortgage was sanctioned by DHFL to DOIT Urban Ventures India LId. (DOIT) which is wholly owned by a company namely M/s Morgan Credits Pvt. Ltd. (MCPL) which in turn is equally held by Rana Kapoor’s three daughters.
He further stated that two earlier loans of Rs 300 crore each had been given to DOIT Urban Ventures India Ltd. by DHFL, which were duly closed in August, 2018 and a renewed loan of Rs 600 crore was granted.
The chargesheet says, against this, Rs 600 crore loan DOIT Urban Ventures lndia Ltd. had mortgaged the five properties, though Kapoor was not sure if the valuation of these properties was carried out at the time of its mortgage or not. ED has found that the value of these properties was inflated to more than ten times its actual value and had been further used to hoodwink banking regulators.
The loan sanctioned to BRPL makes it very clear regarding the criminal conspiracy between Kapoor and Wadhawans of DHFL with the fact that Rs 750 crore as sanctioned to BRPL which was a network company of RKW Developers which is controlled by Wadhawans. The same money was then rotated to DHFL by created multiple layers.