Yes Bank co-founder arrested in money laundering case

Rana Kapoor

Chennai: The Enforcement Directorate has arrested Yes Bank co-promoter Rana Kapoor in a fresh money laundering case linked to an alleged Rs 4,300 crore fraud at the PMC Bank in Maharashtra, official sources said.

Kapoor, 63, was already in judicial custody after he was arrested by the central probe agency in March last year in connection with alleged financial irregularities and purported kick backs paid to him and his family members in lieu of certain loans provided by the Yes Bank to a number of high-profile borrowers.

In the latest case, sources said, Kapoor was placed under arrest in jail as per provisions of the Prevention of Money Laundering Act (PMLA).

He was later produced before a special PMLA court that sent him to ED custody till 30 January in the second money laundering case filed against him, they said.

The latest case pertains to the alleged loan fraud in the PMC Bank where the ED raided the premises of the Viva Group promoted by Maharashtra MLA and Bahujan Vikas Agadhi (BVA) party chief Hitendra Thakur in the Vasai-Virar areas of Palghar district and Mumbai last week.

The central agency filed a criminal case of money laundering in October 2019 to probe alleged loan fraud in the Punjab and Maharashtra Co-operative (PMC) Bank, against Housing Development Infrastructure Ltd (HDIL), its promoters Rakesh Kumar Wadhawan, his son Sarang Wadhawan, the bank’s former chairman Waryam Singh and ex-managing director Joy Thomas.

It took cognisance of a Mumbai Police economic offences wing FIR that charged them with causing ‘wrongful loss, prima facie to the tune of Rs 4,355 crore to PMC Bank and corresponding gains to themselves’.

The ED is probing the role of the Viva Group, Kapoor and the Wadhawans for allegedly ‘siphoning off’ a Rs 200 crore loan sanctioned by the Yes Bank to a company called Mack Star Marketing Pvt Ltd.

 

NT Bureau