InvestorQ : Why has CBI booked the promoters of HDIL?
Chandralekha Desai made post

Why has CBI booked the promoters of HDIL?

Answer
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NISHA Nayak answered.
2 weeks ago


CBI booked HDIL promoters Rakesh Wadhawan and Sarang Wadhawan plus other directors and auditors in the firm. This is in connection with the Rs.200-crore loan fraud pertaining to Yes Bank. CBI also searched the residences of the Wadhawan brothers in Mumbai as well as 9 other premises in Mumbai.

It has been alleged that Yes Bank had given loan to Mack Star, a company in which HDIL was a minority shareholder. Now, the story gets complicated because the funds transferred to Mack Star by Yes Bank as loan were transferred to HDIL to repay its loan to Yes Bank.

This has created a clear case of money laundering and round tripping of funds. It is also alleged that the Wadhawan brothes paid a heavy kickback to Rana Kapoor for this loan.