InvestorQ : Why has the Yes Bank EX-CEO been arrested by the Enforcement Directorate?
Katherine Gonsalves made post

Why has the Yes Bank EX-CEO been arrested by the Enforcement Directorate?

Answer
image
Rutuja Nigam answered.
10 months ago
Follow

The ED on Sunday arrested Rana Kapoor on charges of money laundering. This arrest is closely linked to his relations with DHFL in the money laundering case. It came after 30 hours of intense questioning. It is alleged that Kapoor received kickbacks from various entities on disbursal of loans and these loans eventually turned into NPAs. For example, according to the ED, Kapoor had received Rs.600 crore from DHFL in one of his family ventures in exchange of the bankrupt company not repaying its loans. RBI dissolved the bank management and now SBI will take a stake in Yes Bank along with a liquidity window of Rs. 10,000 crore. The ED investigation eventually led to the arrest of Rana Kapoor under the Prevention of Money Laundering Act (PMLA) for allegedly compromising the interests of the stakeholders of the Bank.

9 Views