ED Interrogates Rana Kapoor Over Anil Ambani Case
ED alleges quid pro quo with Anil Ambani-led group that led to major losses for Yes Bank
New Delhi, Dec 15: Former Yes Bank CEO Rana Kapoor on Monday appeared before the Enforcement Directorate (ED) at its headquarters here in connection with the agency’s probe into alleged financial irregularities involving the Anil Ambani led Reliance Group.
According to the ED, Kapoor joined the investigation as part of an ongoing money laundering inquiry in which the agency has alleged a “quid pro quo” arrangement between Kapoor and industrialist Anil Ambani that resulted in substantial losses to Yes Bank.
The agency claimed that during Kapoor’s tenure at Yes Bank, the lender’s exposure to Anil Ambani Group (ADAG) companies stood at around ₹6,000 crore as of March 31, 2017, which later surged to nearly ₹13,000 crore by March 31, 2018. During the same period, Yes Bank allegedly invested more than ₹5,000 crore in Reliance Home Finance Limited (RHFL) and Reliance Commercial Finance Limited (RCFL), both part of the ADAG group.
The ED alleged that a significant portion of these investments subsequently turned into Non-Performing Investments (NPIs), causing losses of approximately ₹3,300 crore to the bank. The agency maintained that these transactions were not routine banking decisions but were executed as part of a quid pro quo arrangement.
As per the ED, in exchange for Yes Bank’s investments, ADAG group entities allegedly extended loans to companies linked to Rana Kapoor’s family members. The agency also claimed that Kapoor and Anil Ambani held private meetings, often without the presence of other senior Yes Bank officials, to finalise these alleged transactions.
Further investigation in the matter is underway.
