Rana Kapoor is currently in the custody of the Enforcement Directorate until Wednesday.
The Central Bureau of Investigation (CBI) on Monday carried out searches at seven locations linked to Yes Bank co-founder Rana Kapoor as it deepened its investigation into whether Mr Rana benefited from loans given by the bank. Properties belonging to Kapil Wadhawan, promoter of Dewan Housing Finance Corporation Limited (DHFL) and Dheeraj Rajesh Kumar Wadhawan, Director of RKW Developers Private Limited, a company linked to DHFL were also searched. All the raids were carried out at the residence and official premises of the accused in Mumbai.
Teams of the CBI carried out searches at the lavish apartment of Mr Kapoor in the famous "Samudra Mahal" building in Worli, besides residences of his daughters Raakhe and Radha in the up-market NCPA complex, Nariman point, besides Wadhawan''s home at Sea View, Palace Hills, nws agency PTI reported quoting CBI officials.
The offices of DHFL, DoIT Ventures and RKW developers controlled by Kapoor were also searched, PTI reported.
The CBI and the ED are investigating how DHFL loaned Rs 600 crore to a firm "controlled" by Rana Kapoor's family in lieu of allegedly not recovering over Rs 4,000 crore loan issued by the Yes Bank to the former.
Five companies, seven individuals, including Rana Kapoor's wife and three daughters, and unidentified people have been named in the FIR filed by the probe agency.
Besides Rana Kapoor, the agency has filed a case against his wife Bindu, daughters Roshini, Raakhe and Radha. Kapil Wadhawan and Dheeraj Rajesh Kumar Wadhawan have also been named as accused, the officials said.
Companies DHFL, RKW Developers Private Limited, DoIt Urban Ventures controlled by the Kapoor family, RAB Enterprises (lndia) Private Limited in which Bindu Rana Kapoor was director and Morgan Credits Private Ltd in which Rana Kapoor's daughters were directors are also named as accused.
The agency has alleged that Rana Kapoor, 62, entered into a criminal conspiracy with Kapil Wadhawan, DHFL director-promoter for round-tripping of funds where loans from Yes Bank to DHFL landed in companies owned by Rana Kapoor's daughters, DoIT Urban Ventures (India) Pvt Ltd, the officials said.
The agency has alleged that between April and June, 2018, Yes Bank invested Rs 3,700 crore in short-term debentures of Dewan Housing Finance Corporation Ltd (DHFL), they said. Yes Bank also sanctioned a loan of Rs 750 crore to RKW Developers Pvt Ltd whose Director is Dheeraj Wadhawan and is a DHFL group company for their Bandra reclamation project, the officials said. The amount was transferred to by RKW Developers to DHFL without investing anything in the project for which it was sanctioned, they said.
In return for these Yes Bank funds, Wadhawan allegedly invested Rs 600 crore in a company of Kapoor's daughters -- DoIt Urban Ventures (India) Pvt Ltd, which the CBI alleges to be a bribe to Kapoor for Yes Bank investments.
DHFL is alleged to have had siphoned off Rs 31,000 crore out of total bank loans of Rs 97,000 crore using a web of multiple shell companies.
Rana Kapoor was sent to the custody of the Enforcement Directorate until Wednesday by a court in Mumbai on Sunday following his arrest on money-laundering charges.
On Thursday, RBI took control of Yes Bank and said it would work on a revival plan. State Bank of India (SBI) said on Saturday it would invest funds to buy a 49 per cent stake in Yes Bank as part of the initial phase of a rescue deal for the troubled lender.
Last week finance minister Nirmala Sitharaman said Yes Bank had granted loans to entities including bankrupt Dewan Housing and Finance Ltd (DHFL).
The bank is the third significant Indian financial institution to unravel in the last six months, following the RBI's moves to take control of Dewan Housing and Punjab & Maharashtra Co-operative Bank.
With additional inputs from PTI