This Article is From Mar 16, 2020

Yes Bank Founder Rana Kapoor To Remain In Custody Till March 20

The 62-year-old banker was initially remanded in ED custody till March 11 which was later extended up to March 16.

Yes Bank Founder Rana Kapoor To Remain In Custody Till March 20
Mumbai:

A special court in Mumbai on Monday extended Yes Bank founder Rana Kapoor's ED custody till March 20. Rana Kapoor was arrested on charges of money laundering.

The former chief of the private lender was arrested by the Enforcement Directorate (ED) in Mumbai on March 8 under provisions of the PMLA (Prevention of Money Laundering Act) since he was allegedly not cooperating in the probe related to the crisis at Yes Bank which has been placed under moratorium by the RBI.

The 62-year-old banker was initially remanded in ED custody till March 11 which was later extended up to March 16.

As his remand ended on Monday, Rana Kapoor was produced before special PMLA court judge PP Rajvaidya who extended his ED custody till March 20 on a plea by the central investigating agency.

Meanwhile, Rana Kapoor told the court he has been suffering from asthma and depression for a long time.

"I just want to bring to your (court) notice that my family is providing treatment, but don't known when it will erupt," the veteran banker added.

The ED told the court that during Rana Kapoor's tenure at Yes Bank, he had sanctioned Rs 202.10 crore loan to a joint venture involving the HDIL group.

A part of this loan was used by the real estate group to pay previous loans of Yes Bank, the agency said.

Earlier, the ED had said loans worth Rs 30,000 crore were given to various entities when Rana Kapoor was on the bank's panel.

"Of this, Rs 20,000 crore turned into bad debts," the agency had told the court.

The Reserve Bank of India had earlier this month imposed a moratorium on the capital-starved Yes Bank, capping withdrawals at Rs 50,000 per account, and superseded the board of the private sector lender with immediate effect.

The ED has accused Rana Kapoor, his family members and others of laundering proceeds of crime worth Rs 4,300 crore by receiving alleged kickbacks in lieu of extending big loans through their bank that later turned into Non-Performing Assets (NPA).

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