The Central Bureau of Investigation (CBI) has filed a chargesheet against business tycoon Anil Ambani and several others, including Rana Kapoor, the former CEO of Yes Bank, for their supposed role in a plot to commit fraud. The CBI says that Yes Bank lost ₹2,796 crore because of the plan.
The chargesheet, which was filed before a special court in Mumbai, says that Ambani is the chairman of the Anil Dhirubhai Ambani (ADA) Group and the director of Reliance Capital Limited. The ADA group has not said anything about the issue yet.
The CBI has also charged Rana Kapoor and his family members (Bindu Kapoor, Radha Kapoor, and Roshni Kapoor) and numerous of their firms, in addition to Ambani. The charges are based on parts of the Indian Penal Code (IPC) and the Prevention of Corruption Act.
Yes Bank’s chief vigilance officer filed a report in 2022, which led to the CBI starting two cases. The investigation showed that Yes Bank put about ₹2,045 crore into Reliance Commercial Finance Ltd (RCFL) and ₹2,965 crore into Reliance Home Finance Ltd (RHFL) in 2017, even though a financial rating agency had put the ADA Group’s companies “under watch” because their finances were getting worse.
The CBI spokesperson said that the probe found a conspiracy in which “Rana Kapoor abused his official position to channel substantial public funds of Yes Bank Ltd into financially-stressed ADA Group companies.” The ADA Group is said to have “returned the favor by allowing and facilitating concessional loans and investments to companies controlled by Rana Kapoor’s family.” The scam cost Yes Bank a huge amount of money that it shouldn’t have lost, and it gave companies in the ADA Group and Kapoor’s family a lot of money that they shouldn’t have gotten.
The chargesheet also says that Reliance Nippon Mutual Funds, which is part of Reliance Capital, put ₹1,160 crore into Morgan Credits Private Limited, a company owned by the Kapoor family. The CBI also said that Reliance Nippon Mutual Funds put a total of ₹1,750 crore into Yes Bank’s high-risk, unsecured debt instruments (AT1 bonds), which would have been the last to be paid back in the case of liquidation.