Yes Bank co-founder Rana Kapoor was granted bail in a money laundering case by a special Prevention of Money Laundering Act (PMLA) court on Wednesday.
The lawsuit involved Rs 900 crore in irregularities in a loan issued to Housing Development and Infrastructure Limited (HDIL). Despite the special court’s judgement, Kapoor will not be able to leave prison because he is still awaiting bail in three other cases. He is currently being held at the Taloja jail in Mumbai.
In January 2021, Rana Kapoor was held by the Enforcement Directorate in connection with the Mack Star Group-PMC Bank fraud investigation. The key suspects in the PMC bank scam case are HDIL promoters Sarang and Rakesh Wadhawan. According to reports, HDIL owned a stake in Mack Star Group and borrowed money from Yes Bank without the other Mack Star stockholders’ knowledge.
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The ED said it was looking into allegations that the Wadhawans “syphoned off” a Rs 200 crore loan from Yes Bank to Mack Star Marketing Pvt Ltd. The loan was obtained in order to repair a freshly constructed building owned by the Mack Sar company. The loan itself was dubious in nature because it was borrowed for the purpose of building repairs and refurbishment.
In a separate money laundering case involving Dewan Housing Finance Limited (DHFL) that involved Rs. 466.51 crores, Kapoor was given bail in November of last year. In this specific case, the federal agency said that the proprietors of DHFL, Kapil and Dheeraj Wadhawan, as well as the former CEO of Yes Bank, Kapil Wadhawan, syphoned off Rs 5,050 crore through dubious transactions.
Reports say that the investigation into Kapoor began when the CBI filed a FIR under the Prevention of Corruption Act in September 2020. In October 2020, the ED made a complaint about this crime.