By Bhavatosh Singh
Copyright timesnownews
The Central Bureau of Investigation (CBI) on Thursday filed a chargesheet in two cases linked to alleged fraudulent transactions between Anil Ambani-led ADA Group companies and Yes Bank, involving its former CEO Rana Kapoor and his family. The case involves fraudulent transactions between Anil Dhirubhai Group Companies, RCFL (Reliance Commercial Finance Limited) and RHFL (Reliance Home Finance Limited), Yes Bank and companies of bank’s former CEO Rana Kapoor’s family. CBI has alleged these financial irregularities have caused a loss of Rs 2796 crore to the bank. CBI has alleged that Ambani was the Chairman of Anil Dhirubhai Ambani Group and the Director of Reliance Capital Ltd., the holding company of RCFL and RHFL. Besides Ambani, the CBI has also charge sheeted Rana Kapoor, his wife Bindu Kapoor, their daughters Radha Kapoor, Roshni Kapoor, RCFL, RHFL (now M/s Authum Investment and Infrastructure Ltd), RAB Enterprises Pvt Ltd, Imagine Estate Pvt Ltd, Bliss House Pvt Ltd, Imagine Habitat Pvt Ltd, Imagine Residence Pvt Ltd and Morgan Credits Pvt Ltd CBI has filed the chargesheet under sections of Indian Penal Code and Prevention of Corruption Act. In 2022, the federal probe agency had filed two cases in 2022 against Rana Kapoor, the then Managing Director and CEO, Yes Bank and Reliance Commercial Finance Ltd (RCFL), Reliance Home Finance Limited (RHFL) The complainant in the case was the chief vigilance officer of Yes Bank “Yes Bank invested around Rs. 2045 crores in non-convertible debentures and commercial debts of RCFL and Rs. 2965 crores in Non-Convertible Debentures and Commercial Papers of RHFL in the year 2017 on the approval of Rana Kapoor despite CARE Ratings placing ADA Group Financial Companies “under watch” in view of deteriorating financial standing and adverse market assessment,” said CBI in a statement “The funds, invested in RCFL and RHFL by Yes Bank were subsequently siphoned through multiple-layers, demonstrating a systematic diversion of public money,” the CBI said “Investigation revealed a conspiracy between Rana Kapoor and Anil Ambani where-in Rana Kapoor abused his official position to channel substantial public funds of Yes Bank Ltd into financially stressed ADA Group Companies, while ADA Group reciprocated by sanctioning and facilitating concessional loans and investments to entities controlled by Rana Kapoor’s family,” it said. As quid pro-quo, Anil Ambani got credit facilities sanctioned from RCFL and RHFL at concessional rates to loss making family entities of Kapoor– companies owned by his wife Bindu Kapoor and daughters Radha Kapoor and Roshani Kapoor. “This fraudulent arrangement resulted in massive wrongful loss to Yes Bank (amounting to Rs. 2796.77crores) and corresponding unlawful gain to RCFL, RHFL and other companies of ADA Group as well as companies owned by family members of Rana Kapoor,” the CBI said. “Another subsidiary companies of Reliance Capital Ltd Reliance Nippon Mutual Funds on the alleged instructions of Ambani invested Rs 1160 crore during 2017-18 in Non-Convertible Debentures of Morgan Credits Pvt Ltd, another entity owned by Rana Kapoor’s family,” the CBI said “Reliance Nippon Mutual Funds also purchased ADA Group Debentures worth Rs. 249.80 crores from Yes Bank.Reliance Nippon Mutual Funds also invested Rs.1750 crore in unsecured debt instruments (AT1 Bonds) of Yes Bank,” the CBI claimed. “These high risk and high reward bonds had no fixed maturity date and could either be converted into equity or written off completely in case of crisis. It may be recalled that AT1 Bonds rank most below other debts in the event of liquidation,” the CBI has alleged.
