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Yes Banking crisis: latest news | India News

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NEW DELHI: Rana Kapoor, founder of Yes Bank, in crisis, was arrested by the ED on Sunday on money laundering charges after more than 20 hours of interrogation and held in custody until March 11. The RBI had imposed a moratorium on Thursday. at Yes Bank, limiting withdrawals to Rs 50,000 per account.
Here are the latest developments:
IWC reserves Rana Kapoor, Kapil Wadhawan for traps and corruption
The CBI has reserved Rana Kapoor, co-founder of Yes Bank, DoIT Urban Ventures, a company allegedly in the hands of family members, and the director and promoter of DHFL, Kapil Wadhawan, for alleged criminal conspiracy, cheating and corruption, they said Sunday sources.
According to the CBI FIR, the scam began to take shape between April and June 2018, when Yes Bank invested Rs 3.7 billion rupees in short-term obligations of Dewan Housing Finance Corporation Ltd (DHFL).
In return, Wadhawan allegedly “paid bribes of Rs 600 crore” to Kapoor and his relatives in the form of a loan to DoIT Urban Ventures (India) Pvt Ltd, they said. DoIT Urban Ventures is in the hands of Kapoor’s daughters: Roshini, Radha and Rakhee.
ED prevents Rana Kapoor’s daughter, Roshni, from flying to the UK
The Compliance Directorate prevented Sunday the daughter of the founder of Yes Bank, Rana Kapoor, from taking a flight to London, as she must join the investigation in a money laundering case against her father, authorities said.
They said that Roshni Kapoor was not allowed to board the flight from Mumbai airport based on a circular Look Out Circular (LoC) issued against him by the central agency.
He was going to take a flight to London, officials said. The reasons for his trip were not immediately known.
She, along with her two sisters and her mother, has been the promoter of certain firms that are under the agency’s scanner.
Digital transaction traffic is recovered Phonepe
The PhonePe digital payment platform said Sunday that its transactions and user traffic have recovered to normal after being affected for 24 hours due to restrictions at Yes Bank.
More than 25 million customers used the PhonePe application on Saturday showing their confidence in the platform, according to a company statement.
The digital payment platform has recovered in the last 24 hours. The platform processed more than 4 billion rupees in transactions in 24 hours and saw its largest volume of user traffic in a single day (with more than 70 million application sessions), he said.
PhonePe saw a service outage for almost 24 hours, which began immediately after the RBI placed Yes Bank in moratorium on March 5.
Yes, the banking crisis leaves travelers, students who use forex cards in the lurch
Yes, the Bank that is under moratorium has left foreign travelers and students who used their prepaid Forex cards in the lurch, without transactions during the last three days.
After the bank was placed under moratorium and its restrictions, the lender could not fulfill its function of allowing UPI payments to be made for popular applications such as PhonePe that depended exclusively on the bank. The application was forced to switch to rival ICICI Bank in a day to restart transactions.
RBI reiterates the security of depositors in banks
To dispel the concerns raised by many after the Yes Bank fiasco, the Reserve Bank reiterated on Sunday that depositors’ money is safe and is closely monitoring all banks.
The RBI also said that concerns about bank deposit security are based on a faulty analysis.
“Concern has been expressed in certain sections of the media about the security of certain banks’ deposits. This concern is based on an analysis that is flawed. The solvency of the banks is based internationally on Capital to Risk Weighted Assets (CRAR) and not in market capitalization. ” The central bank said in a tweet.
BJP and Cong hit each other for the Yes Bank crisis
A war of words broke out between the BJP and Congress on Sunday over the Yes Bank crisis with the ruling party that sought to link it with the Gandhi family, while the opposition wondered if the prime minister and finance minister were “accomplices” as Bank loan. book grew multiple.
By posting on Twitter a clip of a news channel report that Rana Kapoor had bought a painting by Congress leader Priyanka Gandhi Vadra, the head of technology and information wing of BJP, Amit Malviya, claimed that all financial crimes in India they have “deep ties” with the Gandhis.
Dismissing the accusation, Congress spokesman Abhishek Manu Singhvi said it was a “distracting” tactic of the government.
Indiabulls Housing says yes The bank owes Rs 662 for bonds
Indiabulls Housing Finance said Yes. The Bank owes Rs 662 crore in the form of bonds to the company and has no outstanding loans from the lender.
“We want to report that Yes Bank owes Indiabulls Housing Finance Rs 662 rupees through additional Tier 1 (AT-1) bonds,” he said in a regulatory document.
Investments in Yes Bank’s AT-1 bonds were made in 2017, as part of its treasury management of more than Rs 20,000 rupees of cash and when the bank was worth more than USD 10 billion in value, he said.
ED arrests Yes Rana Kapoor under PMLA
The Execution Directorate arrested Yes Bank founder Rana Kapoor on charges of money laundering in Mumbai in the early hours of Sunday, authorities said.
The banker was held under the provision of the Money Laundering Prevention Act (PMLA) around 3 in the morning, as he was allegedly not cooperating in the investigation, they said.
Kapoor’s arrest at the ED office in Ballard Estate followed more than 20 hours of interrogation by the central agency after he raided his residence Friday night.
Later, Kapoor was handed over to the Execution Directorate until March 11 by the Mumbai Special Vacation Court.
When making a Kapoor custody request for five days, the ED made a “verbal presentation” before the court detailing the alleged financial irregularities of Yes Bank and DHFL.
Yes, bank debit cards can also be used in other banks
Yes, the bank announced Saturday night that its debit cards can also be used to withdraw cash at other ATMs.
The measure comes after long queues were seen at Yes Bank ATMs and branches and numerous customer complaints that they could not withdraw any money.
“Now you can make withdrawals using your YES BANK debit card at both YES BANK and other bank ATMs. Thank you for your patience,” the bank said on Twitter.
Previously, the government had announced a moratorium that only up to 50,000 rupees can be withdrawn.
Moratorium in the Bank Yes
The Reserve Bank of India had imposed a moratorium on Yes Bank on Thursday, limiting withdrawals to Rs 50,000 per account, and replaced the private sector lender’s meeting with immediate effect.
Yes, the Bank cannot grant or renew any loan or advance, make any investment, incur any responsibility or accept to disburse any payment.
Under the RBI reconstruction scheme project, the State Bank of India will acquire a 49 percent stake in Yes Bank under a government-approved rescue plan.
(With agency contributions)

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