The ED is looking into more multi-crore rupees loans issued by Yes Bank to corporate houses that turned non-performing assets as part of its money laundering investigation against its arrested promoter Rana Kapoor, officials said on Monday.
They said the agency has widened its probe in the case beyond the loan to DHFL and is now looking at its books to find out evidence if alleged kickbacks were received by the Kapoor family and others from business houses in lieu of non- initiation of loan recovery processes.
The central agency is probing the scam-hit Dewan Housing and Finance Limited (DHFL) giving a loan of Rs 600 crore to a firm “controlled” by Kapoor’s family, that includes his wife and three daughters, in lieu of not recovering over Rs 4,000 crore of loan issued by Yes Bank to the former.
Sources said senior officials of Yes Bank were questioned at the Enforcement Directorate (ED) office in Mumbai on Monday.
They added that the investigators have also zeroed in on Kapoor’s purported foreign assets in UK, France and the US to see if the proceeds of crime of money laundering were used to purchase these assets by the banker and his family.
A dozen alleged shell firms, Kapoor family investments of Rs 2,000 crore and over Rs 4,500 crore worth of transactions are under the scanner of the agency at present.
The agency has also found that 44 costly paintings were in the alleged possession of Kapoor, one of which was purchased by him from Congress leader Priyanka Gandhi Vadra.
While the Congress party has said that the deal was transparent as payment of Rs 2 crore was received by Vadra from Kapoor through cheque and was reflected in income tax returns, the ED is probing if the painting was owned by her or the All India Congress Committee (AICC).
It is also investigating if the provenance certificate (signed by an artist to state his genuine work) was signed by Vadra and under what circumstances.
The painting, a portrait of former prime minister Rajiv Gandhi, was done by celebrated artist M F Hussain and was gifted to Gandhi during the AICC centenary celebrations in 1985.
The Congress has rejected the charge as fake, saying there was no illegality in the transaction as the party general secretary had received the money (Rs 2 crore) in cheque and mentioned it in her income tax filings in 2010.
The Enforcement Directorate has said that this case against Rana involves proceeds of crime to the tune of Rs 4,300 crore.
The 62-year-old former CEO and MD of the bank was arrested on Sunday and is in ED custody till March 11.