A Mumbai court today extended the Enforcement Directorate’s custody of Yes Bank co-founder Rana Kapoor till 16 March.
Kapoor, 62, was arrested bythe central investigative agency under provisions of the Prevention of MoneyLaundering Act (PMLA) on Sunday as he was allegedly not cooperating in theprobe.
The former Yes Bank co-founder was earlier remanded in the EDcustody till today. The Mumbai court extended his custody till 16 March as theprobe agency had sought it for further investigation.
The primary allegation against Kapoor is related to DoitUrban Ventures, a company belonging to his family. The firm received ?600 crorefrom Dewan Housing Finance Corp. Ltd (DHFL) allegedly in return for Yes Banknot labelling loans to DHFL as non-performing assets (NPAs). The directors ofDoit Urban Ventures are Rana Kapoor’s daughters Radha Kapoor Khanna and RoshniKapoor. In mounting trouble for the family, the Central Bureau of Investigation(CBI) has also initiated a probe into the matter.
The defence lawyer, however, said Kapoor has been selectivelytargeted by the ED and he is cooperating with the probe agency.
Kapoorwas arrested after charges of alleged financial irregularities andmismanagement in the operations of Yes bank surfaced and the RBI and Uniongovernment initiated action to control its affairs.
The Reserve Bank of India (RBI) had last week imposed amoratorium on the Yes Bank, capping withdrawals at Rs.50,000 per account, andsuperseded the board of the private sector lender with immediate effect.