Yes Bank Fraud — Rana Kapoor

Yes Bank founder Rana Kapoor was released from Taloja Central Prison in Navi Mumbai after being granted bail by a special CBI court in Mumbai. He had been incarcerated for over four years following his initial arrest in March 2020 by the Enforcement Directorate in a money laundering case. Across multiple investigations, the Enforcement Directorate and the Central Bureau of Investigation registered a total of eight cases against him related to alleged frauds involving Yes Bank.

The Central Bureau of Investigation alleged that while serving as the managing director and chief executive officer of Yes Bank, Kapoor obtained illegal gratification by acquiring a prime property in New Delhi below market value. According to the agency, a company run by Kapoor's wife purchased the mortgaged property belonging to Avantha Realty Ltd for Rs 378 crore against a market value of Rs 685 crore. In return, Yes Bank allegedly sanctioned an additional Rs 400 crore loan to Avantha Realty Ltd as part of a quid pro quo arrangement, adding to prior credit facilities extended to Avantha Group companies.

During the bail proceedings, Kapoor's legal representatives argued that the allegations in the charge sheet were vague and failed to establish his individual wrongdoing. They maintained that he was not the sole approving authority, as the Management Credit Committee collectively and unanimously approved the loan transactions. The defense also noted that co-accused individuals, including an Avantha Group promoter, were already out on bail.

In granting the bail order, the special judge observed that further detention without trial would amount to a pre-trial conviction, especially since Kapoor had already secured bail in all other pending matters. The court cited his deep roots in Mumbai, responsibilities toward his family, and lack of access to bank records as factors eliminating any risk of tampering with evidence or fleeing, while noting his age and health issues.

Not yet reported: The final outcome of the pending trials and the detailed court order were not yet fully available at the time of reporting.