Essel Group chairman Subhash Chandra appeared before the Enforcement Directorate (ED) for inquiries in connection with the Yes Bank case on Saturday. Meanwhile, Jet Airways founder Naresh Goyal was quizzed in a separate case and is expected to join the Yes Bank investigation soon.
The ED has been probing alleged malpractices on the part of Yes Bank founder Rana Kapoor, currently in judicial custody following his arrest earlier this month, in granting loans to Dewan Housing Finance Limited (DHFL) in exchange for kickbacks received through accounts of his family members. The CBI is also conducting its own inquiries against Mr. Kapoor, wife Bindu and three daughters.
On Saturday, Mr. Chandra, whose company is alleged to have unpaid exposures worth ₹8,400 crore to Yes Bank, reached the ED office at 11 a.m. for inquiries. He was summoned to appear last week but had cited prior commitments. Sources said he was questioned at length regarding the loans that were granted during Mr. Kapoor’s tenure as chairman and CEO, the procedures followed at the time and other formalities in securing the loans.
“Essel Group wishes to confirm that Dr. Subhash Chandra visited the ED office in Mumbai today and answered all the queries of the officials, to the best of his abilities. He offered complete cooperation in the future as well,” said a statement released by Essel Group on Saturday evening.
Mr. Goyal, whose company has also allegedly taken loans worth ₹550 crore from Yes Bank, appeared before the agency shortly thereafter in connection with a separate money laundering case registered against Jet Airways. He was questioned in the money laundering case on Friday too.
The ED had earlier questioned Reliance Group chairman Anil Ambani, whose company allegedly owes dues worth ₹12,800 crore to Yes Bank, in connection with the case. Officials said inquiries are being made with all major borrowers as part of a larger investigation into the finances of the bank during Mr. Kapoor’s tenure.
An ED officer said, “Depending on the results of our own corroborative inquiries, we might need to make further inquiries with all those who have appeared this week. There are still a few, like Kapil and Dheeraj Wadhawan, who are yet to join the probe.”
