ED raids entities, people linked to Anil Ambani in Rs 3,000 crore Yes Bank loan fraud

The Enforcement Directorate (ED) on Thursday carried out multiple raids at over 35 premises, 50 companies and more than 25 people linked to Anil Ambani's Reliance Group (RAAGA Companies), in connection with a money laundering probe related to the Rs 3,000 crore Yes Bank loan fraud case. Subsequent to FIRs registered by the Central Bureau of Investigation (CBI), the ED started probing the offence of money laundering by RAAGA Companies under the Prevention of Money Laundering Act (PMLA). Other agencies and institutions also shared information with ED, such as The National Housing Bank, SEBI, National Financial Reporting Authority (NFRA), Bank of Baroda, according to reliable sources. Preliminary investigation by ED has revealed a well-planned and thought-out scheme to divert/siphon off public money by cheating banks, shareholders, investors and other public institutions. The offence of bribing bank officials, including Promoter of Yes Bank Limited, is also under scanner. Preliminary probe revealed illegal loan diversion of around Rs 3,000 crore from Yes Bank (from 2017 to 2019). ED has found that just before the loan was granted, the Yes Bank promoters received money in their concerns. The agency is also investigating this nexus of bribery and the loan. The regulator has found gross violations in Yes Bank loan approvals to RAAGA companies, such as Credit Approval Memorandums (CAMs) were back-dated, Investments were proposed without any due diligence/ credit analysis in violation of Bank's Credit Policy, inter alia. In violation of the loan terms, these loans were further diverted to many group companies and shell companies.