Published 18:32 IST, March 9th 2020
Congress poses three questions for Modi-led BJP government amid Yes Bank crisis
Congress' National Spokesperson Randeep Surjewala accused the BJP-led Centre of creating a diversion from the Yes Bank issue and posed three questions for govt
Soon after Republic accessed the letters written by Congress leaders Priyanka Gandhi Vadra and Milind Deora to Yes Bank founder Rana Kapoor facilitating the purchase of an MF Hussain painting of late former PM Rajiv Gandhi, Congress' National Spokesperson Randeep Surjewala accused the BJP-led Centre of creating a diversion from the Yes Bank issue.
This comes amid the Enforcement Directorate's investigation alleging kickbacks of Rs 600 crore received by a shell company controlled by the Yes Bank founder and his two daughters. Surjewala attacked the Narendra Modi-led BJP at the Centre and posed three questions in the press conference on Monday.
Addressing the media on Monday, Surjewala directed three questions to the BJP-led government at the Centre. Surjewala said, "The question is not about a painting that Priyanka Gandhi sold to Yes Bank founder Rana Kapoor but the moot question is stop the diversion and the smoke screens and befooling people. There are three simple issues to be decided.
How did Yes Bank sink?
Who is responsible for Yes Bank sink and people's earnings? (sic)
Was Modi Government sleeping on the wheel or was it complacent in a deliberate sinking of the Yes Bank." )
Furthermore, Surjewala stated, "Modi Ji you need to answer, instead of diverting the question. Between March 2014 - March 2019, the loans given by Yes Bank went up from Rs 55,000 crore to an unprecedented whopping amount of Rs 2,41,000 crores. Was the government sleeping then? The country wants to know how did the bank sink, who is responsible behind the loss of people's money and was the government sleeping or did it have a hand in the sinking of the bank?"
ED probe into Rana Kapoor
As per reports, the Enforcement Directorate is investigating the case of alleged kickbacks of Rs 600 crore received by a shell company controlled by the Yes Bank founder and his two daughters. Media reports suggest that the shell company Doit Urban Ventures received kickbacks from Dewan Housing Financial Corporation Ltd (DHFL) for loans worth Rs 4,450 crore granted by Yes Bank. The ED suspects that the amount of Rs 4,450 crore was siphoned off by DHFL through 79 dummy companies, including Doit Urban Ventures. He is the ED's custody after his arrest on Sunday till March 11. CBI too has registered a case against Kapoor, with a lookout notice against all Kapoor family members.
Link Between Priyanka Vadra & Yes Bank's Rana Kapoor?
The BJP on Monday alleged a sensational link between Congress leader Priyanka Gandhi Vadra and Yes Bank founder and former MD-CEO Rana Kapoor through an MF Husain painting, at a time when Kapoor is being probed by the ED. BJP's IT Cell Chief Amit Malviya alleged the link, claiming the purported sale of an MF Husain painting by Priyanka Gandhi Vadra to the arrested founder of Yes Bank, Rana Kapoor. As per sources, Priyanka Gandhi Vadra had sold the MF Husain painting of her father Rajiv Gandhi to Rana Kapoor for Rs 2 crore, the proof of which allegedly was her sale amount being openly disclosed in her income tax return of 2010.
Yes Bank crisis
Yes Bank which has been facing a crisis as it accumulated many bad loans in 2018 by lending to corporate defaulters such as DHFL, Jet Airways and Cafe Coffee day, was put on a moratorium by RBI for a period of 30 days, capping its withdrawals at Rs 50,000. The RBI has also announced ‘Yes Bank Ltd. Reconstruction Scheme, 2020’ altering the authorised capital to Rs 5000 crores and 2400 equity shares standing at Rs 10 each. Moreover, SBI which leads the consortium of banks investing in the 'reconstructed bank' will not reduce its holding below 26% before the completion of three years.
Updated 18:32 IST, March 9th 2020