Yes Bank board approves Rana Kapoor's prosecution

Yes Bank's board have given the approval to prosecute its imprisoned promoter Rana Kapoor under the Prevention of Corruption Act (PCA). 

The sanction followed a requisition by the CBI, which notified a local magistrate's court of the development and filed a supplementary chargesheet in the Yes Bank scam case earlier this week. 

The central probe agency has charged R Anand, the then area sales manager, and a junior ex-employee of the bank in connection with the case, sources told the Economic Times.

Also Read: YES Bank founder Rana Kapoor arrested by ED in another money laundering case

CBI had last year solicited the board's authorisation after a special court in Mumbai rejected the agency's chargesheet against Kapoor under PCA as it lacked prosecution sanction. 

The special court forwarded the Yes Bank fraud case to a lower court for cognisance under sections pertaining to criminal conspiracy and cheating of the Indian Penal Code (IPC), which attract lesser sentence.

Under PCA, prior approval from a competent authority is compulsory for an accused public servant to face trial.

 "Once the consent was accorded by the board, the lower court was intimated and since the sections invoked under PCA attract punishment of over seven years, the case papers have been sent to the Sessions court. A supplementary chargesheet has also been submitted before the Sessions court and cognisance is awaited," an official told the publication.

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The CBI is investigating Kapoor and Dewan Housing Finance Corporation Ltd.'s (DHFL) promoters Kapil and Dheeraj Wadhawan in an alleged corruption case of more than Rs 600 crore.

 "During the course of the probe, it was found that Anand and another junior employee acted on the advice of Kapoor and overruled the recommendations given by the risk management committee against loans sanctioned to DHFL," the official added.

Meanwhile, in another development, the CBI on Friday moved a plea before a special court in Mumbai seeking a production warrant of Rana Kapoor for custodial interrogation in connection with its case related to the Avantha group of companies.