CBI arrests Radius Developers MD Sanjay Chhabria in Yes Bank-DHFL money laundering scam

Amid the ongoing investigation into the Yes Bank-DHFL scam case, the CBI on Thursday, April 28, arrested Managing Director of Radius Developers, Sanjay Chhabria, in connection with a money laundering scam. The CBI had previously conducted searches at the offices of Radius Developers in Mumbai and Pune in February.

During the course of the investigation, it was revealed that a significant portion of the Rs 3,000 crore that DHFL obtained as an investment from the Rana Kapoor-led Yes Bank a few years ago, was routed to the Radius group. The real estate firm took out a loan from DHFL to fund a residential project in Mumbai's suburbs. The apprehended accused will be presented before the court on April 29.

Yes Bank-DHFL money laundering case

The matter pertains to a money laundering case related to a wrongful transaction of Rs 466.51 crore of the bank behind which the then CEO Rana Kapoor and Gautam Thapar were said to be the masterminds. 

A chargesheet was filed by the Enforcement Directorate (ED) last year against Avantha Group promoter Gautam Thapar followed by Yes Bank former MD and CEO Rana Kapoor, and other employees in connection with the money laundering case. Following this, the trial court also took cognisance of the case in October last year and further said that there were sufficient grounds to proceed against the accused people in the present complaint. 

In December, the ED filed a chargesheet against Rana Kapoor, his wife Bindu Kapoor, and Avantha group promoter Gautam Thapar in connection with the case. The 1,300-page chargesheet included the names of 10 people including, senior officers of Yes Bank.

ED revealed approximately Rs 500.11 crore proceeds of crime which were laundered through Oyster Buildwell Pvt Ltd (OBPL), Jhabua Power Limited (JPL), Jhabua Power Investment Ltd. (JPIL), Avantha Power and Infrastructure Ltd (APIL), Avantha Realty Ltd (ARL), etc and are being controlled or beneficially owned directly or indirectly by Gautam Thapar.

Reportedly, an FIR has also been registered against Gautam Thapar, Avantha Realty Ltd, Oyster Buildwell Pvt Ltd, and others alleging criminal breach of trust, cheating, criminal conspiracy, and forgery for diversion or misappropriation of public money during the period between 2017 and 2019. Incarcerated Rana was granted bail by Mumbai’s Special Prevention of Money Laundering Act (PMLA) court on February 16 in the alleged Rs 300 crore money laundering case. 

Image: ANI