A special court in Mumbai on Wednesday extended till May 1 the CBI custody of DHFL promoters Kapil and Dheeraj Wadhawan in connection with the Yes Bank scam.
The two brothers, promoters of Dewan Housing Finance Ltd (DHFL) and RKW Developers are named as accused in the FIR registered by CBI in the Yes Bank scam involving its founder Rana Kapoor and others.
They were arrested on Sunday from a quarantine facility in Mahabaleshwar in Maharashtra's Satara district. Their arrest came nearly 50 days after they were booked in the Yes Bank case.
They were sent to custody till April 29 which expired today and they were produced before the court again. The CBI sought their further remand saying that it needs to probe them further to unearth the conspiracy and their links with Kapoor and the accused were not cooperating in the investigation.
Their lawyer argued that the nature of the offence was such that their custody was not required. However, the court extended their CBI custody till May 1.
In its FIR in the Yes Bank case, the CBI has alleged that Kapoor entered into a criminal conspiracy with Kapil Wadhawan for extending the financial assistance to DHFL through Yes Bank in return for substantial undue benefits to himself and his family members through companies held by them.
The scam, according to the CBI, started taking shape between April to June, 2018 when Yes Bank invested Rs 3,700 crore in short-term debentures of the scam-hit DHFL.
In return, Wadhawan allegedly "paid kickbacks of Rs 600 crore" to Kapoor and family members in the form of loans to DoIT Urban Ventures (India) Pvt Ltd held by the wife and daughters of Kapoor.
The Enforcement Directorate is probing the money laundering angle into the case.
Last week, they were placed into custody after their 14-day quarantine ended on Wednesday.
Wadhawan brothers and 21 others, including their family members, were placed under institutional quarantine in Panchgani after they reached Mahabaleshwar hill town earlier this month amidst the lockdown.
