Was forced to buy painting: Rana Kapoor

MUMBAI : Yes Bank founder Rana Kapoor has claimed in a statement to the Enforcement Directorate (ED) that he was pushed to buy a MF Husain painting from Priyanka Gandhi Vadra, and that he was promised one of the country’s top civilian awards in return.

The statement, recorded by ED on March 9 and 10, 2020, added that the sale was facilitated by senior Congress leader Murli Deora — a fact that has been previously reported.

It adds that a few weeks later after the purchase, senior Congress leader, the late Ahmed Patel, had appreciated his “good deed” and informed him that he (Kapoor) would be “duly considered” for a major civilian honour, and “possibly some non-political banking and finance assignments”.

This statement is part of a supplementary charge sheet filed by ED to the special Prevention of Money Laundering Act (PMLA) court in Mumbai in April 2022. HT has reviewed a copy of it. To be sure, both Deora and Patel have passed on and there is no way of verifying Kapoor’s statement.

Kapoor did not win any major civilian honour.

However, the sale of the painting, a portrait of former PM Rajiv Gandhi by Husain, has been previously reported, and confirmed.

According to ED, Yes Bank had between April and June 2018, invested ₹3,700 crore in DHFL’s short-term debentures and subsequently also sanctioned a loan of ₹750 crore to a DHFL subsidiary. In return, DHFL gave Kapoor ₹600 crore in kickbacks in the forms of loan to Do It Urban Ventures Pvt Ltd, a firm controlled by Rana Kapoor and his family.

In his statement, the former Yes Bank MD and CEO said his association with the Deora family goes back to the late 1990s.

“The only time I ever had any business dealings/meetings with the Deoras was at the time of sale of one M.F. Husain’s painting by Mrs. Priyanka Gandhi Vadra,” he said.

In response to HT’s queries, Priyanka Gandhi Vadra’s office said that they had not seen Kapoor’s statement, supposedly made by an accused person in custody of an agency that answers directly to the Union government, and declined further comment.