Mumbai-based realtor sent to CBI custody in Yes Bank-DHFL case

MUMBAI: A special court in Mumbai on Friday remanded city-based realtor Sanjay Chhabriaa in CBI custody till May 6 in connection with a case of alleged corruption against Yes Bank founder Rana Kapoor and Dewan Housing Finance Corporation Ltd (DHFL).

Chhabriaa of Radius Developers was arrested by the Central Bureau of Investigation on Thursday. The central probe agency produced him before special judge S H Gwalani and sought his 14-day custody for further probe into the matter.

The CBI said his custody was required as the offence was serious and the investigation was at a critical stage.

During investigation, the criminal complicity of Chhabriaa emerged as an accused in the case. He had allegedly diverted loans worth Rs 3,094 crore that were sanctioned to his companies by Kapil Wadhwan of DHFL and Yes Bank, founded by Rana Kapoor.

Both Kapoor and Wadhawan are accused in the case. The duo is currently in judicial custody. The CBI claimed that significant amounts from the aforesaid loans have been diverted and it is essential to interrogate accused with regard to the utilisation of the funds.

“The custodial interrogation of Chhabriaa is necessary to ascertain end use of aforesaid loans aggregating to Rs 3,094 crore, for the purpose of recovery of material evidence pertaining to the said transactions and related issues,” it said.

It added that Chhabria, during his examination by the CBI has been “uncooperative” and was not coming out with true facts. He is concealing facts related to case, the agency alleged.