Mumbai: The Enforcement Directorate officials conducted a search on the residence of Yes Bank Founder Rana Kapoor on Friday in Mumbai. The searches take place after the Reserve Bank of India took over the bank’s board for a period of 30 days because of “serious deterioration in the financial position of the bank. A money laundering probe has been initiated against him.

According to the sources, a lookout circular has also been issued against Rana Kapoor and other former directors of the Yes Bank to prevent them from leaving the Country. The action comes on a day when Finance Minister Nirmala Sitaraman listed ‘malpractices’ by ‘top leadership’ among the reasons for the Centre’s decision to restructure the management of the bank. According to the Finance Ministry’s official notification on Thursday evening, the Government capped the withdrawal limit at Rs. 50, 000 for depositors of the beleaguered private lender.

The withdrawal limit cap will stay in effect till 3^rd April 2020. The restriction is part of an order of moratorium issued by the Government which also stayed the ‘commencement or continuance of all actions and proceedings’ against the bank. The RBI appointed former SBI CFO Prashant Kumar as the administrator of the Yes Bank, said in a separate press release on Thursday. The RBI also said in the note that the bank’s board has been superseded for a period of 30 days. Speaking in a press conference on Friday the Union Finance Minister Nirmala Sitaraman said that the RBI had been monitoring issues related to Yes Bank since 2017.

The RBI noticed that the Governance issues were of serious concern. In the meanwhile, investigative agencies pointed out malpractices of some of the members of their top leadership. A member resigned after CBI tightened the noose, she said.