Watch | Yes Bank: From the Frying Pan, Into the Fire
Mitali Mukherjee
Real journalism holds power accountable
Since 2015, The Wire has done just that.
But we can continue only with your support.
The irony of Yes bank is that while in many other cases like PMC, no one saw it coming.
In the case of Yes Bank, its collapse has been hanging over collective heads for a long time now. And it circles back to the same script – greedy promoters, blatant misuse by key borrowers, a pantomime like a circus around PR and media and clueless retail depositors.
On March 5, India’s central bank seized control of Yes Bank Ltd. and imposed curbs on the operations of the lender. Withdrawals for depositors have been curbed to Rs 50,000. The RBI has also said a rescue plan will be put in place within the next 30 days. The hero who will play saviour?
No surprises. State Bank of India – which from being India’s largest lender has now donned a PE role where in the Finance Minister’s words, “The investor bank, that’s SBI shall agree to invest in the equity of the reconstructed bank to the extent that post-infusion it holds 49% shareholding.”
The Wire is now on WhatsApp. Follow our channel for sharp analysis and opinions on the latest developments.