YES Bank

Fiasco
The Rise & Fall of YES Bank

Group 4
About YES Bank
• Banking & Financial Services - Retail,
MSME & Corporate Banking

• Incorporated in November 21, 2003

• Listed on Stock Exchange in June, 2005

• 3 subsidiaries – YES Securities (India)

Limited, YES Trustee Limited and YES Asset
Management (India) Limited.

• Ranked 1st in Business Today-KPMG Best

Banks Annual Survey 2008
Founders

Mr. Rana Kapoor Late Mr. Ashok Kapur

What Exactly
Happened?
Increasing Loan Book

Came Under RBI's Scanner

Troubled Borrowers
Timeline

Sep 2018 - Feb 2019 Apr 2019 - Jul Sep 2019 - Oct 2019 Nov 2019 onwards
2019

Change in Downfall Glimmer of Phantom Pain

Leadership Begins Hope & RBI's Entry
Reasons for Failure

Regular Outflow of
Financial Misadventure -
Liquidity - Loans &
Rising NPAs
Withdrawals

Bad Loans to all bad boys

Reasons for Failure

Governance Issue

Mishandling of the economy Downgrade of Credit Ratings

Effects of the Failure

01 03
Revived the Paucity of options
theory of India's for Government
Lehman Moment

02 04
RBI Banking Sector

05
Indian Economy
Aftermath of the failure

Steps taken by RBI

• Took over and imposed Moratorium
• Drafted "Scheme of Reconstruction"

Saving YES Bank

• Government Intervention
• Appointment of new CEO
Moratorium
1-month moratorium by RBI to save YES Bank
Future
Ahead

Protection of Depositor's fund Avoid Bad Loan Situation

Employee Satisfaction Save & Get Back on

track
 Thank You

Rutvik Shah Kunal Thakur

PGDMGEN-048 PGDMGEN-009

Aman M Jain Harsh Malkani

PGDMRBA-010 PGDMGEN-031

Group 4 - YES Bank Fiasco