Mumbai, Oct. 15 -- Kotak Mahindra Mutual Fund has temporarily suspended fresh and additional lump-sum investments, switch-in transactions, and new systematic investment plan (SIP) and systematic transfer plan (STP) registrations in Kotak Medium Term Fund and Kotak Credit Risk Fund with effect from 15 October 2026.

The suspension comes as both schemes hold Additional Tier 1 (AT1) bonds issued by Yes Bank that are currently valued at nil. The decision was a precautionary measure in view of the ongoing legal proceedings concerning the bonds.

In a significant development, the Supreme Court on Thursday upheld the Bombay High Court's January 2023 judgment quashing Yes Bank's write-off of AT1 bonds worth Rs 8,415 crore. The bonds were written ...