New Delhi, Feb. 17: Finance minister P. Chidambaram today said “severest action” would be taken “in the next few days” against those allegedly involved in a scam involving the initial public offer (IPO) of Yes Bank and IDFC.

“Some set of persons had opened multiple accounts in May 2003 using the same address. They were emboldened by the fact that no action was taken against them at that time. Now we have identified them and action will be taken in the next few days,” Chidambaram told the Lok Sabha during question hour.

Interim action has already been taken by the RBI and Sebi, debarring the entities concerned from dealing in IPOs and the securities market.

Sebi had noticed irregularities in the issue of IPO shares of Yes Bank and IDFC. Investigations have shown that a few entities opened thousands of demat accounts with depository participants (DPs) and bank accounts in fictitious names.

“The enquiries and investigation made so far by the RBI and Sebi seem to indicate that bank accounts and demat accounts were opened without adherence to prescribed procedures,” said Chidambaram.