Industrialist Anil Ambani on Tuesday appeared before the Enforcement Directorate (ED) in connection with an alleged ₹17,000 crore loan fraud case. The 66-year-old was questioned at the agency’s headquarters in Delhi after being summoned last week.
Ambani’s deposition is part of a wider investigation under the Prevention of Money Laundering Act (PMLA) involving the Reliance Anil Dhirubhai Ambani Group (RAAGA) companies. His appearance comes nearly two weeks after the ED conducted raids across 35 premises linked to 50 companies and over 25 individuals on July 24.
Officials said the probe is based on inputs from multiple agencies including the National Housing Bank, SEBI, NFRA, and Bank of Baroda. A Look Out Circular (LOC) was also issued against Ambani on August 1.
The ED has alleged a “well-planned scheme” to siphon public funds, involving bribes to bank officials, particularly from Yes Bank. Investigations revealed around ₹3,000 crore was illegally diverted from Yes Bank between 2017 and 2019, with loans being granted without proper diligence and often misrepresented.
Officials noted serious irregularities:
- Backdated loan approvals
- Diversion of funds to shell companies
- Loans disbursed on the same day as applications
- Evergreening of loans
- Common directors and addresses among borrower entities
The Securities and Exchange Board of India (SEBI) has also reportedly flagged suspicious activity in RHFL, a group entity. RHFL’s corporate loans surged from ₹3,742 crore in 2017–18 to ₹8,670 crore in 2018–19—raising further questions.
The probe has widened to include a ₹14,000 crore loan fraud by Reliance Communications, with SBI classifying it as a “fraudulent” borrower. Canara Bank has also alleged a fraud of ₹1,050 crore.
ED is investigating offshore assets and undisclosed foreign accounts possibly linked to the case. Additionally, ₹2,850 crore invested by Reliance Mutual Fund in YES Bank’s AT-1 bonds is under scrutiny for suspected quid pro quo arrangements.
Further findings reveal Reliance Infra allegedly routed funds via an undisclosed related party (“C Company”) to RAAGA entities, avoiding shareholder and audit committee oversight. The company reportedly took a ₹5,480 crore haircut, with only ₹4 crore recovered in cash, and the rest settled through non-operational discoms—raising recovery concerns on over ₹10,000 crore.
Reliance Infrastructure, in a prior statement dated February 9, 2025, said its net exposure was ₹6,500 crore and denied any wrongdoing. The company also stated that Anil Ambani has not been on its board since March 2022.
The investigation remains ongoing.
