NEW DELHI: The Enforcement Directorate (ED) has summoned Reliance Group Chairman Anil Ambani to appear before it on August 5 in connection with a bank loan fraud case under the Prevention of Money Laundering Act (PMLA), official sources said on Friday.
The summons comes four days after the ED concluded search operations at several premises linked to Ambani's companies in Delhi and Mumbai. The raids, which began on July 24, continued for three days and covered more than 35 locations, involving over 50 companies and 25 individuals, including senior executives from Anil Ambani Group firms.
According to the ED, the probe pertains to alleged financial irregularities and diversion of over Rs 10,000 crore in loans extended to multiple group companies, primarily by Yes Bank between 2017 and 2019. The agency is also examining possible violations in the bank’s loan sanction process.
Sources said around Rs 3,000 crore of loans from Yes Bank were allegedly siphoned off through group companies and shell firms. The ED is investigating whether bribes were paid to Yes Bank promoters just before the loans were sanctioned, raising suspicion of a quid pro quo arrangement.
The agency has found instances of backdated credit approval memorandums, approvals given without proper due diligence, and investments made in companies with common addresses and directors, in violation of standard banking norms.
Reliance Power and Reliance Infrastructure, two key group companies, issued statements acknowledging the ED’s actions but said the raids had “absolutely no impact” on their business operations, financial performance, or stakeholders. They also claimed that media reports seem to refer to transactions involving Reliance Communications (RCOM) and Reliance Home Finance (RHFL) that date back over a decade.
However, ED sources stated that recent findings suggest a coordinated scheme to divert public funds by misleading banks, investors, and regulatory bodies. The PMLA case is based on two CBI FIRs and information shared by the National Housing Bank, SEBI, National Financial Reporting Authority (NFRA), and Bank of Baroda.
The ED is also examining a Rs 1,050 crore loan fraud involving RCOM and Canara Bank and is looking into reports of undisclosed foreign assets held by entities linked to Ambani.
The Union government recently told Parliament that the State Bank of India has classified RCOM as a ‘fraudulent account’ and is in the process of filing a complaint with the CBI.
