Stocks linked to the Anil Dhirubhai Ambani Group (ADAG) took a sharp hit on July 24 after the Enforcement Directorate (ED) launched a sweeping probe into an alleged Rs3,000 crore loan fraud. Shares of Reliance Power and Reliance Infrastructure fell over 5% intraday, as news of the raids triggered heavy selling. Over the past five sessions, Reliance Infrastructure has slipped 9.37%, while Reliance Power has dropped 7.41%.
The ED conducted raids across more than 35 locations in Mumbai and Delhi, targeting nearly 50 companies and 25 individuals under the Prevention of Money Laundering Act (PMLA). The action stems from two CBI FIRs related to loans sanctioned by Yes Bank between 2017 and 2019, which investigators suspect were part of a bribe-for-loan nexus involving ADAG-linked firms.
Sources say the loans were riddled with irregularities, including backdated approval memos, improper due diligence, and same-day or pre-approval disbursements. Many funds allegedly moved through shell companies with common addresses and directors.
Supporting evidence from regulatory bodies such as SEBI, NFRA, NHB, and Bank of Baroda has bolstered the ED’s case. Notably, SEBI had previously raised red flags about Reliance Home Finance Ltd (RHFL), another ADAG firm, over a suspicious surge in corporate loans—from Rs 3,742.60 crore in FY18 to ₹8,670.80 crore in FY19.
The raids come shortly after State Bank of India (SBI) classified Reliance Communications (RCom) and its promoter Anil D. Ambani as “fraudulent” on June 13, 2025. SBI reported the case to the RBI on June 24 and plans to escalate it to the CBI. SBI’s exposure includes a Rs 2,227.64 crore fund-based loan and Rs 786.52 crore in guarantees. RCom is currently under Insolvency and Bankruptcy proceedings, with a ruling pending at NCLT Mumbai.
In a parallel move, SBI has also initiated personal insolvency proceedings against Anil Ambani, adding further pressure on the embattled industrialist. The case is under review at the NCLT.
These developments have cast a long shadow over Anil Ambani’s corporate empire, as regulatory agencies tighten their grip amid mounting evidence of financial misconduct.
