The Enforcement Directorate (ED) has summoned Reliance Group Chairman Anil Ambani on August 5 in connection with a money laundering investigation tied to a suspected ₹3,000 crore bank loan fraud. The case focuses on alleged financial misconduct involving loans extended by Yes Bank to several group companies between 2017 and 2019.
This development follows recent raids conducted by the ED across multiple locations linked to Mr. Ambani. Documents, electronic records, and other evidence were seized during a three-day operation that began on July 24. These searches covered premises associated with over 50 companies and 25 individuals, many of whom are executives connected to the Anil Ambani-led conglomerate. More than two dozen people have been questioned so far.
Red flags over loan misuse and financial irregularities
The Enforcement Directorate’s ongoing probe into Anil Ambani’s group companies was initiated after FIRs were filed by the Central Bureau of Investigation (CBI). ED sources point to several questionable practices: loans issued to financially weak entities, repeated use of the same directors and office addresses, and evidence of “loan evergreening”—where new loans were issued to repay older ones. There’s also suspicion that Yes Bank promoters received money just before granting loans, hinting at a possible quid pro quo.
Regulatory bodies raise concerns; SBI reaffirms fraud tag
Financial regulators, including SEBI, NHB, NFRA, and Bank of Baroda, have shared independent findings with the ED. SEBI’s report on Reliance Home Finance (RHFL) noted a rapid rise in its corporate loan portfolio—from ₹3,742 crore to ₹8,670 crore in a single year—raising eyebrows. Meanwhile, Reliance Power and Reliance Infrastructure insist ED actions haven’t impacted operations. Separately, SBI has once again classified Reliance Communications and Anil Ambani’s accounts as “fraud,” reviving a previous case halted by a court stay.
