ED Issues Summons to Anil Ambani in Multi-Crore Loan Fraud Case
The Enforcement Directorate (ED) has summoned industrialist Anil Ambani for questioning in a large-scale money laundering investigation involving alleged loan frauds amounting to several thousand crores of rupees. Ambani has been asked to appear before the agency on August 5 to answer questions relating to suspected irregularities in loans disbursed to two companies — Reliance Home Finance Limited (RHFL) and Reliance Commercial Finance Limited (RCFL) — and the subsequent alleged diversion of those funds.
Officials familiar with the matter said the case stems from a broader investigation into financial irregularities involving entities linked to the Reliance Anil Dhirubhai Ambani Group (RADAG). According to sources, the ED’s probe is based on findings that point to serious violations in the way loans were approved and disbursed, particularly by Yes Bank to RHFL and RCFL.
The Central Bureau of Investigation (CBI) had earlier named former Yes Bank chairman Rana Kapoor in related cases. The ED is now investigating how these corporate loans, sanctioned with alleged irregularities, may have been routed through multiple shell companies, possibly to siphon off public funds.
ED Raids Reveal Widespread Irregularities
The summons to Ambani follows a series of raids carried out by the ED on July 25–27 across several locations. These searches targeted 50 companies and 25 individuals, including senior officials from various Reliance Group firms. Investigators reportedly uncovered extensive documentation suggesting that standard banking protocols were violated.
An ED official involved in the probe stated that “credit approval memorandums (CAMs) were back-dated, and loans were disbursed without proper due diligence or adherence to the bank’s credit policy.” These actions, the official said, led to public funds being diverted to a network of companies — many of which are believed to be shell firms created solely for the purpose of moving money out of the formal system.
Surge in RHFL Loans Under Scrutiny
One focal point of the investigation is a sharp and unexplained surge in RHFL’s corporate loan book. ED officials found that loans grew from ₹3,742.60 crore in 2017–18 to ₹8,670.80 crore in 2018–19. This near-doubling of disbursements in a single financial year raised red flags and is now under detailed scrutiny by forensic auditors.
In parallel, Reliance Communications Ltd (RCOM), another group company, is being investigated for allegedly committing a loan fraud of over ₹14,000 crore. This case, too, involves funds disbursed by banks including the State Bank of India (SBI), which is now under the lens for its role in these transactions.
Reliance Group Denies Link to Entities Under Probe
A spokesperson for the Reliance Group, speaking on the condition of anonymity, denied Ambani’s ongoing involvement with the companies in question. “Anil Ambani resigned from the board of RCOM in 2019 and currently holds no board position in any of the Reliance Group companies,” the official said.
They added that RHFL and RCFL are no longer part of the current Reliance Group structure, which comprises only two listed entities — Reliance Infrastructure Ltd and Reliance Power Ltd. Furthermore, RCOM has been undergoing insolvency proceedings under the Insolvency and Bankruptcy Code (IBC) for over six years.
The group official also expressed concern over the alleged differential treatment by SBI, which reportedly dropped similar charges against other parties in related cases, while not extending the same consideration to Ambani. “He was denied the opportunity of a personal hearing before the bank’s decision-making committee,” the official claimed.
Business Operations Unaffected, Says Reliance
In a regulatory filing after the ED raids concluded, Reliance Infrastructure Ltd clarified that the agency’s actions had no bearing on its day-to-day operations. The company said it continues to function normally and remains committed to full compliance with all regulatory norms.
Meanwhile, HT has reached out to Reliance Group representatives for an official comment regarding the ED summons to Anil Ambani. As of now, no public statement has been made by Ambani himself.
As the investigation deepens, Ambani’s questioning is expected to shed more light on the complex web of loans, company structures, and alleged fund diversion strategies that have come under the scanner of India’s premier financial crime agency.
