ED raids firms linked to Anil Ambani amid SBI’s fraud declaration against RCom
PTC Web Desk: The Enforcement Directorate (ED) on Thursday carried out extensive search operations at multiple premises associated with industrialist Anil Ambani’s group companies in Mumbai. The action comes days after the State Bank of India (SBI) formally declared Reliance Communications (RCom) and its promoter-director Anil Ambani as “fraud” under RBI guidelines.
While Ambani's personal residence was not among the locations searched, ED teams from both Delhi and Mumbai were present at offices connected to several companies within the Reliance Anil Dhirubhai Ambani Group (RAAGA). The searches are part of an ongoing probe into alleged money laundering and diversion of funds.
According to ED sources, the investigation stems from information shared by several regulatory and financial agencies, including the National Housing Bank (NHB), Securities and Exchange Board of India (SEBI), National Financial Reporting Authority (NFRA), Bank of Baroda, and two FIRs filed earlier by the Central Bureau of Investigation (CBI).
As part of the broader investigation, searches were also conducted at the premises of senior executives linked to Anil Ambani’s businesses. The ED suspects that there was a deliberate scheme to siphon off public funds, possibly misleading banks, shareholders, and public institutions in the process.
A key focus of the investigation is the suspected illegal diversion of loans amounting to Rs 3,000 crore, obtained from Yes Bank between 2017 and 2019. Authorities believe that a significant portion of these funds may have been routed to entities tied to the bank’s promoters shortly before the loans were sanctioned to the group companies.
Additionally, the ED has received inputs concerning Reliance Home Finance Ltd (RHFL), pointing to a major red flag. The company reportedly showed a sharp increase in corporate loan disbursals — rising from Rs 3,742.60 crore in FY 2017–18 to Rs 8,670.80 crore in FY 2018–19. Investigators are also looking into possible bribery links involving former Yes Bank promoters.
The ED’s action follows closely on the heels of SBI’s move to declare RCom and Anil Ambani as "fraud" under its internal risk management policy, in accordance with RBI guidelines. The decision was made on June 13, 2025, and was subsequently reported to the Reserve Bank of India on June 24, 2025.
Minister of State for Finance Pankaj Chaudhary informed the Lok Sabha about the matter, confirming that SBI intends to lodge a formal complaint with the CBI.
The disclosure was also shared by RCom’s Resolution Professional with the Bombay Stock Exchange on July 1, 2025, as part of regulatory compliance.
SBI's exposure to Reliance Communications is significant. The bank has a fund-based principal exposure of Rs 2,227.64 crore, in addition to accumulated interest and expenses since August 26, 2016. There is also a non-fund based exposure through bank guarantees worth Rs 786.52 crore.
RCom is already undergoing the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code, 2016. A resolution plan for the company was submitted by the Committee of Creditors to the National Company Law Tribunal (NCLT), Mumbai, on March 6, 2020. However, the final decision from the tribunal remains pending.
Simultaneously, SBI has also initiated personal insolvency proceedings against Anil Ambani under the same law. This case, too, is currently being heard by the NCLT in Mumbai.
- With inputs from agencies
