FinMin supports ADAG's plans, writes to RBI

Finance ministry is understood to have supported the Anil Ambani group’s plans to raise $1.1 billion of overseas loans for its power business and suggested to the RBI that entities should not be denied a nod on account of alleged violations on end-use of funds by other group companies.

Group companies had sought permission to raise over Rs 5,000 crore for two power projects and in this connection are understood to have approached the finance ministry. The group spokesperson could not be reached for comments.

Following the representation made by the group, having interests in telecom, infrastructure, entertainment and financial services, the finance ministry has asked the central bank to reconsider their proposal for raising over Rs 5,000 crore of loans from foreign markets.