ED summons Anil Ambani for questioning on Nov 14 in money laundering case

The Enforcement Directorate has summoned Reliance Group chairman Anil Ambani again for questioning on November 14, days after attaching assets worth over ₹7,500 crore in a money laundering probe

The Enforcement Directorate (ED) on Thursday once again summoned Reliance Group chairman Anil Ambani for questioning in connection with an ongoing money laundering investigation, news agency PTI reported.  The latest summon comes just two days after the agency attached assets worth over ₹7,500 crore linked to Anil Ambani and his group companies. The agency issued four provisional attachment orders under the Prevention of Money Laundering Act (PMLA).

 

Among the attached properties are Ambani’s Mumbai residence in Pali Hill and several residential and commercial assets owned by Reliance Group firms. Other attached assets include a land parcel belonging to Reliance Centre on Maharaja Ranjit Singh Marg in Delhi, along with properties located in Delhi, Noida, Ghaziabad, Mumbai, Pune, Thane, Hyderabad, Chennai, and East Godavari. The total value of the seized assets stands at ₹3,084 crore, PTI had reported.

Case linked to diversion of public funds

 

The investigation pertains to alleged diversion and laundering of public money raised by Reliance Home Finance Ltd (RHFL) and Reliance Commercial Finance Ltd (RCFL). Between 2017 and 2019, Yes Bank invested ₹2,965 crore in RHFL and ₹2,045 crore in RCFL through various instruments. By December 2019, these loans turned “non-performing”, with ₹1,353.50 crore outstanding for RHFL and ₹1,984 crore for RCFL, the agency said.

 

The agency alleges that these funds were diverted to related entities instead of being used for the stated business purposes. The case is part of a broader probe into financial irregularities and loan diversions exceeding ₹17,000 crore involving several Reliance Group companies, including Reliance Infrastructure.   Ambani’s earlier questioning in August followed extensive searches by the agency on July 24, when officials raided 35 premises linked to 50 companies and 25 individuals associated with the Reliance Group.

Reliance Infra says business remains unaffected

 

In response to the ED’s actions, Reliance Infrastructure clarified that the developments would not affect its operations. “There is no impact on the business operations, shareholders, employees, or any other stakeholders of Reliance Infrastructure Limited,” the company said in a filing to the BSE. It also added that Anil Ambani has not served on its board for over three and a half years.

Link to Yes Bank loan fraud case

 

Earlier in July, the Enforcement Directorate had conducted raids at several properties linked to Ambani as part of its probe into the Yes Bank loan fraud case. The action came after the State Bank of India (SBI) classified Reliance Communications as “fraud” and reported the matter, along with Ambani’s name, to the Reserve Bank of India (RBI).   Preliminary findings suggested that promoters of Yes Bank had allegedly received funds in their personal accounts shortly before sanctioning large loans to companies in the Reliance Anil Ambani Group, pointing to possible quid pro quo arrangements.