Reliance Infra & Power distance themselves from CBI case on Anil Ambani

The CBI has filed chargesheets alleging fraudulent transactions between Anil Ambani's group companies (RCFL and RHFL), Yes Bank, and companies linked to the family of former Yes Bank chief Rana Kapoor

Reliance Infrastructure and Reliance Power on Friday clarified that the Central Bureau of Investigation’s (CBI) chargesheets against Reliance Commercial Finance (RCFL), Reliance Home Finance (RHFL), and group chairman Anil Ambani will not affect their business operations.

 

“There is no impact on the business operations, financial performance, shareholders, employees, or any other stakeholders of Reliance Infrastructure [and Reliance Power] due to the recent action by CBI on RCFL, RHFL and Anil Ambani,” the companies said in seperate BSE filings.

 

The CBI on Thursday filed chargesheets alleging fraudulent transactions between Anil Ambani’s group companies (RCFL and RHFL), Yes Bank, and companies linked to the family of former Yes Bank chief Rana Kapoor. The agency alleged the transactions caused a loss of ₹2,796 crore to the bank. 

 

 

It mentioned that Yes Bank invested around ₹5,000 crore in debt securities of RCFL and RHFL in 2017 despite concerns flagged by rating agencies. In return, the Ambani group allegedly extended credit facilities at concessional rates to loss-making entities owned by Rana Kapoor’s family.

 

Reliance Infra and Reliance Power, however, claimed that the transactions cited by the CBI are “over 10 years old” and that both RCFL and RHFL “have been fully resolved with a change in management pursuant to Supreme Court judgments in 2022 and 2023, through separate lender-driven processes led by Bank of Baroda under an inter-creditor arrangement in line with RBI regulations.”

 

The companies noted that Anil Ambani “has never been on the boards” of RCFL or RHFL and has not been on Reliance Infrastructure’s or Relaince Power's board for more than three and a half years.  Both the companies said that they are separate and independent listed entities and these actions have no bearing on thier day-to-day management, governance or financial stability.