Enforcement Directorate (ED) raids targeting companies linked to Reliance Group chairman Anil Ambani continued for a third straight day in Mumbai on Saturday. According to official sources, investigators recovered several documents and computer devices across multiple sites, in connection with a suspected ₹3,000 crore bank loan fraud and other financial irregularities.
The ED searches are being carried out under the Prevention of Money Laundering Act (PMLA) and are still underway at several of the more than 35 locations searched since July 24.
The raids span 50 companies and 25 individuals, including senior executives of Anil Ambani Group firms. Investigators are probing alleged diversion of ₹3,000 crore in loans given by Yes Bank to Ambani-linked companies between 2017 and 2019.
Reliance Power and Reliance Infrastructure issued statements on July 24, saying the raids had “absolutely no impact” on their business or stakeholders. “The media reports appear to pertain to allegations concerning transactions of Reliance Communications Limited (RCOM) or Reliance Home Finance Limited (RHFL) which are over 10 years old,” they added.
Sources said the ED uncovered links suggesting Yes Bank promoters received funds in their own entities just before the loans were approved. The agency is now probing potential bribery, misuse of credit policies, and instances of backdated loan approvals lacking proper due diligence.
Loans allegedly flowed to shell companies and group firms with weak financials, shared addresses, and overlapping directors, raising concerns of a wider money-laundering operation.
The investigation draws from two CBI FIRs and inputs from SEBI, the National Housing Bank, the National Financial Reporting Authority, and the Bank of Baroda. These reports suggest a coordinated effort to siphon public money by deceiving banks, investors, and institutions.
The Union government told Parliament that the State Bank of India has already flagged RCOM and Ambani as “fraud,” and plans to file a complaint with the CBI. Separately, a ₹1,050 crore loan fraud involving RCOM and Canara Bank, as well as suspected undisclosed foreign assets, is under ED review.
Also under scrutiny: a ₹2,850 crore investment by Reliance Mutual Fund in AT-1 bonds, suspected to be part of a “quid pro quo,” and a ₹10,000 crore alleged loan diversion involving Reliance Infrastructure.
The ED is also examining a SEBI report on RHFL. Meanwhile, Reliance Power and Reliance Infrastructure reiterated that Anil Ambani is not on their boards and that they have no financial or operational links with RCOM or RHFL.
