Latest news with #AnilDhirubhaiAmbani
Mint
27-07-2025
- Business
- Mint
Reliance Power, Reliance Infra raids: Anil Ambani-owned companies say ‘action by ED concluded' — Full statement
Anil Ambani-owned listed firms Reliance Power and Reliance Infrastructure on Sunday informed the stock exchanges that the action by the Enforcement Directorate (ED) has now concluded. The enforcement agency continued its search operations against the Reliance Group companies until Saturday, 26 July, in Mumbai, marking the third day of the raid. They reportedly recovered a number of documents and computer peripherals from multiple locations, according to a PTI report citing officials aware of the development. 'The action by ED has concluded at all locations. The company and all its officials have fully cooperated and will continue to cooperate with the authority,' the company informed the NSE through the filing. In a similar official statement, both listed companies said that recent developments related to the matter have had no impact on their business operations and performance. Both Reliance Power and Reliance Infrastructure said that they do not have any business or financial linkage to Reliance Communications (RCOM) and Reliance Home Finance Limited (RHFL). They also said that Reliance Power and Infra are both separate and independent listed entities. The companies also disclosed that as of 27 July 2025, Anil Dhirubhai Ambani is not on the board of directors panel for both the listed companies, hence he does not have any governance, management or operational power. The Enforcement Directorate started its search operations at more than 35 premises across Mumbai and Delhi on Thursday, 24 July 2025, as part of the agency's money laundering investigation under the Prevention of Money Laundering Act (PMLA) into the Reliance Group of Companies. Multiple media reports suggested that ED-conducted raids on Thursday were in connection with an alleged ₹ 3,000-crore bank loan fraud involving Anil Ambani-owned Reliance Group of Companies and Yes Bank. Shares of Reliance Power closed 4.99% lower at ₹ 56.72 after Friday's stock market close, compared to ₹ 59.70 at the previous market session. Reliance Infrastructure stock also closed 5% lower at ₹ 342.05, compared to ₹ 360.05 in the previous market session. Reliance Power's full statement: The action by ED has concluded at all locations. The Company and all its officials have fully cooperated and will continue to cooperate with the authority. Action by ED has no impact on the business operations, financial performance, shareholders, employees, or any other stakeholders of the Company. The same appears to pertain to allegations concerning transactions of Reliance Communications Limited (RCOM) or Reliance Home Finance Limited (RHFL) which are over 10 years old. Reliance Power is a separate and independent listed entity with no business or financial linkage to RCOM or RHFL. RCOM is undergoing Corporate Insolvency Resolution Process as per the Insolvency and Bankruptcy Code, 2016 since over 6 years. RHFL has been fully resolved pursuant to the judgment of the Hon'ble Supreme Court of India. Similar allegations as those set out in the media reports are sub-judice and pending before the Hon'ble Securities Appellate Tribunal, as per publicly available information. Mr. Anil D. Ambani is not on the Board of Reliance Power. Accordingly, any action taken against RCOM or RHFL has no bearing or impact on the governance, management, or operations of Reliance Power. The Company continues to operate in the normal course and the said action has no impact on its business operations. The Company continues to focus on its business plans and remains committed to creating value for all stakeholders. Reliance Infrastructure's full statement: The action by ED has concluded at all locations. The Company and all its officials have fully cooperated and will continue to cooperate with the authority. Action by ED has no impact on the business operations, financial performance, shareholders, employees, or any other stakeholders of the Company. The same appears to pertain to allegations concerning transactions of Reliance Communications Limited (RCOM) or Reliance Home Finance Limited (RHFL) which are over 10 years old. Reliance Infrastructure is a separate and independent listed entity with no business or financial linkage to RCOM or RHFL. RCOM is undergoing Corporate Insolvency Resolution Process as per the Insolvency and Bankruptcy Code, 2016 since over 6 years. RHFL has been fully resolved pursuant to the judgment of the Hon'ble Supreme Court of India. Similar allegations as those set out in the media reports are sub-judice and pending before the Hon'ble Securities Appellate Tribunal, as per publicly available information. Mr. Anil D. Ambani is not on the Board of Reliance Infrastructure. Accordingly, any action taken against RCOM or RHFL has no bearing or impact on the governance, management, or operations of Reliance Infrastructure. The Company continues to operate in the normal course and the said action has no impact on its business operations. The Company continues to focus on its business plans and remains committed to creating value for all stakeholders. Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of the individual parties, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Mint
03-07-2025
- Business
- Mint
Anil Ambani-owned Reliance Infra, Reliance Power clarify on SBI's action against Reliance Communications' loan account
Anil Dhirubhai Ambani group (ADAG) stocks — Reliance Infrastructure and Reliance Power — issued a clarification of a similar nature to the exchanges that the action by the State Bank of India (SBI) on the Reliance Communications loan account is unlikely to have any impact on them. Their statements came after India's biggest bank, SBI, classified the loan account of insolvent Reliance Communications as fraudulent, citing alleged diversion of funds in a case dating back to 2016. According to Indian banking laws, once an account is reported as a fraud, the matter is referred to enforcement agencies for criminal action, and the borrower is barred from securing further finance from banks and other institutions for at least five years. Reliance Communications disclosed that its total debt stood at ₹ 40,400 crore ($4.71 billion) in March, according to a Reuters report. SBI's letter also said it would report Anil Ambani, the director at Reliance Communications, to the Reserve Bank of India, in compliance with Indian banking regulations. Ambani is pursuing the matter as legally advised, a spokesperson for Reliance Communications said on Wednesday. Against this backdrop, both companies claimed that SBI's action will have "absolutely no impact on business operations, financial performance, shareholders, employees, or any other stakeholders".
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Business Standard
02-07-2025
- Business
- Business Standard
SBI flags Reliance Comms loan as fraud; Anil Ambani's name sent to RBI
The State Bank of India (SBI) has classified the loan account of Reliance Communications Ltd (RCOM) as 'fraud', and is initiating action to report the name of Anil Dhirubhai Ambani, the company's erstwhile director, to the Reserve Bank of India (RBI), RCOM said in a regulatory filing on Tuesday. 'Fraud Identification Committee of the Bank has decided to classify the loan account of Reliance Communication Limited as Fraud,' SBI stated in the letter dated June 23, 2025, enclosed with the filing. The letter, received on June 30, cites various irregularities, including potential fund diversion through related entities, including Reliance Telecom Ltd (RTL) and other group companies, and violations of loan terms that led to the fraud classification. SBI mentioned that the decision follows an examination of multiple show cause notices and forensic audits. The bank noted that it is proceeding to report both the loan account and Anil Ambani's name to the RBI, in line with the RBI's Master Directions and Circulars. Canara Bank in November 2024 had also classified the account of Reliance Communications as 'fraud', a decision that was stayed by Bombay High Court earlier this year. Fraud claims predate Reliance Comms' insolvency This action is in connection with credit facilities availed by Reliance Communications before the commencement of its corporate insolvency resolution process (CIRP) in June 2019. Since then, the company's affairs have been managed by Resolution Professional Anish Niranjan Nanavaty, under the supervision of the National Company Law Tribunal (NCLT), Mumbai Bench, which is currently reviewing an approved resolution plan. Shielded from 'adverse effect' under IBC: RCOM Reliance Communications said the company is under corporate insolvency resolution process (CIRP) from 2019. A resolution plan has been approved by creditors and awaits final approval by the National Company Law Tribunal (NCLT). The credit facilities or loans referred to in the SBI communication, dated June 23, 2025, relate to the period preceding the commencement of the CIRP, it said. Under the Insolvency and Bankruptcy Code (IBC), these must be addressed through either an approved resolution plan or liquidation, the company said. During the CIRP period, the company is protected from the institution, continuation of any suits, proceedings against the company, Reliance Communications mentioned. In accordance with the immunity provisions under Section 32A of the IBC, upon the approval of the resolution plan by the NCLT, the company is to have immunity against any liability for any purported offences committed prior to the commencement of the CIRP, it said. In light of the recent development, the company is seeking legal advice to assess its next steps.
