Synopsis: Just days after SBI flagged Reliance Communications and Anil Ambani as ‘fraud’, the ED has launched a sweeping investigation into alleged money laundering and fund diversion linked to his companies. The probe is centered around irregularities in Yes Bank loans and misuse of public funds.
The Enforcement Directorate (ED) carried out multiple searches at premises associated with industrialist Anil Ambani’s group companies in Mumbai on Thursday, intensifying its investigation into alleged money laundering activities tied to the Reliance Anil Dhirubhai Ambani Group (RAAGA). This development follows the State Bank of India’s (SBI) move to officially declare Reliance Communications (RCom) and its promoter Anil Ambani as ‘fraud’ earlier this month.
While Ambani’s personal residence was not among the searched locations, teams from ED’s Delhi and Mumbai units targeted key corporate offices linked to his conglomerate. The probe is based on crucial information shared by regulatory authorities including the National Housing Bank, SEBI, NFRA, and FIRs from the CBI.
According to officials, the ED is focusing on an alleged scheme that involved diversion of around ?3,000 crore worth of loans taken from Yes Bank between 2017 and 2019. Notably, large sums were reportedly transferred to entities linked to the bank’s promoters just before the loans were issued, suggesting a pattern of planned financial manipulation.
Authorities also flagged Reliance Home Finance Ltd (RHFL) for a suspicious spike in corporate loans — from ?3,742.60 crore in FY 2017–18 to ?8,670.80 crore in FY 2018–19 — raising concerns over possible fraudulent activities.
A bribery angle involving former Yes Bank promoters is under scrutiny, making the case even murkier. Senior executives from Ambani’s firms are being questioned as ED investigates the alleged deception of investors, banks, and shareholders.
The action comes in the wake of SBI’s decision on June 13, 2025, to classify RCom and Ambani as ‘fraud’ under RBI’s fraud risk management framework. The bank formally notified the Reserve Bank of India on June 24 and is expected to lodge a complaint with the CBI shortly.
SBI’s total exposure to RCom is significant — a ?2,227.64 crore fund-based loan plus ?786.52 crore in non-fund based guarantees. RCom has been undergoing Corporate Insolvency Resolution Process (CIRP) since 2020, with a final verdict from the NCLT still pending.
Additionally, SBI has filed for personal insolvency proceedings against Anil Ambani, which is also being heard by the NCLT Mumbai bench.
This case marks yet another major chapter in the financial troubles of high-profile Indian business tycoons, as regulatory bodies crack down on corporate fraud and financial mismanagement.
Disclaimer: This article is based on publicly available information and updates from regulatory authorities. Allegations mentioned are subject to legal proceedings and final judicial outcomes.
