Mumbai, India – India’s federal probe agency, the Central Bureau of Investigation (CBI), has registered a criminal case against industrialist Anil Ambani and his company Reliance Communications Ltd (RCom) over alleged fraud, following a complaint filed by the State Bank of India (SBI).
According to the CBI’s statement, searches were carried out on Saturday at Ambani’s residence in Mumbai and at the offices of the now insolvent Reliance Communications. The agency alleged that Ambani and his company diverted and misused bank funds, causing losses of nearly ₹30 billion ($344 million) to SBI.
A spokesperson for Ambani confirmed that the CBI team conducted searches, which concluded in the afternoon. “Mr. Ambani strongly denies all allegations and charges, and will duly defend himself,” the spokesperson said in a statement to Reuters.
SBI, India’s largest public sector bank, has not yet issued a formal response to media queries.
Previous Investigations
This is not the first time Anil Ambani’s Reliance Group has come under scrutiny. Just last month, the Enforcement Directorate (ED) carried out raids at 35 locations linked to the group in connection with an alleged money laundering and public fund siphoning probe. At that time, a source within the Reliance Group denied the allegations, calling them “baseless.”
A Troubled Business Legacy
Anil Ambani, the younger brother of billionaire Mukesh Ambani, once headed one of India’s biggest telecom players through Reliance Communications. However, mounting debt, intense competition in the telecom sector, and regulatory challenges forced the company into insolvency proceedings in 2019.
The new CBI case deepens the financial and legal troubles facing the embattled tycoon, who has seen much of his business empire collapse over the last decade.
What’s Next?
Legal experts suggest the case could lead to a prolonged courtroom battle, with both the CBI and ED pursuing parallel investigations into fraud and money laundering allegations. If proven, the case could mark one of the largest banking frauds involving a high-profile corporate figure in India.
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