The Central Bureau of Investigation has registered a formal case against Reliance Capital Limited and its former chairman, Anil Ambani. The action follows a complaint from the Union Ministry of Labour and Employment, which alleges that the company caused a loss of approximately Rs 1,816 crore to the Employees' Provident Fund Organisation.
Investigations focus on investments made by the EPFO in secured Non-Convertible Debentures issued by Reliance Capital between 2013 and 2014. Authorities claim that audit findings reveal irregular lending practices, diversion of funds, and impairment of security that contributed to the financial decline of the company.
The complaint cites fraudulent transactions occurring between December 2019 and December 2021. Officials allege these actions ultimately rendered the firm unable to honor its obligations to debenture holders, resulting in significant losses for the retirement fund body.
Anil Ambani has responded to the development through a spokesperson. He denies any wrongdoing and notes that the Reserve Bank of India superseded the Reliance Capital board in November 2021. He maintains his stance as the investigation moves into its next phase under the direction of federal authorities.