Anil Ambani summoned by ED Tuesday in loan fraud case.
The Enforcement Directorate has summoned Anil Ambani for questioning on Tuesday in connection with an ongoing money laundering probe. The case involves alleged bank loan fraud worth several crores of rupees linked to his group companies. Officials said the questioning is part of efforts to trace the flow of funds and determine potential violations under the Prevention of Money Laundering Act. Ambani is expected to appear before ED in Mumbai.
Anil Ambani Appears Before ED in ₹17,000-Crore Loan Fraud Probe
New Delhi/Mumbai: In a significant development in one of the biggest loan fraud probes in recent years, industrialist Anil Ambani, chairman and managing director of Reliance Group (RAAGA companies).
According to officials, Ambani left his Mumbai residence early Tuesday morning and reached the ED headquarters in the national capital for the scheduled questioning. The summons is part of an extensive probe under the Prevention of Money Laundering Act (PMLA), being conducted jointly by the ED and the Central Bureau of Investigation (CBI).
The ED is investigating allegations of financial irregularities, including bank loan fraud, suspected fund diversion, and misuse of borrowed funds through a network of shell companies. These funds were allegedly raised by Reliance Group entities from various public and private sector banks.
Sources close to the investigation say the questioning is focused on understanding the financial trail of large loan amounts disbursed to Anil Ambani’s companies, and whether these funds were misappropriated or siphoned off in violation of banking norms. The agency is trying to determine the role of key individuals and the extent of complicity across group entities.
The searches were carried out at offices and residences of senior officials and associates linked to the group. According to officials, the raids led to the seizure of a large cache of documents, digital evidence, hard drives, and financial records that could prove vital to the case.
The investigation initially began as part of the ED’s probe into the high-profile Yes Bank loan fraud case. Over time, the scope expanded as more alleged irregularities came to light, involving other financial transactions and companies within the Reliance Group.
The CBI, which is running a parallel investigation, has also begun collecting evidence and examining possible lapses and fraud committed by other group entities. Together, both agencies are focusing on a broad pattern of alleged fraud: loans sanctioned on the basis of manipulated financials, circular transactions, and deliberate defaults that caused significant losses to banks and public institutions.
What has further alarmed investigators is the suspected use of shell entities—companies with no real operations—to route money, obscure ownership, and ultimately siphon off public funds.
Officials have also indicated that the role of Yes Bank founder and former promoter Rana Kapoor is under scrutiny. There is suspicion that bribes or undue favours may have been exchanged to secure loan approvals in violation of standard banking protocols. If confirmed, these allegations could open up a broader political and financial fallout.
A senior official close to the case noted, “The documents and data retrieved during last week’s raids are being analysed thoroughly. There is a clear indication of fund misuse, and we’re trying to follow the trail of every rupee. The questioning of Mr. Ambani is a critical part of this process.”
Ambani’s legal team has so far not issued an official statement, though it is expected that they will respond to the allegations in due course. People close to him have maintained that the group is cooperating fully with the investigation and is confident of clearing its name.
This is not the first time Anil Ambani has faced scrutiny over his finances. Over the past few years, his companies have come under pressure due to mounting debts, loan defaults, and declining revenues. The current probe, however, marks the most serious legal challenge yet, with potential implications for his businesses and reputation.
As the investigation continues, it remains to be seen whether more executives from the Reliance Group will be called in for questioning. The agencies are also likely to approach various banks involved for further documentation and testimony.
With stakes running high and public money allegedly at risk, the ED and CBI appear determined to pursue the case to its logical conclusion. The outcome could have far-reaching consequences, not just for Anil Ambani’s business empire, but for the broader conversation around financial accountability and corporate ethics in India.