CBI books Reliance Capital, Anil Ambani in ₹1,816-crore EPFO investment fraud
The Central Bureau of Investigation (CBI) has registered a case against Reliance Capital Limited (RCL) and its former chairman Anil D. Ambani over an alleged investment fraud involving ₹1,816.22 crore of Employees’ Provident Fund Organisation (EPFO) money, the agency said on Saturday.
The First Information Report (FIR) was filed based on a complaint from the EPFO under the Ministry of Labour & Employment. The complaint names RCL, Ambani, unknown public servants and other individuals. The total amount includes ₹1,007.55 crore in principal and ₹808.67 crore in interest liability.
The CBI has invoked provisions related to criminal conspiracy, cheating, criminal breach of trust and criminal misconduct. According to the agency, the allegations stem from secured Non-Convertible Debentures (NCDs) issued by RCL during 2013 and 2014, in which the EPFO invested ₹2,500 crore through four portfolio managers, including Reliance Capital Asset Management Limited.
The NCDs were scheduled to mature between 2023 and 2024. The CBI alleges that the accused persons engaged in fraudulent transactions and diverted funds, leading to a default in redemption of the NCDs by RCL. The agency said it has taken up the investigation to identify the role of all persons involved, including public servants and private individuals, examine the alleged criminal conspiracy, and trace the end use of the invested funds.
This is not the first such case involving the Reliance ADA Group. The CBI has previously registered seven FIRs against Reliance Communications Limited, Reliance Home Finance Limited, Reliance Commercial Finance Limited, and Reliance Telecom Limited, following complaints from public sector banks and the Life Insurance Corporation of India. So far, the agency has filed four chargesheets and arrested seven accused persons in these cases.
The ongoing investigations are being monitored by the Supreme Court. The CBI has not made any further public comments on the specific details of the current case, stating that the investigation is at an early stage.