Anil Ambani questioned by ED in loan fraud case

Delhi Delhi: Reliance Group Chairman Anil Ambani on Tuesday appeared before the Enforcement Directorate (ED) in connection with the over Rs 17,000 crore bank loan fraud cases involving several companies of his group. The 66-year-old industrialist was not allowed to have a lawyer with him during the nearly 10-hour closed-door questioning registered under the Prevention of Money Laundering Act (PMLA).

“During the questioning, he was asked several questions related to loan transactions. Mr Ambani sought seven days’ time to submit the necessary details and supporting documents,” a senior ED official told The Tribune. Earlier on July 24, the agency had carried out a major search operation at the premises of over 50 companies and over 25 individuals linked to the case.

According to a senior official of the investigating agency, the money laundering probe is based on the FIR filed earlier by the CBI and information shared by other entities such as National Housing Bank, SEBI, National Financial Reporting Authority (NFRA) and Bank of Baroda. According to the ED, the investigation has unearthed a well-planned scheme involving illegal diversion of public money through fraudulent means, which allegedly involved defrauding banks, shareholders, investors and other financial institutions. Preliminary findings suggest that loans worth about Rs 3,000 crore were illegally diverted from Yes Bank between 2017 and 2019. The ED has found that just before these loans were sanctioned, entities linked to Yes Bank promoters received significant financial transfers, raising concerns of a quid pro quo arrangement.