CBI Registers Fresh FIR Against Anil Ambani, Reliance Capital Over ₹2,684 Crore LIC Fraud Case
CBI registered a ₹2,684.57-crore fraud case against Anil Ambani, Reliance Capital and others over LIC investments
The Central Bureau of Investigation (CBI) has registered a case against Reliance Capital Limited (RCAP), its former Chairman Anil Ambani, former Group Managing Director Satish Seth, unidentified public servants and others over an alleged ₹2,684.57-crore fraud involving investments made by the Life Insurance Corporation of India (LIC).
The FIR was registered on the basis of a written complaint submitted by LIC, according to the CBI.
According to the agency, LIC alleged that between April 12, 2012 and March 9, 2018, it subscribed to five non-convertible debentures (NCDs) issued by RCAP, aggregating to ₹3,900 crore.
The investments were made for general corporate purposes, funding requirements and refinancing of existing debt, the CBI said.
LIC alleges misrepresentation, diverse of funds
The CBI said LIC has alleged that the accused persons entered into a criminal conspiracy and committed offences including cheating, criminal breach of trust, criminal misconduct, diversion or misappropriation of funds and falsification of accounts.
According to the agency, LIC alleged that it was dishonestly induced to invest in RCAP through misrepresentation and that the funds were subsequently fraudulently diverted.
The alleged acts resulted in a wrongful loss of ₹2,684.57 crore to LIC and corresponding wrongful gain to the accused and other beneficiaries, the CBI said.
The CBI has taken up the investigation to ascertain the role of all persons allegedly involved, including public servants and private individuals, examine the alleged criminal conspiracy and trace the end-use or diversion of the invested funds.
Anil Ambani denies wrongdoing
Anil Ambani has denied any wrongdoing. According to reports, his spokesperson said the FIR registered by the CBI pertains to Reliance Capital Limited and that Ambani had served as a non-executive director and chairman of the company's board from 2005 until November 2021, when the Reserve Bank of India superseded the board and appointed an administrator.
The spokesperson said Ambani “denies any wrongdoing, whatsoever” and reserves all rights available to him in law.
CBI's earlier cases against reliance group companies
The CBI said it had earlier registered eight FIRs against Reliance Communications Limited, Reliance Capital Limited, Reliance Home Finance Limited, Reliance Commercial Finance Limited and Reliance Telecom Limited.
These cases were registered on complaints received from various public sector banks, the Employees' Provident Fund Organisation (EPFO) and LIC.
The agency said it had so far filed six chargesheets and arrested seven accused persons in those cases. The CBI further stated that the cases were under investigation and being monitored by the Supreme Court.
[Inputs: NDTV, TOI]