The Central Bureau of Investigation (CBI) has initiated legal proceedings against Reliance Capital Limited (RCAP) and several key individuals, including its former chairman Anil Ambani and former group managing director Satish Seth. This action is part of an investigation into a reported fraud involving investments from the Life Insurance Corporation of India (LIC), amounting to approximately Rs 2,684.57 crore. The case, registered on Friday, also implicates unidentified public servants and others in connection with the alleged financial misconduct.
“The FIR registered by the CBI pertains to Reliance Capital Limited. Mr. Mr.
Ambani served as a Non-Executive Director/Chairman of the Board of Reliance Capital Limited from 2005 until November 2021, when the Reserve Bank of India superseded the Board of Directors of the company and appointed an Administrator.
The investments were made for “general corporate purposes, funding requirements and refinancing of existing debt”, the statement said. The alleged acts caused a “wrongful loss to the tune of Rs 2,684.57 crore to LIC” and corresponding wrongful gain to the accused and other beneficiaries, the statement said. 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 on complaints received from various public sector banks, the Employees’ Provident Fund Organisation (EPFO) and the LIC. Ambani denies any wrongdoing, whatsoever, and reserves all rights available to him in law,” his spokesperson said.
