Reliance Power, Reliance Infra raids: ED action concludes at all locations, says company statement

Enforcement Directorate (ED) has concluded its raid on all locations linked to Anil Ambani group's companies Reliance Power and Reliance Infrastructure in alleged money laundering case involving more than Rs 24,000 crore.

Reliance Power and Infra announced on Sunday that ED has concluded actions at all locations.

"The company and all its officials have fully cooperated and will continue to cooperate with the authority," the companies reaffirmed.


"Action by ED has no impact on the business operations, financial performance, shareholders, employees, or any other stakeholders of the Company," the statements said.

The companies clarified that allegations concerning transactions of Reliance Communications and Reliance Home Finance are not related to the operations of RPOWER and RELINFRA.

Anil Ambani resigned from the board of bankrupt Rcom in 2019 and currently is not on the board of any ADAG companies.

Both entities stated that Anil D. Ambani is not on their board. Hence, any action taken against RCOM or RHFL has no bearing or impact on their governance, management, or operations.

On Thursday, ED searched multiple locations linked to Anil Dhirubhai Ambani Group as part of an ongoing probe into alleged money laundering involving more than Rs 24,000 crore.

The search operations covered more than 50 companies and over 25 people at 35 places across the country, however, Mumbai residence of the industrialist was not among the targeted locations.

ED's probe involved allegations related to loans sanctioned by Yes Bank, Canara Bank and Bank of Baroda to various entities of the group, and a related Rs 2,850 crore investment made by Reliance Mutual Fund in Yes Bank's bonds. The investigating agency suspected that bribery was involved in these transactions.

Around Rs 3,000 crore in loans were allegedly diverted by the company between 2017 and 2019. The ED claims that money flowed into entities linked to Yes Bank's promoters just prior to loan disbursals, indicating possible kickbacks.

The bank has also initiated Personal Insolvency Resolution Process under IBC against Anil D Ambani and the same is being heard by NCLT, Mumbai, sources told The Economic Times.

Investigators have flagged several alleged irregularities involving the group, including loan disbursals to financially unstable firms, common directors and registered addresses across borrower companies, loans sanctioned and released on the same day and evergreening of loans through onward lending.