Mumbai, July 24, 2025 – The Enforcement Directorate (ED) on Thursday conducted extensive raids at numerous locations linked to companies under the Reliance Anil Ambani Group (RAAGA), including over 35 premises, 50 companies, and more than 25 individuals. This action by the financial crimes probe agency comes swiftly after the State Bank of India (SBI) declared Reliance Communications (RCom) and its promoter-director Anil D. Ambani as ‘fraudulent’ in connection with loan accounts.
While Anil Ambani’s personal residence was reportedly not part of the search operations, ED teams from Delhi and Mumbai targeted various premises associated with his group companies. The raids are part of an ongoing money laundering investigation focusing on alleged irregularities related to loans, particularly a ₹3,000 crore loan from Yes Bank disbursed between 2017 and 2019.
Sources within the ED indicated that preliminary investigations have uncovered what appears to be a “well-planned scheme to divert/siphon off public money by cheating banks, shareholders, investors, and other public institutions.” The probe is also examining the alleged nexus of bribery, with suspicions that Yes Bank promoters received money in their concerns just before the loans were granted to RAAGA companies.
The ED’s investigation stems from two First Information Reports (FIRs) registered by the Central Bureau of Investigation (CBI) on September 19, 2022, concerning loans given by Yes Bank to Reliance Home Finance Limited (RHFL) and Reliance Commercial Finance Ltd (RCFL). The CBI had named Yes Bank’s former chairman Rana Kapoor in both cases.
Information shared by other agencies and institutions, including the National Housing Bank, SEBI, National Financial Reporting Authority (NFRA), and Bank of Baroda, has reportedly aided the ED’s inquiry. Red flags identified in the investigation include loans granted to entities with weak financials, lack of proper due diligence, and companies sharing common addresses and directors, raising suspicions of shell companies and fund diversion.
The SBI’s recent classification of RCom and Anil Ambani as ‘fraud’ follows a re-evaluation process in adherence to RBI guidelines, with the bank reporting the fraud to RBI on June 24, 2025, and initiating steps to lodge a complaint with the CBI. The bank had an exposure of over ₹2,227.64 crore (fund-based principal outstanding) to RCom.
This development marks a significant escalation in the legal troubles surrounding Anil Ambani and his former telecommunications empire. Reliance Power, in a clarification to exchanges, stated that the ED’s actions have “absolutely no impact on the business operations, financial performance, shareholders, employees, or any other stakeholders of Reliance Power.”
Further details from the ED raids are awaited as the investigation continues.
