NEW DELHI — The Central Bureau of Investigation conducted searches at the residence of industrialist Anil Ambani and offices of Reliance Communications Ltd. after registering a second case against the company in connection with a complaint filed by Bank of Baroda on February 24, officials said Wednesday.
According to a statement from the agency, the case has been filed against Ambani, promoter and former Chairman of Reliance Communications, the company itself, and others for alleged conspiracy and cheating under the Indian Penal Code, as well as criminal misconduct and abuse of official position under the Prevention of Corruption Act.
The FIR alleges that Bank of Baroda suffered losses exceeding Rs 2,220 crore on loans extended to Reliance Communications, which were allegedly diverted and misused through fictitious transactions with related parties. Investigators also alleged that the company’s books of accounts were manipulated and irregularities concealed.
Following registration of the case, the CBI carried out searches at Ambani’s residence and at the registered offices of Reliance Communications Ltd., recovering various documents related to the loan transactions, the agency said.
The loan account had been declared a Non-Performing Asset in 2017. However, after a petition filed by Ambani, the Bombay High Court had stayed the declaration of the account as fraud. The stay was vacated on February 23, after which Bank of Baroda lodged its complaint and the CBI initiated action, according to the statement.
The agency has already registered another case against Reliance Communications based on a complaint from State Bank of India, the lead bank of an 11-member consortium. Bank of Baroda was not part of that consortium, and the current case pertains to a separate loan obtained by Reliance Communications from Bank of Baroda, the former Vijaya Bank, and the former Dena Bank, both of which have since been merged into Bank of Baroda.
The investigation remains ongoing, the CBI said. (Source: IANS)
