ED Raids Anil Ambani-Linked Firms After SBI Flags RCom as ‘Fraud’
The Enforcement Directorate (ED) has launched searches at multiple premises linked to industrialist Anil Ambani’s companies in Mumbai. The move comes just days after the State Bank of India (SBI) officially declared Reliance Communications (RCom) and its promoter-director Anil D Ambani as ‘fraud’. While Ambani’s residence was not searched, ED teams from Delhi and Mumbai targeted several locations associated with his corporate group.
The move is part of a broader money laundering investigation of group companies under the Reliance Anil Ambani Group (RAAGA). The probe is based on several inputs from financial and regulatory institutions. One of the main areas of concern is the alleged misappropriation of Rs 3,000 crore in loans availed from Yes Bank between 2017 and 2019. A bribery dimension is also being considered. This is after SBI proceeds with an insolvency action against Ambani and his business.
The ED's move is based on warnings from several agencies. They are the National Housing Bank, the Securities and Exchange Board of India (SEBI), the National Financial Reporting Authority (NFRA), and the Bank of Baroda.
Moreover, two FIRs registered by the Central Bureau of Investigation (CBI) also guided the ED's move. Investigators suspect a planned scheme to divert public funds. They believe banks, investors, and institutions were deliberately misled. Senior executives linked to Anil Ambani’s companies are also under scrutiny.
The investigation is focused on loans of Rs 3,000 crore borrowed from Yes Bank between 2017 and 2019. The ED claims that these amounts were routed to the group of persons linked to Yes Bank promoters just before they were paid out to group firms.
Officials have raised a red flag over Reliance Home Finance Ltd (RHFL) for suspicious dealings. One of the warning signs is a sudden increase in corporate loan disbursals—Rs 3,742.60 crore in 2017–18 to Rs 8,670.80 crore in 2018–19. Officials are also investigating suspected bribery by former Yes Bank promoters.
SBI officially flagged RCom and Anil Ambani as ‘fraud’ on June 13, 2025. The move follows RBI guidelines on fraud risk management and SBI’s internal policy. The bank informed the Reserve Bank of India (RBI) on June 24, as confirmed by Minister of State for Finance Pankaj Chaudhary in the Lok Sabha. SBI is preparing to file a formal complaint with the CBI.
On July 1, 2025, RCom's Resolution Professional revealed the update to the Bombay Stock Exchange. The firm is in the process of undergoing the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code, 2016. A resolution plan has already been submitted to the National Company Law Tribunal (NCLT), but the decision is pending.
SBI’s financial exposure to RCom is substantial. It includes a fund-based principal amount of Rs 2,227.64 crore, along with interest and dues since August 2016. The bank also has a non-fund-based exposure of Rs 786.52 crore via guarantees. Besides the corporate insolvency, SBI has initiated personal insolvency proceedings against Anil Ambani. This case is also being heard by the NCLT in Mumbai.
The ED raids are a new twist in the financial drama. With the regulatory agencies tightening the noose around them, the Ambani group is under increasing financial and legal scrutiny.
