The Enforcement Directorate (ED) launched coordinated raids on more than 35 locations linked to the Reliance Anil Ambani group (RAAGA). Targeting around 50 firms and questioning over 25 individuals in a suspected ₹3,000 crore Yes Bank loan fraud case.
A Well‑Planned Diversion Scheme Uncovered
ED investigations suggest a carefully structured arrangement between group entities and Yes Bank officials. Between 2017 and 2019, loans worth about ₹3,000 crore were disbursed to Anil Ambani‑tied companies. The agency found evidence of lender manipulation through back‑dated credit memorandums. Inadequate due diligence, use of shell companies. And possible bribery of senior bank officials, including improper fund transfers to promoter‑linked entities just before loan approval.
Documents and inputs from the Central Bureau of Investigation, SEBI, NFRA, the National Housing Bank, and Bank of Baroda indicate this was a deliberate effort to siphon public money by deceiving banks and regulatory agencies.
Market Reaction and Corporate Responses
Reliance Infrastructure and Reliance Power shares fell sharply 10 percent over two sessions, hitting lower‑circuit limits after the raids became public. Reliance Power dropped to ₹56.72, Reliance Infrastructure to ₹342.05 on the BSE. Both companies issued filings stating the raids did not affect their business or financial performance. They clarified that the allegations pertain to older issues involving entities like Reliance Communications and Reliance Home Finance, which are separate and have no links to their current operations.
The parent group issued a white paper defending the loans related to Yes Bank promoter entities as fully secured, sanctioned on merit, and already settled including interest. They reiterated all transactions complied with governance norms and legal regulations.
This high‑profile probe adds fresh legal and reputational stress to reserves of lifetime financial scrutiny faced by the Anil Ambani group. With multiple FIRs, cross‑agency collaboration. And possible criminal charges under the Prevention of Money Laundering Act, the fallout could be severe. Sectors already under investor caution may remain volatile until clarity emerges on the findings.
