The Supreme Court on Tuesday directed the Central Bureau of Investigation (CBI) to independently examine six allegations of alleged financial irregularities flagged by the Enforcement Directorate (ED) in connection with Indiabulls Housing Finance Ltd, now known as Sammaan Capital Ltd, and related entities.
The order came from a bench headed by Chief Justice of India Surya Kant, along with Justices Joymalya Bagchi and V. Mohana, while hearing a petition filed by the Citizen Whistle Blower Forum.
What did the Supreme Court order?
- The ED had identified six transactions or sets of transactions requiring scrutiny.
- Five of these matters had previously been examined by the Delhi Police Economic Offences Wing (EOW). The EOW had concluded that further investigation was not advisable.
- The Supreme Court has now directed the CBI to independently examine those five allegations irrespective of the EOW’s conclusions and submit a comprehensive status report to the Court.
- The sixth allegation concerns an alleged transaction involving approximately ₹1,574-1,575 crore.
- The CBI has approached a special court dealing with PMLA matters in Mumbai seeking permission for further investigation into this transaction. The Supreme Court directed the special judge to consider the CBI’s application within two weeks after taking it up on August 24.
What are the allegations?
According to submissions reported before the Supreme Court, the allegations raised by the ED involve issues including:
- Alleged diversion or routing of funds
- Suspected loan evergreening
- Alleged suspicious loan transactions
- Possible manipulation of share prices
- Alleged criminal conspiracy
- Transactions involving related or connected entities
One allegation cited in the proceedings concerns loans of approximately ₹1,693 crore advanced to entities associated with the Americorp Group. The petitioner alleged that some of the loan money was subsequently routed into shares of Indiabulls linked entities.
Another area raised before the Court concerns alleged diversion of funds and transactions connected with the Palais Royale project.
Why has the Supreme Court intervened?
- The case has been under judicial scrutiny for some time.
- On July 28, 2026, the Supreme Court had criticised the CBI and Delhi Police EOW over the lack of progress in examining allegations concerning Indiabulls Housing Finance.
- The Court had questioned why the agencies had not made sufficient progress and had expressed strong concern over the handling of the allegations.
- Earlier, in November 2025, the Supreme Court had also questioned the reluctance of investigative agencies to pursue the allegations. It directed the CBI Director to coordinate with agencies including the ED, SEBI and the Serious Fraud Investigation Office (SFIO).
What happens now?
- The CBI is expected to independently examine all six allegations and provide a progress/status report to the Supreme Court.
- For the ₹1,574-1,575 crore matter, the Mumbai special PMLA court will first consider whether the CBI can proceed with further investigation.
- The Supreme Court has therefore not concluded that the allegations are proved. The purpose of the present direction is to ensure that the allegations receive an independent investigation and that the Court receives a comprehensive report.
Why the case matters
The case is significant because it involves allegations concerning transactions running into thousands of crores of rupees and raises questions about corporate governance, lending practices and the monitoring of financial transactions.
It is also important for investors and the financial sector because Indiabulls Housing Finance has since been renamed Sammaan Capital.
Bottom line
The Supreme Court has ordered the CBI to independently examine all six allegations flagged by the ED against Indiabulls Housing Finance and related entities. Five allegations had earlier been examined by the Delhi Police EOW, while the sixth involves an alleged ₹1,574-1,575 crore transaction for which the CBI is seeking further-investigation permission from a Mumbai special court.
Important: These remain allegations under investigation. The Supreme Court’s order should not be reported as a finding that Indiabulls, Sammaan Capital or its former promoters have been found guilty of financial fraud.
