New Delhi: The Central Bureau of Investigation (CBI) has registered an FIR against Reliance Capital Limited, Anil D. Ambani, former chairman Satish Seth and others in connection with allegations relating to an alleged ₹2,684.57 crore loss to the Life Insurance Corporation of India (LIC).
The FIR was registered following a complaint submitted by LIC. The CBI is examining allegations concerning the manner in which LIC’s investments in Reliance Capital securities were handled and the subsequent use of the funds.
LIC Invested ₹3,900 Crore
- According to the CBI’s account of the complaint, LIC invested a total of ₹3,900 crore in five Non-Convertible Debentures (NCDs) issued by Reliance Capital between 2012 and 2018.
- The investments were reportedly made for purposes including general corporate requirements, funding needs and refinancing of existing debt.
Allegations Under Investigation
- The complaint alleges that LIC was provided with misleading or incorrect information in connection with the investments and that funds were subsequently diverted or otherwise misused.
- The CBI is investigating the allegations, including the alleged diversion of funds and the roles of the individuals and entities named in the FIR.
- The alleged transactions are stated to have resulted in a wrongful loss of ₹2,684.57 crore to LIC.
Anil Ambani Denies Wrongdoing
- Anil Ambani has denied any wrongdoing and said that he reserves all legal rights available to him.
- His side has also pointed to his position at Reliance Capital and the subsequent intervention by the Reserve Bank of India, which superseded the company’s board in November 2021 and appointed an administrator.
CBI Investigation Underway
- The latest FIR marks the beginning of the CBI’s investigation into the allegations. Investigators are expected to examine financial records, transactions, the end use of LIC’s investment and the alleged movement of funds.
- The agency will also determine the individual roles, if any, of those named in the case based on the evidence collected during the investigation.
No Finding of Guilt at This Stage
- The matter remains under investigation. The allegations contained in an FIR are allegations made in the course of an investigation and do not by themselves establish criminal liability or guilt.
- The accused persons are entitled to due process and the opportunity to respond to the allegations through the legal process.
