CBI books Anil Ambani, Reliance Capital in alleged ₹1,816-crore EPFO investment fraud

The Central Bureau of Investigation (CBI) on Aug 1 said it has registered an FIR against Reliance Capital Limited in Mumbai, its former Chairman Anil Ambani, unknown public servants and other unknown persons, for allegedly causing a wrongful loss of Rs 1,007.55 crore, along with an interest liability of Rs 808.67 crore, by committing offences including criminal conspiracy, cheating, criminal breach of trust and criminal misconduct.

The FIR was registered on the basis of a written complaint received from the Employees' Provident Fund Organisation (EPFO), Ministry of Labour and Employment.

According to the agency, it is alleged in the complaint that, during 2013 and 2014, Reliance Capital Limited (RCL) issued secured Non-Convertible Debentures (NCDs), in which the EPFO invested Rs 2,500 crore through four portfolio managers including Reliance Capital Asset Management Limited.

The NCDs were due to mature during 2023 and 2024.

It is further alleged that the accused persons indulged in fraudulent transactions and diversion of funds, resulting in the default in redemption of the NCDs by Reliance Capital Limited and causing a total alleged loss of Rs 1,816.22 crore to the EPFO.

“Investigation has been taken up to identify the role of all persons involved, including public servants and private individuals, examine the alleged criminal conspiracy, and trace the end use of the invested funds,” according to the investigative agency.

The CBI statement further said that it may also be recalled that it has earlier registered seven FIRs against Reliance Communications Limited (RCom), Reliance Home Finance Limited (RHFL), Reliance Commercial Finance Limited (RCFL) and Reliance Telecom Limited (RTL) on the basis of complaints received from various Public Sector Banks and LIC.

The CBI has so far filed four chargesheets and arrested seven accused persons in the Reliance ADA Group cases.

“These cases are under investigation, and the investigation is being monitored by the Hon'ble Supreme Court. The CBI remains committed to conducting an expeditious and comprehensive investigation into these cases,” said the statement.

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