TNR News Network
New Delhi:
The Enforcement Directorate (ED) has raided multiple locations in connection with a high-profile money laundering investigation involving alleged bank loan fraud worth Rs 3,000 crore involving transactions between Yes Bank and companies under the Reliance Anil Ambani Group, with financial misconduct suspected between 2017 and 2019.
Over 35 sites searched across Delhi, Mumbai
As part of its probe, the ED conducted coordinated searches on more than 35 premises across Delhi and Mumbai on Thursday. These include properties linked to over 50 companies and nearly 25 individuals.
The searches were carried out under provisions of the Prevention of Money Laundering Act (PMLA), following two FIRs lodged by the Central Bureau of Investigation (CBI).
Officials say they are investigating a complex loan diversion scheme that allegedly saw Yes Bank disburse unsecured loans totaling Rs 3,000 crore to firms tied to the Anil Ambani-led RAAGA Group. The ED believes former Yes Bank promoters may have received payments in privately owned firms just before loan sanctions, indicating a possible quid pro quo.
Bribery, falsified records, shell companies under lens
The preliminary findings point to a systemic effort to mislead financial institutions. Investigators have flagged several irregularities, including the use of shell companies, shared directors and addresses among borrowers, and missing or backdated credit approval documentation.
The authorities are probing whether senior Yes Bank executives accepted bribes to approve high-value, unsecured loans to the RAAGA Group. The investigation also highlights potential instances of “loan evergreening”, where new loans were issued simply to repay old ones, further inflating the risk exposure of banks.
Regulatory bodies such as SEBI, the National Financial Reporting Authority (NFRA), the National Housing Bank (NHB) and Bank of Baroda have also submitted reports to the ED outlining serious financial discrepancies.
SBI labels RCom loan as ‘fraud’, names Anil Ambani to RBI
In a recent development, the State Bank of India (SBI) classified Reliance Communications Ltd’s (RCom) loan account as “fraudulent” and has reported the name of its former director, Anil Ambani, to the Reserve Bank of India (RBI).
RCom, which received Rs 31,580 crore in loans from multiple banks, was found to have misused a significant portion of the borrowed funds.
According to the SBI, nearly 44% of the loan amount was used to repay other debts, while another 41% was funneled to related parties — actions deemed inconsistent with the sanctioned terms. A Rs 250 crore loan from Dena Bank, meant for statutory payments, was instead diverted to another group entity and used to settle foreign borrowing.
As per RBI guidelines, entities and individuals found guilty of fraud are barred from accessing bank finance for five years post-recovery of the defrauded sum. Other banks that lent to RCom are expected to take similar action.
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