ED Attaches ₹4,462 Crore Worth of Land of Dhirubhai Ambani Knowledge City in RCom Bank Fraud Case.

Headnote:

The Enforcement Directorate (ED) has provisionally attached over 132 acres of land at Dhirubhai Ambani Knowledge City (DAKC) in Navi Mumbai worth ₹4,462.81 crore under the Prevention of Money Laundering Act, 2002 (PMLA) in connection with the Reliance Communications Ltd. (RCOM) bank fraud case. This brings the total value of attached properties in the Reliance Group bank fraud investigations to over ₹7,545 crore. The attachment follows findings that substantial portions of bank loans were diverted, misused, and routed through shell entities and related parties, amounting to a massive corporate fraud impacting several Indian and foreign lenders.

Background:

• The case originates from a CBI FIR filed under Sections 120-B, 406, and 420 of the Indian Penal Code, 1860, and Section 13(2) read with Section 13(1)(d) of the Prevention of Corruption Act, 1989, against Reliance Communications Ltd. (RCOM), Anil Ambani, and associated entities.

• ED investigations revealed that RCOM and its group companies availed loans from domestic and international lenders between 2010–2012, amounting to an outstanding debt of ₹40,185 crore.

• Of these, five banks declared the accounts as fraudulent, triggering money laundering proceedings.

• It was discovered that loans taken by one group company were used to repay loans of other entities, in violation of loan covenants and banking regulations.

• Funds were further transferred to related or connected parties, and substantial amounts were invested in mutual funds and fixed deposits, later liquidated and rerouted to group entities.

• ED traced diversion of ₹13,600 crore for evergreening loans, ₹12,600 crore for related party transactions, and ₹1,800 crore for investments misused for round-tripping.

• The investigation also detected extensive misuse of bill discounting facilities and foreign outward remittances, which facilitated siphoning of funds abroad.

ED’s Observations:

• The provisional attachment order covers 132 acres of prime commercial land located in Dhirubhai Ambani Knowledge City (DAKC), Navi Mumbai, valued at ₹4,462.81 crore.

• Earlier, ED had attached 42 properties worth over ₹3,083 crore in the same group-related fraud investigations involving Reliance Commercial Finance Ltd. and Reliance Home Finance Ltd.

• The agency’s findings indicate a complex layering of funds, revealing deliberate structuring of inter-company transactions to camouflage misuse of loan proceeds.

• ED emphasized that the fraudulent use of funds not only violated loan agreements but also caused significant loss to financial institutions and the public exchequer.

• The total attachment in the Reliance Group bank fraud cases now stands at ₹7,545 crore.

• ED reiterated its commitment to pursuing financial offenders and recovering proceeds of crime for restitution to affected banks and creditors.

• Further investigation is in progress to identify remaining assets, trace foreign transactions, and establish individual culpability.

Legal Provisions Discussed:

• Sections 3 & 4, Prevention of Money Laundering Act, 2002 (PMLA) – Defines and penalizes money laundering.

• Section 5, PMLA – Provisional attachment of property derived from proceeds of crime.

• Section 8, PMLA – Adjudication and confirmation of attachment by Adjudicating Authority.

• Sections 120-B, 406, 420, Indian Penal Code, 1860 – Criminal conspiracy, criminal breach of trust, and cheating.

• Section 13(2) read with Section 13(1)(d), Prevention of Corruption Act, 1989 – Criminal misconduct by public servants.

• The attachment reinforces ED’s intensified crackdown on corporate bank frauds, loan diversion, and financial misappropriation by major industrial conglomerates.

Citation: 2025:ED:PR:03.11.25(B)

Case: Directorate of Enforcement v. Reliance Communications Ltd. & Anil Ambani

Agency: Directorate of Enforcement (ED), Special Task Force, Headquarters

Date of Release: 3 November 2025

Provisional Attachment Order (PAO) Value: ₹4,462.81 Crore

Cumulative Attachment Value: ₹7,545 Crore