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The Central Bureau of Investigation (CBI) has registered a fresh case against Reliance Capital Ltd, its former chairman Anil Ambani and unknown public servants over an alleged INR 1,816.22 crore loss to the Employees' Provident Fund Organisation (EPFO). The case relates to investments made by EPFO in Reliance Capital's debt instruments between 2011 and 2015, which investigators allege were approved despite adverse financial indicators and regulatory concerns. The agency will examine the role of company officials, intermediaries and public servants in the alleged investment decisions.
The Central Bureau of Investigation (CBI) has registered a case against Reliance Capital Ltd, its former chairman Anil Ambani, and unidentified public servants in connection with an alleged INR 1,816.22 crore loss suffered by the Employees' Provident Fund Organisation (EPFO). The case centres on investments made by EPFO in debt securities issued by Reliance Capital and related entities during the period between 2011 and 2015.
According to the FIR, investigators will examine whether investment decisions were taken in violation of prescribed norms despite concerns regarding the financial position of the company. The CBI has alleged that the investments resulted in significant losses to EPFO after the debt instruments failed to generate the expected returns and repayment obligations were not met. The agency has invoked provisions relating to criminal conspiracy, cheating and offences under the Prevention of Corruption Act.
The investigation will also focus on the role of unknown public servants and other individuals involved in the investment approval process. Officials are expected to scrutinise internal records, investment committee decisions and correspondence related to the purchase of the debt instruments to determine whether due diligence procedures were followed before the investments were made.
The latest FIR adds to a series of investigations involving companies of the Reliance ADA Group. Over the past several months, the CBI has registered multiple cases based on complaints from public sector banks, financial institutions and other agencies alleging diversion of funds, fraudulent transactions and financial irregularities involving different group entities. Several chargesheets have already been filed in separate bank fraud investigations linked to Reliance Communications, Reliance Commercial Finance and Reliance Home Finance.
Investigators are expected to analyse financial transactions, investment records and the movement of funds to establish whether the alleged losses resulted from criminal misconduct or irregular investment practices. The CBI has indicated that the investigation remains at a preliminary stage and further action will depend on evidence collected during the probe.
The case assumes significance because the Employees' Provident Fund Organisation manages retirement savings of millions of salaried employees across the country. Any alleged irregularity involving investments made from EPFO-managed funds is likely to attract close regulatory and legal scrutiny as investigators seek to determine accountability for the reported financial loss.
Source PTI
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