The Central Bureau of Investigation (CBI) has registered an FIR against Reliance Capital Limited (RCAP), its former chairman Anil D. Ambani, and others in connection with an alleged Rs 2,684.57 crore fraud involving the Life Insurance Corporation of India (LIC), according to an official statement issued by the agency on Friday.
The FIR was registered based on a written complaint filed by LIC against RCAP, Ambani, Satish Seth, Group Managing Director of the Reliance Anil Dhirubhai Ambani Group (ADA Group), unknown public servants and others.
According to LIC's complaint, between April 12, 2012, and March 9, 2018, the insurer subscribed to five non-convertible debentures (NCDs) issued by RCAP, amounting to Rs 3,900 crore. The funds were raised for general corporate purposes, funding requirements and refinancing of existing debt.
LIC has alleged that the accused entered into a criminal conspiracy and committed offences including cheating, criminal breach of trust, criminal misconduct, diversion and misappropriation of funds, and falsification of accounts.
The complaint alleges that LIC suffered a wrongful loss of Rs 2,684.57 crore, while the accused and other beneficiaries allegedly gained financially. LIC further alleged that it was induced to invest in RCAP through misrepresentation and that the funds were subsequently diverted.
The CBI said it has launched an investigation to establish the role of all persons involved, including public servants and private individuals. The agency will also examine the alleged criminal conspiracy and trace the end-use and diversion of the funds invested by LIC.
The CBI has previously registered eight FIRs against Reliance Communications Ltd (RCom), Reliance Capital Ltd (RCAP), Reliance Home Finance Ltd (RHFL), Reliance Commercial Finance Ltd (RCFL) and Reliance Telecom Ltd (RTL) based on complaints from public sector institutions, including the State Bank of India, EPFO and LIC.
The agency said it has so far filed six charge-sheets and arrested seven accused in these cases. The cases remain under investigation and are being monitored by the Supreme Court.
Meanwhile, a spokesperson for Anil D. Ambani said the FIR pertains to Reliance Capital Limited and noted that Ambani served as a non-executive director and chairman of the company's board from 2005 until November 2021, when the Reserve Bank of India superseded the board and appointed an administrator.
"Mr Ambani denies any wrongdoing whatsoever, and reserves all rights available to him in law," the spokesperson said.
