ED Files Supplementary PMLA Complaint Against RCOM for ₹40,185 Cr
By Business Desk
The Enforcement Directorate has filed a supplementary complaint under PMLA against Reliance Communications (RCOM) and others in a ₹40,185.55 crore money laundering case.
The Directorate of Enforcement (ED) has filed a supplementary prosecution complaint against Reliance Communications Limited (RCOM), Reliance Telecom Limited (RTL), and other individuals under the Prevention of Money Laundering Act (PMLA). This action, taken on August 9, 2026, concerns alleged proceeds of crime amounting to ₹40,185.55 crore, stemming from defaulted outstanding amounts to various financial entities.
Accused individuals, including Gautam Bhailal Doshi, Sateesh Seth, and Amitabh Jhunjhunwala, face charges under Section 3 and Section 3 read with Section 70, punishable under Section 4 of the PMLA, 2002. This supplementary filing continues an earlier complaint from March 27, detailing the distinct roles of the accused in managing these illicit funds.
Key Case Figures
- Total alleged proceeds of crime: ₹40,185.55 crore
- Value of properties attached and confirmed: ₹8,078.06 crore
- False certification of Foreign Currency Convertible Bonds (FCCB) proceeds: $1 billion
- Date of supplementary complaint filing: August 9, 2026
- Date of main prosecution complaint cognizance: June 15
- Alleged scheme commencement: As early as 2007
Unpacking the Fraudulent Scheme
The ED’s investigation highlighted a systematic pattern where fresh credit facilities were repeatedly misused to repay, rotate, and evergreen earlier domestic and foreign liabilities. This diversion occurred instead of utilizing the funds for their sanctioned end-use, a critical violation of financial regulations. A notable instance involved the false certification of end-use for $1 billion in Foreign Currency Convertible Bonds (FCCB) proceeds.
Funds were layered through various channels, including group companies, purpose-built conduit entities, multiple bank accounts, and liquid mutual funds, to obscure their true origin and destination. The fraudulent scheme, reportedly commencing as early as 2007, operated as a connected and ongoing criminal activity.
- Loan proceeds were diverted to group companies such as Reliance Infrastructure Ltd. and Reliance Capital Ltd.
- Funds were siphoned off to purchase personal assets for promoters outside India.
- Money was used to artificially inflate RCOM’s profits.
- Funds serviced earlier External Commercial Borrowings and Foreign Currency Convertible Bonds (FCCB), then projected as legitimate business expenditure or receipts.
Enforcement Action and Judicial Process
In connection with the case, the ED has sought the confiscation of properties valued at ₹8,078.06 crore. These assets, which include leasehold and immovable properties in New Delhi, Navi Mumbai, Bhubaneswar, Chennai, and Pune, have already been attached and confirmed by the Adjudicating Authority. Gautam Bhailal Doshi and Sateesh Seth were arrested on June 12 and July 9, respectively, and currently remain in judicial custody.
The special court for PMLA cases acknowledged the main prosecution complaint on June 15, initiating the judicial process. The ED began its investigation based on multiple First Information Reports (FIRs) lodged by the CBI, Banking Securities and Fraud Branch, New Delhi. These FIRs arose from complaints by banks and financial institutions regarding fraudulent credit facilities availed and diverted by RCOM, RTL, and Reliance Infratel Limited.
The investigation into this complex financial network remains active and is ongoing. Authorities continue to examine the interconnected transactions and the full scope of the alleged money laundering activities.