ED Files Money Laundering Chargesheets Against Anil Ambani Group
By Business Desk
Enforcement Directorate files two money-laundering chargesheets against Anil Ambani Group companies and former executives, alleging diversion of Rs 187 crore in public funds.
The Enforcement Directorate (ED) has filed two separate money-laundering chargesheets against companies and former officials linked to the Anil Ambani Group (RAAG).
These prosecution complaints, submitted to special Prevention of Money Laundering Act (PMLA) courts, detail alleged financial improprieties across multiple entities.
Allegations Against Reliance Infrastructure
One chargesheet specifically names Reliance Infrastructure Limited and its former executive, Sateesh Seth. This complaint centers on the alleged diversion of approximately Rs 187 crore in public funds.
The funds originated from four toll-road projects awarded by the National Highways Authority of India (NHAI). This diversion scheme reportedly unfolded in September-October 2010.
- The method involved sham sub-contracting work.
- Fictitious invoices were allegedly used.
- Shell companies served to route and layer the funds.
- Diamond traders were also reportedly involved in the layering process.
In connection with this case, the ED has attached immovable assets and equity shares matching the diverted amount, totaling Rs 187 crore.
Supplementary Charges in Reliance Communications Case
The second chargesheet is a supplementary filing in an ongoing investigation against Reliance Communications Limited (RCOM), Reliance Telecom Limited (RTL), and former RAAG executives including Sateesh Seth, Gautam Doshi, and Amitabh Jhunjhunwala.
Filed before a special court at Rouse Avenue, this complaint expands upon a main chargesheet submitted in March. The ED’s investigation highlighted a pattern of misusing fresh credit facilities.
- New credit facilities were repeatedly and fraudulently applied.
- The purpose was to repay, rotate, and evergreen earlier domestic and foreign liabilities.
- This occurred instead of using funds for their sanctioned end-use.
Funds in this case were allegedly layered through a complex network including group companies, conduit entities, multiple bank accounts, and liquid mutual funds. These diverted funds were reportedly used to service External Commercial Borrowings (ECCB) and Foreign Currency Convertible Bonds (FCCB).
- Loan proceeds were purportedly diverted to other group companies, such as Reliance Infrastructure Limited and Reliance Capital Limited.
- Funds were also allegedly siphoned off to purchase personal assets for promoters outside India.
- Another reported misuse involved artificially inflating RCOM’s profits.
The total proceeds of crime in this specific case are quantified at a substantial Rs 40,185 crore. The ED has attached assets valued at Rs 8,078 crore and is seeking their confiscation.