Fraud Tag Explained: What Did Anil Ambani’s RCom Say About Bank of Baroda’s Move?

Anil Ambani Bank of Baroda-RCom Case: In a major move, Bank of Baroda has declared the loan accounts of Reliance Communications Ltd. (RCom) and its former director Anil Ambani as “fraud.” The decision relates to loans taken years before the company entered insolvency. 

However, RCom and Anil Ambani have both pushed back, calling the classification selective and unfair.

RCom’s Clarification

Reacting to the development, a Reliance Communications spokesperson told Republic Business, “The loans in question belong to the pre-CIRP period. Under the Insolvency and Bankruptcy Code, these matters can only be dealt with through the resolution plan or liquidation process. RCom continues to remain under the management of the resolution professional and enjoys legal protection against fresh suits or proceedings.”

The spokesperson underlined that the company’s insolvency process, which began in June 2019, is still ongoing under the supervision of its committee of creditors and resolution professional Anish Niranjan Nanavaty.

In simple terms, RCom insists that the loans flagged as fraud are already part of the insolvency process and cannot be singled out for new classification.

Also Read: How Anil Ambani’s RCom Went To Bankruptcy And Fraud Cases From Banks

Anil Ambani’s Stand

Anil Ambani, who resigned from RCom’s board in 2019, also denied any role in the alleged fraud. Through his spokesperson, Ambani clarified that he served only as a Non-Executive Director from 2006 until his resignation in 2019.

Additionally, he was never an Executive Director or Key Managerial Personnel (KMP), and has no role in the daily operations or decision-making of the company.

Ambani’s spokesperson added that the matter being raised dates back to 2013, more than 12 years ago.

“After such an inordinate delay, select lenders have chosen to initiate action in a staggered and selective manner, unfairly targeting Mr. Ambani,” the spokesperson told Republic Business.

Resolution Plan Still Pending

RCom also pointed to the fact that its resolution plan was unanimously approved by its lenders in March 2020, led by State Bank of India (SBI).

However, the plan is still awaiting final approval from the National Company Law Tribunal (NCLT) and has been pending before judicial forums, including the Supreme Court, for the past six years.

Ambani’s side has argued that lenders themselves have not completed the resolution process, yet are moving against him personally.

Wider Trouble for Anil Ambani

The fraud classification comes amid a broader investigation by the Enforcement Directorate (ED) into loans given to Anil Ambani group entities. The alleged fraud amount is pegged at nearly Rs 17,000 crore.

Earlier this year, SBI (June 2025) and Bank of India (August 2025) had also declared RCom’s loan accounts as fraud, both naming Anil Ambani in their reports. Bank of Baroda’s decision is the latest blow in a long-running saga.