35 Raids, 50 Firms, Rs 3,000 Crore: ED’s Big Move Against Anil Ambani’s Business Empire

The Enforcement Directorate (ED) has launched a major crackdown on companies linked to Anil Ambani, following a preliminary investigation into an alleged Rs 3,000 crore loan diversion from Yes Bank between 2017 and 2019.

According to the ED, this illegal diversion of funds was part of a well-planned scheme to siphon off public money by misleading banks, shareholders, investors, and financial institutions. The investigation reveals that just before the loans were approved, the promoters of Yes Bank received funds in their own group entities — raising serious concerns of bribery and corruption.

The ED's action follows FIRs filed by the Central Bureau of Investigation (CBI), and inputs from other regulatory bodies such as the National Housing Bank, SEBI, the National Financial Reporting Authority (NFRA), and Bank of Baroda.

The case involves loans given to RAAGA companies (part of the Reliance ADA Group), where ED has found several violations. These include back-dated approval documents, missing credit analysis, and disbursal of loans without proper documentation or due diligence. Many of the borrowing entities had weak financials, shared common addresses and directors, and were suspected shell companies.

Focus on Reliance ADAG Firms
Some loans were even disbursed on the same day as application or even before formal sanction, pointing to serious lapses. There’s also evidence of “evergreening”, a practice where fresh loans are issued to repay old ones, masking defaults.

One focus area is Reliance Home Finance Limited (RHFL), where SEBI flagged a dramatic rise in corporate loans from Rs 3,742 crore in FY18 to Rs 8,670 crore in FY19. ED is now probing irregular approvals and violations in loan processes at RHFL.

 

35 Locations, 50 Companies Raided
Today, ED carried out a large-scale search operation under the Prevention of Money Laundering Act (PMLA), covering over 35 locations, involving 50 companies, and over 25 individuals.

The investigation is ongoing as the ED continues to uncover links between Yes Bank officials, group companies, and financial irregularities related to Anil Ambani’s business empire.