The Enforcement Directorate (ED) knocked on the doors of New Delhi on Monday and hauled in Ashok Kumar Pal, chief financial officer of Reliance Power and a close aide to industrialist Anil Ambani. Pal faces charges over a fake bank guarantee and a broader money‑laundering probe tied to the ADA Group.
Pal was first questioned at the ED’s Delhi office before being taken into custody. He is now slated to appear before a judge in the money‑laundering case that links as many as ₹17,000 crore to the former Anil Ambani‑led ADA Group and its banks, such as Yes Bank.
The case also fuels an ongoing legal battle over loans that the State Bank of India (SBI) has labeled “fraudulent.” In an order released Tuesday, the Bombay High Court agreed with SBI’s decision. Justices Revati Mohite Dere and Neela Gokhale dismissed Ambani’s petition that argued the bank’s ruling was invalid because he had received no personal hearing or all the documents. The court said RBI rules let borrowers submit written representations but do not grant a hearing, so Ambani’s claim fell short.
SBI had first flagged the loan accounts of Reliance Communications and its promoter, Anil Ambani, as fraudulent on June 13. The bank cited fund diversion, covenant breaches and related‑party transactions, and has already handed the matter over to the Central Bureau of Investigation for further action.
Bank of Baroda also declared the same accounts “fraud” this month, echoing the state bank’s stance. The court’s decision confirms that the classification of these loans as fraudulent stands up in law.
These developments keep the spotlight on Ambani’s businesses and the former top executives of the ADA Group as authorities pursue a high‑profile financial scandal in India.
Source: ianslive
Stay informed on all the latest news, real-time breaking news updates, and follow all the important headlines in world News on Latest NewsX. Follow us on social media Facebook, Twitter(X), Gettr and subscribe our Youtube Channel.
