The Central Bureau of Investigation (CBI) has booked Jai Anmol Ambani, son of industrialist Anil Ambani, along with Reliance Home Finance Ltd (RHFL) and others for allegedly cheating Union Bank of India to the tune of ₹228.06 crore. The action follows a complaint filed by Union Bank (formerly Andhra Bank) against the company and its former directors for fraudulent diversion of credit funds.
According to reports, CBI has also named Ravindra Sharad Sudhakar, another former director of the company, in the case. The agency’s First Information Report (FIR) alleges manipulation of accounts, criminal breach of trust, and misappropriation of funds borrowed under credit limits extended by the bank.
Forensic Audit Reveals Diversion of Loan Proceeds
The case originates from a ₹450-crore credit facility sanctioned by Union Bank’s Structured Credit Finance branch in Mumbai to Reliance Home Finance for business purposes. However, a forensic audit by Grant Thornton covering the period from April 2016 to June 2019 revealed large-scale fund diversion and financial irregularities.
The audit findings indicated that the company failed to adhere to repayment schedules, delayed servicing of interest obligations, and did not route sale proceeds through the designated bank account as required under lending conditions. The bank subsequently declared the account a non-performing asset (NPA) on September 30, 2019.
Allegations of Misuse and Criminal Breach of Trust
Union Bank’s complaint alleged that the accused, in their capacity as erstwhile promoters and directors, misused the borrowed funds for purposes unrelated to the stated objectives. The complaint further stated that the funds were diverted and siphoned off through manipulated accounting entries and non-transparent corporate structures.
“The accused persons committed fraudulent misappropriation of funds through manipulation of accounts and criminal breach of trust,” the bank claimed, as quoted by the report.
Prior Investigations into the Reliance Group
This is the first CBI case directly naming Jai Anmol Ambani, though the Ambani family has faced scrutiny in several ongoing investigations. Earlier, both Anil Ambani and Jai Ambani were mentioned in CBI and Enforcement Directorate (ED) probes concerning alleged financial misconduct in the Yes Bank–Reliance Capital transactions.
In those cases, the CBI alleged that Jai Ambani had influenced decision-making within Reliance Nippon Mutual Fund, where he reportedly held review meetings and exerted control over fund operations during his tenure as Executive Director of Reliance Capital and Reliance Nippon.
Expanding Financial Scrutiny on Anil Ambani Group
The latest CBI case deepens the financial and legal challenges confronting the Anil Ambani-led Reliance Group, already grappling with multiple debt default allegations and regulatory probes. In a separate development, Anil Ambani has also moved the Supreme Court against State Bank of India’s decision to classify Reliance Communications as “fraudulent” under Reserve Bank of India norms.
The new case adds to the mounting scrutiny of the group’s financial dealings at a time when enforcement agencies have intensified their focus on corporate loan frauds and fund diversion cases across the Indian banking system.
