CBI Books Reliance Capital, Anil Ambani in Alleged ₹2,684-Crore LIC Debenture Fraud Case

NEW DELHI — Reliance Group chairman Anil Ambani has firmly denied any wrongdoing after the Central Bureau of Investigation (CBI) registered a fresh First Information Report (FIR) against him, Reliance Capital Limited (RCAP), and others over an alleged ₹2,684.57-crore fraud involving investments made by the Life Insurance Corporation of India (LIC).

The FIR was registered on the basis of a written complaint received from the state-owned insurer, naming RCAP, Ambani, former group managing director Satish Seth, unidentified public servants, and other unknown persons as accused.

According to the CBI, the allegations stem from transactions executed between April 12, 2012, and March 9, 2018.

During this period, LIC subscribed to five non-convertible debentures (NCDs) issued by RCAP, aggregating to ₹3,900 crore.

The investigating agency alleges that the accused persons "entered a criminal conspiracy" and committed a series of offences, including cheating, criminal breach of trust, criminal misconduct, falsification of accounts, and the diversion or misappropriation of funds.

The CBI’s preliminary findings suggest that the accused dishonestly induced LIC to invest in RCAP through "misrepresentation," and subsequently "fraudulently diverted the said funds."

This alleged sequence of events is said to have caused a wrongful loss of ₹2,684.57 crore to the public sector insurer, alongside a corresponding wrongful gain to the accused and other undisclosed beneficiaries.

In a swift rebuttal, a spokesperson for Anil Ambani issued a statement clarifying his role and distancing him from the operational decisions of the company during the period in question.

"The FIR registered by the CBI pertains to Reliance Capital Limited," the spokesperson stated.

"Ambani served as a Non-Executive Director and Chairman of the Board of Reliance Capital Limited from 2005 until November 2021, when the Reserve Bank of India superseded the Board of Directors of the company and appointed an Administrator."

The spokesperson further asserted, "Ambani denies any wrongdoing, whatsoever, and reserves all rights available to him in law."

This legal development adds another layer of complexity to the prolonged financial restructuring of the Reliance Anil Dhirubhai Ambani Group (ADAG). RCAP has been under the administration of a Reserve Bank of India (RBI)-appointed board since late 2021, following years of mounting debt, liquidity crises, and a formal insolvency resolution process.

Legal experts note that investigations involving "unidentified public servants" often indicate that the CBI is examining whether regulatory oversight or internal governance mechanisms were compromised to facilitate the alleged fund diversion.

As the CBI begins its formal probe, which will likely involve scrutinizing bank records, board resolutions, and communication trails from the 2012–2018 period, all named parties are expected to submit detailed responses to the investigating officers.
For LIC, which manages the retirement savings of millions of Indians, the case underscores the stringent scrutiny now applied to legacy corporate debt exposures, even as the insurer continues to aggressively expand its footprint in the country’s capital markets.