Anil Ambani, the chairman of Reliance Group, is facing mounting troubles as Bank of Baroda has declared him and Reliance Communications (RCom) as fraudsters. This makes Bank of Baroda the third major lender to take this action, following the State Bank of India (SBI) and Bank of India (BOI). The declaration comes after RCom failed to repay a significant portion of the ₹2,462.50 crore credit lines extended by Bank of Baroda, with ₹1,656.07 crore remaining unpaid. The account has been classified as a non-performing asset (NPA) since June 2017.
The Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI) are already investigating multiple cases involving Ambani’s companies. In recent months, the ED raided over 35 locations linked to Reliance Group entities, while the CBI conducted searches at Ambani’s residence in Mumbai in connection with a ₹2,929 crore bank fraud case tied to SBI.
RCom has termed the allegations “baseless” and clarified that the case relates to a 12-year-old matter. The company spokesperson emphasized that Anil Ambani served only as a non-executive director between 2006 and 2019, with no role in daily operations. Reliance Power, another group company, also stated that Bank of Baroda’s move would not affect its trade operations or financial performance.
The declaration of fraud has significant legal and financial implications. Under banking laws, the borrower is barred from accessing fresh funds for five years once an account is declared fraudulent. With multiple lenders taking action against Ambani’s companies, the pressure on his corporate empire has intensified. Personal bankruptcy proceedings against Anil Ambani are also pending before the National Company Law Tribunal (NCLT) in Mumbai.
The latest action is another blow to Ambani’s business empire, which is now deeply entangled in debt, litigation, and regulatory scrutiny. RCom has been under insolvency proceedings since 2019, with total debts exceeding ₹40,000 crore. The developments have raised concerns about the future of Reliance Group and its ability to recover from the mounting troubles. As the investigations and legal proceedings continue, the outcome remains uncertain, and the fate of Ambani’s corporate empire hangs in the balance.