The business told stock exchanges on Sunday that the Bank of India (BOI) has also labelled the loan accounts of Reliance Communications (RCom), its promoter Anil Ambani, and Reliance Telecom as fraudulent, days after the State Bank of India (SBI) had declared the company’s accounts to be “fraud.”
The bank claims that loan terms have been broken and money has been diverted. A firm stock exchange filing states that on August 22, RCom got a letter from BOI dated August 8.
The BOI stated in its notice that RCom, Anil Dhirajlal Ambani, and Manjari Ashik Kacker’s loan accounts had been marked as “fraud” for an unpaid loan of Rs 724.78 crore.
The bank reported that the account became non-performing (NPA) in June 2017 and that the guarantors and borrowers had not paid back the debt in spite of numerous follow-ups.
“On June 30, 2017, the borrower’s account became non-performing, with an outstanding balance of Rs 724.78 crores. According to the company’s filing, the BOI stated in its letter that “the Bank has been following up with the Borrowers and Guarantors for repayment of dues, but they have failed and neglected to make repayment of the dues.”
Reliance Telecom Limited received a similar notification from BOI, which deemed its account and the accounts of its directors Satheesh Seth and Grace Thomas to be “fraud.”
This has to do with a Rs 51.77 crore default. Prakash Shenoy, Dagdulal Kastruchand Jain, and Gautam Bhailal Doshi are among the other people named in relation to the case.
A total of Rs 31,580 crore had been borrowed by RCom and its affiliates from several banks.
In the meantime, the Central Bureau of Investigation (CBI) has stepped up its investigation after officials searched two locations in Mumbai on Saturday, including Anil Ambani’s home and RCom’s office building.
After SBI filed a complaint, a new case of suspected bank fraud totaling Rs 2,929.05 crore was filed on August 21. This action was connected to the case.
RCom, Anil Ambani, anonymous governmental employees, and others were charged in the complaint with defrauding the bank by fabricating information in order to obtain loans.
According to investigators, the borrowed money was misappropriated via a number of avenues, including inter-corporate deposits and loan transactions.
Inconsistent practices have also been identified by the CBI, such as the abuse of sales invoice financing, Reliance Infratel’s discounting of RCom bills, the transfer of funds through group entities, and the write-off of capital advances made to Netizen Engineering Pvt. Ltd., another business that is a part of the Reliance ADA Group.
Ambani’s spokeswoman, meanwhile, stated in a statement that he will properly defend himself and that the accusations are unfounded.
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