Businessman Anil Ambani has issued a vehement denial after SBI and Bank of India tagged Reliance Communications and its former director as ‘frauds’. The beleaguered businessman insisted through a statement on Sunday that there was no merit to the allegations and indicated plans to pursue legal remedies. Both banks have accused him of fraudulent activities — citing the alleged the diversion of loans and violation of sanction terms in 2016. The remarks also came a day after the CBI searched premises linked to Reliance Communications and his residence.

“Anil Ambani served only as a Non-Executive Director on the Board of RCom and resigned from this position in 2019, over six years ago. He had no role whatsoever in the day-to-day operations or decision-making of the company. However, Ambani is being selectively singled out…Anil Ambani categorically denies all allegations and charges and shall pursue remedies available to him in accordance with legal advice.,” a spokesperson said.

The State Bank of India has claimed a loss of Rs 2,929.05 crore due to alleged misappropriation by RCom and Anil Ambani. Bank of India has also levelled fraud allegations over a Rs 724.78 crore loan account — highlighting issues like investing sanctioned loan money into fixed deposits that were against loan terms.

‘Selective’ proceedings against Ambani

“Bank of India has classified RCom’s account without following the principles of natural justice. While a Show Cause Notice was issued to Ambani, the requisite documents were not furnished to him. Bank of India further deprived him of the opportunity of a personal hearing in the matter. These actions are contrary to the RBI regulations issued in July 2024, as well as to well-established law and the judgments of the Hon’ble Supreme Court and the Hon’ble Bombay High Court,” he said through a spokesperson on Sunday.

The statement also accused the state-owned bank of “selectively” continuing proceedings against Ambani. It noted that Bank of India had issued show cause notice to 13 Directors and Key Managerial Personnel (KMPs) of RCom before unilaterally withdrawing the same against all others.

“It is a matter of record that RCom had a lender consortium comprising 14 banks. Astonishingly, after an inordinate lapse of more than 10 years, select lenders have now chosen to initiate proceedings in a staggered and selective manner,” the spokesperson added.