Anil Ambani has moved the Supreme Court challenging a Bombay High Court order, as per a report by PTI, that upheld the State Bank of India’s (SBI) decision to classify his personal accounts and those of Reliance Communications as fraud.
According to PTI, the matter is yet to be listed for hearing. The financialexpress.com could not independently verify the details.
Bombay HC rejected Anil Ambani’s plea
The High Court had on October 3 dismissed Ambani’s plea challenging the SBI decision and said there was no merit in the plea. The SBI had earlier this year classified the accounts as fraud, alleging misappropriation of funds by entering into transactions that violated the terms of loans extended by it.
According to PTI, Ambani moved the HC, arguing that the bank had not followed the principles of natural justice as it did not grant him a hearing. Certain documents, based on which the classification orders were passed, were not provided to him initially and were furnished only after six months, the petition claimed.
Multiple banks tagged RCom account as ‘fraud’
Apart from State Bank of India, other banks including IDBI Bank, Bank of Maharashtra, Central Bank of India, Bank of India and Bank of Baroda, among others, have also classified the account of Reliance Communications as ‘fraud’.
CBI searches Ambani-linked premises
The bank this year lodged a complaint with the Central Bureau of Investigation (CBI), which searched premises linked to Reliance Communications and Ambani’s residence. The CBI said it had registered a complaint after the State Bank of India claimed a loss of Rs 2,929.05 crore resulting from alleged misappropriation by Reliance Communications and Anil Ambani.
Share price of Anil Ambani Group stocks
The share price of Anil D. Ambani Group (ADAG) stocks has seen a significant decline on a YTD basis. Reliance Power has fallen 12.18%, while Reliance Infrastructure has declined 49.12% so far this year.
