SBI classifies Reliance Communications and Promoter Anil Ambani as "Fraud", to lodge complaint with CBI

State Bank of India has classified Reliance Communications along with promoter director Anil D Ambani as 'fraud' and is also in the process of complaining to the CBI, Parliament was informed on Monday.

SBI classifies RCom and Anil Ambani as fraud

The entities were classified as fraud on June 13, 2025, by the RBI's Master Directions on Fraud Risk Management and Bank's Board-approved Policy on Classification, Reporting & Management of Frauds, Minister of State for Finance Pankaj Chaudhary said in a written reply in the Lok Sabha.

"On June 24, 2025, the bank reported classification of fraud to RBI, and is also in the process of lodging complaint with CBI," he said.

As part of disclosure compliance, the Resolution Professional of RCom informed the Bombay Stock Exchange on July 1, 2025, about the fraud classification by the bank.

The credit exposure of SBI in Reliance Communications reportedly includes a fund-based principal outstanding amount of Rs 2,227.64 crore along with the accrued interest and expenses with effect from August 26, 2016 and a non-fund-based Bank Guarantee of Rs 786.52 crore, as stated by Pankaj Chaudhary.

Reliance Communications is undergoing the Corporate Insolvency Resolution Process under the Insolvency and Bankruptcy Code, 2016. 

The resolution plan was approved by the Committee of Creditors and filed with the National Company Law Tribunal (NCLT), Mumbai, on March 6, 2020, and NCLT approval is awaited.

The bank has also initiated the Personal Insolvency Resolution Process under IBC against Anil D Ambani, and the same is being heard by NCLT, Mumbai, Minister Chaudhary shared.

The bank had earlier classified the account and promoter Anil Ambani as 'fraud' on November 10, 2020 and complained to the CBI on January 5, 2021.

However, he said, the complaint was returned because of the 'status quo' order dated January 6, 2021, by the High Court, Delhi.

A Supreme Court judgement dated March 27, 2023, in the State Bank of India & Others Vs Rajesh Agarwal & Others case mandated that lenders provide borrowers with an opportunity to represent before classifying their accounts as fraud.

Accordingly, the fraud classification in the account was reversed by the SBI on September 2, 2023.

However, the fraud classification process was re-run, and the account was again classified as 'fraud' after following the process according to the RBI circular dated July 15, 2024.

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