CBI files FIR in LIC Investment Fraud against Reliance Capital

The Central Bureau of Investigation (CBI) has registered an FIR on the basis of a written complaint received from Life Insurance Corporation of India (LIC) against M/s Reliance Capital Limited (RCAP), Mumbai, Anil D. Ambani, former Chairman of RCAP, Satish Seth, Group Managing Director of Reliance Anil Dhirubhai Ambani Group (ADA Group), unknown public servants and others.
It is alleged by the LIC that during the period from 12.04.2012 to 09.03.2018, LIC had subscribed to 5 Non-Convertible Debentures (NCDs) aggregating to Rs. 3,900 crores issued by RCAP for general corporate purposes, funding requirements and refinancing of existing debt. It is alleged by the LIC that the accused persons entered a criminal conspiracy and committed offences of cheating, criminal breach of trust, criminal misconduct, diversion / misappropriation of funds and falsification of accounts, thereby causing wrongful loss to the tune of Rs. 2,684.57 crore to LIC and corresponding wrongful gain to themselves and other beneficiaries, by dishonestly inducing LIC to invest in RCAP through misrepresentation and thereafter fraudulently diverting the said funds.
According to CBI statement, investigation has been taken up to identify the role of all persons involved including public servants and private individuals, examine the criminal conspiracy and to trace the end-use / diversion of invested funds.
It may be recalled that CBI has earlier registered 08 FIRs against Reliance Communications Ltd. (RCom), Reliance Capital Ltd. (RCAP), Reliance Home Finance Ltd. (RHFL), Reliance Commercial Finance Ltd. (RCFL) and Reliance Telecom Ltd. (RTL) on complaints received from various Public Sector Banks, EPFO and LIC. In these cases, CBI has so far filed 06 charge-sheets and arrested 07 accused persons. These cases are under investigation which are being monitored by the Supreme Court. CBI remains committed to conduct a comprehensive and expeditious investigation.

(Freelance Journalist)