ED Raids Anil Ambani’s Firms

NEW DELHI The Enforcement Directorate (ED) on July 24 carried out multiple raids at over 35 premises, 50 companies and more than 25 people linked to Anil Ambani’s Reliance Group (RAAGA Companies), in connection with a money laundering probe related to the Rs 3,000 crore Yes Bank loan fraud case.

Subsequent to FIRs registered by the Central Bureau of Investigation, the ED started probing the offense of money laundering.

Other agencies and institutions also shared information with ED, such as The National Housing Bank, SEBI, National Financial Reporting Authority, and Bank of Baroda, according to reliable sources.

Preliminary investigation by ED has revealed a well-planned and thought-out scheme to divert or siphon off public money by cheating banks, shareholders, investors and other public institutions. The offense of bribing bank officials, including the Promoter of Yes Bank Limited, is also under scanner.

The regulator has found gross violations in Yes Bank loan approvals to RAAGA companies, such as Credit Approval Memorandums were back-dated, and investments were proposed without any due diligence or credit analysis in violation of the Bank’s Credit Policy, among other issues.

In violation of the loan terms, these loans were further diverted to many group companies and shell companies. (IANS)