Guwahati: In a significant escalation of the financial and legal troubles surrounding industrialist Anil Ambani, the Enforcement Directorate (ED) has provisionally attached his 17-storey luxury residence ‘Abode’ in Mumbai’s Pali Hill, valued at Rs 3,716 crore.
The action has been taken under the provisions of the Prevention of Money Laundering Act (PMLA) in connection with alleged bank loan fraud and diversion of funds linked to companies of the Reliance ADA Group.
The attachment marks one of the highest-value personal properties to be provisionally seized in a corporate fraud investigation in recent years.
Officials indicated that the move follows ongoing investigations into financial transactions involving group entities, particularly telecom and financial services arms that defaulted on massive loan obligations.
After the 2005 split of the Reliance empire between Anil Ambani and his elder brother Mukesh Ambani, the younger Ambani took charge of businesses spanning telecom, infrastructure, power, financial services and entertainment. At its peak, the group’s flagship telecom arm, Reliance Communications (RCOM), was among India’s leading mobile service providers.
However, the telecom sector witnessed intense price wars following the entry of Reliance Jio in 2016. The aggressive tariff disruptions significantly eroded margins across the industry, pushing debt-laden players like RCOM into financial distress. RCOM eventually filed for insolvency proceedings, with lenders left grappling with substantial unpaid dues.
Apart from telecom, other group companies, including Reliance Infrastructure and Reliance Capital, also faced mounting debt pressures. Over time, several loan accounts were classified as non-performing assets (NPAs) by banks, and some were reportedly tagged as “fraud” following forensic audits and internal reviews.
Investigative agencies have alleged that loans running into tens of thousands of crores were availed from domestic banks and financial institutions. A portion of these funds, according to preliminary findings cited in public reports, is under scrutiny for possible diversion or irregular utilisation.
The Central Bureau of Investigation (CBI) registered cases relating to alleged cheating and criminal conspiracy, following which the ED initiated a parallel money laundering probe. The provisional attachment of the Pali Hill residence is part of efforts to secure assets believed to be linked to proceeds of crime, pending adjudication by the designated authority under PMLA.