Loan fraud case: Delhi court extends judicial custody of ex-Reliance Group officials till July 15

New Delhi, July 1 (IANS) A Delhi court on Wednesday extended the judicial custody of two former senior officials of the Anil Ambani-led Reliance Group — Amitabh Jhunjhunwala and Amit Bapna — till July 15 in connection with a money laundering probe linked to an alleged bank loan fraud case.

The two accused were produced before the Rouse Avenue Court through video conferencing on the expiry of their earlier judicial custody.

The court also posted the matter for July 9 for hearing on the question of taking cognisance of the prosecution complaint filed by the Enforcement Directorate (ED).

Jhunjhunwala and Bapna, close aides of industrialist Anil Ambani, were arrested by the ED in an ongoing investigation under the Prevention of Money Laundering Act (PMLA), based on multiple Enforcement Case Information Reports (ECIRs) registered based on cases filed by the Central Bureau of Investigation (CBI).

The case pertains to alleged financial irregularities involving group entities such as Reliance Home Finance Ltd (RHFL) and Reliance Commercial Finance Ltd (RCFL), where the two are suspected to have played key roles during their tenure.

Jhunjhunwala, who earlier served as Group Managing Director of the Reliance Group and Vice Chairman and Director of Reliance Capital Ltd, is alleged to have been among the key decision-makers in the functioning of RHFL and RCFL during the relevant period.

Bapna, who served as Chief Financial Officer of Reliance Capital Limited and Director of RHFL, is also reported to have been involved in financial decisions under scrutiny.

According to sources, the ED arrested the duo after finding their alleged involvement in the laundering of proceeds of crime linked to the suspected diversion and misuse of bank loan funds.

Meanwhile, the Anil Ambani-led Reliance Group had said that Jhunjhunwala and Bapna are no longer associated with the group and are not presently working with any of its companies.

In a statement, the Anil Dhirubhai Ambani Group had said Jhunjhunwala left in December 2019, while Bapna exited in September 2019, and that neither has any current association with group companies, including Reliance Infrastructure Limited and Reliance Power Limited.

–IANS

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