Anil Ambani to Review Sebi Order Imposing Penalty and Ban

New Delhi: Anil Ambani is currently reviewing a recent Sebi order that imposed a monetary penalty and banned him from participating in the securities market for five years. The order is related to an alleged fund diversion case. According to his spokesperson, he will take appropriate next steps based on legal advice.

In response to the ruling on August 22, which prohibited Ambani and 24 others from engaging in the capital market, his spokesperson stated, “Mr Ambani is reviewing the final order dated August 22, 2024 passed by Sebi in the said matter, and will take appropriate next steps as legally advised.”

Sebi had imposed a penalty of Rs 25 crore on Ambani, accusing him of orchestrating a scheme to “siphon off” funds from Reliance Home Finance, a publicly traded subsidiary of the Reliance Group conglomerate where he serves as chairman. The ban prevents him and others from participating in any direct or indirect transactions related to buying, selling, or dealing in securities.

Ambani had resigned from the boards of Reliance Infrastructure Ltd and Reliance Power Ltd following Sebi’s interim order in February 2022, which was related to matters concerning Reliance Home Finance Ltd, as stated by the spokesperson.

Reliance Infrastructure Ltd clarified in a statement that it was not part of the proceedings before Sebi and that the recent order has no impact on the company’s business and affairs. Similarly, Reliance Power released a statement confirming that Ambani had resigned in 2022 and that the Sebi order does not affect the company.

Sebi’s order on August 22 alleged that a deceptive scheme was used to divert funds from Reliance Home Finance. The regulator claimed that funds were provided as loans to borrowers with poor credit, most of whom had connections to the company’s promoters.

(With inputs from PTI)