Anil Ambani’s ADA Group Accused of Massive Fund Diversion.

Anil Ambani’s ADA Group Faces ₹41,921 Crore Fraud Allegations in Cobrapost Expose

• The Shell Company Network: How ADA Group Moved Funds Across Borders

• Luxury Assets & Fake Deals: The Stunning Methods Behind Alleged Fund Diversion

• Regulatory Failure: Why SEBI, RBI Didn’t Act Despite Early Red Flags

A Cobrapost investigation has accused Anil Ambani’s ADA Group of diverting ₹41,921 crore through a network of shell firms and offshore entities since 2006. The alleged fund movements involved loans, public offerings, and fake transactions used to acquire luxury assets abroad. The Reliance ADA Group has denied all allegations, calling the exposé a “malicious corporate conspiracy.” The case reignites debates on regulatory failure and corporate governance in India’s financial system.

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Cobrapost Exposes ₹41,921 Crore Financial Fraud Allegations Against Anil Ambani’s ADA Group

A massive financial fraud investigation has shaken India’s corporate sector. Cobrapost alleges Anil Ambani’s ADA Group siphoned ₹28,874 crore since 2006. The funds were reportedly raised through bank loans and public offerings. An additional ₹13,048 crore was allegedly routed through offshore entities. This brings total alleged misappropriation to ₹41,921.6 crore.

The Reliance ADA Group has vehemently denied all allegations. They called the expose a “malicious corporate hit job.” Their statement accused Cobrapost of recycling old allegations. They threatened legal action against the investigation platform.

Shell Companies and Offshore Routes Used for Fund Diversion

Cobrapost’s report identifies dozens of shell companies used. These were spread across Singapore, Cyprus and Mauritius. British Virgin Islands entities also featured prominently. The investigation claims six listed ADA companies were utilized.

Reliance Infrastructure and Reliance Capital were key players. Reliance Communications also featured significantly in the report. Funds were allegedly diverted through loans and debentures. Preference share issues to related entities completed the cycle.

The method involved writing off intermediary companies. Mergers were used to erase financial trails completely. This created an complex web of transactions. The ultimate beneficiary was Reliance Innoventure Pvt Ltd.

Luxury Yacht Purchase Highlights Elaborate Money Routing

One striking example involves a luxury yacht purchase. Cobrapost details a 2008 transaction worth $20 million. Reliance Communications funds were allegedly redirected cleverly. A fake handset supply deal masked the real purpose.

Reliance Transport & Travels served as one conduit. Gateway Net Trading acted as another intermediary. Jersey-based Ammolite Holdings finalized the yacht acquisition. The equity in Ammolite was later written off.

This pattern repeated across multiple transactions. CLE Pvt Ltd emerged as a major diversion vehicle. It handled ₹14,529.18 crore across ADA companies. Reliance Infrastructure contributed ₹10,049 crore alone.

Also Read: Mumbai Builder Cheats Senior Couple in ₹1.22 Crore Nair Mahal Fraud.

Regulatory Failure and Bank Complicity Alleged in Report

Cobrapost accuses multiple regulators of inaction. SEBI and RBI feature prominently in the criticism. Enforcement Directorate and CBI also face allegations. The report claims authorities failed to act decisively.

Banks allegedly turned blind eye for ten years. The 2013 RBI circular on wilful defaulters was ignored. ADA companies piled up NPAs without timely action. Lending institutions finally declared defaults very late.

The total debt exposure stands at ₹178,491 crore. Banks and investors lost ₹162,976 crore according to report. Investor losses are pegged at ₹100,000 crore. These figures highlight the scandal’s massive scale.

ADA Group’s Strong Rebuttal and Legal Threats

The Reliance ADA Group issued a strong counterstatement. They labeled Cobrapost a “defunct and discredited platform.” The group alleged a corporate conspiracy against them. Rivals seeking to acquire assets were blamed.

Aniruddha Bahal faced accusations of coercive tactics. The group threatened contempt and defamation actions. They emphasized that no court has found them guilty. All issues are sub judice according to their statement.

The Sprouts News Special Investigation Team notes serious implications. This case tests India’s corporate governance standards. Regulatory mechanisms face crucial examination. The outcome could redefine financial oversight.

Systemic Implications and Future Investigations

Cobrapost titles its report “The Lootwallahs: How Indian Business is Robbing Indians.” This is just Part I of their investigation series. Subsequent instalments promise deeper analysis. More corporate houses might face exposure.

The controversy highlights shell company misuse. Corporate governance standards need urgent review. Regulatory gaps require immediate addressing. Enforcement inertia demands corrective action.

Stakeholders and creditors are monitoring developments closely. Court responses will determine the investigation’s impact. The debate about financial oversight intensifies. India’s business landscape faces potential transformation.

This developing story requires careful observation. Sprouts News will provide updates as events unfold. The nation watches as corporate accountability faces its biggest test. Financial journalism’s role has never been more crucial.