The Enforcement Directorate has arrested two former senior executives of the Anil Ambani‑led Reliance Group in connection with an ongoing bank fraud and money laundering investigation, an ED official said on Thursday.
Amitabh Jhunjhunwala and Amit Bapna have been taken into custody under provisions of the Prevention of Money Laundering Act (PMLA) as part of a probe into alleged financial irregularities involving entities of the group.
The case relates to alleged money laundering linked to Reliance Home Finance Ltd and Reliance Commercial Finance Ltd, both of which were formerly part of Reliance Capital. Jhunjhunwala had served as vice chairman of Reliance Capital, which held these lending entities at the time. Bapna served as a director of RHFL.
According to officials, proceedings in the ED case continued late into the night, with the hearing extending until around 4:30 a.m. The agency sought custodial remand of the accused, and a court order on the ED's remand plea is expected after 10 a.m. today.
The arrests come amid an ongoing investigation into suspected diversion and misuse of loan funds, which is part of a broader money laundering probe against several Reliance Group entities. The ED has been examining transactions linked to bank loans extended to group companies and their subsequent utilisation. The money laundering case of the ED stems from FIRs filed by the Central Bureau of Investigation.
Further details are awaited pending the court's decision on the remand application.
Reliance Group said in a clarification that Amitabh Jhunjhunwala and Amit Bapna left the Group in September 2019 and December 2019, respectively, and they had no association with the Group thereafter, including Reliance Infrastructure Ltd. and Reliance Power Ltd.
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