Reliance Power: Unraveling the Fake Bank Guarantee Scandal

The Enforcement Directorate has arrested three individuals, including former Reliance Power CFO Ashok Kumar Pal, in a money laundering probe linked to an alleged fake bank guarantee of Rs 68 crore. The case involves Biswal Tradelink issuing counterfeit guarantees for business groups at an 8% commission.

The Enforcement Directorate (ED) has made its third arrest in a major money laundering investigation tied to businessman Anil Ambani's Reliance Power. This follows allegations of a Rs 68 crore fake bank guarantee issued to the Solar Energy Corporation of India Limited (SECI).

Arrested on Thursday was Amar Nath Dutta, apprehended under the Prevention of Money Laundering Act. Earlier, former Reliance Power CFO Ashok Kumar Pal and Partha Sarathi Biswal from Odisha's Biswal Tradelink were taken into custody as part of the ongoing probe.

The guarantees were allegedly sourced from a non-existent FirstRand Bank branch in Manila, Philippines. Reliance Power claims it was defrauded, having lodged a criminal complaint against Biswal Tradelink with Delhi Police's Economic Offences Wing in late 2024.

(With inputs from agencies.)