Supreme Court Demands Reports on Massive ADAG Fraud Probe

The Supreme Court has requested that the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) provide status reports on their investigations into a significant banking and corporate fraud involving the Anil Dhirubhai Ambani Group. The probe focuses on alleged diversion of funds and complicity of financial institutions.

The Supreme Court has ordered the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) to submit status reports within ten days on their investigations into a vast banking and corporate fraud associated with the Anil Dhirubhai Ambani Group (ADAG). The court's bench, led by Chief Justice Surya Kant, conveyed the directive while issuing new notices to Anil Ambani and ADAG, emphasizing the need for a court-supervised inquiry into the alleged financial misconduct.

Attorney Prashant Bhushan, representing the Public Interest Litigation (PIL) petitioner, argued that the magnitude of the alleged fraud, exceeding Rs 1.50 lakh crore, ranks it among the largest in India's history. Bhushan accused the accused entities of siphoning off funds via shell companies, with minimal repercussions due to oversight failures by financial institutions.

The bench highlighted the urgency of the situation, noting the necessity for responses from all parties and expressing concern about delays in investigations. A forensic audit by the State Bank of India identified multiple irregularities, yet the probe agencies have reportedly not addressed the involvement of bank officials, auditors, and regulators, raising questions about the comprehensiveness of the investigation.

(With inputs from agencies.)