The Supreme Court has refused to entertain Anil Ambani’s plea challenging the classification of Reliance Communications group loan accounts as “fraud,” directing him instead to pursue remedies before the civil court where the matter is already pending. The bench cited serious allegations of siphoning and diversion of thousands of crores of public money, making clear it would not intervene at this stage.
The case stems from a forensic audit report in October 2020 that flagged alleged irregularities of around ₹31,580 crore across Anil Dhirubhai Ambani Group (ADAG) entities. Based on this, banks declared Ambani a “fraud” borrower in September 2025. Ambani’s counsel argued that the audit was invalid since it was not prepared by a qualified chartered accountant, claiming this amounted to a “civil death” by cutting off access to finance. However, the Supreme Court noted that the Bombay High Court had already examined the issue and found substantial compliance with regulatory requirements.
The bench, led by Chief Justice Surya Kant, stressed that objections about the auditor’s qualifications and other technical points must be raised in the civil suit, not before the apex court. It also rejected requests for a fresh forensic audit, stating that banks are best placed to decide who should conduct audits. Ambani expressed willingness to explore a settlement with banks, but the court clarified it was not expressing any opinion on that proposal.
The ruling comes amid intensifying investigations into alleged large-scale bank fraud involving ADAG companies. The CBI has alleged a loss of over ₹2,200 crore linked to loans taken by Reliance Communications, claiming funds were diverted through fictitious transactions. The Enforcement Directorate recently arrested two former group executives in a money laundering probe tied to Reliance Home Finance and Reliance Commercial Finance. In parallel, the Supreme Court is monitoring a broader probe into alleged irregularities exceeding ₹40,000 crore involving ADAG entities.