Anil Ambani reviewing securities market ban, to take appropriate steps

Anil Ambani reviewing securities market ban, to take appropriate steps

by

Anil Ambani, the chairman of Reliance Group, is examining “appropriate” options in response to the Securities and Exchange Board of India’s (Sebi) exclusion from the stock market and Rs 25-crore penalties for allegedly diverting funds from Reliance Capital’s former subsidiary Reliance Home Finance (RHFL).

A representative for Ambani issued a statement stating that he had resigned from the boards of Reliance Power and Reliance Infrastructure by the February 11, 2022, Sebi interim order.

“Ambani is reviewing the final order dated August 22 passed by Sebi in the matter, and will take appropriate steps as legally advised,” the statement said.

Reliance Infrastructure made a specific declaration stating that the company was not a notice or party to the Sebi proceedings in which the order was made.

“No directions are given against Reliance Infrastructure. Anil Ambani had resigned from the board of directors of Reliance Infrastructure under the interim order dated February 11, 2022, passed by Sebi in the same proceedings,” the statement said.
“Therefore, the order dated August 22, 2024, passed by Sebi has no bearing whatsoever on the business and affairs of Reliance Infrastructure,” the statement said.

Reliance Power made the same claim, claiming it was neither a notice nor a party to the Sebi proceedings where the order was made.

“No directions are given in the order against Reliance Power. Anil Ambani had resigned from the board of Reliance Power under the interim order dated February 11, 2022, passed by the Sebi in the same proceedings. Therefore, the order dated August 22 passed by the Sebi has no bearing whatsoever on the business and affairs of Reliance Power,” the statement said.

The Sebi levied a penalty of Rs 624 crore on August 22 against 27 persons and organisations, including Ambani, his group companies, and their former directors, for allegedly embezzling money from RHFL.

The Sebi imposed a five-year ban on Ambani and 24 other individuals from accessing the securities market and holding prominent positions in any listed company or its affiliates on August 22.

Leave a Comment