Supreme Court Cracks Down in Anil Ambani Case: Orders SIT Probe into ₹40,000 Crore Bank Fraud

Published on: 05 Feb 2026 at 06:02 AM

Published by: Gill Bikram

Supreme Court Cracks Down in Anil Ambani Case: Orders SIT Probe into ₹40,000 Crore Bank Fraud

ED Tasked with Special Team as Court Slams Probe Delays and IBC Misuse

New Delhi, February 5, 2026: The Supreme Court delivered a major ruling in the alleged ₹40,000 crore bank loan fraud linked to Reliance Communications (RCom) and the Anil Ambani group. A bench led by Chief Justice D.Y. Chandrachud questioned probe delays and directed the Enforcement Directorate (ED) to form a Special Investigation Team (SIT).

Ambani’s Assurance vs. Government Objections
During hearings, Anil Ambani’s lawyer Mukul Rohatgi assured the court that his client has no intention of fleeing India and won’t travel abroad without permission. However, Solicitor General Tushar Mehta sharply objected, noting past cases where similar promises preceded absconding. The government clarified a Lookout Circular (LOC) is already active against Ambani.

Court’s Key Observations

Probe Delays: The court expressed shock that despite a 2020 forensic audit, the CBI waited until 2025 to file an FIR.
Separate FIRs: The SIT must register distinct FIRs for frauds with each bank and act swiftly against guilty bank officials.
IBC Abuse: Concerns raised over Insolvency and Bankruptcy Code (IBC) misuse to grab assets at undervalued prices—e.g., a company with ₹47,000 crore debt sold assets for just ₹430 crore, as noted by Prashant Bhushan.

Current Status
ED has seized 204 properties worth ₹12,012 crore. Former Reliance group director Puneet Garg is already in custody. The Supreme Court will oversee the probe and requires status reports from agencies within four weeks.