Reliance Power, Reliance Infra shares hit lower circuit limits

Shares of Reliance Power and Reliance Infrastructure hit their respective lower circuit limits on Friday amid reports that the Enforcement Directorate has summoned Reliance Group Chairman Anil Ambani for questioning on August 5 in a money laundering case.

The stock of Reliance Power tumbled 5% to ₹50.21 -- its lower circuit limit -- on the BSE.

Shares of Reliance Infrastructure also dropped 5% to hit the lowest trading permissible limit for the day of ₹311.60.

The ED has summoned Reliance Group Chairman Anil Ambani for questioning on August 5 in a money laundering case linked to alleged bank loan fraud worth crores of rupees against his group companies, official sources said on Friday.

Ambani, 66, has been asked to depose at the ED headquarters in Delhi as the case has been registered here, the sources said.

Some executives of his group companies have also been summoned over the next few days.

The summons came after the federal agency conducted searches at 35 premises of 50 companies and 25 people, including executives of his business group, last week. The searches, launched on July 24, went on for three days.

The action pertains to alleged financial irregularities and collective loan "diversion" pegged at more than ₹17,000 crore by multiple group companies of Anil Ambani, including Reliance Infrastructure (R Infra).

A spokesperson for the Reliance Group, in a statement, said the allegation regarding the alleged diversion of ₹10,000 crore to an undisclosed party was a 10-year-old matter and the company had stated in its financial statements that its exposure was only around ₹6,500 crore.

"Through mandatory mediation proceedings conducted by a retired Supreme Court judge and the mediation award filed before the Hon'ble Bombay High Court, Reliance Infrastructure arrived at a settlement to recover its 100% exposure of ₹6,500 crore," it said.

The company added that Anil Ambani had not been on the Board of R Infra for more than three years (since March 2022).