Bank of Baroda has classified Anil Ambani and his company Reliance Communications’ loan account as “fraud”.
Prior to this, State Bank of India and Bank of India declared RCom and its promoter’s loan account as “fraud”.
Reliance Communications (RCom) and its promoter, Anil Ambani’s loan accounts, have been declared as “fraud” by Bank of Baroda. The insolvent company in a statement ‘categorically’ refuted all allegations and charges and mentioned that it will explore legal remedies. Bank of Baroda is the third bank in over a month’s time that has declared RCom and its promoter Anil Ambani’s loan account as ‘fraud’.
“Reliance Communications Limited has received the aforementioned letter dated September 02, 2025 stating that Bank of Baroda has decided to classify the loan accounts of the company and promoter Anil Ambani as ‘Fraud’,” said the company.
Prior to this, the State Bank of India (SBI) and the Bank of India (BOI) reclassified the loan accounts of Anil Ambani’s bankrupt telecom firm RCom as “fraud”. SBI accused the company of diverting over ₹31,500 crore whereas BOI alleged that ₹725 crore, which the firm was supposed to use for spectrum payments, was transferred to fixed deposits.
RCom is undergoing the Corporate Insolvency Resolution Process under the Insolvency and Bankruptcy Code, 2016. The resolution plan was approved by the Committee of Creditors and filed with the National Company Law Tribunal (NCLT) in 2020. The insolvent firm is yet to receive NCLT’s approval.
The company said that the loans and credit facilities cited in the Bank of Baroda’s letter relate to the period before the initiation of the corporate insolvency resolution process. Under the IBC rules, these must be resolved either via a resolution plan or liquidation, the company added.
The development comes around a time when Anil Ambani and his insolvent firm have come under the regulatory scanner of various government watchdogs. The Enforcement Directorate had raided properties linked to Anil Ambani’s Reliance Group across Mumbai and Delhi under the Prevention of Money Laundering Act (PMLA). The enforcement agency in its initial investigation had found that loans worth around ₹3,000 crore sanctioned by the Yes Bank between 2017 and 2019 were allegedly moved to shell companies and other Reliance Group entities, the Economic Times had earlier reported.
