The Enforcement Directorate (ED) on Friday arrested Gautam Doshi and Satish Seth, former top executives at Reliance Telecom and close associates of Anil Ambani, in connection with an ongoing money laundering investigation into Ambani's Reliance group entities.
Arrests and Court Proceedings
Doshi and Seth were taken into custody in Mumbai. While Doshi was brought to Delhi to be presented before a special court under the Prevention of Money Laundering Act (PMLA), Seth was hospitalized at JJ Hospital in Mumbai following his arrest. The ED stated, "Doctors treating the accused did not allow physical production before court. Hence, ED moved an application seeking permission to produce him via video conference." Subsequently, a Mumbai court granted ED custody of Seth for two days with transit remand, requiring him to be produced before a Delhi court on June 14.
Background of the Case
The ED's case against Ambani, his group entities, and associates is being handled by a special investigation team constituted at the agency's headquarters. Doshi and Seth, along with Amitabh Jhunjhunwala—who is currently in judicial custody—formed the core leadership team of Ambani. Doshi had previously been arrested in 2011 by the Central Bureau of Investigation (CBI) in the 2G spectrum scam case and spent seven months in jail before receiving bail.
Fresh FIR and Bank Fraud Allegations
In March, the CBI registered a fresh anti-corruption FIR against Seth and Doshi for an alleged bank fraud exceeding Rs 100 crore and conducted searches at their Mumbai premises. The agency also questioned the three executives based on a complaint filed by the State Bank of India (SBI), which served as the lead bank in a consortium of 11 banks that had extended loans to Reliance Telecom.
Roles of the Accused
Seth served as Managing Director of Ambani's Reliance Communications, Vice-Chairman of Reliance Infrastructure Ltd, and a board member of Reliance Telecom Ltd (RTL). Doshi was Group Managing Director and a board member of RTL. Jhunjhunwala, the first to be arrested by the ED, was also a Group Managing Director and served as Vice-Chairman of Reliance Capital.
Current Status of the Executives
In a statement to the Times of India, a spokesperson for Ambani clarified that the three former executives are no longer associated with the Reliance group. Jhunjhunwala, prior to his arrest, operated as an independent fund manager with bases in Dubai and Singapore. Seth was involved in real estate and software ventures. Doshi was engaged with a tax and mergers & acquisitions advisory firm and served on the boards of major companies, including Sterlite Industries, Sun Pharma, Suzlon Energy, and Piramal Enterprises, according to the spokesperson.
