Supreme Court Mandates Transparent Investigation into ADAG Banking Fraud Allegations
The Supreme Court of India issued a significant directive on Wednesday, compelling the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) to undertake a fair, prompt, and dispassionate investigation into allegations of massive banking and corporate fraud linked to the Anil Dhirubhai Ambani Group (ADAG), its chairman Anil Ambani, and associated companies. This move underscores the judiciary's commitment to ensuring accountability in high-profile financial cases.
Court Bench Seeks Fresh Status Reports Within Four Weeks
A bench comprising Chief Justice Surya Kant and Justices Joymalya Bagchi and Vipul M Pancholi has called for fresh status reports to be submitted within four weeks from both the CBI and the ED. These reports are expected to detail the progress made in the ongoing probe against Anil Ambani and the ADAG firms. The court emphasized the urgency of the matter, noting that the probe agencies have already taken considerable time to initiate their investigations.
Formation of SIT and Legal Proceedings
In a decisive step, the bench instructed the ED to constitute a Special Investigation Team (SIT) comprising senior officers to thoroughly investigate the ADAG and other entities involved. The court took cognizance of the appearances made by Anil Ambani and ADAG through their senior lawyers, Mukul Rohatgi and Shyam Divan, granting them a four-week window to file their responses to the Public Interest Litigation (PIL).
During the proceedings, Rohatgi opposed a submission that sought a court directive to prevent Ambani from fleeing the country. He assured the bench that Ambani would remain in India and would not leave without the court's permission. Solicitor General Tushar Mehta, representing the probe agencies, informed the court that various lookout circulars have been issued to ensure the concerned individuals do not exit the country, adding a layer of security to the investigation.
Background of the Case and PIL Allegations
The bench had previously asked the CBI and ED to file status reports in a sealed cover regarding this case. On November 18, notices were issued to the Centre, CBI, ED, Anil Ambani, and ADAG in response to the PIL. The court, however, granted them one final opportunity to appear and submit their responses, highlighting the gravity of the allegations.
The PIL, filed by EAS Sarma, accuses the Anil Ambani-led Reliance ADAG of systematic diversion of public funds, fabrication of financial statements, and institutional complicity across multiple entities. These serious charges have drawn national attention, with the Supreme Court's intervention aiming to ensure a transparent and unbiased investigation into the alleged fraud that has significant implications for India's banking and corporate sectors.
