Reliance Nippon Funds Linked as CBI Probes Rs. 1,750 Crore AT1 Bond Deal in Anil Ambani, Rana Kapoor Fraud Case

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The Central Bureau of Investigation (CBI) has filed a chargesheet against industrialist Anil Ambani and former Yes Bank CEO Rana Kapoor in a Rs. 2,796 crore corruption case. The agency submitted the report before a special court in Mumbai on September 18, 2025.

The case relates to alleged fraudulent deals between Yes Bank and two companies of the ADA Group: Reliance Commercial Finance Ltd (RCFL) and Reliance Home Finance Ltd (RHFL). The CBI said these deals caused huge losses to Yes Bank while helping Ambani’s group and firms linked to Kapoor’s family.

According to the CBI, Yes Bank invested around Rs. 2,045 crore in RCFL and Rs. 2,965 crore in RHFL in 2017. These investments were cleared by Rana Kapoor, even though rating agencies had already warned about the weak financial position of ADA Group companies.

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Investigators said the money invested by Yes Bank did not stay in RCFL and RHFL. Instead, it moved through several layers of companies and was diverted for other uses. The CBI also found that, in return for these investments, ADA Group companies gave easy loans to Kapoor’s family firms at low interest rates.

Key People and Companies Named in Chargesheet

The chargesheet names not just Ambani and Kapoor, but also Kapoor’s wife Bindu Kapoor and daughters Radha and Roshni Kapoor. Several companies linked to both families, including Morgan Credits, Imagine Estate, Bliss House, and RAB Enterprises, are also listed. The case includes sections under the Indian Penal Code and the Prevention of Corruption Act.

The CBI said that Reliance Nippon Mutual Funds, under Ambani’s control, invested Rs. 1,160 crore in Morgan Credits, a Kapoor family company during 2017-18. It also bought ADA Group debentures worth Rs. 249.8 crore from Yes Bank and invested Rs. 1,750 crore in risky AT1 bonds of Yes Bank. These bonds could either be converted into equity or be written off completely if the bank faced a crisis.

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The agency has alleged that this entire arrangement was a conspiracy that led to a wrongful loss of Rs. 2,796.77 crore to Yes Bank. At the same time, ADA Group firms and Kapoor’s family companies made unlawful gains.

The case is one of the biggest financial fraud cases in recent years. It highlights serious failures in banking checks and raises questions about corporate governance and the handling of public money. With the matter set to be heard by the courts, the case is expected to attract complete attention of the financial sector and the public.