Delhi court dismisses plea challenging arrest of Anil Ambani aide Ashok Pal

October 18, 2025

New Delhi: A Delhi court on Saturday dismissed a petition challenging the arrest of Ashok Kumar Pal, Chief Financial Officer (CFO) of Reliance Power Limited, a company owned by industrialist Anil Ambani.

The Patiala House Court rejected Pal’s plea that questioned the legality of his arrest by the Enforcement Directorate (ED), which had taken him into custody on October 11 in connection with a money laundering case linked to a fake bank guarantee allegedly issued on behalf of the Anil Dhirubhai Ambani (ADA) Group.

Allegations and Arrest

According to the ED, Pal was a key figure in the alleged diversion of company funds and the submission of fake bank guarantees worth over ₹68 crore to the Solar Energy Corporation of India (SECI) — purportedly to defraud the public sector undertaking.

Following his arrest, Pal resigned from his position as Reliance Power’s CFO. He remains in judicial custody as the investigation continues.

Broader Probe Linked to Yes Bank and ADA Group

The ED’s probe stems from a CBI FIR concerning financial irregularities involving Yes Bank and multiple ADA Group entities. The agency is investigating allegations that loans worth around ₹3,000 crore, disbursed by Yes Bank between 2017 and 2019, were misused.

Officials have suggested that the total exposure of Reliance Group companies in the case could reach ₹17,000 crore.

In July, the ED conducted searches at 35 locations linked to the Reliance Group, covering more than 50 companies and 25 individuals suspected of involvement.

SBI Tags Anil Ambani’s Accounts as ‘Fraud’

In a related development, the Bombay High Court recently upheld the State Bank of India’s (SBI) decision to classify the loan accounts of Anil Ambani and Reliance Communications (RCom) as “fraud”, deeming the bank’s move legally valid and well-reasoned.

Earlier on June 13, SBI had formally tagged RCom’s and Ambani’s accounts as fraudulent, citing fund diversion, covenant breaches, and related-party transactions. The bank has also approached the CBI seeking further investigation into the alleged irregularities.