The State Bank of India (SBI) has officially classified Reliance Communications (RCom) and its promoter Anil D. Ambani as “fraud,” Parliament was informed on Monday.
The classification was made on June 13, 2025, in line with RBI’s Master Directions on fraud risk and the bank’s internal policies.
Minister of State for Finance, Pankaj Chaudhary, stated in a written reply to the Lok Sabha that SBI is also preparing to lodge a complaint with the Central Bureau of Investigation (CBI). The bank notified the Reserve Bank of India (RBI) of the classification on June 24 and subsequently informed the Bombay Stock Exchange on July 1.
SBI’s credit exposure to RCom includes a fund-based principal outstanding of ₹2,227.64 crore and a non-fund-based bank guarantee of ₹786.52 crore, with accrued interest and expenses calculated since August 2016.
RCom is currently undergoing the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code, 2016. A resolution plan was filed with the National Company Law Tribunal (NCLT), Mumbai in March 2020, awaiting approval.
Separately, SBI has also initiated a personal insolvency process against Ambani, which is pending before the NCLT.
Previously, the bank had marked the account as fraudulent in November 2020 and filed a complaint in January 2021. However, a Delhi High Court “status quo” order halted further action. Following a March 2023 Supreme Court ruling mandating borrower representation before fraud classification, SBI reversed its action in September 2023. After complying with updated RBI directives issued in July 2024, the bank reclassified the account as fraud.
In additional updates, the government clarified that there is no current proposal to waive agricultural loans. It also highlighted the success of LIC’s Bima Sakhi scheme, under which over 2 lakh women agents received stipends and performance-based incentives, with ₹115 crore already disbursed in FY2025–26.