Reliance Power gets CBI notice in ₹715 crore PMLA case

Why Reliance Power is in focus

Reliance Power Ltd and its subsidiary Reliance CleanGen Limited have disclosed that they received a pre-cognizance notice from a Special Judge, CBI, New Delhi. The notice has been issued under Section 223 of the Bharatiya Nagarik Suraksha Sanhita (BNSS), 2023. The development is linked to a complaint filed by the Enforcement Directorate (ED) under the Prevention of Money Laundering Act (PMLA). Reliance Power said it is taking appropriate legal steps, while adding that the financial impact cannot be quantified at this stage. The case reference mentioned in the disclosure relates to the Reliance Home Finance Limited matter.

What a pre-cognizance notice means in this context

The company’s exchange filing describes the notice as “pre-cognizance”, issued by the Special Judge, CBI, New Delhi. The notice is under Section 223 of BNSS, 2023, which is the procedural framework referenced by the court in this stage. Reliance Power and Reliance CleanGen said they have been named among the proposed accused in the ED complaint. The disclosure indicates that the matter has moved from a broader investigation environment to a formal legal communication addressed to the entities. Reliance Power has not provided any estimate of the financial impact, stating it is currently unascertainable.

ED complaint and the alleged ₹715 crore PMLA amount

According to the disclosures, the ED complaint alleges money laundering violations of approximately ₹715 crore. Reliance Power and Reliance CleanGen have been named as proposed accused in relation to this alleged amount. The complaint refers to alleged violations under Sections 3 and 4 of the PMLA. The company has connected the matter to “Reliance Home Finance Limited & Others” in its filing. The central number in focus across the disclosures is the alleged amount of around ₹715 crore.

Attachment of properties worth ₹1,021 crore

A key data point cited is the ED’s provisional attachment of properties worth ₹1,021 crore. The attached assets include equity shares of Reliance Power held by Reliance Infrastructure. This attachment is referenced as part of the enforcement action linked to the broader set of proceedings. While the filing highlights the attachment value and what it includes, the company has not quantified what the downstream financial effect could be for Reliance Power at this stage.

Reliance Power’s response and legal next steps

Reliance Power told exchanges that it is taking steps to safeguard its interests as may be legally advised. The company also said the expected financial implication cannot be ascertained at this stage. The disclosure does not provide a timeline for the next hearing or the next procedural step, beyond the receipt of the pre-cognizance notice. It also does not indicate any operational shutdown or disruption linked to this notice. The company’s position, as stated, is focused on legal response rather than operational changes.

CBI search and seizure activity referenced in results notes

Separately, Reliance Power stated in the notes to its financial results that the CBI conducted search and seizure operations during and after the quarter. These actions were conducted at the registered offices of Reliance Power and Reliance Cleangen Ltd. The company linked these searches to transactions involving Reliance Commercial Finance Ltd and Reliance Home Finance Ltd. Reliance Power said it fully cooperated with the investigation. It also stated that the searches had no impact on the group’s business operations. In another disclosure, it said the CBI concluded a search and seizure operation at its registered office concerning those transactions.

Another ED chargesheet: alleged fake bank guarantee of ₹68.2 crore

Reliance Power shares have also been reacting to a separate ED action mentioned in the provided information: a chargesheet in a money-laundering case linked to an alleged fake bank guarantee. The alleged bank guarantee amount is cited as ₹68 crore and ₹68.2 crore in different references. The allegation is that the fake bank guarantee was used to secure a tender from the Solar Energy Corporation of India (SECI). This chargesheet is described as a supplementary chargesheet. The information also states that allegations are yet to undergo judicial scrutiny.

Entities and individuals named in the fake bank guarantee matter

The provided details list several individuals and entities named in the ED chargesheet related to the alleged fake bank guarantee. These include former Reliance Power CFO Ashok Kumar Pal, subsidiaries Reliance NU BESS Ltd and Rosa Power Supply Company Ltd, and other named persons and entities including Punit Narendra Garg, consultant Amar Nath Dutta, Biothane Chemicals Pvt Ltd, Ravinder Pal Singh Chadha, and Manoj Bhaiyasaheb Pongde. An earlier filing had named Biswal Tradelink Pvt Ltd and its managing director Patha Sarathi Biswal as a “shell” company and key person respectively.

Reliance Power, in a regulatory filing referenced in the provided information, said its subsidiaries and employees acted bona fide. It also stated they were victims of fraud and forgery allegedly carried out by external third parties. The company emphasised that it has not been found guilty and that it would get an opportunity to present facts in court. It also stated that the filing does not impact normal business operations.

Other executives and companies cited as named in a chargesheet

The provided material also references three executives: Amitabh Jhunjhunwala (Group Managing Director of the Reliance ADA Group), Amit Bapna (CFO of Reliance Commercial Finance), and Ramesh Shenoy (Company Secretary of Reliance Infrastructure Ltd). It further lists eight companies named in a chargesheet: Reliance Power Ltd., Big Flicks Pvt. Ltd., Reliance Big Entertainment Pvt. Ltd., Reliance Communications Ltd., Kunjbihari Developers Pvt. Ltd., Reliance Venture Asset Management Pvt. Ltd., Reliance Broadcast Network Ltd., and Reliance Telecom Ltd.

Stock move and market snapshot cited

The market snapshot in the provided information says shares of Reliance Power and Reliance Infrastructure were in focus after both disclosed receiving pre-cognizance notices from a Special Judge, CBI, New Delhi. It also cites that Reliance Power shares fell as much as 4.5% on Monday to ₹36.01 on the BSE. The move is described as extending a months-long slide following the ED’s chargesheet in the alleged fake bank guarantee matter.

Key facts at a glance

What investors typically track next

Two separate threads are in focus based on the information provided: the ₹715 crore PMLA complaint where Reliance Power and Reliance CleanGen are proposed accused, and the alleged fake bank guarantee case where the ED has filed a supplementary chargesheet. Investors usually watch for further court directions following a pre-cognizance notice, and for updates that clarify how proceedings evolve. Reliance Power has stated the financial implication cannot be ascertained at this stage. Any future disclosures, including additional filings or court updates, would be the primary source for confirming next steps.

Conclusion

Reliance Power and Reliance CleanGen have received a pre-cognizance notice under BNSS 2023 tied to an ED complaint alleging around ₹715 crore in PMLA violations linked to the Reliance Home Finance matter. The disclosures also reference the ED’s provisional attachment of properties worth ₹1,021 crore and a separate chargesheet linked to an alleged fake bank guarantee of about ₹68.2 crore used for a SECI tender. Reliance Power has said it is pursuing legal steps, cannot quantify financial impact at this stage, and that business operations were not impacted by the referenced searches. The next confirmed triggers for the market will be further court proceedings and subsequent regulatory disclosures by the companies involved.