CBI raids Reliance telecom in massive Rs 115 Cr SBI fraud probe

The Central Bureau of Investigation (CBI) has launched a probe into an alleged financial fraud involving Reliance Telecom Ltd. , registering an FIR against the company and its former directors, Satish Seth and Gautam B. Doshi , officials said on Thursday. The case pertains to a loss of Rs 114.98 crore suffered by State Bank of India (SBI) .

According to a CBI spokesperson, the agency has booked the accused for conspiracy, cheating under the Indian Penal Code (IPC), criminal misconduct, and abuse of official position under the Prevention of Corruption Act, 1988 . The action follows a complaint from SBI , which claimed it had been defrauded, resulting in a significant financial loss.

The loan in question was part of a Rs 735 crore term loan facility sanctioned by a consortium of 11 banks , with SBI as a leading member. Reliance Telecom, which had previously expanded aggressively in the telecom sector, allegedly misused the sanctioned funds , prompting the investigation.

In connection with the probe, the CBI conducted searches in Mumbai at the residences of Seth and Doshi , as well as the registered office of Reliance Telecom Ltd. Officials reportedly recovered various documents linked to the loan transactions , which will form part of the ongoing investigation.

This case highlights continuing concerns about corporate governance and financial irregularities in the telecom sector, which has faced multiple controversies over the past two decades, including loan defaults and disputes over regulatory compliance.

The CBI investigation is ongoing, and further actions, including possible arrests or summons, are expected as the agency examines the recovered evidence.