Anil Ambani has strongly refuted allegations that his loan accounts are fraudulent, after Bank of India (BoI) classified the loan accounts of Reliance Communications (RCom), Anil Ambani himself, and certain other individuals as "Fraud". This action by BoI follows a similar move by the State Bank of India (SBI) in June.

According to a regulatory filing by Reliance Communications, the company received a letter dated August 8, 2025, from Bank of India, which communicated the bank's decision to classify the loan accounts as fraudulent. The classification also includes Manjari Ashok Kacker, a former director of the company. Additionally, Reliance Telecom Ltd (RTL), a subsidiary of RCom, has also had its loan accounts classified as fraudulent, along with Grace Thomas, a former director of RTL, and other individuals.

Anil Ambani's spokesperson issued a statement vehemently denying all allegations and charges, asserting that he will defend himself against these claims. The spokesperson emphasized that Ambani served only as a Non-Executive Director on the Board of RCom and resigned from this position in 2019, over six years ago. The statement stressed that Ambani had no role in the day-to-day management of the company.

The spokesperson further stated that the complaint filed by SBI pertains to matters dating back more than 10 years. At that time, Ambani was a non-executive director with no involvement in the company's daily operations. The spokesperson also pointed out that SBI had already withdrawn proceedings against five other non-executive directors, suggesting that Ambani is being "selectively singled out".

Bank of India had sanctioned a loan of ₹700 crore to RCom in August 2016 for capital and operational expenditure and to repay existing liabilities. However, the bank alleges that half of the amount disbursed in October 2016 was invested in a fixed deposit, violating the terms of the sanction. BoI stated that RCom's account turned into a nonperforming asset on June 30, 2017, with an outstanding amount of ₹724.78 crore. The bank stated that they have been pursuing the borrowers and guarantors for repayment but have not received the dues.

Following SBI's complaint, the Central Bureau of Investigation (CBI) conducted searches on premises linked to RCom and Anil Ambani's residence. The CBI has registered a case based on SBI's claim of a loss of ₹2,929.05 crore due to alleged misappropriation by RCom and Ambani.

Under banking regulations, once an account is declared fraudulent, it must be reported to enforcement agencies for criminal action. The borrower is also barred from accessing fresh finance from banks and regulated institutions for five years.

Reliance Communications is currently undergoing insolvency and bankruptcy proceedings and is being managed under the supervision of a Committee of Creditors led by SBI and overseen by a Resolution Professional.