The Enforcement Directorate (ED) has arrested Ashok Kumar Pal, the Chief Financial Officer (CFO) of Reliance Power, in connection with a money laundering case involving a fake bank guarantee of ₹68 crore. Pal was taken into custody on Friday night after being interrogated by the agency in Delhi. He will be produced before a special court where the ED will seek his remand for further interrogation.
The case originates from a November 2024 FIR filed by the Economic Offences Wing (EOW) of the Delhi Police. The FIR alleged the involvement of a company in issuing fake bank guarantees in exchange for an 8% commission. Reliance Group has stated that Reliance Power was a victim of fraud, forgery, and a cheating conspiracy, and that they had disclosed this information to the stock exchange on November 7, 2024.
The ED's investigation revealed that the fake bank guarantee was submitted to the Solar Energy Corporation of India Limited (SECI) on behalf of Reliance NU BESS Limited, a subsidiary of Reliance Power. The guarantee was purportedly issued by FirstRand Bank, Manila, Philippines, but was found to be forged.
The ED alleges that Pal played a crucial role in diverting corporate funds and submitting forged financial documents. As CFO, Pal was authorized by a board resolution to finalize, approve, and execute documents for the SECI bid. The ED claims that he conspired to submit the fake bank guarantee with the intent to defraud the public sector undertaking.
The ED's investigation also uncovered a scheme involving a Bhubaneswar-based company, Biswal Tradelink, which allegedly operated a racket for providing fake bank guarantees for business groups. The company allegedly used an email domain similar to that of the State Bank of India (SBI) to create the illusion of legitimacy. This fake domain was used to send forged communications to SECI. Preliminary investigations suggest the company also facilitated fake bills for commission and used multiple undisclosed bank accounts for suspicious transactions worth crores of rupees.
In August 2025, the ED conducted searches against the company and its promoters, arresting its Managing Director, Partha Sarathi Biswal. The ED sources indicated that the company was using an email domain -- s-bi.co.in -- similar to sbi.co.in to create a "facade" of genuineness that the communication was being sent by the State Bank of India (SBI). The fake domain was used to send "forged" communication to the SECI. The ED's preliminary investigation indicated that the company also facilitated "fake" bills for commission and used multiple "undisclosed" bank accounts. Suspicious transactions worth crores of rupees were done through these bank accounts.
The ED has been granted custody of Ashok Kumar Pal for two days and will produce him at the Patiala House Court in Delhi on Monday. The investigation is ongoing, with the ED continuing to probe the alleged money laundering and the roles of other individuals involved.
The case has brought scrutiny to the Anil Ambani-led Reliance Group, which has faced allegations of financial irregularities in the past. Anil Ambani was previously questioned by the ED in connection with loans extended to his group by Yes Bank under the leadership of Rana Kapoor. The Central Bureau of Investigation (CBI) has also filed chargesheets in corruption cases involving Rana Kapoor.
