India's Central Bureau of Investigation (CBI) has filed a criminal case against tycoon Anil Ambani, following a complaint from the State Bank of India (SBI) alleging fraud. The CBI has registered the case against Anil Ambani, Reliance Communications Ltd (RCOM), and other individuals. The country's largest bank, SBI, alleges that Ambani and his former telecom firm, Reliance Communications, misappropriated bank funds by engaging in transactions that violated loan terms.

SBI claims to have suffered a loss of ₹29.29 billion ($335.4 million) due to these actions. The complaint alleges a criminal conspiracy to misrepresent facts and secure credit facilities, as well as the misuse and diversion of loan funds.

The CBI has stated that SBI's complaint will undergo a thorough investigation. On Saturday, the agency conducted searches at premises linked to Reliance Communications and Ambani's residence after obtaining search warrants from a Mumbai court on Friday.

A spokesperson for Ambani has strongly denied all allegations and charges, asserting that he will defend himself accordingly. The spokesperson stated that the complaint concerns matters dating back more than 10 years when Ambani was a non-executive director with no involvement in the company's day-to-day management. The spokesperson also noted that SBI had already withdrawn proceedings against five other non-executive directors, questioning why Ambani was being singled out.

This legal action follows recent scrutiny by India's Enforcement Directorate (ED), which last month searched 35 locations connected to Reliance Group over allegations of money laundering and siphoning public funds. Furthermore, India's market regulator recently rejected Ambani's plea to settle charges related to investments in Yes Bank.

Anil Ambani was previously in the public eye seven years ago when an Indian politician accused him and Prime Minister Narendra Modi of dubious dealings related to the purchase of Rafale jets from France, allegations that both have denied. In December 2018, the Supreme Court dismissed calls for an investigation into the jet deal, stating there was no substantial evidence of commercial favoritism.

Companies controlled by Anil Ambani's Reliance Group have experienced significant value erosion in recent years as they struggle to repay debts and expand their businesses, with some facing bankruptcy. The current investigation adds further pressure on Ambani amid a broader crackdown on financial misconduct in India.