Reliance Power shares, owned by Anil Ambani, have been hitting back-to-back lower circuits over the past three trading days—Friday, Monday, and Tuesday—with a 5% drop each day. The selloff has been driven by growing regulatory scrutiny of Ambani’s companies. However, today, the stock showed a modest rebound, trading at ₹45.80 after the three-day slump. It closed at ₹45.20 yesterday, marking a 1% increase.
On August 4 (Tuesday), Anil Ambani, chairman of the Reliance Group, appeared before the Enforcement Directorate (ED) for questioning in a money laundering case linked to multiple alleged bank loan frauds worth crores of rupees against his group companies. The ED is set to record the 66-year-old businessman’s statement under the Prevention of Money Laundering Act (PMLA). Ambani was summoned after the ED conducted searches at 35 premises of 50 companies and 25 individuals, including executives of his business group, in Mumbai on July 24.
According to a report by Times of India, Ambani’s questioning is expected to continue, and he may be called for another round of questioning in the coming days. Ambani has requested seven days to provide the necessary details and supporting documents.
The ED summoned the businessman following the July searches, which targeted 35 locations tied to 50 companies and 25 individuals. In a statement, Reliance Infrastructure clarified that the matter involved an over 10-year-old issue concerning the alleged diversion of ₹10,000 crore to an undisclosed related party, despite the company's financial disclosures indicating an exposure of around ₹6,500 crore.
In recent days, several stocks of companies within the Anil Ambani group have taken a hit. Reliance Home Finance Ltd. was the hardest hit, with its share price falling to ₹4.36, hitting a 5% lower circuit. As of 10:37 a.m., the stock remained stuck at the lower circuit. Reliance Power Ltd. followed closely, also hitting a 5% lower circuit and falling to ₹42.94. However, it later emerged from the lower circuit, trading 4.87% lower at ₹42.98 as of 10:40 a.m., compared to a 0.31% decline in the NSE Nifty 50 index. Reliance Infrastructure Ltd. also saw its shares hit a lower circuit.