Rcom urges SBI to withdraw the ‘fraud’ label against the firm, Anil Ambani

It is known that Anil Ambani’s lawyer urged the State Bank of India (SBI) to withdraw his decision classifying the telecommunications operator loaded with debt and his promoter and director Anil Ambani as “fraud.” The lawyer said the measure was “without giving Anil D. Ambani the opportunity to present his case.”

Once among the largest mobile services suppliers in India, Rcom is currently in the corporate insolvency resolution process (CIRP) under the insolvency and bankruptcy code (IBC), 2016. The Resolution Plan was approved by the Creditors Committee and is presented before the National Company Court (NCLT), Mumbai, on March 6, 2020.

In July, the Government informed Parliament that SBI had declared Rcom and Ambani as fraud entities on June 13, 2025, under RBI’s master instructions on fraud risk management and the policy approved by the Bank Board. The Minister of Finance, Pankaj Chaudhary, said in a written response to Lok Sabha that SBI was also in the process of presenting a complaint before the Central Research Office (CBI). He added that the bank had initiated personal insolvency procedures against Ambani, which are pending before the NCLT, Mumbai.

“SBI’s order was approved without granting Anil D. Ambani a personal audience. This denial is a direct violation of the fundamental principles,” said Anil Ambani, arguing that the measure undermines the impartiality and credibility of the bank. The sources stated that the bank has not shared all the documentation regarding the notice of the cause of the program with the old promoter of the company.

Ambani’s lawyer added that Canara Bank, part of the Consortium of the Rcom lenders together with SBI, withdrew her own company fraud classification and Ambani before the Superior Court of Bombay on July 10. According to the lawyer, the bank has recognized that its previous classification “could not be sustained in the law” and chosó not pursue the matter beyond.

SBI’s total exposure to RCCC includes a director based on funds pending almost 2,228 million rupees as of August 26, 2016, together with accumulated interests and expenses, in addition to guarantees not based on funds worth around 787 million rupees. Referring to the retirement of Canara Bank, Ambani’s lawyer questioned the consistency of the actions of the lenders within the same consortium, asking why SBI continued to maintain her position.