Home / Business and Economy / CBI Charges Reliance, Ex-Execs in ₹3,750 Cr LIC Scam
CBI Charges Reliance, Ex-Execs in ₹3,750 Cr LIC Scam
3 Oct
Summary
- CBI filed charges in a ₹3,750 crore cheating case against RCom.
- LIC subscribed to ₹1,500 crore NCDs based on misrepresentations.
- Funds were diverted to ADA group companies, causing LIC wrongful loss.
The Central Bureau of Investigation (CBI) has filed a charge sheet concerning a ₹3,750 crore cheating case. The charges are filed against Reliance Communications Ltd. (RCom), former executives of the group, and a former Chief Investment Officer of the Life Insurance Corporation of India (LIC).
The CBI's investigation indicates that in 2012, LIC purchased Non-Convertible Debentures (NCDs) worth ₹1,500 crore issued by Reliance Communications Ltd. This subscription was allegedly based on serious misrepresentations made by the accused.
Named in the charge sheet filed before a Special CBI court in Mumbai are Reliance Communications Ltd., two Reliance ADA Group executives, and LIC's former Chief Investment Officer. They face charges including criminal conspiracy, cheating, and criminal breach of trust, along with offenses under the Prevention of Corruption Act.
Further investigation is ongoing to determine the roles of other individuals. The funds obtained through the NCD subscription were reportedly diverted to ADA group companies, causing wrongful loss to LIC and wrongful gain to the accused entities.
