Lenders Want Forensic Audit Of Anil Ambani-Led RCom, Two Group Firms

Lenders to Anil Ambani-led Reliance Group entities are initiating a forensic audit of the books of Reliance Communications (RCom) and two other firms for a period of five years, The Economic Times reported citing four people aware of the development.

The review, for the period between April 2014 and December 2018, is being done to find out about any potential diversion of loans, whether the transactions among the group entities were genuine, evergreening of loans and all related party transactions (RPTs), the people cited above told the newspaper.

The development comes following an examination of fund flows among the Reliance Group entities, the report said.

The probe was commissioned by lead lender SBI, which had red-flagged transactions worth Rs 5,500 crore in the books of Reliance Communications, Reliance Telecom and Reliance Telecom Infrastructure.

“The initial findings were discussed with the committee of creditors and we decided to commission a forensic audit that will look into the books of these companies for past five years,” said one person aware of the matter on condition of anonymity.―CNBC TV18