Sebi Rejects Anil Ambani's Settlement Plea

MUMBAI: In a significant development, the Securities and Exchange Board of India (Sebi) has rejected a settlement plea by Anil Ambani concerning charges related to investments in Yes Bank. This decision could lead to a hefty penalty of at least Rs 1,828 crore for Ambani.

The controversy revolves around Rs 2,150 crore invested by Ambani's Reliance Mutual Fund in Yes Bank's additional tier-1 bonds between 2016-19. These bonds were written off following the bank's insolvency declaration in 2020.

Investigation Findings: Sebi's probe revealed that the investment was allegedly made in exchange for loans from Yes Bank to other companies within the Anil Ambani group. The regulator, on July 7, stated that the fund's actions had a 'market-wide impact,' leading to the rejection of Ambani's settlement plea without admission of guilt.

Reliance Mutual Fund was acquired by Nippon Life Insurance in 2019, with the charges predating the sale.

(This is a Reuters copy)