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SBI to report RCom’s loan account as fraud, finds deviation in utilisation of loan

State Bank of India (SBI) has decided to classify the loan account of beleaguered telecom company Reliance Communications (RCom) as “fraud”. The bank has also decided to report the name of RCom’s erstwhile director, Anil Ambani, to the Reserve Bank of India (RBI).
In a regulatory filing, RCom has said that it has received a letter, dated June 23, 2025, from SBI to this effect. According to the filing, RCom and its subsidiaries had received a total loan of Rs 31,580 crore from banks.
The Fraud Identification Committee of the bank has found deviation in utilisation of the loans involving complex web of fund movements across multiple group entities.
RCom is at present going through a liquidation process.
The committee has found that out of the total loan, Rs 13,667.73 crore, about 44 per cent was utilised for repayment of loans and other obligations.
An amount of Rs 12,692.31 crore, accounting for 41 per cent of total the loan, was utilized to pay connected parties.
The committee has also added that Rs 6,265.85 crore was used for repaying other bank loans and Rs 5,501.56 crore was paid to related or connected parties which were not aligned with sanctioned purposes.

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