The Hindu·3 min read·medium

ED seizes assets worth over ₹2,000 crore linked to Reliance Power Ltd. under FEMA

T
The Hindu Bureau
ED seizes assets worth over ₹2,000 crore linked to Reliance Power Ltd. under FEMA
✦AI Summary

The Enforcement Directorate has seized assets worth over ₹2,000 crore from Reliance Power Ltd. for alleged violations of the Foreign Exchange Management Act. The agency claims the company used overseas subsidiaries and fabricated documents to round-trip funds through tax havens.

Why it matters

This action highlights ongoing regulatory scrutiny into large corporate financial structures and potential capital flight involving major Indian business conglomerates.

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The Enforcement Directorate (ED) has seized assets worth ₹2,032.81 crore belonging to Reliance Power Limited in India under the Foreign Exchange Management Act (FEMA), the agency said on Wednesday (October 14, 2026).

The assets include the bank balances of Reliance Power Ltd., and its shareholding in Sasan Power Ltd. Their cumulative value is equivalent to that of foreign exchange held outside India, allegedly in contravention of the Act, according to the ED.

“Investigation was initiated on the basis of information received from the Securities and Exchange Board of India, pertaining to write-offs/provisions aggregating ₹2,101.46 crore made by Reliance Power Ltd. in its books of account. These write-offs were related to overseas investments and advances made to companies in the British Virgin Islands and the Cayman Islands,” the ED said.

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