03 June,2026 06:50 PM IST | Mumbai | mid-day online correspondent
The CBI sought his custody to carry out further questioning and conduct a detailed investigation into the case. Representational Pic/File
A Mumbai court on Wednesday remanded Amitabh Jhunjhunwala, former Group Managing Director of Reliance Communications, to Central Bureau of Investigation (CBI) custody until June 5 in connection with an alleged bank loan fraud case, reported the PTI.
Jhunjhunwala was produced before Special CBI Court Judge J.P. Darekar after being arrested by the agency earlier this week.
The CBI sought his custody to carry out further questioning and conduct a detailed investigation into the case.
Jhunjhunwala had been lodged in Tihar Central Jail in Delhi in judicial custody in a related money laundering case being investigated by the Enforcement Directorate (ED), as per the PTI.
He was brought to Mumbai on a production warrant on Monday. After completing the necessary legal procedures, the CBI formally arrested him in connection with the bank fraud investigation.
According to the CBI, Jhunjhunwala allegedly played a key role in the functioning of Reliance Communications during his tenure as Group Managing Director, reported the PTI.
The agency alleged that he exercised control over major areas of the company's operations, including corporate finance, banking activities and the utilisation of funds.
Investigators claim that loan amounts received from banks were used under his directions and that the alleged misuse of those funds resulted in substantial financial losses for lending institutions, the news agency reported.
The CBI recently filed its first chargesheet in the case against 16 individuals.
However, Jhunjhunwala's name was not included in that chargesheet.
The agency has maintained that further investigation is continuing and that additional evidence is being examined.
The case originates from a complaint filed by the State Bank of India (SBI) against Reliance Communications and businessman Anil Ambani, according to the PTI.
According to the complaint, the company and its promoters allegedly caused a loss of Rs 2,929.05 crore to the bank.
The FIR states that a consortium of 11 banks led by SBI had sanctioned rupee term loans to Reliance Communications.
Investigators have said that the total exposure in the case amounted to Rs 19,694.33 crore.
The lending arrangement reportedly involved 17 public sector banks, making it one of the significant banking fraud investigations currently under examination.
The Central Bureau of Investigation is continuing its probe into the alleged diversion and misuse of funds and the role of those responsible for managing the loans.
(with PTI inputs)
