The Securities and Exchange Board of India (SEBI) has fined Anil Ambani’s son, Jai Anmol Ambani, Rs. 1 crore for alleged irregularities in Reliance Home Finance. In the Reliance Home Finance matter, he failed to exercise due diligence while approving general-purpose corporate loans. Gopal Krishnan, the chief risk officer of Reliance Housing Finance, was also fined Rs. 15 lakh.
They are directed to pay the fine within 45 days, SEBI said in its officials. Before this, Anil Ambani was also fined Rs. 25 crores, and SEBI barred him and 24 others from the security market for five years in a case of diverting Reliance Home Finance Ltd’s funds.
Jai Anmol Ambani, the board member of Reliance Home Finance, had approved general-purpose corporate loans, GPCL, and that too after the company’s board of directors had given clear directions not to approve such loans.
“The noticee 1 (Anmol Ambani), as a non-executive director of the company, has taken the company in his own direction and has gone overboard in his role as director. Noticee 1 in doing so, gives a hint of being motivated and definitely not in the interests of the shareholders and has not acted with due care and diligence, and has not maintained high ethical standards,” Sebi said.
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Jai was involved in the day-to-day functioning of the company; therefore, he is much more responsible for this action.
