Clear Separation, No Spillover: Reliance Power Distances Itself From CBI Action On RCFL, RHFL

Reliance Power Ltd has issued a formal clarification stating that recent enforcement actions by the Central Bureau of Investigation against Reliance Commercial Finance Ltd (RCFL) and Reliance Home Finance Ltd (RHFL) have no bearing on its operations, governance, or financial standing. The company emphasized that it remains unaffected by the developments surrounding its former group affiliates and continues to operate independently under its own management and regulatory framework.

 

The clarification comes in the wake of a CBI chargesheet filed on September 18, 2025, naming several individuals and entities in connection with alleged fraudulent transactions involving RCFL, RHFL, Yes Bank, and companies linked to former Yes Bank CEO Rana Kapoor’s family. While Anil Ambani has been named in the chargesheet as chairman of the Anil Dhirubhai Ambani Group and director of Reliance Capital Ltd, Reliance Power has reiterated that he was never on the boards of RCFL or RHFL.

 

Key Highlights From Reliance Power’s Statement

 

- Reliance Power confirms no operational or financial impact from CBI actions on RCFL and RHFL  

- Anil Ambani was never a board member of RCFL or RHFL  

- RCFL and RHFL have undergone management changes and are now under new ownership  

- Reliance Power continues to function independently with no shared governance or liabilities  

- The company remains focused on its core energy and infrastructure businesses  

 

Clarification On Corporate Structure And Governance

 

Reliance Power Ltd clarified that it is a separately listed entity with no direct shareholding, board representation, or operational overlap with RCFL or RHFL. Both finance companies were previously part of Reliance Capital Ltd, which served as their holding company. Reliance Power, however, is not a subsidiary of Reliance Capital and has its own board, management, and compliance systems.

 

The company emphasized that Anil Ambani’s role as chairman of the broader ADA Group does not translate into direct involvement in the day-to-day affairs of RCFL or RHFL. His absence from their boards further reinforces the legal and operational separation between the entities.

 

Resolution Of RCFL And RHFL Affairs

 

RCFL and RHFL have already undergone significant restructuring following regulatory and financial challenges. Both companies are now under the control of Authum Investment and Infrastructure Ltd, which acquired them through a resolution process approved by creditors and regulators.

 

The management overhaul and ownership transition were designed to ring-fence liabilities and restore operational stability. Reliance Power noted that these changes have effectively resolved the governance concerns raised in earlier investigations and that the companies now operate independently of the ADA Group.

 

Market Reaction And Investor Sentiment

 

Reliance Power’s shares remained stable following the announcement, reflecting investor confidence in the company’s insulation from the controversy. Analysts tracking the stock noted that the clarification was timely and necessary to prevent reputational spillover, especially given the high-profile nature of the CBI chargesheet.

 

The company’s reaffirmation of its independence and operational continuity is expected to reassure stakeholders and support its ongoing efforts to restructure debt and expand its renewable energy portfolio.

 

Looking Ahead

 

Reliance Power continues to focus on its strategic priorities, including the development of solar and wind energy assets, optimization of thermal power operations, and monetization of infrastructure holdings. The company has reiterated its commitment to transparency, regulatory compliance, and stakeholder engagement.

 

As investigations into RCFL and RHFL proceed, Reliance Power’s clear distancing from the matter positions it to maintain business momentum and protect shareholder value.

 

Sources: Hindustan Times, ABP News, The Hindu.