The Securities and Exchange Board of India (SEBI) has imposed a ₹1 crore fine on Jai Anmol Ambani, son of industrialist Anil Ambani, for failing to exercise due diligence in approving General Purpose Corporate Loans (GPCLs) in the Reliance Home Finance case. Additionally, a ₹15 lakh penalty has been levied on Krishnan Gopalakrishnan, former Chief Risk Officer of Reliance Home Finance, for his involvement in the loan approvals.
Both Anmol Ambani and Gopalakrishnan were found to have violated SEBI’s listing obligations and disclosure requirements. They have been instructed to pay the fines within 45 days.
In August, SEBI had already barred Anil Ambani and 24 others from the securities market for five years, penalizing him ₹25 crore for the diversion of Reliance Home Finance Ltd funds.
Anmol Ambani Ignored Board Directives
SEBI’s order highlighted that Anmol Ambani, as a board member of Reliance Home Finance, approved a ₹20 crore GPCL to Accura Productions Private Limited in February 2019, despite the board’s earlier directive not to approve further GPCLs. The board had issued this instruction just three days before Ambani approved the loan.
The regulator stated that Ambani acted beyond his authority as an executive director and ignored the board’s instructions. SEBI remarked, “Anmol Ambani’s actions suggest potential ulterior motives and are not in the best interests of the shareholders. He failed to act with due care, diligence, and ethical standards.”
Gopalakrishnan’s Involvement
SEBI also found that Gopalakrishnan approved several GPCLs despite being aware of significant discrepancies in credit approval documents. SEBI emphasized that as a senior management member at Reliance Home Finance, Gopalakrishnan was obligated to follow due process, adhere to the company’s code of conduct, and act with care, diligence, and in good faith in the interest of stakeholders.
