How Fake NCD Deals Cost LIC Over ₹2,684 Crore, CBI Takes Action

Life Insurance Corporation of India (LIC) disclosed that a series of dubious non‑convertible debenture (NCD) transactions with Reliance Capital Limited caused a loss exceeding ₹2,684 crore. Following LIC’s formal complaint, the Central Bureau of Investigation (CBI) has registered an FIR naming former Reliance Capital chairman Anil D. Ambani, ADA group managing director Satish Seth and several unidentified officials.

Between April 2012 and March 2018, LIC invested roughly ₹3,900 crore to acquire five NCDs issued by Reliance Capital. The debentures were intended for standard corporate financing, debt restructuring and working‑capital purposes.

According to the FIR, the accused fabricated documentation, misrepresented the investment’s safety, and later diverted the proceeds to other projects, thereby inflicting a financial loss on LIC equal to the amount misappropriated.

The CBI’s investigation aims to map out the involvement of government functionaries, private stakeholders and any intermediaries, while also tracking the ultimate use of the diverted funds. The agency emphasized that a similar pattern of abuse has been observed in prior cases involving other Reliance‑group entities.

So far, the CBI has filed six charge sheets across related matters and taken seven suspects into custody. The Supreme Court remains apprised of the ongoing inquiries, and the bureau has pledged to pursue a rapid, exhaustive investigation.