ED files PMLA case against Reliance Infrastructure over ₹187 crore highway fund diversion
Synopsis
The ED has filed a PMLA prosecution complaint against Reliance Infrastructure, alleging ₹187 crore was siphoned from four NHAI highway projects in 2010 through shell companies and diamond traders. With assets attached and a key accused already in custody, this is one of the most detailed enforcement actions yet against the Anil Ambani Group.
Key Takeaways
The ED filed a PMLA prosecution complaint against Reliance Infrastructure Limited and Sateesh Seth before a special court in New Delhi on 9 August .
Approximately ₹187 crore was allegedly diverted from four NHAI toll-road projects between September and October 2010 .
Funds were allegedly routed through shell entities and diamond traders using fictitious sub-contracting arrangements.
The ED provisionally attached assets worth ₹187 crore on 3 August , including Reliance Power equity shares and land held by M/s Ksheeraabd Constructions .
Sateesh Seth was arrested on 12 June and remains in judicial custody; investigation into other individuals is ongoing.
The Directorate of Enforcement (ED) has filed a prosecution complaint against Anil Ambani Group company Reliance Infrastructure Limited (RIL) under the Prevention of Money Laundering Act (PMLA) before a special court in New Delhi, the agency confirmed on Sunday, 9 August. The complaint, filed on Saturday, names RIL, Sateesh Seth, and others for offences under Sections 3 and 70, punishable under Section 4 of the PMLA.
The Alleged Diversion Scheme
According to the ED, the investigation uncovered an organised scheme to siphon public funds from four National Highways Authority of India (NHAI)-awarded toll-road projects: Trichy-Karur (NH-67), Trichy-Dindigul (NH-45), Salem-Ulundurpet (NH-68), and Jaipur-Reengus (NH-11). These projects were financed through NHAI grants and loans from banks and financial institutions.
Approximately ₹187 crore was allegedly siphoned between September and October 2010 through what the agency describes as sham, post-dated, or back-dated arrangements for fictitious sub-contracting work.
How the Money Trail Was Structured
The ED alleges that funds moved from RIL or its project-specific Special Purpose Vehicles (SPVs) and EPC contractors to construction contractors, and subsequently into shell entities with no connection to road construction. Documents were reportedly created after the fact to portray these transfers as legitimate project expenditure. The funds were then layered further through shell companies and diamond traders, according to the agency's statement.
Assets Attached, Key Accused in Custody
The ED provisionally attached assets worth ₹187 crore on 3 August, comprising immovable properties and equity shares of Reliance Power Limited held by RIL, as well as land held by M/s Ksheeraabd Constructions Private Limited. Sateesh Seth was arrested in connection with the case on 12 June and remains in judicial custody.
Origins of the Investigation
The ED initiated its investigation on the basis of an FIR dated 11 February 2026, registered by the Economic Offences Wing (EOW), Mumbai. The FIR pertained to shell companies allegedly incorporated and operated using forged documents and bank accounts to route funds and outward remittances under the cover of fictitious invoices and over-valued diamond imports.
The agency has stated that further investigation into the role of other individuals is ongoing. This case adds to a series of PMLA actions involving the Anil Ambani Group in recent years, signalling sustained regulatory scrutiny of the conglomerate's financial dealings.
Point of View
EPC contractors, shell companies, and diamond traders forming a layered chain that reportedly concealed highway project funds for over a decade before enforcement caught up. What stands out is the timeline: the alleged siphoning occurred in 2010, yet the FIR was registered only in February 2026, raising questions about how long such structures can operate before triggering regulatory action. For the Anil Ambani Group, which has faced multiple ED and SEBI actions in recent years, this complaint deepens an already substantial legal overhang. The attachment of Reliance Power shares as proceeds of crime also draws a listed entity into the frame, which markets and minority shareholders will be watching closely.
NationPress
9 Aug 2026
Frequently Asked Questions
What is the ED case against Reliance Infrastructure about?
The ED has filed a PMLA prosecution complaint alleging that Reliance Infrastructure Limited and others diverted approximately ₹187 crore from four NHAI-awarded highway projects between September and October 2010. The funds were allegedly routed through shell companies and diamond traders using fictitious sub-contracting documents.
Which highway projects are at the centre of the alleged diversion?
The four NHAI toll-road projects named in the ED complaint are Trichy-Karur (NH-67), Trichy-Dindigul (NH-45), Salem-Ulundurpet (NH-68), and Jaipur-Reengus (NH-11), all of which were financed through NHAI grants and institutional loans.
What assets has the ED attached in this case?
The ED provisionally attached assets worth ₹187 crore on 3 August, comprising immovable properties, equity shares of Reliance Power Limited held by Reliance Infrastructure, and land held by M/s Ksheeraabd Constructions Private Limited.
Who is Sateesh Seth and what is his role in the case?
Sateesh Seth is one of the named accused in the ED's prosecution complaint. He was arrested on 12 June in connection with the case and is currently in judicial custody while the investigation continues.
What triggered the ED's investigation into this matter?
The ED initiated its probe based on an FIR dated 11 February 2026, filed by the Economic Offences Wing in Mumbai. The FIR related to shell companies allegedly set up using forged documents to route funds through fictitious invoices and over-valued diamond imports.
