ED arrests Reliance Power executive Ashok Kumar Pal in ADA Group money laundering case.
A Delhi court on Saturday sent Ashok Kumar Pal, senior executive at Reliance Power and a close aide of industrialist Anil Ambani, to two days of Enforcement Directorate (ED) custody.
Pal was arrested on Friday night in connection with a money laundering investigation linked to the ADA Group. He was booked under the Prevention of Money Laundering Act (PMLA) and produced before a local court. His next hearing is scheduled for Monday.
The top executive was taken into ED custody after questioning at the agency’s Delhi office. The investigation relates to a fake bank guarantee and forged invoicing scheme. Pal was produced before a judge at 9:30 am on Saturday to seek remand.
The ED alleged that Ashok Pal played a key role in submitting a fake bank guarantee of over Rs 68 crore to the Solar Energy Corporation of India (SECI).
The agency claimed he helped divert funds through bogus invoices and used a fraudulent bank guarantee racket. The scheme involved spoofed email domains mimicking major banks such as SBI, Indian Bank, PNB, and Union Bank of India, making the fake instruments appear genuine.
Pal allegedly also facilitated the selection of Biswal Tradelink Pvt Ltd (BTPL), a company with no credible record, to execute the fake guarantee. The director of BTPL, Partha Sarathi Biswal, is already in judicial custody.
The ED said Pal’s actions were crucial in a scheme that defrauded public money, as Reliance Power is a publicly listed company with more than 75% of shares held by the public.
The ADA Group case involves financial misconduct linked to Yes Bank and companies under the ADA Group, formerly led by Anil Ambani.
The ED alleged that Ambani and Reliance Group entities were involved in a Rs 17,000-crore loan fraud case. In August, the agency had summoned Ambani for questioning in connection with the ongoing probe.
Earlier searches by the ED covered 35 locations in Mumbai, involving 50 companies and 25 individuals linked to the ADA Group under PMLA.
Meanwhile, the Central Bureau of Investigation (CBI) has filed chargesheets in two corruption cases, claiming a conspiracy between Anil Ambani and Kapoor, where Kapoor allegedly misused his position to channel public funds from Yes Bank into financially stressed ADA Group companies.
This case highlights growing concerns over corporate governance and public fund safety. Experts say such high-profile frauds erode investor confidence and emphasize the need for stronger internal controls in listed companies.
“Transparency and accountability are critical in public companies,” said a financial analyst. “Cases like this show that even senior executives can manipulate systems, affecting public money and shareholder trust.”
As the investigation continues, authorities aim to prevent further misuse of public funds and ensure that executives and corporates are held accountable.
Ashok Kumar Pal’s ED custody marks a significant step in the ADA Group money laundering probe. With public money at stake, the case underscores the importance of strict compliance and corporate responsibility in India’s financial sector.
