https://www.taxtmi.com/news?id=48268 SBI has classified Reliance Communications' loan account as fraud, reporting an erstwhile director to the banking regulator after concluding that loan proceeds were diverted across group entities through inter-corporate deposits, intraday cycling and non genuine transactions. The committee found sanctioned funds were used to repay other obligations and connected parties rather than for stated purposes, describing such transfers as misappropriation and breach of trust. RBI guidelines require prompt reporting of frauds, notification to law enforcement, and subject fraudulent borrowers and promoters to institutional debarment and restrictions on restructuring or fresh finance. en-us Wed, 02 Jul 2025 17:31:03 +0530 Wed, 02 Jul 2025 17:31:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/news?id=48268 SBI has classified Reliance Communications' loan account as fraud, reporting an erstwhile director to the banking regulator after concluding that loan proceeds were diverted across group entities through inter-corporate deposits, intraday cycling and non genuine transactions. The committee found sanctioned funds were used to repay other obligations and connected parties rather than for stated purposes, describing such transfers as misappropriation and breach of trust. RBI guidelines require prompt reporting of frauds, notification to law enforcement, and subject fraudulent borrowers and promoters to institutional debarment and restrictions on restructuring or fresh finance. News - Wed, 02 Jul 2025 17:31:03 +0530 https://www.taxtmi.com/news?id=48268