Reliance Power share price tumbles 11% today; here's why

Shares of Reliance Power Ltd tumbled 11 per cent in Monday's trade after the Anil Ambani-promoted company said Ashok Kumar Pal, Executive Director and Chief Financial Officer(CFO) of the company has been arrested by ED in the night of October 10, 2025 under Section 19 of PMLA, 2002. He was produced before the Court and ED has been granted two days’ custody. Reliance Power also announced the CFO's replacement and appointment of a non-independent director on the board. 

The Reliance Power stock fell 11.42 per cent to open at Rs 43.05 apiece on BSE. It has lost 33 per cent of its market value in the past three months. 

"Pending the ongoing matter and in order to assist the investigation, Shri Ashok Kumar Pal has demitted the office of Executive Director and CFO with immediate effect. The formal letter will follow and the requisite disclosure will be made," Reliance Power informed NSE and BSE on Saturday, October 11.

Meanwhile, Reliance Power clarified, once again, that Anil D Ambani is not on the board of Reliance Power for more than 3.5 years and is not concerned with this matter in any manner.

In November last year, Reliance Power had informed that the company had lodged a criminal complaint in the matter of alleged fake
endorsement of bank guarantee against EMD (issued by foreign bank), which was arranged by third party, with Economic Offence Wing of Delhi Police against the third party on October 16, 2024, basis on which First Information Report (FIR) was registered on November 11, 2024. Reliance Power said the company and its subsidiaries acted bonafidely and are a victim of fraud, forgery and cheating conspiracy.

Reliance Power said Shri Neeraj Parakh, Executive Director and Chief Executive Officer has been given additional charge as the interim Chief Financial Officer of the company. Reliance Power also appointed Arup Ashok Gupta as a Non-Executive and Non-Independent Director of the company.