RPower shares dive 5%; company clarifies on ED's supplementary prosecution, asset attachments

Shares of Reliance Power Ltd (RPower) fell 5.02 per cent in Monday's trade to a low of Rs 35.80 after the Enforcement Directorate (ED) filed a supplementary prosecution complaint in a matter linked to the SECI bank guarantee.

The complaint was filed against the company, its subsidiaries -- Reliance NU BESS Ltd and Rosa Power Supply Company Ltd -- and Manoj Bhaiyasaheb Pongde, along with other third parties.

In a regulatory filing, RPower said: "Vide earlier disclosures dated November 7, 2024 and November 14, 2024 we had informed that the Company, Reliance NU BESS Ltd had lodged a criminal complaint in above matter against the third parties who had arranged the said bank guarantee with Economic Offence Wing of Delhi Police on October 16, 2024, on basis of which First Information Report (FIR) has been registered on November 11, 2024 against the said third parties."

The company added: "It is reiterated that the Company, RPower, its subsidiaries and its employees acted bona-fidely and are victims of a fraud, forgery, cheating and conspiracy committed by the third parties. Based upon the said FIR, ED initiated its investigation. ED allegations have not yet passed through judicial scrutiny and the Company has not been held guilty of any wrong doing. As per law settled by the Supreme Court, company will get an opportunity to put across its case and facts before the court, even before cognizance, so filing of this complaint does not affect the affairs of the company in any manner."

It further stated: "The Company will take appropriate steps as legally advised to safeguard its interests and the interests of all stakeholders and it maintains its as well as its officials’ innocence of any wrongdoing."

Separately, RPower also issued a clarification on reports related to the provisional attachment of assets worth Rs 10,117 crore by the ED for alleged violations of the Prevention of Money Laundering Act (PMLA).

The company said: "Of the total value cited, Rs 8,078 crore pertains to assets of Reliance Communications Ltd (RCom), a company that ceased to be a part of the Reliance Group since 2019-that is, for more than six years. Reliance Communications has been undergoing the Corporate Insolvency Resolution Process (CIRP) and is currently managed entirely by the Resolution Professional, under the supervision of the Hon’ble NCLT and its Committee of Creditors (CoC), led by the State Bank of India (SBI) along with a consortium of banks and lenders."

It also said: "An amount of Rs 339 crore, together with certain other non-core assets, pertains to Reliance Infrastructure Ltd (RInfra). A further Rs 582 crore relates to independent companies with which the Reliance Group has no involvement whatsoever. All real estate assets at Ballard Estate, including the Company's assets valued at Rs 397.46 crore, are held on a long-term lease from the Bombay Port Trust (BPT). The Company's windmill assets valued at Rs 10.14 crore have been provisionally attached."

RPower also highlighted that Anil D Ambani has not served on the Board of Directors of the company for more than three and a half years.