The Central Bureau of Investigation has registered a fresh FIR against Reliance Capital Limited, its former chairman and unidentified public servants in connection with an alleged fraud involving investments made by the Life Insurance Corporation of India.

The case follows a complaint submitted by LIC regarding investments made between 2012 and 2018. During this period, LIC subscribed to five Non Convertible Debentures issued by Reliance Capital with a combined value of Rs 3,900 crore. The funds were intended for general corporate needs, financing requirements and repayment of existing debt.

According to the allegations recorded in the case, the accused entered into a criminal conspiracy and were involved in offences including cheating, breach of trust and alleged diversion of funds. The alleged actions are said to have resulted in a loss of around Rs 2,685 crore to LIC, while creating an equivalent financial benefit for the accused and other beneficiaries.

The investigating agency will now examine the alleged conspiracy, determine the involvement of the individuals and entities named in the case and trace the movement of the invested funds. The agency has previously registered eight FIRs involving several companies, including Reliance Communications, Reliance Capital, Reliance Home Finance and Reliance Telecom, following complaints from public sector banks, the Employees Provident Fund Organisation and LIC.

In those earlier cases, the agency has filed six charge sheets and arrested seven people. The investigations are being monitored by the Supreme Court.