Anil Ambani's SEBI Ban Triggers Plunge in Reliance Home Finance, Infra, and Power Stocks
Anil Ambani's Banning by SEBI and Its Impact on ADAG Stocks
The Securities and Exchange Board of India (SEBI) has imposed a five-year ban on Anil Ambani along with 24 other individuals, resulting in a significant downturn in the stocks of Reliance Dhirubhai Ambani Group (ADAG). The triggering event was a report of financial misconduct involving Reliance Home Finance, which led to heavy selling pressure across key shares in the group.
Stock Reactions Post SEBI Order
- Reliance Home Finance shares that initially rose to a 5% upper circuit quickly plummeted down to a 5% lower circuit.
- Reliance Infrastructure share price experienced a drastic fall, reaching an intraday low before recovering slightly, showcasing a 13% decline.
- Similarly, Reliance Power share also faced severe selling pressure, hitting a lower circuit after initially performing well.
SEBI's Findings on Financial Misconduct
The SEBI's investigation revealed a substantial financial fraud linked to Reliance Home Finance Ltd. (RHFL). Anil Ambani and other senior executives were involved in funneling funds away from the organization, bringing significant losses to shareholders.
- SEBI imposed penalties up to ₹25 crore on Ambani.
- Restrictions have been enforced on his future involvement in the Indian securities market.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.