Synopsis: Reliance Communications (RCOM) has received a show-cause notice from the Central Bank of India over alleged Rs. 400 crore loan fraud, amid ongoing insolvency proceedings and scrutiny of fund misappropriation.
An Indian telecom company is in the spotlight as it faces a potential fraud classification by a central bank over Rs. 400 crore in loans, following a forensic audit that flagged fund diversion and misuse. The company has 21 days to respond, while its assets remain under insolvency proceedings.
With the market capitalization of Rs. 367.82 crore, the shares of Reliance Communications Ltd is trading at Rs. 1.33, down by 0.75 percent from its previous day’s close price of Rs. 1.34 per equity share.