RCOM refutes Rs 861.88 billion claim by lenders; regards the action by certain banks of marking it fraud as unwarranted

Reliance Group has released a statement that the claims by certain banks pertaining to the classification of accounts of RCOM and its subsidiaries as fraudulent are unjustified and unwarranted.

RCOM has refuted reports claiming that the telco and its units owe lenders Rs 861.88 billion, instead it has clarified that it owes around Rs 260 billion to Indian banks and financial institutions as on the date of filing before the National Company Law Tribunal (NCLT).

RCOM’s statement has come in response to the recent development of State Bank of India (SBI), Union Bank of India and Indian Overseas Bank marking RCOM account as fraudulent.

A few days back, Delhi High Court had also directed Union Bank of India and Indian Overseas Bank to maintain the status quo in the matter pertaining to the classification of accounts of RCOM and its subsidiaries as fraudulent.

Picture Credits: Bloomberg Quint