{"id":310473,"date":"2026-10-15T12:07:32","date_gmt":"2026-10-15T06:37:32","guid":{"rendered":"https:\/\/univest.in\/blogs-2\/?p=310473"},"modified":"2026-10-15T12:07:32","modified_gmt":"2026-10-15T06:37:32","slug":"reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next","status":"publish","type":"post","link":"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/","title":{"rendered":"Reliance Power Shares Crash 5% as ED Seizes Rs 2,033 Crore Assets in FEMA Case Against Anil Ambani Firm: What&#8217;s Next?"},"content":{"rendered":"<p style=\"border-left:4px solid #1F4E79;background:#EBF3FB;padding:10px 16px;font-style:italic;\"><em>Reliance Power shares fell about 5% to a 52-week low of Rs 19.05 on 15 Oct 2026, after the Enforcement Directorate provisionally seized assets worth Rs 2,032.81 crore under FEMA, mainly Sasan Power shares of Rs 2,026.65 crore. The company contests the allegations and says no penalty has been imposed. The order needs confirmation by the competent authority. The stock is down about 42% this year.<\/em><\/p>\n<div style=\"background:#F0F9FF;border-left:4px solid #2E7D32;border-radius:6px;padding:14px 18px;margin:18px 0;\">\n<p style=\"margin:0;color:#1F4E79;font-size:14px;\"><strong>Quick Answer<\/strong><\/p>\n<p style=\"margin:8px 0 0;\">Reliance Power shares fell about 5% on 15 October 2026 to a 52-week low of Rs 19.05, after the Enforcement Directorate provisionally seized assets worth Rs 2,032.81 crore under the Foreign Exchange Management Act. The seized assets are Sasan Power shares worth Rs 2,026.65 crore and bank balances of Rs 6.16 crore, and the order bars Reliance Power from selling, transferring or pledging them. The company contests the allegations, says the overseas investment was made with approvals and notes that no penalty has been imposed, while the order still needs confirmation by the competent authority. The stock is down about 42% this year, so the key questions are the confirmation, the Sasan Power pledge to Power Finance Corporation and the company&#8217;s debt.<\/p>\n<\/p><\/div>\n<p>Reliance Power is part of the Anil Ambani group, and its shares have been under pressure all year. The seizure by the Enforcement Directorate announced on 14 October was the latest in a series of enforcement actions involving the group, and Reliance Power stock fell for a second session on 15 October.<\/p>\n<p>This guide explains what the ED alleges, what was seized, how the company has responded, what the process looks like from here and what investors should weigh. Some reports give the sum as Rs 2,027 crore and others as Rs 2,032 crore, and I explain the difference.<\/p>\n<p>The allegations are the ED&#8217;s and have not been proven, and the company disputes them.<\/p>\n<p style=\"margin-top:24px;\"><strong><a href=\"https:\/\/univest.in\/user\/log-in?utm_source=blogs&#038;utm_medium=reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\">Click Here &#8211; Get Free Investment Predictions<\/a><\/strong><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Reliance_Power_Shares_The_Move_After_the_ED_Action\" title=\"Reliance Power Shares: The Move After the ED Action\">Reliance Power Shares: The Move After the ED Action<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#What_the_ED_Seized_and_Why\" title=\"What the ED Seized and Why\">What the ED Seized and Why<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#The_Allegations_How_the_ED_Says_the_Money_Moved\" title=\"The Allegations: How the ED Says the Money Moved\">The Allegations: How the ED Says the Money Moved<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Reliance_Powers_Response_and_the_Sasan_Power_Pledge\" title=\"Reliance Power&#8217;s Response and the Sasan Power Pledge\">Reliance Power&#8217;s Response and the Sasan Power Pledge<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Reliance_Power_Financial_Picture\" title=\"Reliance Power Financial Picture\">Reliance Power Financial Picture<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Whats_Next_for_Reliance_Power_Shares\" title=\"What&#8217;s Next for Reliance Power Shares\">What&#8217;s Next for Reliance Power Shares<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Frequently_Asked_Questions\" title=\"Frequently Asked Questions\">Frequently Asked Questions<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Why_did_Reliance_Power_shares_fall_5\" title=\"Why did Reliance Power shares fall 5%?\">Why did Reliance Power shares fall 5%?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#What_did_the_ED_seize\" title=\"What did the ED seize?\">What did the ED seize?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#What_does_the_ED_allege\" title=\"What does the ED allege?\">What does the ED allege?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#What_does_Reliance_Power_say\" title=\"What does Reliance Power say?\">What does Reliance Power say?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Is_the_seizure_final\" title=\"Is the seizure final?\">Is the seizure final?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Why_is_the_Sasan_Power_pledge_important\" title=\"Why is the Sasan Power pledge important?\">Why is the Sasan Power pledge important?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Is_Reliance_Power_undervalued\" title=\"Is Reliance Power undervalued?\">Is Reliance Power undervalued?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/univest.in\/blogs-2\/reliance-power-shares-crash-5-percent-as-ed-seizes-2033-crore-assets-in-fema-case-against-anil-ambani-firm-whats-next\/#Is_this_article_investment_advice\" title=\"Is this article investment advice?\">Is this article investment advice?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Reliance_Power_Shares_The_Move_After_the_ED_Action\"><\/span><strong>Reliance Power Shares: The Move After the ED Action<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table style=\"border-collapse:collapse;width:100%;\">\n<tr>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Item<\/th>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Level<\/th>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Note<\/th>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Close on 14 Oct<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Rs 19.82<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Down 1.05% from Rs 20.03<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Low on 15 Oct<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Rs 19.05<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">A new 52-week low; about 3.9% below the 14 Oct close (my calculation)<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Fall from Rs 20.03<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">About 4.9%<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">My calculation; the headline says 5% and one report says 4%<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Two session fall<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">4.39%<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">One market data report<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">52-week high<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Rs 47.68<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">The low is about 60% below it<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Year to date<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Down about 42%<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Down 55% to 57% over one year<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Moving averages<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Below all<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">5, 20, 50, 100 and 200-day<\/td>\n<\/tr>\n<\/table>\n<p>The Reliance Power fall on 15 October came as the Sensex rose about 1.1%, so the stock underperformed a rising market. Institutional holding in Reliance Power dropped 0.82% last quarter to 16.44%, which shows that large investors were already reducing exposure.<\/p>\n<p><strong>Risk:<\/strong> A stock at a 52-week low under a legal cloud can fall further on any new adverse news.<\/p>\n<p style=\"margin-top:24px;\"><strong><a href=\"https:\/\/univest.in\/screeners\">Screen power sector stocks on the Univest Screener<\/a><\/strong><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_the_ED_Seized_and_Why\"><\/span><strong>What the ED Seized and Why<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table style=\"border-collapse:collapse;width:100%;\">\n<tr>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Item<\/th>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Detail<\/th>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Total value<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Rs 2,032.81 crore<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Sasan Power shares<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Rs 2,026.65 crore, in a wholly owned subsidiary<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Bank balances<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Rs 6.16 crore<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Law<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Section 4 of FEMA, 1999; seizure under Section 37A<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Nature of order<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Provisional; must be confirmed by the competent authority<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Restriction<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Reliance Power cannot sell, transfer, pledge or encumber the assets while it applies<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Why two figures<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Rs 2,026.65 crore plus Rs 6.16 crore makes Rs 2,032.81 crore; reports of Rs 2,027 crore round the shares alone (my reading)<\/td>\n<\/tr>\n<\/table>\n<p>The ED says the seized assets match the value of foreign exchange allegedly held abroad in breach of Section 4 of FEMA. Section 37A allows the agency to seize assets of equivalent value in India when the foreign asset cannot be reached.<\/p>\n<p>The searches at Reliance Power that led to this order were carried out from 6 to 8 March 2026, when the ED seized documents and recorded statements.<\/p>\n<p><strong>Risk:<\/strong> A provisional order can be confirmed, modified or set aside, and the outcome is not known.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_Allegations_How_the_ED_Says_the_Money_Moved\"><\/span><strong>The Allegations: How the ED Says the Money Moved<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table style=\"border-collapse:collapse;width:100%;\">\n<tr>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Step<\/th>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Allegation<\/th>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">2006<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Reliance Natural Resources Ltd (RNRL), later merged into Reliance Power, raised 300 million dollars through foreign currency convertible bonds<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Transfer<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">275 million dollars went to its Singapore subsidiary, RNRL-S<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Collateral<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">RNRL-S placed funds with Deutsche Bank (Suisse) SA in Geneva, used as collateral for loans to British Virgin Islands entities<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Control<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">The ED says the BVI entities were run from India by the group through front persons, and did not repay the loans<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Round tripping<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Part of the loan money allegedly came back to India through Mauritius entities<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Documents<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">The ED alleges backdated documents were created to show genuine business advances<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Trigger<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">SEBI flagged write offs and provisions of Rs 2,101.46 crore tied to overseas investments and advances<\/td>\n<\/tr>\n<\/table>\n<p>These are allegations from the ED&#8217;s statement as reported. The company says the investment was made with the necessary approvals and that the matter concerns FCCBs raised in 2006 and an overseas investment made in 2008.<\/p>\n<p><strong>Risk:<\/strong> A long running case with several parties can take years to resolve, and the stock may stay under pressure meanwhile.<\/p>\n<p style=\"margin-top:24px;\"><em>Download the <a href=\"http:\/\/apps.apple.com\/in\/app\/univest-stocks-investment\/id6443753518\" rel=\"nofollow noopener\" target=\"_blank\">Univest iOS App<\/a> or <a href=\"http:\/\/play.google.com\/store\/apps\/details?id=com.univest.capp&#038;hl=en_IN\" rel=\"nofollow noopener\" target=\"_blank\">Univest Android App<\/a> to track Reliance Power and set price alerts.<\/em><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Reliance_Powers_Response_and_the_Sasan_Power_Pledge\"><\/span><strong>Reliance Power&#8217;s Response and the Sasan Power Pledge<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table style=\"border-collapse:collapse;width:100%;\">\n<tr>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Point<\/th>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Detail<\/th>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Company stance<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Contests the allegations and says the overseas investment had approvals<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Penalty<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">The company says no penalty has been imposed<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Pledge<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">The seized Sasan Power shares were pledged to Power Finance Corporation under security arrangements for over 10 years<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Next step<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">The company says it is reviewing the implications and will protect its interests<\/td>\n<\/tr>\n<\/table>\n<p>The Reliance Power pledge to Power Finance Corporation is important. The seized shares are already security for a lender, so a conflict between the ED restriction and the lender&#8217;s rights could arise. I could not find how that will be resolved, so I do not predict it.<\/p>\n<p>Sasan Power is a key operating asset of Reliance Power, so any restriction on it matters for the group&#8217;s financial flexibility.<\/p>\n<p><strong>Risk:<\/strong> A restriction on a key subsidiary&#8217;s shares can limit Reliance Power&#8217;s ability to raise money or sell assets.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Reliance_Power_Financial_Picture\"><\/span><strong>Reliance Power Financial Picture<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table style=\"border-collapse:collapse;width:100%;\">\n<tr>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Metric<\/th>\n<th style=\"text-align:left;padding:8px;border:1px solid #DDDDDD;background:#0A0E1A;color:#FFFFFF;\">Detail<\/th>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Debt to EBITDA<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">6.27 times<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Average return on equity<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">0.06%<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Return on capital employed<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">5.3%<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Non-operating income<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">127.17% of pre-tax profit<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Operating margin<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Fell to 28.75%<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Valuation<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Enterprise value to capital employed of 0.7<\/td>\n<\/tr>\n<tr>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">Institutional holding<\/td>\n<td style=\"padding:8px;border:1px solid #DDDDDD;\">16.44%, down 0.82% in the last quarter<\/td>\n<\/tr>\n<\/table>\n<p>Reliance Power profit has risen sharply over a year according to one report, but non-operating income is larger than pre-tax profit, so the earnings quality is weak. A low valuation reflects these risks and the legal overhang, so a low valuation alone is not a reason to buy.<\/p>\n<p><strong>Risk:<\/strong> High debt and weak returns leave the company exposed if funding conditions tighten.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Whats_Next_for_Reliance_Power_Shares\"><\/span><strong>What&#8217;s Next for Reliance Power Shares<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ol>\n<li>Confirmation or reversal of the provisional order by the competent authority<\/li>\n<li>How the pledge to Power Finance Corporation interacts with the order<\/li>\n<li>Any appeal or legal challenge by Reliance Power<\/li>\n<li>Further ED or other agency action against the group<\/li>\n<li>The next quarterly results and any disclosure about the case<\/li>\n<\/ol>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Reliance Power shares fell to a 52-week low after the ED seized Rs 2,032.81 crore of assets under FEMA. The allegations are unproven and disputed, the order needs confirmation, and the stock carries high debt and legal risk, so weigh these before acting.<\/p>\n<div style=\"background:#CC0000;border-radius:8px;padding:16px 20px;margin:24px 0;\">\n<p style=\"color:#FFFFFF;font-size:13px;line-height:1.7;margin:0;\"><strong style=\"color:#FFFFFF;\">Disclaimer:<\/strong> Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).<\/p>\n<\/p><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions\"><\/span><strong>Frequently Asked Questions<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"Why_did_Reliance_Power_shares_fall_5\"><\/span><strong>Why did Reliance Power shares fall 5%?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The stock fell to a 52-week low of Rs 19.05 on 15 October 2026 after the ED provisionally seized assets worth Rs 2,032.81 crore under FEMA. It was down about 4.9% from the 14 October level of Rs 20.03 (my calculation).<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_did_the_ED_seize\"><\/span><strong>What did the ED seize?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> Sasan Power shares worth Rs 2,026.65 crore and bank balances of Rs 6.16 crore, a total of Rs 2,032.81 crore.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_does_the_ED_allege\"><\/span><strong>What does the ED allege?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> That funds raised abroad through FCCBs in 2006 were routed through foreign entities, used as collateral for loans to BVI companies and allegedly brought back through Mauritius, supported by backdated documents.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_does_Reliance_Power_say\"><\/span><strong>What does Reliance Power say?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> It contests the allegations, says the overseas investment was made with approvals and notes that no penalty has been imposed.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_the_seizure_final\"><\/span><strong>Is the seizure final?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> No. It is a provisional order that must be confirmed by the competent authority.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Why_is_the_Sasan_Power_pledge_important\"><\/span><strong>Why is the Sasan Power pledge important?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The shares were pledged to Power Finance Corporation for over 10 years, so the ED restriction and the lender&#8217;s security overlap.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_Reliance_Power_undervalued\"><\/span><strong>Is Reliance Power undervalued?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> Valuation measures look low, but debt to EBITDA is 6.27 times, returns are weak and earnings depend on non-operating income, so a low multiple is not a reason on its own.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_this_article_investment_advice\"><\/span><strong>Is this article investment advice?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> No. It is educational and not a recommendation to buy or sell.<\/p>\n<div class=\"faq-schema\"><script type=\"application\/ld+json\">{\"@context\":\"https:\/\/schema.org\",\"@type\":\"FAQPage\",\"mainEntity\":[{\"@type\":\"Question\",\"name\":\"Why did Reliance Power shares fall 5%?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"The stock fell to a 52-week low of Rs 19.05 on 15 October 2026 after the ED provisionally seized assets worth Rs 2,032.81 crore under FEMA. It was down about 4.9% from the 14 October level of Rs 20.03 (my calculation).\"}},{\"@type\":\"Question\",\"name\":\"What did the ED seize?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Sasan Power shares worth Rs 2,026.65 crore and bank balances of Rs 6.16 crore, a total of Rs 2,032.81 crore.\"}},{\"@type\":\"Question\",\"name\":\"What does the ED allege?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"That funds raised abroad through FCCBs in 2006 were routed through foreign entities, used as collateral for loans to BVI companies and allegedly brought back through Mauritius, supported by backdated documents.\"}},{\"@type\":\"Question\",\"name\":\"What does Reliance Power say?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"It contests the allegations, says the overseas investment was made with approvals and notes that no penalty has been imposed.\"}},{\"@type\":\"Question\",\"name\":\"Is the seizure final?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"No. It is a provisional order that must be confirmed by the competent authority.\"}},{\"@type\":\"Question\",\"name\":\"Why is the Sasan Power pledge important?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"The shares were pledged to Power Finance Corporation for over 10 years, so the ED restriction and the lender's security overlap.\"}},{\"@type\":\"Question\",\"name\":\"Is Reliance Power undervalued?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Valuation measures look low, but debt to EBITDA is 6.27 times, returns are weak and earnings depend on non-operating income, so a low multiple is not a reason on its own.\"}},{\"@type\":\"Question\",\"name\":\"Is this article investment advice?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"No. It is educational and not a recommendation to buy or sell.\"}}]}<\/script><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Reliance Power shares fell about 5% as the ED seized Rs 2,032.81 crore under FEMA. See the allegations, the company&#8217;s response and what happens next.<\/p>\n","protected":false},"author":35,"featured_media":310472,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[842],"tags":[12497,12495,12496,12494,12498],"class_list":["post-310473","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-anil-ambani","tag-ed-seizure","tag-fema-case","tag-reliance-power-shares","tag-sasan-power"],"metadata":{"rank_math_internal_links_processed":["1"],"_thumbnail_id":["310472"],"rank_math_title":["Reliance Power Shares Fall 5% on ED Rs 2,033 Crore Seizure"],"rank_math_description":["Reliance Power shares fell about 5% to a 52-week low after the ED seized Rs 2,032.81 crore of assets in a FEMA case. See the allegations, the response and what is next."],"rank_math_focus_keyword":["Reliance Power"],"rank_math_robots":["a:2:{i:0;s:7:\"noindex\";i:1;s:8:\"nofollow\";}"]},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2026\/10\/reliance-power-shares-crash-5-as-ed-seizes-rs-2-033-crore-assets-in-fema-case.webp","_links":{"self":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/310473","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/users\/35"}],"replies":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/comments?post=310473"}],"version-history":[{"count":1,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/310473\/revisions"}],"predecessor-version":[{"id":310474,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/310473\/revisions\/310474"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/media\/310472"}],"wp:attachment":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/media?parent=310473"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/categories?post=310473"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/tags?post=310473"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}