Winning Bizness Desk

Mumbai. Bombay High Court has issued notices to the Central Bureau of Investigation (CBI) and the Union government on a plea seeking a probe against Reliance Industries Limited (RIL) over alleged theft of natural gas worth Rs 13,700 crore from ONGC’s wells in the Krishna-Godavari Basin between 2004 and 2013. The case concerns Reliance allegedly siphoning gas from adjoining ONGC blocks using sideway drilling techniques. The petition, filed by Jitendra P. Maru, accuses Reliance chairman Mukesh Ambani and company directors of theft, cheating, and criminal breach of trust.

Court’s interim order and upcoming hearing

A bench of Justices A.S. Gadkari and Ranjitsingh R. Bhosale issued the notices on November 4 and listed the matter for further hearing on November 18. The court’s order is an interim one, indicating that the petition has been taken seriously. While the notice does not automatically trigger an investigation, it marks the beginning of formal proceedings and requires responses from CBI and the Union government before the next hearing.

Allegations of drilling into ONGC wells

According to the petition, Reliance carried out sideways drilling from its own deep-sea wells into neighbouring ONGC wells in the offshore KG Basin, extracting gas without permission. The petitioner described the act as a massive organised fraud, claiming that ONGC officials detected the discrepancy in 2013 and reported it to the government. Despite ONGC’s demand for recovery, no criminal action has been taken so far.

Reliance’s defence and expert findings

Reliance has consistently denied wrongdoing, arguing that the gas was “migratory” in nature, meaning it moved naturally from ONGC’s blocks to Reliance’s wells. Therefore, the company claimed a right to extract it. However, an assessment by DeGolyer and MacNaughton (D&M), a global energy consulting firm, reportedly confirmed that Reliance had extracted gas without proper authorisation. The Union government had earlier appealed against Reliance’s stance, and the court held that the company’s migratory gas claim was not valid.

Long-running dispute and previous findings

The conflict dates back to the 2000s when both ONGC and Reliance were allotted exploration blocks in the Krishna-Godavari Basin. ONGC’s twelve blocks surrounded one large Reliance block, and by 2013, ONGC noticed falling gas pressure, prompting suspicion of leakage. The A.P. Shah Committee later calculated the value of siphoned gas at $1.55 billion (around Rs 13,700 crore) and added interest of $174.9 million (Rs 1,548 crore). Reliance initially received relief through a settlement, but in February 2025, the Delhi High Court struck it down, calling it against public policy.

Possible implications if probe proceeds

If the CBI initiates a formal investigation, it could be a significant setback for Reliance. The company may face not only recovery proceedings but also potential criminal liability. ONGC stands to gain financially if losses are recovered. The case could also reshape discussions on corporate accountability and transparency in India’s energy sector, especially regarding the relationship between private companies and public sector enterprises. The petitioner believes that a thorough CBI investigation will ensure fairness and deter future corporate frauds.

Summary points

• Bombay High Court issued notices to CBI and Centre over gas theft plea.
• Allegations claim Reliance stole Rs 13,700 crore worth gas from ONGC wells.
• Case relates to KG Basin operations between 2004 and 2013.
• Petition names Mukesh Ambani and company directors for fraud and cheating.
• Reliance denies charges, saying gas migrated naturally into its wells.
• Expert report contradicted Reliance’s claim, confirming unauthorised extraction.
• Next hearing on November 18 could decide if CBI probe proceeds.