UPSC Prelims Practice Questions — Willingness to pay up may not save bank scam colluders: SC

Q1. Which one of the following Supreme Court Benches passed the February 2026 order directing the Enforcement Directorate to constitute a Special Investigation Team (SIT) and observing that 'willingness to pay up' cannot save bank scam colluders in the ADAG banking fraud matter?

  • A. A three-judge Bench headed by Chief Justice of India Surya Kant
  • B. A three-judge Bench headed by Chief Justice of India B.R. Gavai
  • C. A Division Bench headed by Justice Sanjiv Khanna
  • D. A Constitution Bench headed by Chief Justice of India D.Y. Chandrachud

Q2. With reference to the parallel CBI and ED investigations into the ADAG banking fraud case as reflected in the Supreme Court's 2026 orders, consider the following statements: 1. The CBI has registered 8 separate FIRs, while the ED has registered 3 Enforcement Case Information Reports (ECIRs) under the PMLA in this matter. 2. The Supreme Court directed the Enforcement Directorate, and not the CBI, to constitute a Special Investigation Team (SIT) of senior officers to probe the alleged nexus. 3. The aggregate wrongful loss reflected in the updated status report before the Court exceeded the initial alleged figure of ₹40,000–41,000 crore. Which of the statements given above are correct?

  1. The CBI has registered 8 separate FIRs, while the ED has registered 3 Enforcement Case Information Reports (ECIRs) under the PMLA in this matter.
  2. The Supreme Court directed the Enforcement Directorate, and not the CBI, to constitute a Special Investigation Team (SIT) of senior officers to probe the alleged nexus.
  3. The aggregate wrongful loss reflected in the updated status report before the Court exceeded the initial alleged figure of ₹40,000–41,000 crore.
  • A. 1 and 2 only
  • B. 2 and 3 only
  • C. 1 and 3 only
  • D. 1, 2 and 3

Q3. As referenced by the Supreme Court while monitoring the ADAG banking fraud probe in 2026, how many separate FIRs has the Central Bureau of Investigation registered in connection with the alleged siphoning of bank loans by ADAG group companies?

  • A. 3
  • B. 5
  • C. 8
  • D. 13

Q4. In the context of money laundering investigations in India, the term 'Enforcement Case Information Report (ECIR)' as used by the Enforcement Directorate is best described as which one of the following?

  • A. An internal document of the ED, analogous to an FIR, recorded to initiate an investigation into a scheduled offence under the Prevention of Money Laundering Act, 2002
  • B. A final prosecution complaint filed by the ED before a Special PMLA Court at the conclusion of investigation
  • C. A compliance inspection report issued by the ED on regulated entities under the Foreign Exchange Management Act, 1999
  • D. A request submitted by the ED to a magistrate seeking judicial cognizance of predicate offences in a scheduled list

Q5. With reference to the ADAG banking fraud matter being monitored by the Supreme Court in 2026, which of the following are correctly identified as ADAG (Anil Dhirubhai Ambani Group) entities whose alleged loan diversion is under investigation? 1. Reliance Communications Ltd 2. Reliance Power Ltd 3. Reliance Home Finance Ltd 4. Reliance Industries Ltd Which of the above is/are correctly identified?

  1. Reliance Communications Ltd
  2. Reliance Power Ltd
  3. Reliance Home Finance Ltd
  4. Reliance Industries Ltd
  • A. 1 and 3 only
  • B. 2 and 4 only
  • C. 1, 2 and 3 only
  • D. 1, 2, 3 and 4