In 2019, Dutch investigators alleged that a contractor working on the East-West gas pipeline project in India used over-invoicing and intermediaries to divert funds. East West Pipeline Ltd and Reliance Industries Ltd denied wrongdoing and disputed how the allegations related to them. The reported claims were allegations, not established findings; the sources cited here do not show the final outcome of the Dutch investigation.
What did Dutch investigators allege?
In April 2019, Dutch investigators alleged that A Hak NL made large profits by over-invoicing work and services supplied for the pipeline project by its UAE contractor, A Hak International Contractors Asia FZE. The reported work for Reliance Gas Transportation Infrastructure Ltd (RGTIL) took place from 2006 to 2008. Investigators also alleged that funds passed through intermediaries and that Singapore-based Biometrix Marketing Ltd was linked to Reliance. These claims were reported by The Indian Express; the cited sources do not establish them as judicial findings.
The reported sums were separate allegations
The figures in the 2019 report describe different alleged transactions, not a single verified loss. The Indian Express reported investigators’ allegation that about $1.1 billion was invested in two companies allegedly related to RGTIL. Separately, it reported an allegation that about $1.2 billion in profits was diverted from the UAE contractor through four insurance companies. The report also attributed to the Dutch Prosecutor’s Office an allegation that three former A Hak executives received payments of up to $10 million. None of these amounts is established here as a proven diversion, loss, or finding of guilt.
How did East West Pipeline and Reliance respond?
East West Pipeline’s denial
East West Pipeline said the project was funded by private promoters, that borrowings had been repaid, and that it had complied with applicable rules and laws. It rejected the allegation of money laundering, stating: “We strongly deny any suggestion of any money having been laundered at any stage during the implementation of the project.” The statement was attributed to the company, not to a named individual.
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Reliance Industries’ position
Reliance Industries issued a separate statement disputing the report’s connection to the company. It said: “RIL or any of its subsidiaries neither set up any gas pipeline in 2006, nor have contracts with any Netherland company for setting up of any gas pipeline and hence the report cannot relate to RIL.” Reliance also said it had complied with applicable laws and denied impropriety. These statements record the companies’ positions; they do not determine what investigators ultimately concluded.
What happened after the reports?
Financial Express reported that India’s Petroleum and Natural Gas Regulatory Board (PNGRB) began examining the matter after the reports. It also reported that three former A Hak employees arrested in the Netherlands were later released. The available sources do not document the result of PNGRB’s examination or the eventual Dutch investigative or court outcome. The reported release is not, by itself, evidence that the allegations were resolved or disproved.
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Who owns the East-West Pipeline now?
The names and ownership have changed since the events described in the 2019 reporting. RGTIL was renamed East West Pipeline Ltd, the company referred to in the contemporaneous reports. A 2019 Appellate Tribunal for Electricity judgment identifies Pipeline Infrastructure Ltd as the pipeline’s appellant and operator. More recently, a CRISIL Ratings rationale dated March 9, 2026 says Pipeline Infrastructure Ltd owns the pipeline and took it over from Reliance Industries Holdings Pvt Ltd on a going-concern basis in 2019. CRISIL says Pipeline Infrastructure Ltd is now wholly owned by Energy Infrastructure Trust.
The descriptions of the route differ by source and date. The tribunal’s 2019 judgment describes a 1,460-kilometre common-carrier natural gas pipeline running from Gadimoga, Andhra Pradesh, to Bharuch, Gujarat, through Telangana, Karnataka, and Maharashtra. CRISIL’s 2026 rationale describes a 1,480-kilometre line from Kakinada to Bharuch. These are source-specific descriptions, rather than a basis here to choose one measurement as definitive.
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CRISIL also says Reliance Industries has contracted capacity under a 20-year pipeline usage agreement. That later commercial arrangement does not prove or disprove the 2019 allegations. The article’s historical reference to Reliance ownership should therefore not be read as a description of the pipeline’s current owner.
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