Anil Ambani-led Reliance Group has been named by the lawyer representing UK's financial sector regulator in a case involving two former UBS wealth management executives.

The lawyers allege that the UBS private banker allowed creation of an illegal offshore investment vehicle for the Indian group, believing that the powerful business group among its clients would allow it to bend rules.

The lawyers told a tribunal in London that the Indian group’s involvement can be ascertained by email evidence submitted to the hearing this week. The claim is in the case involving two former UBS wealth management executives, who are accused of financial wrongdoing.

According to the evidence shown, Kurt Kumschick, who was UBS’s marketing head for wealth management in the India-Pacific region, has told his staff that the decision to open the investment vehicle would be a business decision as it will be an illegal entity under the Indian law.

The email from Mr Kumschick on March 20, 2007 read, “I would support the decision to go ahead based on the following: the client is a mega client for wealth management and a key relationship account for the investment bank ... Our mega client is among the top three industrialist [sic] in India with enormous influence in the country and able to interact with regulators and authorities as required.”

UBS officials said that Mr Kumschick died this week. He is not represented at the court.

The UK’s Financial Services Authority is now trying to impose a fine of £1.25m on Sachin Karpe, the senior UBS banker who tried to create the investment vehicle for Mr Ambani