The newspaper cited an identified company official as saying the sales were halted last month.
"As a corporate policy and to maintain business confidentiality, we do not comment on specific transactions," a Reliance spokesman told Reuters.
Twenty-five U.S. senators from both parties in April proposed giving President Barack Obama new leverage in the dispute over Tehran's nuclear ambitions: the authority to sanction companies supplying gasoline to Iran.
Iran is the world's fourth-largest oil exporter, but lacks the refining capacity to meet domestic demand and relies heavily on imports to guarantee fuel at the pumps.
Reliance operates a 660,000 barrels per day refinery at Jamnagar in western India and its subsidiary Reliance Petroleum Ltd commissioned a new export-focused 580,000 bpd plant adjacent to the existing refinery.
After reaching full capacity, the new refinery and the existing plant will make the Jamnagar complex the world's single-biggest supplier of fuels to the global market, pumping out 1.24 million bpd. (Reporting by Nidhi Verma)
