Mumbai, Feb 8: Anil Ambani, the brother of Asia’s richest man has pleaded poverty in his dispute with three Chinese banks seeking $680 million in defaulted loans.
“The value of my investments has collapsed,” Anil Ambani said, according to a court filing by the banks in a London lawsuit.
“The current value of my shareholdings is down to approximately $82.4m and my net worth is zero after taking into account my liabilities. In summary, I do not hold any meaningful assets which can be liquidated for the purposes of these proceedings.”
The lawsuit was filed by three state-controlled Chinese banks which argue that they provided a loan of $925 million to Ambani’s Reliance Communications Ltd. in 2012 with the condition that he personally guarantee the debt. The comments were disclosed on Friday as Ambani sought to avoid depositing hundreds of millions of dollars with the court ahead of a trial.
The embattled Indian tycoon says that while he agreed to give a non-binding “personal comfort letter,” he never gave a guarantee tied to his personal assets -- an “extraordinary potential personal liability.”
The 60-year-old is the brother of Mukesh Ambani, who’s worth $56.5 billion and is the wealthiest man in Asia. Anil, on the other hand, has seen his personal fortune dwindle over recent years, losing his billionaire status. His Reliance Communications filed for bankruptcy last year.
The banks asked Judge David Waksman to force Ambani to put up $656 million into the court’s account.
Representatives for Ambani’s Reliance Group said they couldn’t immediately comment. They said the group will issue a statement once the court issues the final order.
Ambani’s lawyer, Robert Howe, said the court shouldn’t order his client to make a payment he can’t make. The tycoon argues that an order requiring him to do so would hinder his ability to defend himself in the case, Howe said.
“There’s no evidence of some giant pot of gold that he can pull $1 million, let alone $10 million, let alone $100 million,” Howe said.
Bankim Thanki, an attorney representing Industrial & Commercial Bank of China Ltd., China Development Bank and the Export-Import Bank of China, said in a filing that Ambani’s statements are “plainly a yet further opportunistic attempt to evade his financial obligations to the lenders.”
Ambani was caught up in another legal wrangle last year when India’s Supreme Court threatened him with prison after Reliance Communications failed to pay Rs 5.5 billion ($77 million) to Ericsson AB’s Indian unit. The judges gave him a month to find the funds, and his brother, Mukesh, stepped in just in time to make the payment.
Anil said in a filing that he recognized that the judge would want to know if he could satisfy any order to put up funds from outside resources, including his family.
“I can confirm that I have made enquiries but I am unable to raise any finance from external sources,” he said. Judge Waksman had said in an earlier ruling that he believed Ambani’s defence would be shown to be “opportunistic and false.”
Ambani’s lawyer told the judge that as a result of the comments the tycoon’s relatives were unlikely to lend any funds.
There is a “very substantial risk they will never get it back,” Howe said.
Comments
i dont see 2 fools commenting anything here....naren and viren.....
Let this unity and understand remain between us..If we public live in this attitude the Bajrangeez will leave India.....Jai HInd.......
Manoj
Dragging religion on terrroism - Its also a narrow minded deception from the media.. right . When someone does good it irks others..
Inala lilai wainail rajoon
Nowardays people think Muslim's are bad, even if they do a job still some non Muslim's problem, as per u all know.... Instead praying for them for rest in peace ,bringing religious issues and matter in middle.... My people pray for them ...and leave all hateness between religion.... Pray allah u give them high place and degree in janah
Dear Manoj,
The intention of specifying the rescuer as MUSLIM, is just to show dot those ill minded people who have negative image on all Muslims.
This is the logic behind it. Everybody should know though the choice of religion is their own will/ business. However maintaining harmony with other religion has no bound and no barrier.
Unfortunately religion has been identified in the society as TITLE of Criminals OR Innocents.
We are way behind KERALITES as they live together peacefully with cooperation, in harmony, keeping the religion as their own business.
Religion never says to severe the relation with others.
Let us make our living style also same as Keralites or better than them.
May God Help
Dear Manoj,
The intention of specifying the rescuer as MUSLIM, is just to show dot those ill minded people who have negative image on all Muslims.
This is the logic behind it. Everybody should know though the choice of religion is their own will/ business. However maintaining harmony with other religion has no bound and no barrier.
Unfortunately religion has been identified in the society as TITLE of Criminals OR Innocents.
We are way behind KERALITES as they live together peacefully with cooperation, in harmony, keeping the religion as their own business.
Religion never says to severe the relation with others.
Let us make our living style also same as Keralites or better than them.
May God Help
True Muslim
Inna lillahi wa inna ilaihi rajiwoon.
May ALLAH grand him Jannathul Firdous - AAMEEN
CD, the heading line seems as COMMUNAL
May All you saved entire human being \ - Holy Quran.lah bless him Jannah In sha Allah. \" Saving one innocent is equa
I salute you, as a great muslim and a great Indian."
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