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
The actual FACT is during Independence and Partition of India & Pakistan, British as usual left a piece of land so that there will be no peace between India & Pakistan (in-case if they join Hands they will become Super Power of the World). The only solution for Peace to Prevail is leave Kashmir to their people. Let them decide which part of Kashmir they want to stay, make partition, I know this won't be done as for political GAINS, Let the families of Politician start living in Kashmir and feel how it is to lose a loved ones. Just by blaming Pundits and Muslims wont work. Killing innocent people by either side is just to brainwash the Public and to keep the rivalry alive on the basis of religion and country.
Malala , you have yourself experienced how inhuman and ruthlessly atrocious Pakistan Government is. As they manipulated you and your family’s circumstances to harass, they are exploiting and manipulating India’s freeness and all-inclusiveness to keep Kashmir and its denizens in constant turmoil to get pleasure from other’s pain. They are doing same to Baluchistanis since partition and the Kashmiries of Pakistan held area are extremely unhappy and are in totters due to this policy of Pakistan.
Its Pakistan's fault not Indians....Pakistan should stop sending terrorists to India ...which is not happening at all....that is why Kashmiris suffering around there...
Malala should advise Pakistan government first not to involve with our domestic problems....
It is good for Kashmiris if they stay with India as far as their security and economic developments are concerned...
True that Malala has suffered beyond our imagination and came out of it bravely. But that doesn't make her an expert in everything.
Dear Malala, Can you please talk about the inhumanity and heartbreak in Pakistan-occupied Balochistan?
Malala Request you to please stay peaceful and stay happy and not say things that don't fit into ur vocab pls.
I didn't really used to like her but now my respect for her has gone up a lot.
Do you live in delusional world..what should paramilitary forces do if someone is breaking law and order of any country
Lets hope this time her voice will be heard as she has won Noble Prize for PEACE. Lets wish that India will keep Human Life above her EGO and will look Kashmir with HUMAN eye before there is no solution left
Dear Malala, Surely New Delhi government and Kashmiri people need to work together. Your concern is respected.
India in committing a genocide in Kashmir by killing innocent people SC must take notice of this.
As much as I admire Malala, I hate to see her get into Politics and Indo-Pak disputes. There are enough noises being made, or have been made, to no end.
please advise the kids to stop pelting stones and focus on studies to snatch the opportunities from rapidly growing Indian economy.
Thank you Malala for raising your voice in our support.
Since you are an influential opinion maker, I hope the world listen to you and stop the perpetrator from committing these atrocities against us.
Malalaji, Welcome to politics.
Dear Malala we respect you. But it is not government of India or Pakistan decide the future of Kashmir. There are some third parties who really want disturbance or conflict in the valley.
Trolls across the border always loved everything Malala spoke about. I hope they do the same now and accept stark reality!
Thank You Malala, for your kind words and care about Kashmiris
She is a teenage girl with little understanding of the dynamics of terrorism inspite of being a victim of it herself. The valley has been infected by the terror virus with religion which drove away the natural inhabitants of Pandits from Kashmir being hounded from mosque sermons. Many got murdered and not so lucky to escape. No one thought of their rights, now a generation has spent the life as refugee. Neither India nor local Kashmir government or the world body cares to it. However Pakistan terror export looks working well, but it is always the civilian who pays the price.
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