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.
"Whether it is named qabristan (graveyard) or shamshaan (crematoriums), nobody needs to be buried. There are 2-2.5 crore Hindu saints in this country who should have a memorial after their death. That will require land. There are 20 crore Muslims, all of them need a grave. Where is the land in Hindustan?" Maharaj said today.
Comments
First cremate this dog then bury to ensure he is fully dead, otherwise his atma may roam everywhere to make mischief activity by joining sanghi. One Atma is already there in country's top post.
real issue we are facing same problem in mangalore need to improvement
This fool needs immedaite treatment before he goes 100 percent mad and runs in the street without clothes. I hope the mother who gave birth to this fool is repenting for the mistake. She is also might be cursing him. He is a waste to our land and his chapter should be closed at the earliest. PM MOdi is silent on the remarks made by his chela. PM himself gave incorrect and illogic and irresponsble statement. Being a PM he should not have made such statement. I think Mukhtar naqwi and Shanawaz have agreed to sakshi maharge statement and given their consent to cremate their bodies after death.
How come these kind of funny and illiterates become MP ???? How funny he talks and if you check his history its shocking...
Barking dogs are not biting
The uneducated and unethical person
To correct him, he should be circimcised . He should be served with dogs, snakes in his daily food as it is done in Singapore...... If you want Hindu population, get married no of wives and produce children, But do not desert the wives like your Boss....
LOL, he thoughts INDIA means only Uttar Pradesh....
This guy surely gone mad!
Are Muslims responsible for all those 100 crore Hindu population.
Who let the dogs out....
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