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
Dear unknown,
you are the only third grade person in the world who bring religion in all matter,
who is hitler ? kill is uncontable
who is bush ? kill is uncountable
who is modi? killer of gujrath genoicide
people with black suite sitting in parliment and who put bomb on innocient civilin are great & patroit people.
people who fight back are criminal and terror.
we are proud of our islamic religion and not like your assh*le religion who worship million god without address
replace your gobar brain to human brain!! life will enlight
Why these brainless people are killing each other for party.. That killers fate also will be same. But it will be by some other goons
Again political rivalry came into limelight
Shameless creature.. they all doing to defame Islam. True follower of Islam wont do such things
Arrest all goons. Police hesitate to arrest most of the goons because they are working for party as their goon
To where these youths heading.. Shocking
Interesting fact is while classifying terrorists and criminals on the basis of their religion, Most of them are Muslims. I dont know why, but still they will address them as peace lovers and their religion is peaceful one
Inna lillah. I could not understand why Muslim youths are following Shaitaan and making their way to Jahannum. Will they be able to return the life of the youth? Why are they blind? why cant live and let leave other peacefully. No political party will come to your help when you need it. Political party will use you for the benefit only. May Allah bless the deceased with magfirah and bless with right way of thinking to the youths who are running away from right path.
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