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.
“Indians are failing to uphold the principles of Hindu religion,” lamented Dr K Marulasiddappa, the former chairman of the Karnataka Nataka Academy and an exponent of drama.
Comments
OK let's believe hinduism is fake, but why you guys don't teach quran in right way to terrorist.
Give me any verse from gita which say kill those non-bealiver who does not believe krishna. It's not your duty to kill innocent people at all.
You guys are already brainwashed, hence you never get what is humanity. In daily prayer, you don't seek help from GOD, you just say only allah should be worship, other are fake. It is not prayer, is it making someone into box, which he will never get out of it in whole life.
When Buddhist or Muslims ruled India was their greatest time period in history.
i take pity on wrong beliefs for Hinduism. The best available books on management,maths,politics,economics,philosophy,exercise,yoga are the parts of Hindu religion. The oldest religion in the world.
The people in the world are highly motivated and inspired by hindu religion.
muslims are safe only in countries where they are in minority, wherever they are in majority they are nuisance to themselves as well as others, take any country for example. Imagine if india was muslim country, muslims will make life hell for themselves.
No body will worship a sadist god who will burn some one eternally in hell for their finite crimes. No one believes that soul which has no birth and death is extracted from living , given a new body at time of judgement day and eternally lives in heaven or hell.
No one believes in a god who comes here and there and talk nonsense to so called angels and prophets , but can be heard only , not seen. No one believes in a god who is somewhere up above only but not everywhere or beyond space and time limitations.
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