Setback for Karnataka Congress as senior leader CH Vijayashankar hops back to BJP

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.

Bengaluru, Mar 27: A 65-year-old coronavirus patient who died in Karnataka this morning after apparently contracting the infection on a train ride has raised concern about community transmission of the highly contagious disease.
The man, the 60th coronavirus patient in Karnataka, died in Tumakuru. It is not known for certain how he caught the virus. The Karnataka Health Department has posted a notice on Twitter asking whoever travelled with him on train to come forward.

He had no history of recent foreign travel but had apparently traveled to Delhi on March 5 by Sampark Kranti Express and returned on March 11.

On March 7, he arrived at Delhi's Nizamuddin station and participated in an event at Jamia Masjid.

The man took a train back on March 11 and arrived at Yeshwantpur in Bengaluru. From there, he took a bus on March 14 to his hometown Sira.

He first showed symptoms of COVID-19 on March 18 and was taken to a private hospital. He was sent home with medicines but his condition worsened.

On March 23, he was admitted to a district hospital, but checked himself out against all advice and went to a private hospital. When his health showed signs of deterioration, he was again sent to the district hospital, where he tested positive for coronavirus yesterday. He died around 10.30 am today.

The health department has since traced 24 people who came in direct contact with him and are so, in the high-risk category. Thirteen are in hospital and eight have tested negative.

"All passengers who had travelled with him on the train are being traced," K Rakesh Kumar, Deputy Commissioner, Tumakuru, was quoted as telling news agency ANI.

A 70-year old woman and a 76-year old man had died of coronavirus or COVID-19 earlier in Karnataka.

India has over 700 coronavirus cases, including 17 deaths.