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
Please read my comments as "if bjp is elected" instead of "if bjp is collected". Sorry for type error
This hate monger is master degree holder in chamchagiri + fekugir. His statement to fulfil below things only if bjp is collected :
mesta case to be handed over to cbi
Real killers of Mesta will be arrested
All farmers will be given interest free loan
christians will get free ticket to travel jeruslem
Students will get free education
crores of job will be created
every village will be clean and free from having nature call in open air
there will be no riot
black money will be return and every indian citizen will get Rs. 15 lakhs
Mallya / Modi and every robber will be brought back to india
India will attack pakistan and destroy millitants
India will attack china and take back the land occupied by chinese troops
All bangadeshis will be sent back to bangladesh
Cow will be awarded as national animal
Ram mandir issue will be solved
Mahadevi issue will be solved
Kaveri water issue will be solved
Karnataka Goa issue will be solved
Kashmir issue will be solved
panditsw will return to Kashmir
His utterances are against the spirit of Federalism and Democratic principles. Being an MP & President of ruling party his words should match with his position. But alas! it sounds like whistle blowing of a local gang leader.
Want black money back--- Elect BJP
Want employment - Elect BJP
Want Ram mandir - Elect BJP
Want beef ban - Elect BJP
Want communal riots- Elect BJP
Finally if need all the above JUMLA's ....... Elect Only BJP
Nobody can beat Amit shah, except FEKU
BJP leaders will compete each other during election time for showing their efficiency in delivering more powerful believable lies
Mr. Shah.. You are such a shameless creature.. First you put to practical your previous election promises
Add new comment