BUSINESSMAN CHAIRMAN OF RELIANCE INFRASTRUCTURE
NAME: Anil Dhirubhai Ambani
DATE OF BIRTH: 4th of June 1959.
PLACE OF BIRTH: Mumbai, Maharashtra, India.
PARENTS: Dhirubhai Ambani, Indian Business Tycoon (Father) and Kokilaben Ambani (Mother)
SIBLINGS: One brother & two sisters.
SPOUSE: Tina Ambani
CHILDREN: Two sons
SCHOOL(s): Hill Grange High School, Peddar Road, Mumbai.
COLLEGE(s):
- Kishinchand Chellaram College, University of Mumbai.
- The Wharton School, University of Pennsylvania.
EDUCATIONAL QUALIFICATION(s):
- Bachelor’s degree in Science.
- Master’s degree in Business Administration.
OCCUPATION: Businessman.
DESIGNATIONS:
- Chairman, Reliance Group (2006).
- Member of Parliament, Rajya Sabha (2004-06).
AWARD(s):
- ‘The CEO of the Year 2004’ in the Platts Global Energy Awards.
- ‘Businessman of the Year 1997’ award by India’s leading business magazine Business India, December 1998.
NET WORTH: US $ 82.5 million in assets against US $ 305 million in liabilities (February 2020) (Net worth Zero)
CHARGES: Bankrupt, Insolvent
BRIEF BIOGRAPHY:
Anil Dhirubhai Ambani is an Indian business tycoon and former member of Rajya Sabha from Uttar Pradesh as an Independent MP between 2004 and 2006.
He is the younger son of business giant Dhirubhai Ambani, founder of the Reliance industries, petrochemicals, communications, power and textiles, a conglomerate company.
In 1983, Anil Ambani joined Reliance, a conglomerate company, as the Co-Chief Executive Officer. Currently he is the chairman of Reliance Group (also known as Reliance ADA Group), which was created in July 2006 following a demerger from Reliance Industries Limited.
After the death of his father Dhirubhai Ambani in 2002, the tussle between his and his elder brother, Mukesh Ambani has been started in the matter of division of family owned business.
But later on his mother mediated and split the business between the two brothers, the same was approved by the Bombay High Court. In the early stages of his business career he holds the position of sixth richest person in the world.
However in the present time he declared before the UK court that his net worth is zero and he is bankruptcy. He gained immense success in the earlier times of his business career but after that gradually he becomes bankrupt. He was locked in various legal battles from Indian Courts to UK High Court.
LEGAL BACKGROUND:
ERICSSON INDIA PVT. LTD. CASE
Reliance Communication Limited and others vs. State Bank of India and others, AIR 2019 SC 1196 or (2019 SCC Online SC 240)
The Supreme Court in the judgement dated 20/02/2019 held Anil Dhirubhai Ambani and his Reliance Communications (RCom) guilty of contempt for not paying INR 550 crore dues to the Swedish telecom company Ericsson India Pvt. Ltd.
The matter came before the apex court when the RCom failed to pay INR 550 crore, which was to be paid by 30 September 2018 and further deadline extended to 15 December 2018. In the judgement the court held that “three Reliance companies had ‘no intention’ to pay the money it owed Ericsson and consequently their conduct amounted to contempt”.
The court further warned that he (Anil Ambani) would face three month jail if he default in payment. Later on Anil Ambani’s Reliance Communications (RCom) paid Ericsson dues by raising around Rs 460 crore by leasing corporate assets to a group company of Mukesh Ambani’s Reliance Industries.
CHINESE BANK’S CLAIM CASE (UK HIGH COURT)
IN THE HIGH COURT OF JUSTICE, BUSINESS AND PROPERTY COURTS OF ENGLAND AND WALES, QUEEN’S BENCH DIVISION, COMMERCIAL COURT.
Industrial and Commercial Bank of China Ltd, Mumbai Branch vs. Anil Ambani, [2020] EWHC 272 (Comm.)
In 2012, during the normal course of business Anil Ambani borrowed a money from the three Chinese bank, CDB, ICBC and C-Exim, on the condition that he personally guarantee the debt. However, the defendant party always contented that the loans were not the personal borrowings but were corporate loans.
Though this contention was rejected by UK High Court and ordered him to pay USD 717 million to Chinese banks. But recently in the online hearing Anil Ambani pleaded that his net worth is zero and have nothing meaning full.
FAMILY OWNED BUSINESS DISPUTE CASE
In 2002, after the death of his father Dhirubhai Ambani due to a massive stroke. The feud has been started between the brothers. The main reason behind this was the patriarch hadn’t left a will and his elder son Mukesh Ambani became chairman and managing director of Reliance Industries Ltd while his younger son, Anil Ambani was made vice-chairman and reportedly Mukesh Ambani tried to oust Anil from the board.
Amid all these things mother Kokilaben intervened and the Ambani brothers settled their dispute and arranged a de-merger i.e. split Reliance into two different companies.
Later on in September 2005 The Bombay High Court approved the de-merger for Reliance Industries shareholders after it was accepted by the Bombay Stock Exchange and the National Stock Exchange.
Elder brother Mukesh Ambani got Reliance Industries included control of oil and gas, petrochemicals, refining and manufacturing while Anil was given control of Reliance Infocomm., Reliance Energy and Reliance Capital included electricity, telecoms and financial services.