A UK court has directed Reliance Group chairman, Anil Ambani to pay $100 million within six weeks towards a conditional order granted to three China-based banks pursuing the recovery of over $680 million owed to them as part of a loan agreement.
The court did not accept Ambani’s defence of his net worth being nearly zero or that his family would not step in to assist him when “push came to shove”. Further, the court expressed particular criticism of a “lack of candour” and “transparency” on the part of Ambani’s defence in reference to his financial means.
The lawsuit was filed by three China-based banks- Industrial and Commercial Bank of China Limited, China Development Bank and the Export-Import Bank of China, alleging that they had provided a loan of $925 million to Reliance Communications (RCOM) in 2012, on a condition that Anil Ambani personally guarantee the debt.
However, the Reliance Group has indicated its plans to appeal against the ruling, which will involve a process of seeking permission to appeal.