On 25 September, when Anil Ambani appeared in UK court for questioning, he insisted that his lifestyle is not “luxurious” and that he does not possess “anything significant”.
Anil Ambani (Photo: PTI / file)
Appearing in UK court on Friday for cross-examination in a loan repayment case, Anil Ambani stated that he had no significant assets and that his expenses were borne by his wife, Tina Ambani, and her family.
In February 2012, Reliance Com took out a loan of more than $ 700 million from three Chinese banks to which Anil Ambani provided personal guarantee.
The company, now in the process of insolvency, defaulted on the loan for which the banks sued it. The three banks in question are Industrial and Commercial Bank of China Ltd Mumbai Branch, China Development Bank and Exim Bank of China.
On May 22, 2020, Judge Nigel of the Commercial Division of the London High Court ruled that Anil Ambani must honor the guarantee provided.
“It is declared that the guarantee is binding on the defendant [Anil Ambani]”the court said, instructing it to pay about $ 7.17 million, including legal costs, to the three Chinese banks by June 12, 2020.
Faced with the non-payment of the fees, the banks requested that their assets be declared. Finally, the court ordered Anil Ambani to declare her assets worldwide on June 29 via an affidavit.
On September 25, when Anil Ambani appeared in court for questioning, he insisted that, contrary to belief, his lifestyle is not “luxurious”. Anil Ambani said that she leads a simple life, drives a car and owes money to her family.
The three Chinese banks have made it clear that, based on the information received in cross-examination, they will seek “all available remedies against Anil Ambani.” They said legal avenues will be explored to “recover the outstanding credit owed to them.”
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