ADAG Group Chairman Anil Ambani may soon be out of the prestigious billionaires club. With his wealth depleting and debt piling up, his net worth may soon drop below $ 1 Billion. Over a decade ago, in March 2006, a few years after the division of the late Dhirubhai Ambani’s empire between his two sons; Anil Ambani had even toppled his elder brother Mukesh to become the third richest Indian after Laxmi Mittal and Azim Premji. And a year later, he was even featured on the Forbes list of wealthiest individuals in the world slotting in at 18th rank with a personal fortune of $ 18.2 Billion. However, it has since been a downward journey for him.
Following a similar trajectory to its promoter, Mr Ambani’s flagship company, Reliance communications, from once being the crown jewel of the telecom sector and having a peak market cap just shy of ₹ 1,70,000 crore in early 2008, made its way into bankruptcy court few months ago becoming the second telecom operator after Aircel to undergo insolvency proceedings.
Claims received against the beleaguered telecom major RCom amounts to ₹ 57,383 crore and claims admitted by the resolution professional is ₹ 49,224 crore. Firms within the same ADAG Group have submitted claims as well against its sister concern RCom amounting to ₹ 7,000 crore. The resolution professional however, has not admitted any of them and marked them for verification.
What is surprising to see is that Chinese Banks account for the largest amount of claims accounting for more than 25% of total claims. China Development Bank, China Exim Bank and Industrial & Commercial Bank of China have ₹ 9,863 crores, ₹ 3,356 crores and ₹ 1,555 crores of dues submitted respectively.
Other big claimants include SBI, LIC, Bank of Baroda and Axis Bank.
Let us also recall that elder brother Mukesh Ambani’s Reliance Jio had earlier offered to purchase RCom’s assets for ₹ 17,300 crore, however, the deal fell through after encountering regulatory hurdles.