Anil Ambani thanks brother Mukesh for 'timely support' in clearing RCom dues

Share

"The said transactions have become incapable of being consummated in accordance with the terms thereof, on account of various factors and developments since the execution of the said agreements almost 15 months ago.", RCom said.

Billionaire Anil Ambani Monday thanked his brother Mukesh and his wife Nita for extending "timely support" after his debt-laden firm Reliance Communication cleared payments due to a service provider just a day before expiry of deadline set by the Supreme Court.

The embattled former billionaire, Anil Ambani, thanked his brother Mukesh and sister-in-law after Anil's Reliance Communications Ltd. completed the required 5.5 billion rupee ($80 million) payment to a local unit of Ericsson AB for past maintenance services provided to his group.

The Supreme Court in February found that Ambani, 59, had refused to pay telecom giant Ericsson 5.5 billion Indian rupees ($77 million), as previously ordered by India's top court.

But repeated failure by RCom to comply with the promise and Ambani's personal guarantee landed him in trouble last month when the Supreme Court held him in contempt.

Shares of Reliance Communications fell by nearly 10 per cent on India's Bombay Stock Exchange at the close of markets on Monday, just the latest sharp dip.

Key moments in the case against actor Jussie Smollett
Glandian said she would welcome cameras because "demonstrably false" evidence has been presented against her client. Investigators say they have a $3,500 check that Smollett used to pay the brothers to help him.

The payment made on Monday is expected to bring curtains down on the bitter and protracted face-off between Reliance Communications and Ericsson over the outstanding dues. The nation's policy makers and courts have been cracking down on delinquency to help banks saddled with the world's worst bad-loan ratio.

Further, the non-receipt of requisite permissions and approvals from the Department of Telecommunications (DoT), and the decision by the RCom board at its meeting on February 1 to seek fast-track resolution of its overall debt through the National Company Law Tribunal (NCLT), were among the other reasons.

The Ambani brothers used to serve as executives at their father's company. Based on current foreign-exchange rate, his net worth would've been at least $31 billion in 2008. Following their father's passing in 2002, the siblings got into a high-profile dispute over control of the sprawling conglomerate.

This was among a series of deals between brothers Mukesh and Anil, who had parted ways in 2005, after carving the Reliance empire into two.

Mukesh Ambani also re-entered telecom with the creation of Reliance Jio Infocomm. His nationwide 4G network, which debuted with free services in 2016, has disrupted the industry, forcing rivals including RCom to bleed, merge or exit the business.

Share