2024-04-05 23:35:03
New Delhi: Anil Ambani was once the face of Reliance Group. After the split of the group with elder brother Mukesh Ambani, Anil became the sixth richest businessman in the world. He had assets worth $42 billion. Where Mukesh Ambani expanded his business and became one of the richest industrialists in the world. At the same time, within a few years, younger brother Anil Ambani ruined everything. He became dependent on money. There came a time when he did not even have money to pay the fees to the lawyers. He had to pay his wife’s fees by selling her jewellery. Anil Ambani’s failure is a lesson in how bad choices and lack of foresight can destroy even the biggest business empires.
He was the only person responsible for Anil Ambani coming down from throne to the floor. His choices became the cause of his downfall. He started several companies simultaneously without proper planning or vision. Anil dreamed of becoming a big player in telecom, power, infrastructure and entertainment sectors. But, all his plans were poorly implemented. Higher than expected costs, wrong planning and low returns started pushing Anil Ambani into debt.
Anil Ambani went bankrupt
The debt on Anil Ambani’s companies started increasing. This forced him to sell one company after another. Due to his wrong decisions, telecom company RCom collapsed. The debt of this company had reached Rs 25 thousand crores. Anil Ambani took loans from Chinese banks on personal guarantee. But, he was unable to repay it. He had to appear in the London court. The court asked him to repay around Rs 5446 crore to three banks. Anil Ambani declared himself bankrupt in the court and said that he has no money left. The total debt was estimated to be around Rs 40,000 crore.
There was no money even to pay the lawyers’ fees.
Anil Ambani’s net worth became zero. He had to sell his wife’s jewelery to pay the lawyers’ fees. He had said that he had nothing left except a car. He is living a simple life. As of February 2023, his net worth was around Rs 250 crore. He has a 17 floor house in Mumbai. The debt of three banks was recently settled by Anil Ambani’s Reliance. Now two subsidiaries of Reliance Power – Kalai Power and Reliance Cleangen have resolved the huge debt of Rs 1023 crore.