Asia’s richest businessman Mukesh Ambani’s younger brother Anil Ambani’s bad time is not taking its name. Their companies are going down one after the other. Sometimes he himself has to take his company into bankruptcy process and sometimes another company drags him into this proceedings. One such case has been seen with Reliance InnoVentures.
Anil Ambani’s company has been brought to NCLT and entered into insolvency proceedings. In fact, American financier Jesse Flower has brought Anil Ambani’s company to NCLT for loan default. In the month of December last year, the US-based financier had taken a bad loan of Rs 48,000 crore from Yes Bank. In which Anil Ambani’s loan was also included.
Has defaulted on payment
According to the Economic Times report, Reliance InnoVentures had taken loans from Yes Bank in the years 2015 and 2017. After which Yes Bank handed over the loan of about Rs 1000 crore of Reliance Innoventure to JC Flowers. Was given by Yes Bank in the form of term loan and non-convertible debentures. Jesse Flowers said that Anil Ambani’s Reliance InnoVentures had to pay an interest of Rs 100 crore, which Reliance has defaulted on. According to the ET report, Reliance InnoVentures has denied any kind of default.
On behalf of InnoVentures, it has been claimed that the collateral they have given to the finance company is sufficient to meet its loan. It claimed that the creditor had sold shares of four Reliance Group companies at an unnecessary time, due to which the shares of those companies had seen a decline. Shares of Reliance Infra, Reliance Power, Reliance Capital, and Reliance Home Finance were held as collateral for loans availed by the holding company, amounting to Rs 2,598 crore in the 12 months prior to the fire sale in 2019, according to Reliance Innovesearch .
Yes Bank had sold these shares in 2019 for Rs 142 crore. After that the loan of the company went to JC Flowers. Anil Ambani’s company has claimed that JC has no right to go to NCLT. By the way, NCLT accepted the petition of the foreign company and said that they have proved both debt and default.
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