Anil Ambani: Another company of Anil Ambani will be bankrupt! Know who dragged in NCLT.
New Delhi: The difficulties of heavily indebted businessman Anil Ambani are not taking the name of abatement. Another of his company Reliance Innoventures has been admitted by NCLT for insolvency proceedings. America’s financier GS Flowers (JC Flowers) has dragged Ambani’s company to NCLT. The American company claims that Reliance InnoVentures has defaulted on its debt payments. JC Flowers Asset Reconstruction Company took over Rs 48,000 crore bad loan portfolio of Yes Bank in December. In this way, the loan of Ambani’s company also came to him.
ET has seen court documents in this regard. According to them, Reliance InnoVentures had taken this loan from the bank in 2015 and 2017. Yes Bank had handed over Rs 1000 crore loan of Reliance InnoVentures to JC Flowers. This debt was in the form of term loan and non-convertible debentures. JC Flowers claims that Ambani’s company has defaulted on interest payment of Rs 100 crore. JC Flowers and Reliance Group did not respond to ET’s emails seeking comment. Reliance InnoVentures said in NCLT that it has not committed any default.
Company Claim
Anil Ambani’s company claims that the collateral it has given to the financier is sufficient to cover its debt. The company said that the creditor had conducted a fire sale of four Reliance Group companies at the wrong time, which led to a sharp fall in the shares. For this, the holding company had taken a loan of Rs 2598 crore and pledged shares of Reliance Infrastructure, Reliance Power, Reliance Capital and Reliance Home Finance. Yes Bank had sold these shares in the fire sale in 2019 for just Rs 142 crore. Thereafter JC Flowers took over the bad loan portfolio of the bank. Reliance InnoVentures also claimed that JC Flowers did not have locus standi to approach the NCLT. Accepting the plea of Jesse Flowers, the NCLT noted that the petitioner has established financial debt and default.
