Back then on the tragic day of Dhirubhai Ambani’s demise on July 6, 2002, the two of his brilliant sons were the center of business talks. Who’ll take over the mammoth Reliance Industry? Reliance was equally cared by sons.
Nevertheless, as quite common in all the families across the world, the two brothers split Reliance Industry in December 2005 – ADA (Anil Dhirubhai Ambani) was formed in 2006. While one is heading to becoming the richest
person of the world, the other is now finished.
Among both the sons, Anil had been always merrier and sober version of Dan Bilzerian who’d indulged in fun, glory, and glamour. With the net worth of forty-two billion dollars, he was the one who was more flashed on the headlines all across. In 2008, the rich guy appeared on Forbes stealing the sixth position on the list of the richest man in the world with his whopping net worth.
If we believe industry experts, Anil Ambani’s aim was to make ADAG the biggest shot in the telecom and infrastructure and, therefore, he took some vigorous and hasty steps with aggressive marketing and investment. The deals failed, mismanagement happened in hurry, and ultimately lawsuits flopped. This all brought ADAG to halt which again pissed him off.
It is said that in 2018, the company of ADAG debt was reported approximately 1.8 lakh crore and in 2019, the company registered the debt of over 45k crores! The revenue by then had slashed down to 1700+ crores from over 28K crores. Once the major company starts going to dogs, the other companies also follow the same path.
Anil Ambani owes other companies nearly 700 billion dollars. The legal recovery officers also questioned his fleet of luxury sedans and SUVs, private charter plane, and the two-storey house in Mumbai; nevertheless, the unfortunate man said that those assets were not his personal but a part of his corporate entity.
He himself and his lawyer argue that the biggest blow his company had was in 2012 where there was an unprecedented downturn in India where telecom sector was affected the most. Anil Dhirubhai Ambani Group (ADAG)’s Reliance Communication’s fall was then unrecoverable.
The businessman said that he had a personal deficit of approximately three hundred million dollars and the net worth shrunk from seven billion dollars to literally nil by the end of the year 2019.
The story tells that it does not matter whether you have a big name and an empire, it may be brought down to ashes if you fly too high and don’t plan things well.