Indian business and telecoms magnate, Anil Ambani, has resigned his position as chairman of indebted conglomerate Reliance Communications, along with a number of other senior figures…
Indian business and telecoms magnate, Anil Ambani, has resigned his position as chairman of indebted conglomerate Reliance Communications, along with a number of other senior figures.
Ambani has been a stalwart of the Indian Telecoms sector, and has helped to fast track India's digital revolution. Ambani has lead RCom since 2006.
"Reliance Communications has been admitted under the Insolvency and Bankruptcy Code since May 15, 2018. The resolution professional has been in control of the company and the board has been superseded,” Ambani said in his resignation letter.
“The resolution of Reliance Communications Ltd is now imminent under the NCLT process. In light of these developments, I hereby tender my resignation as director of Reliance Communications Ltd, with immediate effect. Let me take this opportunity to thank all the directors for their longstanding support.”
Earlier this year, Ambani narrowly avoided jail after network equipment provider Ericsson took him to court over unpaid dues of around $77 million. RCom eventually made payment, sparing Ambani a custodial sentence, but the company soon fell into administration.
RCom's share price fell to 0.55 rupees per share, an 8 per cent drop, upon the news of Ambani's resignation.