Big brother Mukesh Ambani saves Anil Ambani from going to jail in RCom-Ericsson case, Rs. 550 crore dues paid

Reliance Industries Limited (RIL) Chairman Mukesh Ambani came to aid of his younger bror Anil Ambani on Monday, most certainly saving latter from going to jail, by assisting in paying off Supreme Court-stipulated amount that Anil Ambani's Reliance Communications (RCom) owed in dues to Swedish company Ericsson. 

repayment of dues comes in nick of time for Anil Ambani, with Supreme Court's deline set to expire on Tuesday.

Anil Ambani thanked his bror Mukesh Ambani, chairman of Reliance Industries Ltd, and his wife Nita Ambani after his debt-len firm RCom cleared Rs 550 crore dues of Ericsson. Mukesh Ambani has provided around a whopping Rs 450-crore bailout to younger bror Anil Ambani.

"My sincere and heartfelt thanks to my respected elder bror, Mukesh, and Nita, for standing by me during se trying times, and demonstrating importance of staying true to ir strong family values by extending this timely support. I and my family are grateful and deeply touched with ir gesture,” Anil Ambani said in a released statement.

stepping-in of big bror Mukesh Ambani to help Anil Ambani comes almost 13 years after larger Reliance Group was split between two brors in 2006. 

apex court h on February 20 held Anil Ambani guilty of contempt of court for willfully violating its order and t paying up Rs 550 crore owed to India arm of Swedish telecom equipment major. Justice RF Nariman-led bench h ordered RCom to pay Rs 453 crore to Ericsson India within four weeks failing which younger Ambani would face a three-month jail term. remainder of amount h alrey been paid.

At that time, Reliance Communications h said "We respect Hourable Supreme Court judgement. RCom Group shall comply with same."'

Supreme Court h also at that time imposed a Rs 1 crore fine each on Anil Ambani, as well as Reliance Telecom chairman Satish Seth and Reliance Infratel chairperson Chhaya Virani, with a one-month jail stint set to be awarded h y failed to pay fine within four weeks. 

deal between Reliance Communications - once a big player in telecom - and Ericsson extends back to 2014, long before RCom came to be encumbered by a massive debt at a time when Reliance Jio's entry disrupted telecom market and triggered a massive consolidation. In fact, a deal h even been agreed for sale of RCom's assets to Reliance Jio in an effort to pare debt, but it fell through on account of Department of Telecom (DoT) holding that Jio should also be transferred RCom's arrears. Since n, RCom filed has entered NCLT (National Companies Law Tribunal) for a resolution. Both se - failed assets sale to Jio and insolvency proceedings - h been cited by RCom for its earlier inability to pay off dues owed to Ericsson.