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Ambani row: Mother may not mediate
Agencies | November 25, 2004 17:01 IST
Last Updated: November 25, 2004 17:29 IST
Kokilaben Ambani, mother of Reliance chairman Mukesh and vice-chairman Anil Ambani, is said to have refused to intervene in the 'ownership issue' seething within the Reliance group of industries.
Reliance founder Dhirubhai Ambani's widow has decided not to mediate in the issue, saying that she does not know enough about the family business. Sources, however, say that she does not want Anil Ambani to be left out of the family business.
Politicians, family members and well-wishers have been working towards settling the 'differences' between the brothers, but the efforts seem to have failed till date.
In the wake of a studied silence on the part of Anil Ambani, vice chairman of RIL, over the issue, the markets have turned jittery.
Also the absence of a joint statement by the two brothers clarifying that there was no problem between them has kept investors on tenterhooks.
While investors await some positive development on the issue, reports said that the two siblings are believed to be consulting their legal experts.
Meanwhile, M L Bhakta, who has agreed to reconsider his resignation from the Reliance Industries Ltd board, is reported to have said that he was working towards resolving the 'misunderstanding' between Mukesh and Anil Ambani.
In another significant development, six directors of Reliance Energy resigned from the board, leading to a drop in Reliance shares and the overall market sentiment
The directors who quit the REL board are S C Gupta, (director operations), Prof Ramachandran, Amitabh Jhunjhunwala, K H Mankad from Reliance Energy, Satish Seth and J P Chalssani.
Sources close to the family, however, say that despite the differences between them, Mukesh Ambani does not plan to push Anil out of the RIL board.
Earlier, Reliance Industries Chairman and Managing Director Mukesh Ambani had said he is the 'final authority' on all matters concerning the company.
"There is no ambiguity in his (late father Dhirubhai Ambani) legacy, and the chairman and managing director is the final authority on all matters concerning Reliance," he said in an e-mail message to over 80,000 employees of the group.
"Our founder-chairman late Dhirubhai Ambani had taken all necessary steps to separate ownership from management and had settled all issues during his lifetime," he said in the message.