Font Size 
Ambani vs Ambani: Mukesh to meet Sonia Gandhi today
Published on Mon, Jul 14, 2008 at 14:24, Updated on Mon, Jul 14, 2008 at 14:39 in Business section
Tags: Mukesh Ambani, Sonia Gandhi , New Delhi
Related Stories
Photogallery
 |  |
New Delhi: Reliance Industries' owner and the country's richest man, Mukesh Ambani is going to meet Congress President Sonia Gandhi on Monday evening. He is also meeting the Petroleum Minister Murli Deora and the Cabinet Secretary.
The meetings assume signifinance because they comes against the backdrop of Samajwadi Party leader Amar Singh calling for Prime Ministerial intervention on the corporate battle between the Ambani brothers.
Amar Singh is close to Mukesh's younger brother Anil Ambani. He has also demanded a windfall tax on exports of petroleum companies, which is said to be directly targeted at the elder Ambani brother.
Singh's clout has grown ever since the Samajwadi Party joined hands with the UPA on the Indo-US nuclear deal.
Speaking to CNN-IBN Editor-in-Chief Rajdeep Sardesai, Amar Singh called Mukesh Ambani approach to the MTN deal as "disgusting" and claimed the fight between the two brothers was detrimental to the interests of the country.
"It is a personal matter and it cannot be sorted by someone like me. You need a man of Manmohan Singh's stature at least to intervene because I agree with you that nation's economy will get hurt," Amar Singh had said.
"Anil and Mukesh don't represent only their respective corporate groups. They represent major economic hub of this country and their fight will be definitely detrimental to the interest of shareholders and in some way to the economy of the nation. The way Mukesh is opposing this MTN deal is very disgusting because it is good for the country. At times the reaction of Anil's camp may also be detrimental. So in the circumstances somebody as senior as the Prime Minister must intervene," he had added.
Mukesh Ambani and Anil Ambani command 30 per cent of the nations wealth between themselves, but now the fierce rivalry between the brothers in the corporate world is threatening to spill over into the political realm.
In the last 10 days, as he stitched together an alliance with the ruling UPA, Amar Singh has sent out atleast five letters on various policy issues that concern the Ambani brothers.
CNN-IBN is in possession of these letters. In a letter dated July 2, Amar Singh raises questions on the specturm allocation issue - a contentious issue that directly concerns Anil Ambani-owned Reliance communications.
In another letter, dated July 4, he raises questions on why the Government is not imposing a windfall tax on petroleum companies, an issue that direcrly affects RIL boss Mukesh Ambani.
Amar Singh has never hidden his friendship with Anil Ambani and that is one reason why the letters have raised questions over his motives. However, he said that he was not "asking for anything that is personal. It is for the common interest of the entire country".
The Bone Of Contention
Anil Ambani-led RCom had entered into talks with South Africa major cellphone operator MTN after the latter’s talks failed with Bharti Airtel. RCom and MTN extended their exclusive negotiations till July 21 for a potential deal, which could create a combined entity worth about USD 70 billion, which would be one the world's biggest emerging market telecom firm.
The talks have been hit by uncertainties after Mukesh-led Reliance Industries claimed first right of refusal in a majority stake in RCom and wrote letters to MTN and threatened legal action if a deal breaches its rights. However, Anil Ambani group is contesting these claims saying they are legally and factually untenable.
| Ads by Google |
| Related Ads: | |
Read Comment | Post Comment
MUKESH AND ANIL AMBANI ON GOING SPAT- AMARSINGH HAS TRIED TO DRAG SONIA GANDHI AND PM MMSINGH- SHAME ON ANIL
Read Comment
Read more comment »