Reliance Industries Rejects “Witch Hunt” Allegations by Essel Group’s Subhash Chandra
MUMBAI – Reliance Industries Limited (RIL), the conglomerate led by Mukesh Ambani, has categorically denied a series of explosive allegations leveled by Essel Group chairman Subhash Chandra. The rebuttal comes as tensions escalate surrounding the ongoing insolvency proceedings of the media mogul.
In a recent broadcast on his own news channel, Chandra accused Reliance’s media arm of conducting a “witch hunt” against him. He alleged that the group utilized its media platforms to disseminate false narratives, specifically targeting the reporting surrounding a tribunal-approved settlement in his insolvency case.
Allegations of Market Manipulation
Chandra went further, accusing associates of the Ambani-led conglomerate of orchestrating a massive stock market crash in January 2019, which saw Zee Entertainment Enterprises’ share price plummet by 40% in a single day. The Essel Group chairman claimed that these associates operated a complex network of “hundreds and thousands of benami shell entities” to manipulate market movements and mask their involvement.
Additionally, Chandra alleged that Ambani had previously attempted to acquire Zee in collusion with Invesco, a move he described as financially advantageous to his own family but detrimental to minority shareholders. Chandra stated that this alleged plot was ultimately thwarted when Zee’s shareholders rejected the proposal.
Reliance Responds
In an official statement, a spokesperson for Reliance Industries expressed disappointment at the accusations, characterizing the claims as entirely “unfounded.”
“Our media brands have never been used to attack anyone, nor will they ever be,” the spokesperson stated. The company further emphasized that it maintains a professional stance, adding that Reliance continues to hold Chandra “in high regard” as an entrepreneur.
Legal and Financial Fallout
The public exchange follows a volatile period for the Essel Group. Chandra’s insolvency proceedings, which involve admitted claims totaling Rs 22,006 crore, have become a focal point of legal contention. While a tribunal has approved a settlement, a significant group of lenders is currently preparing to challenge the decision, signaling that the legal battle is far from over.
As the situation develops, industry analysts are closely watching the proceedings, noting that the combination of high-stakes insolvency litigation and public allegations of corporate malpractice has created a complex environment for both media entities.
The company remains firm in its position that the claims made by Chandra are baseless, issuing a statement that the group’s actions remain within the bounds of standard professional and ethical practices. For more details on the unfolding dispute, you can read the full report on the unfounded allegations and the ongoing legal developments.
