shri Dhirubhai Ambani was an exceptional human being and outstanding leader.
A Man far ahead of his times,he epitomised dauntless entrepreneurial spirit.He dared to dream on unimaginable scale in Indian industry.His life and achievements prove that backed by confidence,courage and conviction,man can achieve the impossible.
The Story of Dhirubhai Ambani The Story of Dhirubhai Ambani Perceptions and Proportions Perceiving the market opportunities with a sense of proportion and embarking into appropriate diversification plans go a long way in the growth of a business enterprise. The case study of Reliance Enterprise is presented here. The students of Management Schools may like to draw lessons and find it to be a source of inspiration for the niche strategies adopted by the business tycoon Dhirubhai Ambani from rags to riches.
From rags to riches: Dhirubhai Ambani was born on 28 Dec. 1932 as the third son to a school teacher in Gujarat with moderate means. Ambani moved to Aden, Yemen when he was 16 for a livelihood. He started his career as a dispatch clerk before becoming the distributor for Shell Products. He was later promoted as a manager in an oil filling station at the port of Aden. The Yemeni Rial Coin had high content of pure silver in those days. Young Dhirubhai perceived high demand for µrial¶ in London Stock Exchange and purchased them in bulk and melted the coins in silver and sold it to bullion traders in London. Though it was stopped in 3 months, D.A. made a few lakhs of Rupees in this transaction.
D.A. returned to India after 10 years and found Reliance Commercial Company with a capital of Rs.15000/= in Masjid Bunder in Mumbai in a 350 Sq.ft. space with one telephone, one table, three chairs and with a business mission of importing polyester yarn and exporting spices.. He went on to establish Reliance Textiles in 1964 under the brand name ³Vimal´ and the World Bank applauded the brand as the best Polyester Cloth. Perceiving success, Dhirubhai established Reliance IndustriesLtd in 1970s..
Dhirubhai Ambani is credited with starting the equity cult in India. More than 58,000 investors from various parts of India subscribed to Reliance's IPO in 1977. Dhirubhai was able to convince people of rural Gujarat that being shareholders of his company will only bring returns to their investment. RIL holds the distinction that it is the only Public Limited Company whose several Annual General Meetings were held in stadiums.In 1986, The Annual General Meeting of Reliance
The Hindi Film Guru. directed by ManiRathnam and music by Rahman will show the struggle of a man who strives to make his mark in life.000 shareholders. The movie stars Abhishek Bachan and AishwaryaRai in leading roles.35 per share. It was clarified by RBI that the money flow into RIL was due to Rs. RBI was called upon to investigate into the matter . Telecommunications. Birlas and Dalmiahs achieved and dominated over a period of a century. 2 with a stipulation that the Bear Cartel has to give the delivery of shares within few days.Industries was held in Cross Maidan. Power. On the day of settlement the Bear Cartel was taken a back when the Bulls demanded physical delivery of shares. Mumbai. Capital Markets. Dhirubhai Ambani could achieve within a short period with a razor like sharpness and business acumen. Dhirubhai Ambani's takes control of the Mumbai Stock exchange : In 1982. * RIL is now India's largest Private Sector with turnover over US$19.220 million investment made by NRIs thru' various Companies like ' crocodile's etc. Friends of RIL counteracted this move and the Bulls started buying the scrips on Bombay Stock Exchange. A group of stock brokers in Calcutta joined together as a Bear Cartel. With this the demand increased and the shares of Reliance shot above 180 rupees in minutes. The settlement caused enormous uproar in the market and Dhirubhai Ambani was the unquestioned king of the stock markets.The bulls kept on buying and a price of Rs. and that there was nothing unethical nor illegal in the whole matter. RIL was coming out with a rights issue of partly convertible debenture and it was rumored that the objective was not to get the then existing stock price to slide by an inch. The situation was completely out of control. The Bear Cartel believed that the Bulls would accept settlement under the then prevalent " Badla " system. Energy. In case of non-settlement the Bulls demanded an 'Unbadala' (penalty sum) of Rs. 152 per share was maintained till the day of settlement. After this incident many questions were raised by his detractors and the press. A film inspired by the life of Dhirubhai is set to release in January 2007. * Dhirubhai Ambani proved to be a king in his diversification plans into Petro Chemicals. Taking this as an opportunity they started to short sell RIL scrips. Retails and so on. Information Technology. was attended by more than 30.976 billion backed by a
.. Authorities of Bombay Stock exchange intervened in the matter and brought down the "Unbadla" rate to Rs. The Bear Cartel brought shares of Reliance from the market at higher price levels and it was also realized that Dhirubhai Ambani himself supplied those shares to the Bear Cartel and earned a healthy profit out of The Bear Cartel's adventure . Highlights of Dhirubhai's venture :* What the Corporate Houses of Tatas. Not many people were able to understand as to how a yarn trader till a few years ago was able to get in so much of cash flow during the crisis.To complete the transaction the much needed cash was provided to the stock brokers who had brought shares of Reliance by none other than Dhirubhai Ambani.
* Fortune Global 500 featured RIL in 342nd rank in 2006. 2002 but his glow would continue to inspire the whole generations of nations. as it were. Dhirubhai Ambani breathed his last on July 6. In a way though what the facts do not reveal are even more extraordinary.
ONE WAY OF assessing the extraordinary achievements of Dhirubhai Ambani is to make an inventory of the facts.Please share more.profit over US$2. The man from rags to riches. They tell a story of a truly global giant. He founded India's first Fortune Global 500 company. University of Pennsylvania in June 1998 for " Outstanding Leadership " * FICCI conferred the title " Man of 20th century " on D. A job with an Indian trading company took him to Aden and he moved on from there to work for Shell. For behind the creation of this story of dizzy corporate growth is also the story of a man. When he returned to India in 1957. His early years were relatively unremarkable. the son of a school teacher in rural Gujarat. *Chemtech and Chemical Engg. post-merger.. * 25% of share holders in India own a RIL Scrip. about 5 per cent of the country's total exports and 30 per cent of the profits made by private sector companies. * Dhirubhai won the " Dean's Medal " of Wharton School. as a petrol pump attendant. About 35 lakh people have a direct interest in Reliance Industries which.03 billion.World gave the" Man of the Century " award in Nov 2000 to Dhirubhai Ambani. * Times Of India in 2000 voted Dhirubhai Ambani as the greatest creator of wealth in the country..read Infosysis the other day. The integrated Jamnagar refinery complex in Gujarat is said to be the world's largest greenfield project of its kind.plus the TATA'S.The subcontinent seems to be having such. The facts. polyester had just been invented and Ambani ² with a vision which would remain until the very end ²
. He was the visionary behind the industrial group which accounts for more than 3 per cent of India's GDP. will have more shareholders than any other company in the world. Forbes Global featured RIL at 295 spot in 2000..A. of an Indian private sector industrial house which climbed swiftly to the peak leaving behind most others to labour in the foothills. who failed to pass his school exams in the first attempt and earned his first money as a child selling snacks to pilgrims over weekends. speak for themselves..in 2000. promisehouse Re: The Story of Dhirubhai Ambani Tis such a motivating story.
Kokilaben is uniquely placed to tell the story of his life and his meteoric rise in business as well as personal life. To finance some of these operations. 15. was the subject of a scalding newspaper campaign. 75. in her own words. However. The scorching growth of the Reliance group has only increased after the licence raj was dismantled. a life in business was also a life in controversy. refineries. newspapers and films. He guessed correctly. And Ambani's critics will always claim that he went much too far while working the system. The controversy over the methods employed by Reliance will never go away. the decade of liberalisation.
.000 to set up a trading house paid off quickly and by the mid-1960s. he did what all other industrialists did in the days of the licence-permit-quota raj. its turnover having grown some 20-fold in the 1990s. and the Gujarati edition is named Dhirubhai Ambani: Maara Jeevan Sathi. as it was called euphemistically in those days. Those who regard Ambani kindly will continue to claim that in managing the environment. was regarded as being responsible for the ruin of a rival polyester company and was saddled with an unfavourable reputation as a man who adopted questionable measures to influence Government policy or. oil. Anil and Mukesh. Ambani transformed the way big business operated by raising money from the market.believed it represented the future of Indian textile business. The challenge before the Reliance group is to consolidate on this
exceptional accomplishment. gas and telecommunications. Having lived and learned with Dhirubhai for close to half a century. The Reliance success story is spun around polyester but the diversifications have come thick and fast ² plastics.
Dhirubhai Ambani's story has been told and retold many times in books. a strategy which was directly responsible for promoting the equity cult in India. but only better. By the 1980s. launched her memoirs paying tribute to her legendary husband on Tuesday at a ceremony that saw her two sons. A relatively modest foray into the biotechnology sector has already resulted in its stem cell cultures being chosen as one of the few suitable for research purposes. His investment of Rs. he was the largest polyester trader in the country. the so-called Polyester Pasha was embroiled in a spat with one of Mumbai's better known industrialists. The memoirs have been published in English and Gujarati. share a dais after a very long time. Recent diversification has taken Reliance into new and seemingly unrelated areas. Here. Ambani created India's largest business empire. there is no doubt about one thing. The English version is titled Dhirubhai Ambani: The Man I Knew. As a first generation entrepreneur. to manage the environment. Kokilaben describes her life with Dhirubhai and her belief in a man who was born to be a legend in his own lifetime.
Yet the life of the late Dhirubhai Ambani [ Images ] has now been narrated by the person who knew him the best: his wife. However. Kokilaben. the Ambani family matriarch. Massive investments in telecommunications have been made with the stated objective of becoming the world's first fully integrated telecommunications company. Kokilaben.
And why did she write the book? Talking of the reasons behind her decision to write on Dhirubhai. newspapers and films.
. over dinner. In his private life too. he used to resolve it with courage and imagination. who worked with her mother in conceptualising and putting the 300-page tome together.Kokilaben writes: "During all those years. and information about their early years and through it one man's determination. an indulgent grandfather and a loyal friend.
Yet the life of the late Dhirubhai Ambani [ Images ] has now been narrated by the person who knew him the best: his wife." writes Kokilaben. I wanted to draw his personality as a humane individual. resolve and struggle to reach the very pinnacle of success. It comprises rare pictures of places and people associated with Dhirubhai as well as intimate personal anecdotes of his life and work. The memoirs depict the life of Dhirubhai Ambani. then a British Colony. She was assisted by daughter Dipti (Ambani) Salgaocar. and that's how I was inspired to write this book." Dhirubhai began his journey in extremely trying circumstances to blossom into one of the greatest success stories in the annals of Indian industry. Hindi film Guru. Kokilaben. That does not mean he never faced difficulties. and all this while Kokilaben was the fount of his inspiration and support. He devoted a great deal of time and energy to his children's learning and to the development of their personalities. Kokilaben had long wanted to compile a book on Dhirubhai. He was a caring husband. supposedly inspired by Dhirubhai's life. beginning with his childhood in the village of Chorwad to his early youth in the 1950s as a migrant worker in Aden. to his later years as one of India's [ Images ] great industrial visionaries. he would take time out to update himself on what his children were doing (and learning) and to encourage them to further expand their horizons. hit theatres but the filmmaker Mani Ratnam declined to acknowledge that his creation is culled
from the facts of the business icon's life. but I have seen him in the role of an excellent man.
Dhirubhai Ambani's story has been told and retold many times in books. Kokilaben's insights into their life together draw upon reminiscences. The world has seen him as a successful industrialist. He took the word 'impossible' out of his grandchildren's vocabulary and inspired them to see the world as a place of exciting and limitless opportunity -. a loving father. I had never seen him in a miserable or a desperate state of mind. But when engulfed by difficulty." The book comes years after Hamish McDonald essayed The Polyester Prince: The official biography of Dhirubhai. Kokilaben said in a media release: "I felt all these facts from his life should be recorded for posterity. "Everyday."a place where you could make things happen not because you were wealthy but because you were had the courage. Dhirubhai fulfilled every role and responsibility with aplomb. boldness and initiative. Last month.
launched her memoirs paying tribute to her legendary husband on Tuesday at a ceremony that saw her two sons. He devoted a great deal of time and energy to his children's learning and to the development of their personalities. in her own words. I had never seen him in a miserable or a desperate state of mind. Dhirubhai fulfilled every role and responsibility with aplomb. then a British Colony. Here. over dinner. He took the word 'impossible' out of his grandchildren's vocabulary and inspired them to see the world as a place of exciting and limitless opportunity -. And why did she write the book? Talking of the reasons behind her decision to write on Dhirubhai." Dhirubhai began his journey in extremely trying circumstances to blossom into one of the greatest success stories in the annals of Indian industry. resolve and struggle to reach the very pinnacle of success."a place where you could make things happen not because you were wealthy but because you were had the courage. The memoirs have been published in English and Gujarati. He was a caring husband. Kokilaben's insights into their life together draw upon reminiscences. the Ambani family matriarch.Kokilaben. he used to resolve it with courage and imagination. But when engulfed by difficulty. share a dais after a very long time. to his later years as one of India's [ Images ] great industrial visionaries. Kokilaben had long wanted to compile a book on Dhirubhai. The memoirs depict the life of Dhirubhai Ambani." writes Kokilaben. It comprises rare pictures of places and people associated with Dhirubhai as well as intimate personal anecdotes of his life and work. The world has seen
. "Everyday. an indulgent grandfather and a loyal friend. and information about their early years and through it one man's determination. In his private life too. Kokilaben said in a media release: "I felt all these facts from his life should be recorded for posterity. and all this while Kokilaben was the fount of his inspiration and support. he would take time out to update himself on what his children were doing (and learning) and to encourage them to further expand their horizons. That does not mean he never faced difficulties. boldness and initiative. The English version is titled Dhirubhai Ambani: The Man I Knew. 75. and the Gujarati edition is named Dhirubhai Ambani: Maara Jeevan Sathi. She was assisted by daughter Dipti (Ambani) Salgaocar. Anil and Mukesh. beginning with his childhood in the village of Chorwad to his early youth in the 1950s as a migrant worker in Aden. Kokilaben describes her life with Dhirubhai and her belief in a man who was born to be a legend in his own lifetime. Kokilaben is uniquely placed to tell the story of his life and his meteoric rise in business as well as personal life. a loving father. Kokilaben writes: "During all those years. who worked with her mother in conceptualising and putting the 300-page tome together. Having lived and learned with Dhirubhai for close to half a century.
has the largest number of shareholders at over 3.indiatimes. but I have seen him in the role of an excellent man. Ambani's success has dwarfed the controversies that surround him. it is ahead of giants such as Marks & Spencer. who passed away in Breach Candy Hospital on July 6 at 11. But one of his greatest achievements lies in catalysing shareholders' spirit in India through bonuses and dividends.from petrochemicals to fabrics.him as a successful industrialist. and then set up his first cloth mill in Ahmedabad. Last month. is now India's second-largest company.
.com/business/india-business/Dhirubhai-Ambani-A-briefprofile/articleshow/14044666.000 crore and annual net profit of Rs 4. Hindi film Guru. the man behind the success of the Reliance group. which went public in 1977 with one of the largest public offerings of its time. was born in 1932 in Chorwad village in Gujarat. The son of a Gujarati village school-teacher who went on to become the founder-patriarch of the Rs 55.cms#ixzz100ZhiKPX MUMBAI: "For those who dare to dream.The Times of India http://timesofindia. Its massive economies of scale make it the biggest player of its kind by both Indian and global standards. Ambani had been on life support since June 24 after suffering a cerebral stroke. graduated to becoming a spice trader. finally building one of India's largest companies.Mukesh and Anil .and their wives.000-crore Reliance Industries. two sons . supposedly inspired by Dhirubhai's life.110 crore. and that's how I was inspired to write this book. attracting retail investors in a market dominated by state-run financial institutions.from building the Rs 90 billion Hazira project to the GDR by an Indian company reporting a whopping net profit of Rs 10 billion. Christian Dior and Northwest Airlines." The book comes years after Hamish McDonald essayed The Polyester Prince: The official biography of Dhirubhai." This simple philosophy fashioned the destiny of Dhirajlal Hirachand Ambani. Reliance Industries is now spread across the textile value-chain . Reliance is only the second Indian entry in the Fortune 500 list. hit theatres but the filmmaker Mani Ratnam declined to acknowledge that his creation is culled
from the facts of the business icon's life. who founded the petrochemicals giant Reliance group. with sales of Rs 58. He does
not believe in retirement and continues to create ripples in the corporate world. The story of the small-time trader who within just four decades created a globocorp is part of Indian market folklore. there is a whole world to win. Dhirubhai is easily the most popular businessman in India.
Read more: Dhirubhai Ambani: A brief profile . Ambani lives in Mumbai with his wife. which began life as a tiny trading outfit in the narrow by-lanes of Mumbai's textile market. He started out as a labourer." said Dhirajlal Hirachand Ambani. I wanted to draw his personality as a humane individual. The group. Reliance Industries. Interestingly. Ambani. The essence of Reliance's strategy: presence across the value chain to offset any downturn in individual businesses.
"I am not a loser. Dhirubhai has many firsts to his credit . at number 425. notably his spat with Bombay Dyeing's Nusli Wadia.5 million. And today. Ambani is credited with shaping India's equity culture.50 pm.
the sole distributor of Shell. Old colleagues say that he exhorted them to "think big.000 investors. Diversifies into infrastructure sector. Reliance today has four million equity holders. 1993: Reliance expands into plastics and PVC 1994: Announces major expansion for Hazira. trail-blazed for a whole generation of entrepreneurs and created an equity cult of small investors who had never heard of Dalal Street before. the first step of a backward-integration strategy. Dhirubhai's genius lay in spotting business opportunities and then striking quickly.The 'darshan and homage' ceremony took place at the Ambani residence at Sea Wind. a commodity trading and export house. goes to Aden (now part of Yemen) and works for A Besse & Co. messiah of the small investor. 1986: Diversifies into chemicals. Cuffe Parade. For a man who packed more into a lifetime than most business empires do in centuries.
1932: Dhirubhai (Dhirajlal) Hirachand Ambani born in Chorwad in Gujarat. One dream that he didn't see realised was taking Wall Street by storm as he had done with Dalal Street back in the seventies. From 58. In the next 40 years. on July 7 and was cremated at Chandanwadi Crematorium at Marine Lines at 4. Dhirubhai Ambani. 1949: At 17. Ambani still felt he had more to achieve. he created a world-scale petrochemical and energy company. think fast and think ahead". 1977: Reliance goes public. was 69 years old and died with his boots on.30 pm the same day. The legend of Dhirubhai Ambani dates back to 1958 when he gave up his clerical job in Aden and moved back to Mumbai with a few thousand rupees in his pocket and a dream to start his own oil company. Ahmedabad.
. 1958: Returns to Mumbai and starts Reliance Commercial Corporation. 1982: Integrates backward to manufacture PFY. The other unfinished dream that he spoke of when he received the ET Lifetime Achievement Award last year was of an India where villages had assured water supply and were connected to the rest of the world through science and technology. Suffers a stroke. sons Mukesh and Anil are entrusted with greater responsibility. 1966: Starts textile mill in Naroda. 1992: Reliance becomes the first Indian company to raise money in global markets with a GDR issue. 1991: The Rs 9000-crore Hazira gas cracker plant is commissioned.
Reliance buys IPCL when it is privatised. Junagadh in Gujarat. 2001: Gets the ET award for corporate excellence for lifetime achievement 2002: RPL merged with RIL. Dhirubhai Ambani started his entrepreneurial career by selling "pakora" to pilgrims in Mount Girnar over the weekends.Yemen and worked as a dispatch clerk with A.
Read more: Dhirubhai Ambani passes away . 1999: Commissions world's largest grassroot refinery at Jamnagar. Besse & Co. he moved to Aden. Becomes first Asian firm to raise 100-year debt. at Chorwad. Begins cellular services. 1996: Diversifies into power and telecom services. became the distributors for Shell products and Dhirubhai was promoted to manage the company¶s oil-filling station at the port of Aden. Two years later A. By the age of 16 years.The Times of India http://timesofindia. He is widely remembered as the one who rewrote Indian corporate history and built a truly global corporate
Dhirubhai Ambani (Dhirajlal Hirachand Ambani) was born on 28 December 1932. Reliance is the first Indian company to feature in the Forbes 500 list Dhirubhai Ambani was one of the most enterprising Indian entrepreneur.1995: Becomes the first Indian firm with net profits of Rs 1000 crore. His life's story is a real rags to riches story.cms#ixzz100a4KTaE
Story of Dhirubhai Ambani
Dhiru Bhai Ambani built India's largest private sector company and created an equity cult in the Indian capital market.He was
. 1997: World's largest multi-feed cracker commissioned in Hazira. India to Hirachand Gordhanbhai Ambani and Jamnaben in a family of very moderate means.com/business/india-business/Dhirubhai-Ambani-passesaway/articleshow/15204217. He was the second son and his father was a school teacher. Besse & Co.indiatimes.
Extensive marketing of the brand "Vimal" in the interiors of India made it a household name. It was a 350 Sq. in exchange for their trust. Textiles were manufactured using polyester fibre yarn. The primary business of Reliance Commercial Corporation was to import polyester yarn and export spices. Dhirubhai was able to convince people of rural Gujarat that being shareholders of his company will only bring returns to their investment. in Ahmedabad in the year 1966. Mumbai.married to Kokilaben and had two sons.The business was setup in partnership with Champaklal Damani. Yemen.000 shareholders and the Reliance family. Mumbai and was attended by more than 35.
.In 1968. In 1965. Interestingly. promising them.15 thousand only.Reliance Industries holds the distinction that it is the only PrivateLimited Company whose several Annual General Meetings were held in stadiums.This seems to be the reason for thier parting ways. which was named after his elder brother Ramaniklal Ambani's son. Dhirubhai started his first textile mill at Naroda. Mukesh Ambani and Anil Ambani and two daughters. who used to be with him in Aden. Franchise retail outlets were started and they used to sell "only Vimal" brand of textiles. Ft. Reliance Commercial Corporation In 1958.Dhirubhai Ambani had just two assistants to help him. The first office of the Reliance Commercial Corporation was set up at the Narsinathan Street in Masjid Bunder.Dhirubhai started the brand "Vimal". one table and three chairs. Initial public offering Dhirubhai Ambani is credited with starting the equity cult in India. anticipating a price rise. More than 58. substantial returns on their investments. Damani was a cautious trader and did not believe in building yarn inventories whereas Dhirubhai was a known risk taker and believed that building inventories.000 investors from various parts of India subscribed to Reliance's IPO in 1977. Dhirubhai and his family stayed in a one bedroom apartment at the Jaihind Estate in Bhuleshwar. Champaklal Damani and Dhirubhai Ambani ended their partnership and Dhirubhai started on his own. In 1986. In the year 1975. his second cousin.Dhirubhai managed to convince a large number of first-time retail investors to participate in the unfolding Reliance story and put their hard-earned money in the Reliance Textile IPO. Vimal Ambani. Nina Kothari and Deepti Salgaocar. Dhirubhai returned to India and started the Reliance Commercial Corporation with a capital of Rs. This unit has the rare distinction of being certified as "excellent" even by developed country standards" during that period. and making profits through that was good for growth. a Technical team from the World Bank visited the Reliance Textiles' Manufacturing unit. room with a telephone. During this period. Mr. The Annual General Meeting of Reliance Industries was held in Cross Maidan. Initially.Dhirubhai moved to an upmarket apartment at Altamount Road in South Mumbai.
After this incident. On the day of settlement. Pranab Mukherjee in the parliament. The settlement caused an enormous uproar in the market and Dhirubhai Ambani was the unquestioned king of the stock markets. Not many people were able to understand as to how a yarn trader till a few years ago was able to get in such a huge amount of cash flow during a crisis period. The Bear Cartel was acting on the belief that the Bulls would be short of cash to complete the transactions and would be ready for settlement under the "Badla" trading system prevalent in Bombay Stock Exchange during those days. He informed the house that a Non-Resident Indian had invested up to Rs. To counter this. Diversification
. An investigation by the Reserve Bank of India in the incident did not find any unethical or illegal acts or transactions committed by Reliance or its promoters. Sensing an opportunity. To complete the transaction. a bear cartel which was a group of stock brokers from Calcutta started to short sell the shares of Reliance. 220 Million in Reliance during 1982-83. The answer to this was provided by the then finance minister. the Bear Cartel was taken aback when the Bulls demanded a physical delivery of shares.It was rumored that company was making all efforts to ensure that their stock prices did not slide an inch. the demand increased and the shares of Reliance shot above 180 rupees in minutes. 2 with a stipulation that the Bear Cartel had to deliver the shares within the next few days. the much needed cash was provided to the stock brokers who had bought shares of Reliance.The situation was getting completely out of control. He proved to his detractors just how dangerous it was to play with Reliance. 152 per share was maintained till the day of settlement. Reliance Industries came up against a rights issue regarding partly convertible debentures. In the case of non-settlement.Dhirubhai's control over stock exchanges In 1982. With this. 35 per share. These investments were routed through many companies like Crocodile. Authorities from the Bombay Stock Exchange intervened in the matter and brought down the "Unbadla" rate to Rs. To find a solution to this situation. Lota and Fiasco. by none other than Dhirubhai Ambani. The interesting factor was that all the promoters or owners of these companies had a common surname Shah. The Bear Cartel bought shares of Reliance from the market at higher price levels and it was also learnt that Dhirubhai Ambani himself supplied those shares to the Bear Cartel and earned a healthy profit out of The Bear Cartel's adventure. The bulls kept on buying and a price of Rs. many questions were raised by his detractors and the press. the Bombay Stock Exchange was closed for three business days. the Bulls demanded an "Unbadla" (a penalty sum) of Rs. These companies were primarily registered in Isle of Man. a group of stock brokers till recently referred to as "Friends of Reliance" started to buy the short sold shares of Reliance Industries on the Bombay Stock Exchange.
Over time. The Indian Express Articles
. Before the letter of intent was converted into a licence. Author: Hamish McDonald. at one point in time. Tussle with Nusli Wadia
Nusli Wadia of Bombay Dyeing was. and has been known to be a kingmaker in government elections . many hurdles came in the way. During the Janata Party rule between 1977 . the biggest competitor of Dhirubhai and Reliance Industries. Both Nusli Wadia and Dhirubhai were known for their influence in the political circles and their ability to get the most difficult licenses approved during the times of pre-liberalized economy. Ambani has been known to have flexible values and an unethical streak running through him. and an 85. and logistics. energy. Nusli Wadia obtained the permission to build a 60. Dhirubhai diversified his business with the core specialisation being in petrochemicals and additional interests in telecommunications. Criticism
Paperback Cover page of The Polyester Prince. textiles. The company as a whole was described by the BBC as "a business empire with an estimated annual turnover of $12bn. retail. Nusli Wadia was granted the license for the plant.000-strong workforce". His biographer himself has cited some instances of his unethical behavior when he was just an ordinary employee at a petrol pump in Dubai. power. in 1981.1979. information technology.000 tonnes per annum Di-methyl terephthalate (DMT) plant. Limited (Australia). Finally. capital markets. The rise of Dhirubhai Ambani.. the Ambani house has always enjoyed more protection and shelter from the media storms that sweep across the country. Although most media sources tend to speak out about businesspolitics nexus. This incident acted as a catalyst between the two parties and the competition took an ugly turn. infrastructure services. He has been accused of having manipulated government policies to suit his own needs. ISBN 1-86448-468-3Despite his almost Midas Touch. Publisher: Allen & Unwin Pty.
Ramnath Goenka was also considered to be close to Nusli Wadia. in the meantime.At one point in time. Jamnadas Moorjani. Ramnath Goenka is believed to have said "Nusli is an Englishman. another journalist Maneck Davar who was not on the rolls of Indian Express started contributing stories. Gurumurthy and
. I know how to inish him".. the patriarch of The Indian Express Group. The Indian Express. Critics also admired Goenka for his ability to run these articles without any help from his regular staff. The Indian Express had turned the guns against Reliance and was directly blaming the government for not doing enough to penalize Reliance Industries. He cannot handle Ambani. Gurumurthy. At one point of time. Ramnath Goenka was a friend of Dhirubhai Ambani. Dhirubhai Ambani was also getting more recognition and admiration. Goenka and Ambani became rivals mainly because Ambani's corrupt business practices and his illegal actions that lead to Goenka not getting a fair share in the company. While Dhirubhai Ambani was recovering in San Diego. Ramnath Goenka tried to intervene between the two warring factions and bring an end to the enmity. advisor and chartered accountant S. a broadsheet daily published by him. As days passed by. a businessman opposed to the Ambanis was also a part of this campaign. Critics believed that there were many other businessman in the country who were using more unfair and unethical practices but Goenka chose to target only Ambani and not the others.
The end to this tussle came only after Dhirubhai Ambani suffered a stroke. The battle between Wadia Goenka and the Ambanis took a new direction and became a national crisis. A section of the public started to appreciate Dhirubhai's business sense and his ability to tame the system according to his wishes. Later on. his sons Mukesh Ambani and Anil Ambani managed the affairs. Apart from S. Both Ambani and Goenka were equally criticized and admired by sections of the society.. Ramnath Goenka did not use his staff at the Indian Express to investigate the case but assigned his close confidante. On many occasions. I am a bania. carried a series of articles against Reliance Industries and Dhirubhai in which they claimed that Dhirubhai was using unfair trade practices to maximise the profits. People criticized Goenka that he was using a national newspaper for the cause of a personal enmity.. Ramnath Goenka chose to support Nusli Wadia. Gurumurthy for this task.
Rajiv¶s government retaliated with a series of prosecutions against the Indian Express. the first one had occurred in February 1986 and had kept his right hand paralyzed. The Indian Express published a draft of the President¶s letter as a scoop. N. while the tussle was directly between the Prime Minister Rajiv Gandhi and Ramnath Goenka. at around 11:50 P. This made it very difficult for Reliance to carry on operations. Mukesh Ambani and Anil Ambani can be seen carrying their father's body as per Hindu traditionsDhirubhai Ambani was admitted to the Breach Candy Hospital in Mumbai on June 24. former chairman of the State Bank of India.Singh
It was widely known that Dhirubhai didn't enjoy a cordial relation with Vishwanath Pratap Singh. he suddenly removed the import of Purified Terephthalic Acid from the Open General License category.another journalist. In May 1985. Even then.
. Ambani made a quiet exit.M. Ghosh. changing the category under which PTA could be imported. to many people. 2002 after he suffered a major "brain stroke". Dhirubhai. had to quit his post to make way for D. The government then raided the Express guest house in Delhi¶s Sunder Nagar and found the original draft with corrections in Mulgaokar¶s handwriting. Goenka retained his iconic stature because. from various financial institutions. who succeeded Rajiv Gandhi as the Prime Minister of India. not realizing that Zail Singh had made changes to the letter before sending it to Rajiv Gandhi. He breathed his last on July 6. Death
Dhirubhai Ambani's funeral saw thousands of people attending. the government-owned financial institutions like the Life Insurance Corporation of India and the General Insurance Corporation stonewalled attempts by the Reliance group to acquire managerial control over Larsen & Toubro. By 1988-89. Reliance was able to secure. This was his second stroke. Ambani had won the battle at this point. As a raw material this was very important to manufacture polyester filament yarn. who had become L&T's chairman in April 1989. letters of credit that would allow it to import almost one full year¶s requirement of PTA on the eve of the issuance of the government notification. Mulgaokar consorted with President Giani Zail Singh and ghost-wrote a hostile letter to the Prime Minister on his behalf. 2002.P. A battery of doctors were unable to save his life.His funeral procession was not only attended by business people. the Ambanis resigned from the board of the company. In 1990. Now. He was in a state of coma for more than a week. Dhirubhai and V. he seemed to be replaying his heroic defiance during the Emergency regime. (Indian Standard Time). Sensing defeat.
Mukesh Ambani. Dhirubhai Ambani started his long journey in Bombay from the Mulji-Jetha Textile Market. At the time of Dhirubhai's death. where he started as a small-trader. He was cremated at the Chandanwadi Crematorium in Mumbai at around 4:30 PM (Indian Standard Time) on July 7. 2002. two sons.politicians and celebrities but also by thousands of ordinary people. As a mark of respect to this great businessman. He is survived by Kokilaben Ambani. 75.000(US$350)
.000 Crore or USD $ 15 Billion. performed the last rites as per Hindu traditions. 2002. and two daughters. His elder son. his wife.15. the Reliance group had an annual turnover of Rs 70 crore and Dhirubhai had started the business with Rs. The Mumbai Textile Merchants' decided to keep the market closed on July 8. In 1976-77. Nina Kothari and Deepti Salgaonkar. Mukesh Ambani and Anil Ambani. Reliance Group had a gross turnover of Rs.