New Delhi: Reliance Group Chairman Anil D Ambani on Friday resigned as the director of Reliance Power and Reliance Infrastructure. The resignation stemmed from the markets regulator SEBI order which restrained him from associating with any listed companies.
In a regulatory filing, Reliance Power said,” Anil D Ambani, non-executive director, steps down from the board of Reliance Power in compliance of SEBI (Securities and Exchange Board of India) interim order.”
“The Board looks forward to an early closure of the matter and inviting Mr Ambani back to provide his vision and leadership to the Company in the interest of all stakeholders,” it further stated, adding that it noted that during the past 1 year, “the company has created immense value for its over 36 lakh shareholders with stock price growing from a low of Rs. 4 to a high of Rs. 19 (375%).”
A separate filing to the stock exchange was also done which mentioned details on the resignation.
According to Reliance Infra, the company in the FY 2020-21 created immense value for its nearly 8 lakh shareholders with the stock price increasing from a low of Rs 32 to a high of Rs 150.
The SEBI in February barred Anil Ambani and three other individuals from the securities market for allegedly siphoning off funds from the firm. It further restricted them from “associating themselves with any intermediary registered with Sebi, any listed public company or acting directors/ promoters of any public company which intends to raise money from the public till further orders.”
Rahul Sarin is reported to have stepped in Anil Ambani’s shoes. He would head as the Additional Director in the capacity of Independent Director for a term of five years on the boards of RPower and RInfra, subject to approval of members at the general meeting.
Rahul Sarin, a 72-year-old retired civil servant served as Secretary to the GoI and holds a distinguished record of public service of over 35 years. He is the director of Afthonia Pvt Ltd.
The board of directors of the company unanimously reposed full trust in Ambani’s leadership and invaluable contribution to steering the company through great financial challenges and towards being potentially debt-free in the course of the coming financial year, the firm said. It also stated that it looks to get back Ambani back on board to provide his vision and leadership to the company in the interest of all stakeholders.