Anil was ready for rethink on IPCL resignation

In a development that could further aggravate the conflict between the two Ambani brothers, it was revealed today that Anil Ambani had agreed to reconsider his resignation from IPCL, but failed to get any response from the company headed by elder brother Mukesh Ambani.

Anil communicated his offer to reconsider resignation as vice-chairman and director of IPCL through a letter dated January 27 after the company board unanimously decided at its meeting on January 20 to urge him to reconsider his decision.

Extracts from the letter, written by Anil, were revealed today by informed sources after the company informed the BSE on Saturday that Anil had ceased to be on the board of IPCL after January 20.

Earlier in the day, a spokesperson for Anil had said: "Anil Ambani was unaware of any steps taken by the IPCL board concerning his status as vice-chairman and director of the company."

Clarifying that he has not set any conditions, Anil said in his January 27 letter: "I have mentioned substantial issues regarding corporate governance, transparency, disclosures of related party transactions and conflict of interest affecting the interests of all shareholders of our company, and concerning business dealings of Anand Jain, director on IPCL board, and his relatives/associates, vis-a-vis IPCL and Reliance."

"I would be grateful to receive the views and comments of the IPCL board on these issues," Anil had said, adding "an appropriate and constructive forward path can then be mutually agreed."

In the light of the new developments, the issue may come up at the meeting tomorrow when the now 11-member IPCL board meets to consider, among other things. the financial results of the company for 2004-05.

The IPCL board had "noted" the January 27 letter of Anil Ambani at its last meeting on March 30.