Member of mega-rich Mittal family who once spent £50m on his daughter’s wedding ‘is declared bankrupt with £130m debt after Bosnian firm he was guarantor for became embroiled in probe over links to organised crime’
- Pramod Mittal, 64, is brother of Lakshmi Mittal, 70, who is worth £6.78 billion and runs Arcelor Mittal, the world’s biggest steel manufacturer
- Pramod is well known for throwing an extravagant £50 million wedding for his daughter in Barcelona in 2013 at which guests were served a 132lb cake
- Pramod Mittal’s bankruptcy stems from his acting as a guarantor in 2006 for the debts of Global Ispat Koksna Industrija Lukavac (Gikil), a Bosnian producer of coke used in steel manufacturing
- In July last year Mr Mittal was arrested in Bosnia as part of a probe into organised crime at Gikil
One of Britain’s wealthiest men who spent £50 million on his daughter’s wedding has reportedly been declared bankrupt with debts running to more than £130 million.
Pramod Mittal, 64, is believed to have lost the money after he became tangled up in a probe into organised crime, The Times reported.
Mr Mittal’s brother is Lakshmi Mittal, Britain’s 19th richest man, who owns a £300 million mansion in Mayfair and is head of Arcelor Mittal, the world’s biggest steel manufacturer.
Lakshmi Mittal, second left, and his brother Pramod, far right, whose daughter Shristi had the world’s costliest wedding
But the 70-year-old, who is worth £6.78 billion, is unwilling to bail out his younger brother after the two previously fell out over their father’s alloy empire.
A source told The Times: ‘They are no longer close and live separate lives. Lakshmi does not see why he should be financially responsible for his brother. This debt has nothing to do with him.’
Pramod Mittal became well known after a lavish ceremony held for his daughter, Shristi, at the National Museum of Catalan Art in Barcelona in 2013.
It was followed by three days of partying and the 500 guests were served a 132-pound wedding cake.
His rival brother Lakshmi is said to have splashed £40 million on his daughter Vanisha’s wedding at the Palace of Versailles in 2004, at which Kylie Minogue gave a performance as fireworks were set off on the Eiffel Tower.
According to The Times, Pramod Mittal’s bankruptcy stems from his acting as a guarantor in 2006 for the debts of Global Ispat Koksna Industrija Lukavac (Gikil), a Bosnian producer of coke used in steel manufacturing.
Shristi Mittal (centre) arrives for her wedding to Gulraj Behl held at the Museo Nacional de Arte de Catalunya in 2013
Mr Mittal was pursued by London-based Stemcor when he did not pay $166 million which was owed in 2013.
Stemcor went on to separate its non-trading businesses – which included Mr Mittal’s guarantee – into a separate company, Moorgate Industries, which was granted the bankruptcy order at the Insolvency and Companies Court.
In July last year Mr Mittal was arrested in Bosnia as part of a probe into organised crime at Gikil.
He was later released on one million euro bail but the investigation is ongoing.
Michael Swangard and Duncan Lockhart, lawyers for Moorgate, told The Times: ‘Mr Mittal’s bankruptcy represents a significant step forward for Moorgate in what has been a long and arduous process to recover significant monies owed to it by Mr Mittal and several of his connected companies.’
Pramod Mittal’s lawyer, Richard Viegas, told the paper that a ‘complex corporate matrix’ had led to the bankruptcy order and he was pursuing an appeal.