A division bench of the Calcutta Excessive Courtroom on Thursday dismissed the contempt petitions filed by the Birlas towards MP Birla Group chairman Harsh Vardhan Lodha for persevering with as a director and chairman within the group corporations.
The bench, comprising chief justice Thottathil B Radhakrishnan and justice Shampa Sarkar, handed a “landmark judgement” dismissing a number of contempt petitions filed towards Lodha for persevering with as a director and chairman in Birla Company, Common Cables, Vindhya Telelinks and Birla Cable, 4 listed group corporations, in line with an announcement issued by the Lodhas.
Earlier, the Birlas had filed contempt petitions towards Lodha on his continuation on the boards of the MP Birla Group corporations, alleging violation of an order handed by a division bench of the Calcutta Excessive Courtroom on October 1, 2020. The division bench of the excessive courtroom, in its October 1 order, didn’t grant any keep on the only bench’s order, which had restrained Lodha from holding any workplace in any of the entities of the group throughout pendency of the go well with involving the contested will of late Priyamvada Devi Birla, the widow of MP Birla.
The decision of the division bench of the excessive courtroom on Thursday “cleared the decks” for Harsh Vardhan Lodha to proceed because the chairman of all corporations of the MP Birla Group, mentioned Lodha’s advocate Debanjan Mandal, companion, Fox & Mandal.
“Our shopper is deeply grateful to the best honorable courtroom of the state for this resounding victory…Previously two years, relentless assaults have been mounted, not solely on Mr Lodha, but additionally on the impartial administrators and executives of the MP Birla Group corporations. Thursday’s verdict vindicates the best stage of governance requirements maintained in these corporations from the instances of the late Madhav Prasad Birla,” Mandal added.
“The courtroom right this moment dismissed the contempt purposes filed towards HV Lodha and others. We’re awaiting the copy of the order handed right this moment and would determine the longer term plan of action after learning the identical,” a Birla spokesperson mentioned.
The genesis of over 17-year-old authorized row between the Birlas and the Lodhas over controlling the over Rs 5,000-crore Birla Property lies within the contested will of late Priyamvada Devi Birla, which was executed in July 1982 after the purported will allegedly transferred the shares of the MP Birla Group, collectively known as because the Birla Property, in favour of Rajendra Singh Lodha.
The authorized tussle started after the July, 1982 wills that gave away all of the property to charities however one other will of April 18, 1999 gave them to Rajendra Singh Lodha, now being pursued by his son Harsh Vardhan Lodha, and different heirs.