The long dispute of the ‘Lakhani Group’ brothers finally seems to have come to an end. The two brothers along with their family members have entered into a memorandum of family settlement and arrangement. The court also directed them to redeem the defaults of their respective KCL Group and PDL Group at the earliest.
Suresh Elwadhi, a family friend has been asked by the court to mediate between the two brothers.
The Company Law Board chairman, S Balasubramanian has passed the order which says, “The said division/transfer/ vesting shall be effective notwithstanding anything contrary contained in the Companies Act or any other act. Both the brothers are authorised by this order, to reconstitute the boards of companies coming under their control, notwithstanding quorum requirements. Since, no board meetings of the entities of the groups have been held, these entities have defaulted in complying with certain statutory requirements. All the defaults are condoned and no statutory authority shall take cognizance of the defaults. However, these defaults should be remedied at the earliest.”
According to the order all the statutory authorities, where necessary, shall assist the parties in implementing the family settlement.
In terms of the family settlement, certain obligations have been cast on the parties and they have been given certain undertakings that they are directed to comply with.
Balasubramanian added, “Taking into consideration the interest of the Lakhani Group as a whole, I repeatedly impressed upon them that a comprehensive family settlement should be arrived by them.”
“I have also appointed, Suresh Elwadhi, a family friend to mediate between the two brothers. Finally, the brothers along with their family members have entered into a memorandum of family settlement and arrangement,” he added.