Amidst family dispute, Delhi High Court allows Bina Modi to vote at Godfrey Phillips AGM

BL New Delhi Bureau Updated - September 05, 2024 at 10:16 PM.
Bina Modi, Chairperson and MD, Godfrey Phillips India
Samir Modi
Ruchir Modi

The Delhi High Court has allowed Bina Modi, Chairperson and MD, Godfrey Phillips India (GPIL), to exercise her voting rights in the company’s Annual General Meeting (AGM) slated for September 6.

The Court, on Thursday, dismissed pleas by her grandson Ruchir Modi and her son Samir Modi that sought to restrain Bina from voting on behalf of the KK Modi Family Trust in the AGM. This comes amidst the intensifying of the bitter legal feud between the family of Late KK Modi over the distribution of his over ₹11,000-crore inheritance.

However, the Court has also directed Bina Modi to file an affidavit disclosing all remuneration and other benefits received by her in her position as the Managing Director of GPIL. It also said that if at any stage of the suit it is determined that her appointment as the Managing Director of GPIL was against the terms of the Trust Deed or the Trust Act, she would need to immediately tender her resignation and would not be able to claim any equity.

All-important AGM

This directive also needs to be communicated during GPIL’s AGM, which is scheduled to be held on Friday, the Court order added. The matter is next listed for October 22.

All eyes are on the critical AGM. Key proposals that will be put to vote at the AGM include reappointment of Bina Modi as Managing Director of the company. Another proposal will seek shareholders’ nod for the company’s Nomination and Remuneration Committee’s unanimous decision against reappointment of Samir Modi as a Director.

The Trust has 47.48 per cent in GPIL.

Meanwhile, some proxy advisory firms such as Glass Lewis earlier recommended shareholders to vote against the reappointment of Bina Modi as Managing Director.

Published on September 5, 2024 15:45

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