Lakhani brothers reach settlement over business division
After litigating for two years over division of Lakhani group, the two warring brothers -- K.C. Lakhani and P.D. Lakhani have reached a settlement to divide the entire business between them.
By PTI |
NEW DELHI: After litigating for two years over division of Lakhani group, the two warring brothers -- K.C. Lakhani and P.D. Lakhani have reached a settlement to divide the entire business between them, with both having right to use the namesake brand.
The group, mostly known for their footwear business, was established in 1970s and is present in areas ranging from apparels, soaps and detergents to medicare.
As per the agreement, that follows litigations and counter-litigations between the two brothers since July 2006, three popular 'Lakhani' brands would remain common to both the factions. These brands include Lakhani, Lakhani Shoes and Lakhani Hawai.
Admitting a family settlement done by their family friend Suresh Elwadhi, the Company Law board (CLB) has disposed of the various petitions and applications filed by the brothers against each other during the course of litigation.
"Considering the long drawn disputes between the brothers which have all now been settled by the said family settlement /agreement, I dispose of the petition in terms of the same," said CLB Chairman S Balasubramanian directing the brothers to reconstitute the board of companies coming under their control.
The board also held that the effective date for division and transfer of the assets of the Lakhani group for the settlement would be April 1, 2006.
As per the family agreement, Lakhani group would be divided in two entities as KC Lakhani Group (KCLG) and PD Lakhani Group (PDLG).
The group, mostly known for their footwear business, was established in 1970s and is present in areas ranging from apparels, soaps and detergents to medicare.
As per the agreement, that follows litigations and counter-litigations between the two brothers since July 2006, three popular 'Lakhani' brands would remain common to both the factions. These brands include Lakhani, Lakhani Shoes and Lakhani Hawai.
Admitting a family settlement done by their family friend Suresh Elwadhi, the Company Law board (CLB) has disposed of the various petitions and applications filed by the brothers against each other during the course of litigation.
"Considering the long drawn disputes between the brothers which have all now been settled by the said family settlement /agreement, I dispose of the petition in terms of the same," said CLB Chairman S Balasubramanian directing the brothers to reconstitute the board of companies coming under their control.
The board also held that the effective date for division and transfer of the assets of the Lakhani group for the settlement would be April 1, 2006.
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As per the family agreement, Lakhani group would be divided in two entities as KC Lakhani Group (KCLG) and PD Lakhani Group (PDLG).
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