MP Birla Companies get High Court nod for AGMs

Kolkata: Calcutta High Court on Friday dismissed a petition filed by members of the Birla family seeking adjournment of annual general meetings (AGMs) of seven MP Birla group companies.

The MP Birla group companies, East India Investment Company, Gwalior Webbing Company, Baroda Agents and Trading Company, Punjab Produce Holdings, The Punjab Produce & Trading Company, Mazbat Properties, Mazbat Investments, were scheduled to hold their general body meetings for the year 2016 on Saturday, September 24. Incidentally, all the seven firms are unlisted investment companies now managed by the Lodhas.

Lodhas' counsel Debanjan Mandal of Fox & Mandal said this is the latest in a series of attempts being made by the Birlas to obstruct the smooth running of the M P Birla group of companies.

Earlier this month, members of the Birla family, Devendra Kumar Mantri and Radha Devi Mohta, had filed a petition seeking adjournment of the general body meetings of seven M P Birla group companies.

Counsel for Harsh Lodha filed a counter petition last night seeking dismissal of the Birla petition.

“We sought dismissal on the ground that these companies have regularly held their AGMs even after the appointment of the Administrator Pendente Lite (APL) committee (or administrators pending the litigation over the estate of Priyamvada Birla) in 2012,“ said Mandal.

The division bench of Justice Nishita Mhatre and Justice Tapabrata Chakraborty on Friday heard the petition and dismissed the Birla plea. Close aides of the Birla family refused to offer any comments on the development. Those tracking Kolkata's business houses claim the petition is one among several legal litigations filed by the Birlas and the Lodhas since July 2004.