Only shareholders can remove me as MD of CPRL: Vikram Bakshi

NEW DELHI: India partner of McDonald's north and east operations Vikram Bakshi today submitted before CLB that he cannot be removed as MD of Connaught Plaza Restaurants, his joint venture with US fast food chain, through a general meeting of the company.

Bakshi said he could only be removed as the Managing Director at a meeting of shareholders of the company in accordance with law.

"I am asking for continuance as MD. I cannot be removed by a general meeting. If I have to be removed then by the shareholders only," Bakshi's counsel S N Mukherjee submitted before the Company Law Board (CLB)

In a public notice on August 30, McDonald's India said: "Vikram Bakshi has ceased to be the Managing Director of Connaught Plaza Restaurants pursuant to expiration of Bakshi's term on July 17."

Mukherjee also requested the CLB to maintain a status quo regarding shareholding and composition of board of directors or the management of Connaught Plaza Restaurants ( CPRL).

The CLB would hear the contentions of McDonald's India and its Illionis-based parent firm and its nominated directors on CRPL on next Monday.

Incorporated in June 1995, CPRL is a 50:50 joint venture between McDonald's Corporation and Vikram Bakshi and it has been running fast food outlets in North and East India.

Bakshi approached CLB on September 9 against his removal as the Managing Director of CPRL.

In his petition to the CLB, Bakshi has accused the American fast food chain "of implementing a pre-determined scheme of attempt to take over the Company (CPRL) in a coercive, oppressive and illegal manner contrary to law".

Bakshi claimed that since 2008, when the JV started making profits McDonald's has been trying to buy him out of the company. The first offer was made in August 2008 for USD 5 million, which he said was "categorically rejected".