[ad_1]
Taking a confrontational stand against its largest shareholder, the Zee board on Friday rejected its demand to hold an extraordinary general meeting to remove current MD and CEO, Punit Goenka and induct its nominees.
In a statement to the stock exchanges, Zee said its board deliberated and discussed various legal and statutory implications of the requisition notice.
The Board sought the opinions of independent counsel, legal experts including senior retired Supreme Court judges and evaluated the matter in a fair and transparent manner, the company said. “In its meeting held on 1st October 2021, the Board has arrived at a conclusion that the requisition is invalid and illegal; and has accordingly conveyed its inability to convene the Extraordinary General Meeting to Invesco Developing Markets Funds and OFI Global China Fund, LLC,” it added.
“The Board has arrived at this decision by referring to various non-compliances under multiple laws, including the Securities and Exchange Board of India guidelines, Ministry of Information and Broadcasting Guidelines and key clauses under the Companies Act & Competition Act, and after taking into account the interests of all the shareholders and stakeholders of the company. The Company cannot comment on any future actions since the matter is sub judice, it said.
This move, say legal experts, will result in a legal war as Invesco has already moved the.
National Company Law Tribunal (NCLT) and the court had asked Zee to hold the meeting to consider the EGM. The NCLT willl hear the case again on Monday.
Bankers say options before Invesco, a fund backed by Oppenheimer, is to sell its shares to any other rival TV network company and let the incoming shareholder make a counter offer to Zee-Sony transaction.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
[ad_2]
Source link
