The NCLT orders were issued in the petition filed by Jagan Mohan Reddy, his wife Bharathi Reddy and their firm Classic Realty. The NCLT had invalidated the share transfer.
Hyderabad:Saraswathi Powers and Industries Ltd has approached the National Company Law Appellate Tribunal (NCLAT) bench at Chennai, challenging the July 29 orders of the NCLT in Hyderabad, which allowed former chief minister Y.S. Jagan Mohan Reddy’s request to cancel the transfer of its shares to his mother Y.S. Vijayamma.
The NCLT orders were issued in the petition filed by Jagan Mohan Reddy, his wife Bharathi Reddy and their firm Classic Realty. The NCLT had invalidated the share transfer.
Challenging the NCLT orders, Saraswathi Powers approached the appellate tribunal and submitted that the NCLT`s judgment was without considering the arguments submitted in writing. It said that all the facts were in favor of the company and that the shares were transferred in the name of Vijayamma as per the law.
It expressed concern that the cancellation could lead to many difficulties in the management of the company. It sought the cancellation of the judgment passed by the NCLT based on oral understandings in family disputes beyond the scope of Section 59.
