CLB adjourns hearing on McDonald's-Bakshi dispute to Apr 3

The Company Law Board has adjourned its hearing on the dispute over management control of Connaught Plaza Restaurants, which runs McDonald's fast food outlets in North and East India, to April 3.
The counsels appearing for Vikram Bakshi, estranged North and East India partner of McDonald's, said they would indicate their positions during the next hearing.
On January 30, Bakshi had offered buying out the US food major's stake in their joint venture Connaught Plaza Restaurants.
The two parties are fighting for management control of the joint venture firm before the Company Law Board (CLB).
The counsel appearing for Vikram Bakshi had said that his side wanted to buy out the 50 per cent stake of McDonald's India Private Ltd (MIPL) in Connaught Plaza Restaurants.

The McDonald's counsel had also said that even his client was ready to buy out Bakshi's stake and had done valuation in 2008 and sought time to take further instruction on the issue.

On this, CLB had asked parties to submit their proposals.
Incorporated in June 1995, Connaught Plaza Restaurants is a 50:50 joint venture between McDonald's Corporation and Vikram Bakshi. The JV has been running fast-food outlets in North and East India.
In a public notice on August 30, McDonald's India said: "Vikram Bakshi has ceased to be the Managing Director of Connaught Plaza Restaurants Ltd (CPRL) pursuant to expiry of Bakshi's term on July 17."

The move was challenged by Bakshi before the CLB, which on September 16 last year had directed maintaining status quo with respect to shareholding and board pattern and the right of the call option until its further order.
Meanwhile, McDonald's had on November 28 terminated its joint venture agreement with Bakshi by sending a notice, and moved the London Court of International Arbitration (LCIA) to settle the dispute.
Bakshi had nominated former Delhi High Court judge, Justice J K Mehra to represent his side in the arbitration panel.
Bakshi had earlier sought a stay over McDonald's move to approach the global forum from the CLB on the ground that the US food major had already moved an application under section 45 of the Arbitration and Conciliation Act before it seeking arbitration.

However, CLB denied the move saying that "there is no prohibition" against McDonald's approaching LCIA while section 45 application is pending before it.