Religare's Saluja fails to secure shareholder approval for reappointment

Over 97 per cent of shareholders voted against her reappointment; Saluja had contended that she is not liable to retire by rotation

Religare Enterprises’ executive chairperson Rashmi Saluja has been ousted by the shareholders with a majority of them voting against her reappointment in the recently concluded annual general meeting (AGM) of the financial firm.

 

Saluja, who had contended in the Delhi High Court that she is not liable to retire by rotation, saw 97.52 per cent of the shareholders voting against her reappointment.

 

Over 99 per cent of the institutional investors in the company have voted against Saluja, showed the scrutinizers’ report.

 

“The Resolution No. 2 (Ordinary Resolution) failed to pass with the requisite majority as per Section 114(1) of the Act,” noted the report.

 

Further, nearly 77 per cent shareholders were also against the appointment of chartered accountant firm Kirtane & Pandit LLP as the statutory auditors of the company.

 

During the AGM on February 7, Saluja had stated that she is not liable to retire by rotation — a claim which the Delhi HC had earlier dismissed.

 

She had sought permanent injunctions to prevent her removal and stop the resolution from being voted on at the AGM, contending that her appointment was made for a fixed tenure of five years which ended in 2028.

 

The single-judge order noted that while she was appointed in 2023 for a five-year term, the Board meeting and AGM minutes explicitly stipulated retirement by rotation.

 

The AGM, originally scheduled for December, was delayed due to legal proceedings before the Madhya Pradesh HC. The court had dismissed the case which was filed by a non-shareholder.

 

Meanwhile, the Supreme Court has directed US-based investor Danny Gaekwad to deposit ₹600 crore in terms of its competing offer for Religare against the Burman family's open offer on or before February 12. Failing this, the order will be set aside.