After trademark, Lodha brothers trade charges over wealth distribution

Abhinandan claims he was only given Rs 500 cr as settlement

The ongoing feud between billionaire Lodha brothers -- Abhishek Lodha and Abhinandan Lodha -- intensified on Tuesday as BSE listed  Macrotech, led by elder brother Abhishek, claimed that Abhinandan received Rs 1,000 crore sans any debt in a family agreement, a claim which the younger brother termed as "a lie".

 

It comes on the heels of Abhishek’s Macrotech Developers, formerly known as Lodha Group, approaching the Bombay High Court to restrain House of Abhinandan Lodha Estate Holdings Private Limited (HoABL), which is owned by the younger brother, from using the ‘Lodha’ brand name in any form.

The  court has listed the matter for January 27th.

 

A spokesperson for Abhinandan  said Macrotech’s statement contradicts their own court filing from last week, which includes the family settlement agreement of 2017.

 

“The family agreement clearly states that Abhinandan Lodha received Rs 429 crore along with some apartments, totalling Rs 500 crore. It is disheartening to see a publicly listed company attempting to mislead the public through the media,” the statement by Abhinandan said. 

 

The family, which made a fortune from Mumbai's real estate, is led by patriarch 69-year-old Mangal Prabhat Lodha, currently a Cabinet Minister in Maharashtra government. The promoter holding in Macrotech Developers is 72 per cent as on Tuesday, which is valued at Rs 82,312 crore (see chart).

 

In a statement issued on Tuesday via its PR agency, Macrotech said between 2008 and 2014, the company exper,ienced a significant increase in debt, leading to considerable stress within the family.

 

Initially, according to Macrotech, it was agreed that each family member would take on a portion of both assets and debt. But Abhinandan insisted that he did not want to manage so many customers, debt, and construction projects, and thus preferred to take only money.

 

As a result, Abhishek and their parents were left with Rs 20,000 crore in debt, while Abhinandan separated to start a new business with a payout of around Rs 1,000 crore.

 

According to the statement, Macrotech Developers Ltd (MDL) was successfully listed on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) and the company’s stock price has shown significant growth.

 

“After the IPO, when Lodha Group’s reputation began to strengthen, Abhinandan Lodha launched his own real estate business focused on plots. Initially, he attempted to use the Lodha logo in his marketing campaigns but was stopped by Abhishek. Subsequently, he rebranded his business as ‘House of Abhinandan Lodha’ (HoABL) and as the ‘Lodha’ trademarks were identical to their own brand, it has taken the legal step,” Macrotech said.