You are here: Home » Companies » News
Business Standard

Bombay HC turns down Dish TV plea in ownership row with YES Bank

YES Bank has over 440 million shares (or around 25 per cent) in the direct-to-home company and has been seeking a change in management for some time now

Topics
YES Bank | Bombay High Court | Dish TV

Viveat Susan Pinto  |  Mumbai 

Bombay HC issues notices to Centre, Maharashtra over blocking of ITC
This came even as YES Bank had approached the National Company Law Tribunal (NCLT) seeking a reconstitution of the board of directors of Dish TV.

The (HC) on Friday rejected an interim application filed by a promoter group entity of seeking to restrain YES Bank, a shareholder of the company, from exercising its right over shares held by the bank.

The matter pertains to the dispute between Dish TV, part of the Essel group, and over ownership issues in the company. has over 440 million shares (or around 25 per cent) in the direct-to-home company and has been seeking a change in management for some time now.

A single-judge Bench led by Justice AK Menon turned down the plea for urgent relief filed by World Crest Advisors LLP, the promoter group entity, against YES Bank, paving the way for the latter to exercise its voting rights at the upcoming extraordinary general meeting (EGM) of the company.

The EGM, which be held on June 24, will see the company seek the re-appointment of Jawahar Goel, Anil Dua and RC Venkateish as managing director, whole-time director and independent director of the firm respectively.

The lender has claimed all along that it had extended loans of Rs 5,270 crore to 10 different entities between 2015 and 2018, against shares pledged by promoters of the group. Owing to repayments issues, it had subsequently taken ownership of these shares. This included Dish TV, where it is the largest shareholder of the company.

chart

Chairman Subhash Chandra, on the other hand, had said in an interview to Business Standard in March that its promoter group entities owed only Rs 4,200 crore to the bank and that the dispute was hurting Dish TV’s business and stakeholders.

Chandra also said the group was open to exploring multiple options to settle the dispute, including buying back the shares held by the bank, merging with one of the rival players such as Airtel and Tata Play, and appointing a mediator to resolve differences.

To put things in perspective, World Crest had first approached the Bombay HC in December seeking an order declaring them as owners of the over 440 million shares of DishTV.

This came even as had approached the National Company Law Tribunal (NCLT) seeking a reconstitution of the board of directors of Dish TV.

In its petition to the Bombay HC, World Crest had said it was the owner of the said shares in Dish TV. And that YES Bank or any entity claiming through the lender to be the owner of these shares should not be recognised as owners.

On Friday, shares of Dish TV rose 3.08 per cent on the BSE, closing trade at Rs 11.38 apiece.

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

First Published: Fri, June 17 2022. 21:40 IST
RECOMMENDED FOR YOU
.