CLB seeks report from Bajaj brothers

The Company Law Board on Thursday asked the warring Bajaj brothers - Rahul and Shishir - to prepare a report on the areas of dispute that are holding up a mutually acceptable agreement for splitting the business empire.

CLB chairman S Balasubramanian, who is hearing arguments by the two sides, also sought to know the points of difference over which they terminated last month their Memorandum of Understanding (MoU) drafted for division in the group.

"You first tell me the areas of difference. I would make an attempt (to resolve the issue). I am asking both the sides about that (difference) but no one is talking about that," Balasubramanian said during proceedings in the Board.

He advised the two sides to settle the matter amicably since it was a family dispute and suggested them not to fight in public domain.

Senior counsel and former Attorney General Ashok K Desai, appearing for Bajaj family patriarch Rahul Bajaj, informed the Principal Bench that the settlement is stalled at three points. He, however, did not elaborate about these issues.

Desai opposed Board's intervention in the issue, saying it would make this case more complex and his side was quite reluctant for such interference at this stage.

"In my view both sides should sit and finish the matter. We would not like to involve the tribunal at this stage right now... areas of difference are very limited," Desai said, turning down CLB's offer to mediate.

Commenting on this CLB Chairman said," Its not a dispute. You both are agreed to part away. One is willing to go out from the group. Adopt proper give and take method".

Later, he directed the two sides to give their reaction on those three areas of dispute. "Give your reaction on three areas. I want a proper concept report within two weeks from the both sides," he said, adding the next meeting on November 26 would not be in the open court but in his chamber.

However, the CLB made it clear that both the sides would continue their arguments in this four-year-old case if they again fail to reach on a settlement on November 26.

Shishir Bajaj's side, which is continuing arguments through senior counsel Rafique A Dada, has been given three days of consecutive hearing from January 14 next year. Rahul's side has been granted five sessions to wind up contentions in two terms. The first leg would be on January 28 and 29 and the second would be from February 14 till February 16.