The Bombay High Court on Tuesday granted an interim injunction against Zee Entertainment Enterprise Ltd’s (ZEEL) main shareholder, Invesco, preventing the latter from going ahead with the requisition for an extraordinary general meeting (EGM ) demanding the dismissal of the CEO of ZEEL and CEO Punit Goenka.
A single bench chaired by Justice Gautam Patel said: “I have granted an injunction to the respondents.
A detailed court order is awaited.
The High Court reserved its order on the matter last week after ZEEL told the court it was unwilling to hold a shareholders’ EGM as requested by its largest shareholder, Invesco.
The submission was made in response to a previous suggestion made by Bombay HC that Judge Patel asked ZEEL if it was prepared to hold such a meeting.
Senior attorney Gopal Subramanium, who appeared for ZEEL, told the HC at the time that the company’s board could not authorize anything that might prove to be “illegal.”
ZEEL’s largest investors, Invesco Developing Markets Fund and OFI Global China Fund, sent a request to the company on September 11 to seek an EGM for the removal of CEO and CEO Punit Goenka and two other non-independent and non-independent executive directors of the board of directors of the company. He also requested the induction of six new independent directors.
ZEEL, however, proposed the HC on October 2, asking that the court declare the requisition notice for a shareholders’ meeting sent by Invesco as illegal and invalid.