Kirloskar Industries to Contest SEBI’s Family Settlement Disclosure Order

3 Jan 2025 , 09:45 AM

Kirloskar Industries Ltd announced its plan on December 31 to challenge the directive from Securities and Exchange Board of India or SEBI regarding an order, asking the firm to disclose Deed of Family Settlement dated September 11, 2009 under LODR Regulation of SEBI.

SEBI had issued its letter on 30 December, 2024 asking Kirloskar Industries to disclose the said DFS, dated September 11, 2009, duly signed by the Kirloskar family members in their personal capacity.

It clarifies that it is still keeping open the issue of whether or not the DFS is binding upon Kirloskar companies and these matters are, since 2018, currently under consideration before the civil courts.

Kirloskar Industries further objected to the interference of SEBI in the matters sub-judice. The company feels that the impugned SEBI order is replete with factual errors and does not appreciate settled legal principles, including principles of contract law, corporate law, and also company law.

The company argues that it is not within the purview of DFS and also it does not attract any liability or restriction on the company.

The company is going to take legal advice and initiate legal proceedings against SEBI. The company felt confident about the capability of the judiciary to deliver fairness and justice in the matter.