Sanjay Kirloskar owned by Kirloskar Brothers Ltd (KBL) on July 27 filed a complaint with the Securities and Exchange Board of India (SEBI) alleging that other companies owned by brothers Atul Kirloskar and Rahul Kirloskar misled investors by taking more than 130-year assets old and pass it on as their own.In a letter sent to SEBI, the company complained that the prosecution filed by Kirloskar Oil Engines Limited (KOEL), Kirloskar Industries Limited (KIL), Kirloskar Pneumatic Company Limited (KPCL) and Kirloskar Ferrous Industries Limited (KFIL) on BSE and the National Stock Exchange contradicts the interests of shareholders and the investment community.
The companies are owned by Atul and Rahul Kirloskar.The complaint refers to a press release, entitled ‘Kirloskars Limitless’, which was issued by companies for their purpose and new perspective.”The 130-year-old legacy belongs to Kirloskar Brothers Limited, which KOEL wants to rely on and falsely rely on,” the letter said.
The estate, if any, of the company now named KOEL, is only 12 years (and the assets of KIL, ARKA Fincap, KPCL, KFIL and Kirloskar Chillers Private Limited (KCPL) are less than 130 years); although KOEL wants to disclose its legacy and those companies as a 130-year-old legacy, based on which they make unlimited travel ”.The letter, accusing the four companies of separatism and similar violations, also pointed out that the companies’ claim that “the conference was an important part of India’s industrial revolution” was misleading because the KBL was in control of the situation and discussed it on its website.
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These claims violate regulation 30 of the SEBI (Terms of Commitment and Disclosure Requirements), 2015, for stock trading, KBL added.Apart from that, Kirloskar Industries does not have the right to own the trademark license and patent Kirloskar, as it is not the shareholder of Kirloskar Proprietary Limited (KPL), an organization in which extended family members participate equally.
The business, which was built in accordance with the Deed of the Settlement of Families (DFS) when it collapsed in September 2009, cannot transfer trademarks to any other company other than the signatories.The KBL has requested the necessary steps and corrective actions, as well as the penalties for sanctions against these companies.“Please take this book and put it in your files and records and as the market regulator immediately initiates the necessary remedial action, including issuing stop orders and stopping prohibiting each KOEL, KIL, KPCL and KFIL, under SEBI Act, 1992, SEBI LODR , 2015 and the SEBI PFUTP regulations, taking into account the interests of the investment community, the general public and the market, ”it said.
Founded in 1888 by Laxmanrao Kirloskar, Kirloskar Brothers is a leading $ 2.1 billion Qirloskar Group company interested in producing industrial pumps for water, oil and gas and energy plants.Earlier today, the Supreme Court upheld the order of the Bombay High Court ordering arbitration to resolve the dispute.
Sanjay Kirloskar has asked the high court to quash an order from the Bombay High Court to rule on a case involving KBL property under the Deed of Human Settlements. The high court also urged the brothers to consider a resolution to the family dispute by arbitration.According to Kirloskar Industries, owned by Atul and Rahul Kirloskar, the book “contains a myriad of errors and facts”.”There is nothing in the whole newspaper to show that the KBL is not trying at all” to try to pass on the history and record of Kirloskar Brothers Limited as theirs “, said a spokesman for the department.
We would like to point out that each of these companies is part of the ‘Kirloskar Group’ that was establishedLaxmanrao Kashinath Kirloskar is the grandfather of Atul Kirloskar, Sanjay Kirloskar and Rahul Kirloskar each of whom are the fourth generation of the Kirloskar family and are the promoters of each company and that of Kirloskar Brothers Limited, ”said the speaker.
“The press release speaks of this:” In line with our founder ‘s vision of ensuring that all products are a step ahead, companies will always be innovating in the future. “Clearly, this is a reflection of the vision of our team founder Laxmanrao Kashinath Kirloskar. KOEL, was only introduced in 2009 and does not exist and does not claim to have a 130-year-old estate and a 130-year-old estate belonging to Kirloskar Brothers Limited, which KOEL wants to rely on unrealistic and arrogant, ”said a spokesperson for the department.
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The group that split in 2010 saw wars in many fronts between our brothers Sanjay, Atul and Rahul. The complaint to SEBI follows serious cases such as a lawsuit filed by Sanjay in which he demands $ 750 million in damages for his brothers’ losses in violation of a non-competitive DFS clause.The DFS section states that no one in the family will compete with any other member of the business. For example, if one brother was producing pumps, the other would not be involved in the same business. According to the KBL, this clause was violated by Rahul and Atul who participated in a pumping company, La Gajjar Machineries Pvt Ltd.
