Legal Roadblock Hits Birla Corporation's AGM Plans
Birla Corporation Ltd faced a legal hurdle as a Kolkata court issued an ex parte order, preventing the company from voting on new Articles of Association during its upcoming AGM. The decision follows a lawsuit by five shareholders. Birla Corporation maintains that the proposal aligns with legal standards.
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In a surprising turn of events, Birla Corporation Ltd has encountered a legal obstacle ahead of its 105th annual general meeting. A Kolkata court has imposed an ex parte order, restraining the company from voting on a resolution regarding new Articles of Association.
The court's decision came in response to a lawsuit initiated by five shareholders, as confirmed by the company's filing on Friday. The court order prevents the corporation from conducting any form of voting or publishing results concerning item No. 5 under the special business category.
Despite the setback, Birla Corporation remains steadfast, asserting that the proposed Articles comply with existing laws. The company has appealed the decision and is pursuing all necessary legal actions to address the situation, with no expected financial or operational repercussions.
(With inputs from agencies.)
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