Mumbai: The lawyer of Madhu Kapur, widow of former director of Yes bank Ashok Kapur, Monday argued before the Bombay High Court that her married daughter, Shagun Gogia, deserved to be nominated as director to the bank's board on her own merit.
"She was not just her father's daughter but was duly qualified," said Madhu's counsel Darius Khambata, arguing before Justice S J Kathawala who was hearing a suit filed by Madhu and Shagun, challenging the rejection of Shagun's nomination by the bank's board of directors.
The counsel said that non-executive chairman M R Srinivasan had even asked Shagun to send her biodata, and after going through it, Srinivasan had said "it is impressive" and forwarded it to Rana Kapoor, the current MD and CEO.
This showed that Shagun was more than qualified for the post, Khambata said, adding that "Rana Kapoor had taken away our rights and the bank had assisted in such act".
He further said that seven years ago, Ashok Kapur and his brother-in-law Rana Kapoor signed an agreement with Rabobank to promote Yes Bank, in which the two held 51 percent stake and Rabobank held 49 percent stake. It was also agreed that the Indian partners (Ashok and Rana) were entitled to nominate or recommend directors. "Monday, Rana Kapoor says in the court that we have no right," Khambata said.
Madhu Kapur has also sought a stay from the court to appointment of M R Srinivasan, Diwan Arun Nanda and Ravish Chopra as the directors.
Ashok Kapur died in 26/11 Mumbai terror attacks. While his wife Madhu and two children (Shagun and son Gaurav Kapur) together hold 12 percent interest in the bank, Rana Kapoor, who founded the bank with Ashok in 2003, holds 13.7 percent.
Madhu's sister Bina is married to Rana Kapoor.
Arguments would continue tomorrow.
First Published: Monday, August 12, 2013, 20:09