Fresh troubles surface for Dhanlaxmi Bank

A shareholder and 2 others person approached the tribunal against the board’s determination of rejecting their candidature for the bureau of director, to beryllium placed earlier members during the yearly wide gathering scheduled for September 29.

Problems look to beryllium ne'er ending for Dhanlaxmi Bank, with large shareholders, including NRI Ravi Pillai, engaging successful struggle with the committee of directors.

A shareholder and 2 others person approached the tribunal against the board’s determination of rejecting their candidature for the bureau of director, to beryllium placed earlier members during the yearly wide gathering scheduled for September 29.

KN Madhusoodan, a shareholder of the company, P Mohanan and Prakash D L person approached the tribunal seeking a absorption to the respondents – RBI and Dhanlaxmi slope – to discharge their statutory responsibilities nether Section 160 of the Companies Act to pass the members astir the candidature of the petitioners for the bureau of the manager arsenic mandated nether Section 160(2) of the Companies Act.

The committee of the slope arbitrarily rejected the applications of each 5 candidates, including salient shareholder Ravi Pillai ( B Ravindran Pillai) and erstwhile autarkic manager PK Vijayakumar, filed nether Section 160 of the Companies Act, a highly-placed root told FE.

The petitioners had to determination their candidature nether Section 160 of the Companies Act aft the committee decided to defer their candidatures.

“The enactment of the committee has nary ground successful instrumentality arsenic the names of P Mohanan and Prakash were antecedently cleared by the Nomination and Remuneration Committee during its gathering held connected July 23, 2021,” sources said.

“It is simply a truncated committee and they privation to support it that mode to person a controlling stake. There are lone 8 directors, including 2 RBI nominees, and it helps them to instrumentality unilateral decisions against shareholders’ interests,”sources added.

Ravi Pillai holds a 10% involvement successful the lender and was connected the committee till May 2020. He had to exit connected turning 70. Later, the RBI raised the property bounds for non-executive directors, including the chair, to 75. CK Gopinathan and his 2 household members unneurotic clasp adjacent to 10% successful the bank. NRI MA Yussuffali and Kapil Wadhawan ain a 5% stake.