 "Madhu Kapur can ask RBI to clarify on two YES Bank board appointments: HC")
The Bombay High Court on Monday said Madhu Kapur and family can obtain clarification from the Reserve Bank of India (RBI) on its approval related to the appointment of M R Srinivasan and Diwan Arun Nanda on the board of YES Bank.
Madhu Kapur had filed a petition in the high court in June and had sought a stay on the two directors assuming office. The next hearing is on July 27.
A YES Bank spokesperson said, “In the hearing today, the Honourable Bombay High Court, upon the insistence of the plaintiffs (Madhu Kapur & family) counsel, consented for the plaintiffs to obtain clarification from RBI on its existing approval related to two directors, viz., M R Srinivasan and Diwan Arun Nanda until October 2016. Both these directors were duly elected by the shareholders at the last annual general meeting and RBI has categorically approved their continuance, after noting that they have crossed 70 years.” The spokesperson added that therefore, this was a mere clarificatory enquiry.
In 2013, Madhu Kapur and her family had moved Bombay High Court, claiming her right as the bank's co-promoter was violated and she wasn't consulted before the bank had appointed a few directors on its board. In June 2015, the court said that the appointment of board members be exercised jointly by the promoters, not individually.
Madhu Kapur had filed a petition in the high court in June and had sought a stay on the two directors assuming office. The next hearing is on July 27.
A YES Bank spokesperson said, “In the hearing today, the Honourable Bombay High Court, upon the insistence of the plaintiffs (Madhu Kapur & family) counsel, consented for the plaintiffs to obtain clarification from RBI on its existing approval related to two directors, viz., M R Srinivasan and Diwan Arun Nanda until October 2016. Both these directors were duly elected by the shareholders at the last annual general meeting and RBI has categorically approved their continuance, after noting that they have crossed 70 years.” The spokesperson added that therefore, this was a mere clarificatory enquiry.
In 2013, Madhu Kapur and her family had moved Bombay High Court, claiming her right as the bank's co-promoter was violated and she wasn't consulted before the bank had appointed a few directors on its board. In June 2015, the court said that the appointment of board members be exercised jointly by the promoters, not individually.