NCLT says the matter of the dispute is simple - whether EGM requisition is valid or not and it cannot give Zee Entertainment Enterprises 'weeks and weeks' of time for filing its reply to the same
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Mumbai: The National Company Law Tribunal (NCLT) on Tuesday directed Zee Entertainment Enterprises to submit reply on a petition filed by Invesco and OFI Global China by Thursday.
The tribunal said the matter of the dispute is simple - whether the extraordinary general meeting (EGM) requisition is valid or not and it cannot give Zee Entertainment Enterprises 'weeks and weeks' of time for filing its reply to the same. "Orders cannot be passed with an opportunity of filing a counter... and we are of the view that minimum opportunity time should be given," the tribunal, comprising Bhaskara Pantula Mohan and Narendra Kumar Bhola, said in an oral order.
The tribunal has adjourned the proceedings for hearing on October 7. US-based Invesco, on September 30, had moved a petition seeking convening of the EGM, removing the company's Chief Executive and Managing Director Punit Goenka as well as two other directors, and reconstituting the board with the appointment of six new directors. Invesco Developing Markets Fund (formerly Invesco Oppenheimer Developing Markets Fund) along with OFI Global China Fund LLC hold a 17.88 per cent stake in ZEEL.
The NCLT had directed Zee Entertainment Enterprises Ltd to hold a board meeting to consider Invesco's request for convening an EGM. However, on October 1, ZEEL told the exchanges that its board found the demand for a meeting, seeking a recast of the board, including the removal of Goenka, to be "illegal and invalid". On October 2, ZEEL said it has moved the Bombay High Court against the requisition of minority shareholders, Invesco and OFI Global China Fund, to convene an EGM to discuss various issues, including the removal of Goenka.