Rift between Jagan Mohan Reddy and YS Sharmila over transfer of shares in a family owned firm
Recently the bitter rift between former andhra pradesh chief minister jagan mohan reddy and YS sharmila took a turn for the worse after he moved the National Company Law Tribunal (NCLT) against his sister and mother YS Vijaya Rajasekhara reddy over transfer of shares in a family-owned firm.Perhaps the petition filed by jagan mohan reddy and his wife YS Bharathi reddy accused sharmila, Vijayamma and two others of illegally transferring shares of Saraswati Power and industries Private Limited in July 2024 and violating a Memorandum of Understanding (MoU) signed between them in august 2019. Calling it a ‘deceitful deviance of law’, they alleged that shares were unlawfully transferred through a mere Board resolution on July 6, 2024, without submitting original share certificates or duly executed share transfer forms as prescribed under Section 56 of the Companies Act, 2013.Moreover sharmila said the gift deed was only a partial fulfilment of their father, the late YSR’s, directive and accused jagan of forcing her to give up on her demand of getting equal shares in Bharathi Cement and sakshi two major companies owned by the family. Besides the family run businesses, the letter also clearly mentioned that both the sides have also been sparring over the family’s Bengaluru residence, a sprawling property spread over 20 acres in Yelahanka.