Vikram Bakshi, the ousted MD of Connaught Plaza Restaurant (CPRL), the joint venture firm responsible for running operations of McDonald?s outlets in northern and eastern India, on Wednesday expressed his willingness to meet McDonald?s executives to explore options for day-to-day running of the company.
After the hearings in the Company Law Board on Wednesday, where Bakshi has challenged his removal as MD, he told FE that he was willing to explore such options at the company?s board meeting scheduled on September 30. ?Let?s see what happens in the board meeting, but what is of importance is that the business of the company must continue and it should continue for the benefit of everybody. If any such option (in respect of management) is explored, we are happy to meet them (McDonald?s) halfway,? he said.
On August 30, McDonald?s had announced that Bakshi had ceased to operate as a managing director from July 17 when his tenure ended. Earlier this month, Bakshi had moved the CLB seeking reinstatement as CPRL MD.
During Wednesday?s proceedings, senior counsel Sudipto Sarkar, appearing on behalf of McDonald?s, pleaded that interim relief for management of the company was not required, if the board of directors of CPRL continues to meet on a regular basis. Sarkar had on September 16 proposed, a ?workable solution?, before the CLB, as per which, the management of the company was to be passed into the hands of a two-member committee consisting of one member from the nominee directors of McDonald?s and one from Bakshi?s side ? either himself or his wife.
Meanwhile, the CLB directed that its September 16 order for maintaining status quo in respect of exercise of call options by McDonald?s against Bakshi will continue till the next date of hearing, along with the directions that no alteration in the shareholding pattern or the composition of the board of directors be made.
The board has also ordered Bakshi to reply to the affidavits filed by McDonald?s within a week and the matter has been slated for further hearing on October 3.
Counsel appearing on behalf of McDonald’s also pleaded before the court that a separate application under section 45 of the Arbitration and Conciliation Act seeking referral of the matter for arbitration has also been filed. As per section 45, the judicial authority (CLB) can refer the dispute to arbitration as per the agreement between the parties.The JV agreement provides that the London Court of International Arbitration is to be the forum for resolution of any disputes between the parties.
