NCLT Allows ZEEL To Reply Till Oct 22: ZEE-Invesco Battle

The Mumbai bench of the National Company Law Tribunal (NCLT) has ordered  Zee Entertainment Enterprises Ltd (ZEEL) to file its reply to a plea filed by Invesco Developing Markets Fund by October 22. NCLT passed this order after appellate body NCLAT directed the tribunal to provide ZEEL a fair and sufficient time to respond to Invesco's request.

The NCLT bench, which included Bhaskara Pantula Mohan and Narendra Kumar Bhola, ordered ZEEL to file a response by October 22 for further consideration.

ZEEL had filed the complaint in the NCLAT on October 5th, challenging the NCLT's ruling requiring the business to respond to a petition filed by Invesco by October 7th. For failing to hold an extraordinary general meeting, Invesco had filed a complaint with the NCLT against ZEEL and three of its directors, including MD and CEO Punit Goenka (EGM).

Invesco had moved the NCLT on 30th September, seeking directions to ZEEL to convene an EGM. The minority shareholders are seeking the removal of ZEEL MD & CEO Punit Goenka as well as two other directors. It has also sought reconstitution of the company's board with the appointment of six new directors.

NCLT had directed ZEEL to hold a board meeting to consider Invesco's request for convening an EGM. Subsequently, ZEEL had held a board meeting wherein it rejected Invesco's demand for an EGM contending that the same is “illegal and invalid”. On October 2, ZEEL had moved the Bombay High Court against the requisition of EGM by Invesco and OFI Global China Fund.