Kirloskar siblings Rahul and Atul have raised questions over corporate governance of Kirloskar Brothers Ltd, led by their warring brother Sanjay, having been cleared of insider trading charges labelled against them. In a virtual press conference, Kirloskar Pneumatic Co Ltd executive chairman Rahul Kirloskar and Kirloskar Oil Engines Ltd executive chairman Atul Kirloskar said the Securities Appellate Tribunal (SAT) has set aside the insider trading order passed against them by SEBI in October 2020. As per Rahul, It is therefore evident that KBL is participating in trying to facilitate Sanjay Kirloskar in his disputes against us by initiating complaints and taking action for which it doesn't even have locus in the first place and in the process mis-utilising shareholder resources of a publicly listed company and misusing regulatory machinery. Being a listed company, KBL should justify the rationale and basis on which it has been "spending huge amounts aggregating to approximately Rs 274 crore towards payment of professional legal expenses and consultancy charges" ever since the dispute arose on 2016. This amount tantamount to more than 60 percent of the PAT of KBL for the same period which many shareholders have been questioning. Such expenditure appears to have been incurred for facilitating private disputes of KBL's managing director and his family thereby causing losses to public shareholders.

Click the icon for more information