The National Corporate Law Tribunal (NCLT) has ordered the National Company Law Tribunal (NCLT) to give more time to Zee Entertainment and its directors on a petition filed by the Invesco Developing Markets Fund for Extraordinary Public Meeting (EGM).
NCLAT on Thursday said the NCLT had made a mistake by not giving Zee Entertainment Enterprises LTD (ZEEL) a fair and adequate period of time and that it was violating the principles of natural justice.
The NCLT has been hearing Jill’s petition against the NCLT order, asking shareholders to respond to the request of Invesco Developing Markets Fund and OFI Global China by October 7.
“The NCLT has erred in not providing reasonable and sufficient time to respond, which is a complete violation of Rule 37 of the NCLT Rules and Principles of Natural Justice,” the order said.
A ZEEL spokesman said Wednesday that the company had moved NCLAT in line with the process required under the law.
“The company has filed a case in the Mumbai High Court to declare the request notice sent by Invesco Developing Markets Fund and OFI Global China Fund LLC as invalid. The company has full confidence in the Indian justice system and will take all necessary steps for the benefit of all its shareholders,” the spokesperson said.
The Mumbai bench of the NCLT on October 30 ordered the ZEEL board to summon EGM at the request of partner Invesco under Section 100 of the Companies Act 100.
GL summoned EGM to Invesco on October 1, declaring its inability, saying the request notice was “invalid and illegal”.
The company said its board, which includes experienced experts, discussed various legal and legal implications of the claim announcement.