Key facts
- The Supreme Court suggested mediation to resolve a dispute among the Kalyani siblings over ancestral wealth and promoter stakes.
- The assets involved are estimated to be worth over Rs 1 lakh crore.
- The dispute involves ancestral wealth, including land, jewelry, and stakes in listed companies.
- The Supreme Court has scheduled the next hearing for July 13.
- The Bombay High Court had previously denied a request for mediation, citing lack of consent from all parties.
The Supreme Court has urged the warring Kalyani siblings to consider mediation to settle their protracted dispute over ancestral wealth and stakes in listed companies, including the flagship Bharat Forge. The total estimated value of these assets exceeds Rs 1 lakh crore.
A bench led by Chief Justice Surya Kant directed the parties to "take instructions on mediation" and scheduled the next hearing for July 13.
The dispute involves siblings Babasaheb N Kalyani, Sugandha Hiremath, and Gaurishankar Kalyani, along with their children. Their litigation spans ancestral properties, including land and jewelry, as well as significant stakes in various listed companies.
Sugandha and her husband Jaidev Hiremath had appealed to the Supreme Court after the Bombay High Court refused to order mediation on May 4. They argued that the High Court erred in rejecting their request, especially since they claimed Gaurishankar Kalyani and his wife Rohini also supported mediation. The Hiremaths contended that family disputes are best resolved through alternative dispute resolution mechanisms like mediation.
In 2023, Sugandha and Jaidev Hiremath initiated proceedings in the High Court to enforce a 1994 family agreement, seeking the transfer of shares held by Kalyani Investment Co and BF Investment to them. Elder brother Babasaheb Kalyani, chairman of Bharat Forge, had questioned the maintainability of this petition.
Further complicating matters, Sugandha filed a claim in the Pune civil court in 2024, asserting that the Kalyani Hindu undivided family (HUF) had funded the creation of all group businesses, including Bharat Forge. She argued that all Kalyani group assets rightfully belonged to the HUF and sought her share in numerous movable and immovable properties across approximately 250 companies.
The Bombay High Court had previously denied the mediation request, stating that mediation under the Mediation Act 2023 is consensual and cannot be directed without the agreement of all parties. The court also noted that prior mediation attempts had failed and that Babasaheb Kalyani and others had opposed the current mediation proposal.