NEW DELHI: In what could be a setback to fast food chain McDonald’s in India, the National Company Law Tribunal (NCLT) on Thursday restored its estranged partner Vikram Bakshi as the managing director of Connaught Plaza Restaurant (CPRL), a 50:50 joint venture between McDonald’s India Pvt Ltd (MIPL) and Bakshi. The tribunal has said the meeting of CPRL of August 6, 2013 in which Bakshi was removed as MD of the company was “illegal, unjust and malafide”.
“The status of Mr Vikram Bakshi as managing director of CPRL is restored,” said a two-member NCLT bench headed by its President Justice M M Kumar.
The court has also appointed former Supreme Court judge G S Singhvi to act as administrator in the company with power to vote.
“He (Bakshi) shall continue to act as managing director of CPRL subject to passing of any resolution under the Chairmanship of the administrator,” the tribunal said. It further observed, “All steps taken in pursuance of non-election of Vikram Bakshi as Managing Director are also declared illegal, unlawful, unjust and malicious.”
In a public notice on August 30, 2013, McDonald’s India had said: “Vikram Bakshi has ceased to be the Managing Director of Connaught Plaza Restaurants pursuant to expiration of Bakshi’s term on July 17.”
However, Bakshi contested that he cannot be removed as MD through a general meeting of the company.