Amaravati: The property dispute within the family of former Andhra Pradesh Chief Minister YS Rajasekhar Reddy has turned into a legal battle with YSRCP leader and former CM YS Jagan Mohan Reddy filing a case against his mother, Vijayamma, and sister, YS Sharmila, AP Congress president.
Jagan Mohan Reddy has written to the National Company Law Tribunal (NCLT) seeking to cancel the transfer of shares in Saraswati Power and Industries Private Limited to his sister and mother. He also wrote that Sharmila has made political and personal accusations against him, damaging his honour and dignity. He said that his sister has not honoured their Memorandum of Understanding and does not love him so he is seeking to cancel her gift deed.
A petition has been filed by Reddy and Bharti and Classic Realty at NCLT, Hyderabad claiming that the shares of Saraswati Power and Industries Private Limited, held by him and his wife Bharti Reddy, were "illegally" transferred to his sister's name and the shares of another company they own, Classic Realty, to their mother's name.
Jagan further stated in his petition that an agreement was signed with his sister on August 31, 2019, stating that a gift deed was given to Vijayamma as a trustee to Sharmila for the transfer of assets. Thus, 46,71,707 shares of Sandur Company owned by her and 71.50 lakh shares of Classic Realty, of which Bharti is a director, were transferred to Vijayamma and her share reached 48.99 percent with a total of 1,21,74,707 shares.
He said that these shares were transferred to his mother with the intention of transferring those to Sharmila in the future. He said that the Saraswati Board had recently transferred all the 76,26,294 shares on his name and 40.50 lakh shares held by Bharti, in the name of his mother without informing them.
It was further stated that out of 12 lakh shares of Classic Realty, 11,37,874 shares were transferred to Vijayamma and 62,126 shares to Chagari Janardhan Reddy.
Terming Saraswati Board's resolution on July 6 approving the share transfer as "illegal", Reddy has also asked the board to cancel the allotments and issue orders to correct the records by restoring 74,26,294 (29.88 per cent) shares to him, 40,50,000 shares (16.30 per cent) to Bharti, 1,21,74,207 shares (48.99 per cent) to Vijayamma and 12,00,000 (4.83 per cent) shares to Classic Realty. Chagari Janardhan Reddy's name as director was requested to be deleted from the records.
Read more
