Srichand Hinduja, 86, the eldest of the Hinduja brothers, filed a case against his brothers GP Hinduja, PP Hinduja and AP Hinduja. This matter relates to the validity of the letter dated July 2, 2014, which clearly stated that property held by any one brother would be deemed to belong to all the brothers. Also in this letter, any brother was given the right to appoint his other brother as executor. A legal dispute has been going on since November 2019.
The British High Court was told on Friday that an agreement had been reached between the Hinduja brothers. The dispute in the Hinduja family stems from a 2014 agreement signed by all four brothers. Srichand Hinduja’s three younger brothers argued that the letter was a succession plan for the more than 100-year-old Hinduja group. But the family members of Srichand Hinduja have alleged that they are being sidelined.
Origin of the dispute
Srichand Hinduja’s lawyers said in June that the family had agreed to a settlement. As soon as this agreement is reached, the way for the division of the family is also paved. Note that the Hinduja group consists of dozens of companies. The company’s business spans from truck manufacturing to banking, chemicals, power, media and healthcare. Group companies include Ashok Leyland and IndusInd Bank. The business of this group of companies is spread across 38 countries and employs more than 150,000 employees.
The first news of a rift in the Hinduja family surfaced when Srichand’s daughters filed a court case to gain control of Switzerland-based Hinduja Bank. Srichand’s daughter Shanu Hinduja is the chairperson of the bank and his son Karam Hinduja is the bank’s CEO. However, other members of the family also wanted their control over the bank, hence the dispute. The dispute brought the more than 100-year-old corporate empire to the brink of collapse. According to a Bloomberg report, Srichand Hinduja is suffering from dementia.
Each brother has a different responsibility for the business. Srichand Hinduja is the chairman of the entire group. He also started IndusInd Bank, one of the leading private banks in India. Gopichand Hinduja is the Co-Chairman of the Group and is also the Chairman of Hinduja Automotive Limited, UK. While the third brother Prakash is currently the Chairman of Hinduja Group in Europe, Ashok is the Chairman of Hinduja Group in India. Srichand and Gopichand live in London. Prakash lives in Monaco while Ashok lives in India. According to Forbes Real Time Net Worth List, the Hinduja brothers are ranked 110th in the list of the richest people in the world.
When was Hinduja Group established?
The Hinduja Group was founded in 1914 by Srichand Parmanand from the Sindh province of British India. The Hinduja Group was once a commodity-trading firm, but Srichand and his brothers steadily expanded their business into other sectors. Initial success came from distributing Bollywood films outside India. After that, his business grew. Srichand and Gopichand are British citizens and are among the richest people in Britain. The group also has a large business in India. The group has six listed companies in India.