Rashmi Saluja Ceases To Be Director Of Religare Enterprises

The decision was taken after a clarification on the same was sought by the Reserve Bank of India, the reply to which was received on Thursday.

(Photo source: Rashmi Saluja's Linkedin Profile)

Rashmi Saluja is no longer the director of Religare Enterprises, as per the company's exchange filing. The decision was taken after a clarification on the same was sought by the Reserve Bank of India, the reply to which was received on Thursday.

Saluja had not offered herself for the voting on her reappointment at the annual general meeting of the company on Feb 7. However, once the results of the meeting were published, it was clear that about 97% of the shareholders did not vote in her favour.

Post this, Rashmi Saluja filed a petition before the Delhi High Court against the Securities and Exchange Board of India, three Burman family entities, Religare Enterprises, and JM Financial for non-compliance, violations of RBI conditions, lack of disclosures, and suppressing a competing open offer. She requested the court to dismiss the Burmans' open offer process and prayed that if the offer proceeds, it should fulfil the conditions set by the RBI.

Saluja alleged that the markets regulator did not take the necessary action to protect the investors and minority shareholders in the entire Religare, according to the copy of the petition viewed by NDTV Profit. She also argued that her removal as Executive Chairperson of Religare Enterprises during the Annual General Meeting on Feb. 7 was illegal.

The petition said that the Reserve Bank of India granted conditional approval for the open offer on Dec. 9, 2024, requiring the acquirers to consolidate their non-banking financial companies and submit a detailed plan within 90 days, but Saluja contends that the acquirers have failed to meet these conditions and that SEBI has allowed the offer to proceed despite this non-compliance.

But this was not the only case filed by her with regard to her ouster. He had approached the high court against her own company before the AGM was conducted. She has filed the petition on Jan 29 to halt the AGM as she wished to continue in her role till 2028.

Her plea had challenged Section 152 (6) of the Companies Act, which mandates that one-third of the board, excluding independent directors, has to retire yearly. As the sole executive director, Saluja faced annual retirement under this rule. However, the legal routes did not work out.

Also Read: Religare Enterprises Boardroom Battle: Proxy Advisory Firms Oppose Rashmi Saluja's Reappointment

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WRITTEN BY
Charu Singh
Charu Singh, a correspondent at NDTV Profit, leverages her legal education ... more
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