InGovern Demands Sebi Probe Into Religare Enterprises' AGM Delay

Proxy advisory firm InGovern has raised concerns over Religare Enterprises' postponement of its 40th annual general meeting without a valid reason and has sought a Sebi investigation. The delay, which impacts board re-appointments and shareholder interests, has heightened tensions with the Burman family, major stakeholders of REL.

Proxy advisory firm InGovern has flagged concerns over Religare Enterprises' postponement of its 40th annual general meeting (AGM) without providing any valid reason, urging the Securities and Exchange Board of India (Sebi) to probe the matter.

The regulator is expected to look into the decision-making processes behind the delay, scrutinizing the company's actions related to share allotments and Employee Stock Ownership Plans (ESOPs). This investigation aims to identify any potential corporate governance issues or regulatory violations.

Religare Enterprises Ltd (REL) deferred its AGM from September 2024 to December 2024, significantly affecting executive chairperson Rashmi Saluja's re-appointment. Shareholders are frustrated by the lack of transparency about the delay, especially since financial accounts were already filed. The move has intensified REL's ongoing dispute with Burman family-controlled firms over management control, prompting further legal actions.

(With inputs from agencies.)