Kirloskar Companies Challenge SEBI's Disclosure Directive

Four Kirloskar companies have appealed to the Securities Appellate Tribunal against SEBI's directive to disclose a family settlement deed. This move comes amid a familial feud over the Kirloskar group's assets. Sanjay Kirloskar remains at odds with his siblings over the non-disclosure of the agreement.

In a significant development, four Kirloskar companies have filed an appeal before the Securities Appellate Tribunal (SAT) challenging a directive by SEBI. The market regulator had advised them to disclose a deed of family settlement signed back in 2009, leading to this legal confrontation.

The companies in question—Kirloskar Ferrous Industries Ltd, Kirloskar Industries Ltd, Kirloskar Pneumatic Company Ltd, and Kirloskar Oil Engines Ltd—have argued in a joint statement that SEBI's demand violates regulations about non-disclosure agreements. The appeal was filed following SEBI's December 30, 2024, letter.

Underlying this legal dispute is a longstanding family feud between the Kirloskar siblings, with Sanjay Kirloskar on one side and Atul and Rahul on the other. The disagreement, which traces back to 2016, revolves around the assets of the 130-year-old Kirloskar group. Sanjay Kirloskar's complaint about DFS non-disclosure has added another layer to this complex saga.

(With inputs from agencies.)