The members of the Murugappa family agreed to settle the disputes and differences with the family branch of late M.V. Murugappan, including Valli Arunachalam and Vellachi Murugappan.
The disputes arose post the demise of Murugappan and the family members discussed and concluded the terms of the arrangement among themselves at a meeting in the presence of their respective advisors, according to a stock exchange announcement.
The understanding was recorded on 20 August via a memorandum entered into by the members of the Murugappa family with the family branch of Murugappan. The arrangement aims to bring about amity and maintain goodwill among the members of the Murugappa family.
“The family arrangement ensures that all the issues between the members will be settled, and they are happy that they have agreed to resolve this amicably,” said representatives for the family members. “The terms of the family arrangement itself are confidential.”
The family members will undertake necessary transactions to accomplish the family arrangement within the next 90 days.
No listed company forming part of the Murugappa Group is a party to the family arrangement, and nothing in the family arrangement relates to the management or control of, or grants any special rights to the parties in, any such companies, according to the statement.
Listed companies forming part of Murugappa Group are Carborundum Universal Ltd., Cholamandalam Investment and Finance Company Ltd., Cholamandalam Financial Holdings Ltd., Coromandel Engineering Company Ltd., Coromandel International Ltd., EID Parry (India) Ltd., Tube Investments of India Ltd., Kartik Investments Trust Ltd., CG Power and Industrial Solutions Ltd., Shanthi Gears Ltd., and Wendt (India) Ltd.
As part of the family arrangement, the parties have also agreed that all legal proceedings between the family groups will be withdrawn as per the terms of the family arrangement after all agreed steps specified in the family settlement have been completed.
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