IndiGo promoter feud: Rahul Bhatia, IGE file for arbitration in London Court against Rakesh Gangwal
InterGlobe Aviation is the parent of IndiGo, the country's largest airline in terms of domestic market share.
No relief has been sought against the company, IndiGo said in a statement to the exchanges.
“The company has been named as a necessary and proper party to the arbitration. However, presently, no monetary claim, including any compensation or penalty, has been sought against the company,” the filing said.
The shareholders’ agreement signed in April 2015 expires shortly.
The agreement and articles of association in which it is embedded, have been the cause of a bitter and very public dispute between Bhatia and Gangwal, who founded and IndiGo and developed it into India’s biggest airline controlling nearly half of the domestic air passenger market.
Gangwal had among other things complained to SEBI in July that the agreement is skewed towards Bhatia in that it gives him the power to choose and appointment the chairman, most board directors and the top management executives.
Several contentious board meetings later, the board structure was resolved to be changed bringing in more independent directors and a woman director.
IndiGo in its filing didn’t elaborate on details of its contention.