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Preity Zinta files petition to halt Punjab Kings share sale; court hearing set for August 20

Chandigarh: The company’s co-owner and actress Preity Zinta reached the court. She has filed a petition in Chandigarh District Court against the company’s co-owner, Mohit Burman. Things were not going well in the franchise (KPH Dream Cricket Private Limited), before the mega auction of the Indian Premier League (IPL). In the petition, she demanded a ban on selling Mohit Burman’s 11.5 per cent shares to someone else. The court has issued a notice to Burman in this matter. Also, the next hearing of this case will be completed on August 20.

According to the petition, the company has four major shareholders. Burman has the largest 48 per cent stake in KVH. While Preity Zinta and Ness Wadia have a 23-23 percent stake. While the remaining shares are with the fourth shareholder, Karan Paul. According to the petition, Preity Zinta says that Mohit Burman is talking about selling 11.5 per cent of his shares to another party.

Preity has filed a petition under the Arbitration and Conciliation Act 1996 to stop Burman from selling these shares. It states that any shareholder can sell his shares outside the group in a situation when the rest of the shareholders are refusing to buy those shares. This has not happened in this case. The rest of the shareholders have not refused to buy these shares. Burman has also refused to sell his shares. Punjab Kings has also not issued any official statement on this.

Zinta has highlighted Article 19 of the association’s by-laws. Which relates to the right of first refusal (ROFR) of existing investors. The court said that after initially offering to sell the stake, Burman backed out. But the deal talks with the American company are ongoing.

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