Sunjay Kapur family dispute: Supreme Court says mediation progressing satisfactorily

The Supreme Court on Thursday expressed optimism that the dispute between late industrialist Sunjay Kapur’s family members over the Kapur family trust and its assets could be resolved amicably via mediation [Rani Kapur Vs Priya Sachdev Kapur].

A Bench of Justices JB Pardiwala and K Vinod Chandran made the observation after noting that the mediation between the competing parties was proceeding satisfactorily.

The Court noted that former Chief Justice of India DY Chandrachud, who is mediating the dispute, had submitted a preliminary mediation report dated August 5.

“We are happy to note that the mediation is proceeding quite satisfactorily. We are also happy to note that the parties concerned are cooperating,” the Court said on Thursday.

The Court also noted that six mediation sessions have been conducted so far and that the mediator has interacted with all members of the family.

“The parties have engaged in detailed discussions regarding the claims and entitlements that arise from the trust structure and the assets forming part of the corpus of the trust,” the Court recorded.

The mediator informed the Court that the parties have agreed to hold further discussions among themselves under his supervision to explore the possibility of “crystallising a holistic settlement of their claims”.

The Court also noted that the mediator had availed the services of a senior chartered accountant and a tax expert during the mediation process.

The Court accepted the mediator’s request for more time and permitted mediation to continue until November 2.

“We are sure and very much hopeful that the manner in which the parties have cooperated so far in the mediation proceedings, all disputes may get resolved amicably,” the Court said.

The Bench once again reminded the family of what it had told them while sending the dispute for mediation - that they should participate with an “open mind and open heart” and avoid being dragged into litigation that could continue for years.

“Let the mediation proceed further. We shall wait for one more report of the learned mediator,” the Court said.

The case arose from a suit filed by Rani Kapur, who has claimed that after she suffered a stroke in 2017, her late son Sunjay Kapur and his wife Priya Kapur exploited her physical condition and trust.

According to her case, her assets were transferred into the family trust without informed consent. She alleged that she was made to sign documents, including blank papers, under the pretext of administrative convenience.

The dispute intensified after Sunjay Kapur’s death in June last year. Rani Kapur alleged that Priya Kapur moved swiftly thereafter to assume control over key Sona Group entities.

She claimed that a substantial portion of the family assets has gone to Priya Kapur and the children, leaving her with nothing.

Meanwhile, Sunjay Kapur's two children from his ex-wife Karisma Kapoor moved the Delhi High Court accusing Priya Kapur of forging Sunjay Kapur's will and trying to gain total control of the property. 

The sought directions to restrain Priya Kapur from creating any third-party rights over the assets left behind by late industrialist Sunjay Kapur.

On April 30, the Delhi High Court allowed an interim injunction plea filed by the two children.

Before the Supreme Court, Rani Kapur too has sought a status quo on alienation of all properties of the trust.

On May, the Court appointed former CJI DY Chandrachud as mediator to settle the dispute.

This was after all the parties agreed to explore mediation to settle the dispute.

Rani Kapur was represented by Senior Advocates Siddharth Dave and Vaibhav Gaggar.

The respondents were represented by Senior Advocates Sheryl Trehan and Abhimanyu Bhandari.

Senior Advocate Mahesh Jethmalani also appeared in the case.