Succession WarsBina Modi takes on sons in fight for Godfrey Phillips throne

The fight for control of Godfrey Phillips India isn’ t simply blowing smoke—– it’ s a blazing bad blood, with the flames fired up by an inheritance war that’ s spreading out faster than a lit cigarette.

At the heart of the dispute is 80-year-old Bina Modi, the iron-willed matriarch who’ s revealing more persistence than the majority of CEOs half her age as she squares off versus her own kids.

Chairperson of Godfrey Phillips India, Bina Modi has actually made her position crystal clearthe household empire constructed by her late spouse, KK Modi, is not for sale. “KK Modi’s tradition is not for sale. It needs to be kept alive,” she stated, breaking her silence on a disagreement that has actually transfixed India.

The fight has actually appeared into a public legal face-off after her boys, Samir and Lalit Modi, implicated their mom of defying the spirit of KK Modi’ s will. Their core argument depends upon the trust deed that KK Modi signed before his death in 2019, which now fuels this heated inheritance conflict.

The Modi household’s Godfrey Phillips empire

The Modi household’ s enduring association with Godfrey Phillips started in 1936, when Krishan Kumar Modi (KK Modi) established the business. Under his stewardship, Godfrey Phillips changed from a modest tobacco manufacturer into among India’ s biggest varied corporations, with interests extending into tea, drinks, and retail.

The Modi dynasty’ s origins extend even more back. KK Modi’ s dad, Rai Bahadur Gujarmal Modi, laid the structure for the wider Modi Group. After his death in 1976, the reins passed to his stepbrother Kedar Nath Modi. It was the department of the household’ s company empire in 1989 that handed control of Godfrey Phillips to KK Modi.

The stimulate that fired up the fight

The bad blood burst into flames following KK Modi’ s death in 2019. His huge holdings, especially his considerable stake in Godfrey Phillips India, ended up being the focus of the disagreement.

Valued at over Rs 11,000 crore ($1.3 billion) and by some quotes as much as $4 billion, the Modi household fortune is now the battlefield.

Who’ s who in the Modi succession drama

In the middle of this legend are 4 crucial gamers:

Bina ModiThe widow of KK Modi and Chairperson of Godfrey Phillips India.

Samir ModiA child of KK Modi and previous Executive Director at Godfrey Phillips.

Lalit ModiAnother kid, understood for his function in cricket administration.

Charu ModiKK Modi’ s child, who has actually aligned herself with Bina Modi in the fight.

Conference room fights, attack accusations

Given that 2019, this household drama has actually played out in India’ s courts, with cases as complex as the household history itself.

Attack accusationsSamir Modi looked for legal defense after implicating his mom’ s security group of attacking him throughout a board conference, which just stired the flames even more.

Contempt petitionBina Modi submitted a contempt petition implicating her boys of breaching a Supreme Court order to avoid making disparaging remarks throughout mediation, though she withdrew the petition in July 2024, potentially indicating a tactical modification.

Conference room fightsA Delhi court purchased Bina Modi to suggest Samir for reappointment to the board of Godfrey Phillips, however just after he went through the correct legal channels. The Delhi High Court likewise turned down Lalit Modi’ s boy Ruchir s plea to lower Bina Modi s powers as handling trustee of the household trust.

AGM power playsAt the September 2024 Annual General Meeting (AGM), Bina Modi strengthened her management, protecting 86.6% investor approval to remain as Chairperson. Samir Modi was ousted from the board, and in an unexpected twist, Charu Modi was selected as Executive Director with frustrating assistance from investors.

Bina Modi’ s fight for control

The core of Bina Modi’ s power depends on her control of the household trust, which holds a 48% stake in Godfrey Phillips India. This provides her significant impact over the business’ s future in crucial sectors like tobacco, direct selling, and agrochemicals.

While her children have actually battled tooth and nail, implicating her of not honouring their dad’ s tradition, Bina Modi insists she s never ever started any legal action herself. She’ s constantly been on the defence, merely responding to the lawsuits surrounding her.

The continuous failure to concur on the worth of the household’ s inheritance has actually extended this fight into its 5th year.

In what has actually turned into one of India’ s most carefully watched business legends, the Modi household’ s defend control of Godfrey Phillips reveals no indications of cooling off anytime quickly.

One thing is clearBina Modi is prepared to combat to the very end to keep KK Modi’ s tradition alive.