Billionaire brothers Dayanidhi Maran and Kalanithi Maran are engrossed in a bitter family drama that surrounds India’s largest listed media entity, Sun TV Networks Limited, which has a consolidated income of ₹4,712.60 crore.
Former telecom minister and Member of Parliament from the Dravida Munnetra Kazhagam (DMK), Dayanidhi has accused his brother and others of fraudulent practices and “misgovernance” in usurping control of Sun TV after the death of their father, Murasoli Maran, in 2003.
Dayanidhi has sought the restoration of a 2003 shareholding structure that gave the ownership of Sun TV to him; his sister, Anbukarasi Maran; current Tamil Nadu chief minister M.K. Stalin; and his two brothers and sister.
Kalanithi, as per the shareholding structure, did not own any shares in the company 22 years ago.
In his legal notice, Dayanidhi has warned of seeking a probe by the Serious Fraud Investigation Office (SFIO) of the Ministry of Corporate Affairs if his brother did not comply with the shareholding structure.
Kalanithi Maran, who owns 75 per cent of Sun TV, has been estimated to be worth $2.9 billion. However, Dayanidhi claims that his brother did not own any share in the company until September 15, 2003.
The former Union minister says that the shares in their father’s name had been transferred to their mother, Mallika Maran, after the death of their father in November, 2003, albeit without any legal documentation.
Dayanidhi alleges that Kalanithi allotted 1.2 million equity shares of Sun TV Private Limited at ₹10 each in his name, without any proper valuation or fair consideration.
Kalanithi allegedly went on to earn dividends worth ₹5,926 crore until 2023 and ₹455 crore in the fiscal year of 2024. His wife, Kaveri, is accused of drawing a salary of ₹87.5 crore annually.
Calling his brother’s offences “continuous in nature and continue as on date”, Dayanidhi also claims that Kalanithi “illicitly acquired” the shares of their aunt and Karunanidhi’s widow, MK Dayalu, using the funds that he had drawn from Sun TV Private Limited.
“You and your accomplices have deliberately abused your fiduciary and professional obligations to commit a series of calculated and coordinated financial crimes,” says the notice that was also sent to Kalanithi’s wife, Sun TV's company secretary Ravi Ramamoorthy, and auditor Sivasubramanian.
Dayanidhi says he had also sent a notice to his brother in October, 2024, wherein Kalanithi had issued a “vague reply” and paid ₹500 crore to their sister Anbukarasi through their mother's bank account.
"This settlement and initial payment demonstrated your attempt to evade repercussions for the fraudulent activities you committed and to conceal your criminal actions. These payments have been made by you again by using the funds of M/s SUN TV Network Limited by way of dividends," the notice added.
ALSO READ: https://newsarenaindia.com/economy/asian-shares-mixed-oil-gains-as-world-awaits-us-decision-on-war/48002
In its reply, the Sun TV on Friday defended Kalanithi Maran, saying that the division between the promoter family was done legally in 2003.
While clarifying that reports of a rift between the Maran brothers “does not have any bearing on the business of the company or its day-to-day functioning", the network said in a regulatory filing that the agreements between the two brothers had been "duly vetted" by "intermediaries" concerned before the company's public issue.
"The alleged matter dates back to 22 years when the company was a closely held private limited company. Statements allegedly made in the articles are incorrect, misleading, speculating, defamatory and not supported by facts or law,” said the regulatory filing.
"We wish to inform that all acts have been done in accordance with legal obligations and the same had been duly vetted by concerned intermediaries before the public issue of the company," it added.
The Sun TV was started in 1993 from Chennai, Tamil Nadu, at the DMK's headquarters. It is today a major conglomerate with 37 television channels, three daily newspapers, six magazines, a direct-to-home broadcast service, 69 FM radio stations and two sports franchises.
Dayanidhi has also threatened to approach the central government, the Board of Control for Cricket in India, and the Directorate General of Civil Aviation for action against the licenses of the Sun Group, Indian Premier League team Sunrisers Hyderabad, and the operation of SpiceJet Ltd.
Follow us
