Rashmi Saluja, Executive Chairperson of Railways Enterprises, has filed an application in the Delhi High Court against the removal of her from the post of Director of Financial Services Firm stating that her appointment is valid till February 2028. In the upcoming annual general meeting on 7 February, Railigare is going to bring a proposal to appoint a new director in place of Saluja, which will retire according to the rotation. Saluja has demanded an order from the court against the proposal.
Saluja argues that the proposal is a violation of the Companies Act 2013 and is contrary to the RBI instructions of 9 December 2024 and violates their contract rights. On Wednesday, Saluja’s lawyer told the court that he was appointed in 2023 for a fixed period of five years. Therefore, there is no reason to vote on the appointment in the upcoming AGM.
This application is given at a time when there is a struggle on control over the company, with the largest shareholder Burman family. Burman’s open offer for acquisition of an additional 26 per cent stake is open on 27 January which will be closed on 7 February. Burman, however, has not been made a party in the initial application. But his lawyer said that this petition is not considering.