The YS family feud is growing uglier by the day. The rift between YS Jagan and his sister Sharmila over properties and assets has now turned into a legal battle.
Admitting this openly, Jagan has now filed a petition with the National Company Law Tribunal (NCLT) in Hyderabad, alleging that his sister Sharmila is engaging in illegal activities to assert her own interests.
What is more shocking is that Jagan claims his sister Sharmila is using their mother, Vijayamma, as a front.
The dispute between Jagan and Sharmila centers around the shares of Saraswati Power. Jagan asserts that while he respects his mother Vijayamma’s feelings, he filed the petition to prevent the illegal actions directed by his sister Sharmila.
Jagan, along with Bharathi Reddy and Classic Realities, has requested the NCLT to amend the names of shareholders in the company’s register and restore their shares.
Jagan openly alleged that Sharmila’s excessive greed led to the illegal transfer of shares, with their mother being positioned at the forefront of the actions. He claims that personal and political differences have led to the misuse of their mother’s position to transfer shares, resulting in financial loss for him.
Jagan further contends that Sharmila has neither invested in the company nor participated in its management, nor has she borne any losses or faced legal cases related to the company. Despite this, Sharmila is allegedly attempting to seize their shares by using their mother as a pawn. Jagan argues that according to Section 59 of the Companies Act, the tribunal has the authority to intervene when names in the register are changed without proper cause. He accuses the respondents of misrepresenting the petition to the tribunal as a family dispute to avoid scrutiny.
Jagan also notes that Sharmila’s request to be removed from the petition is part of a calculated plan. He alleges that their mother is justifying the illegal transfer of shares by citing gift deeds executed under Sharmila’s pressure. Jagan maintains that the gift deed process was never completed, as they have not yet handed over the share certificates to their mother, nor have the shares been transferred. He emphasizes that a transfer is only valid when executed according to legal procedures.
Highlighting the personal and political differences with his sister, Jagan refutes claims that these issues prompted the petition. He points out that Classic Realities holds a 48.99% stake in Saraswati Power due to share transfers. Jagan explains that out of love and affection for his sister, he had intended to transfer his assets to her in the future, formalizing this intention through a memorandum of understanding (MoU) with predated agreements. However, he asserts that Sharmila’s fraudulent actions have nullified this agreement, leading him to cancel it.
YS Jagan alleged that Sharmila is the primary cause behind the illegal share transfers. He states that the past affection he had for his sister has been eroded by her fraudulent actions. He claims that Sharmila has deceived him using backdated and fabricated documents, attempting to usurp his assets. Jagan emphasizes that while Sharmila is not a shareholder, director, or involved in the company’s management, she has written letters to him regarding the dispute, indicating her involvement. He argues that her request to be removed from the petition is unjustified.
The NCLT has postponed the hearing on the petition filed by Jagan, Bharathi Reddy, and Classic Realities to April 3. The petition seeks to amend the names of shareholders in Saraswati Power and restore their shares. The tribunal bench, comprising members Rajeev Bhardwaj and Sanjay Poovral, conducted the hearing on Thursday, March 6, 2025.
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