NCLAT orders review of McDonald's-Vikram Bakshi settlement

The National Company Law Appellate Tribunal (NCLAT) on September 17 said it will review the settlement between food major McDonald's and its estranged Indian partner Vikram Bakshi over sale of his shares in Connaught Plaza Restaurants. The appellate tribunal said the settlement reached between McDonald's and Vikram Bakshi was 'prima facie' violation of Debt Recovery Tribunal order and it 'would not give effect to'.

A two-member NCLAT bench headed by Chairperson Justice SJ Mukhopadhaya also asked Bakshi not to leave the country without its permission.

"We find that parties (Bakshi and McDonald's) have reached agreement…. Which is prima facie against the interim order of DRT. We are of the view that parties should not implement such agreement nor leave the country without intimating DRT or this Tribunal," NCLAT said.

At its last hearing, NCLAT had given Bakshi last and final chance to settle the issue with HUDCO, which is claiming Rs 194 crore in dues.