Nusli Wadia’s claim to Malad estate gets high court nod

The Bombay high court on Wednesday upheld industrialist Nusli Wadia’s role as the administrator of 600 acres of real estate in suburban Malad, which include prime retail properties like Inorbit and Hypercity.

Justice Roshan Dalvi dismissed the petition  filed by Ferani Hotels Private Limited, a company controlled by the Gopal Raheja group, observing that “the petitioner (Ferani) is seen to be accentuated by mala fides and as a counterblast to the suit of the respondent (Wadia).” 

In February 2010, Wadia had filed a suit against Raheja alleging fraud; based on this, the Economic Offences Wing (EOW) had initiated a probe. 

Ferani had filed a petition early this year seeking revocation and annulment of the order dated November 20, 2003 that authorised Wadia to continue to act as administrator of the estate of one Eduljee Framroze Dinshaw.

Ferani claimed that Wadia’s role as administrator ended with the death of Bachoobai Woronzow Dashkow, the sole survivor and sister of Eduljee Framroze Dinshaw, who originally owned the land.

Ferani’s counsels Abhishek Manu Singhvi and TN Subramaniam argued that Wadia should be removed from his role as an administrator and sought appointment of a fit and proper person for disclosure of the estate and accounts of Dinshaw.

Dalvi disagreed with Ferani’s claim that Wadia failed to provide accounts relating to Dinshaw’s estate. She stated that Wadia had sought accounts from the Rahejas in respect of the development of the property under the agreement dated January 2, 1995.

“The respondent (Wadia) is the most apt, if not the best person to be able to demand, receive and evaluate the accounts,” observed Dalvi in a 107-page judgement.

“In fact, that is the moot reason why the petitioner (Ferani) would be safe to do away with the respondent (Wadia) and to substitute him by another administrator who would not, for lack of knowledge of the facts of the case alone, be as well equipped to receive the accounts submitted by the petitioner as the respondent would be,” she noted.

Dalvi concluded that Ferani has “failed to show any misconduct in administration on the part of the respondent (Wadia).”

She dismissed the petition with costs.