Family dispute splits India's largest firm
Amarchand Mangaldas Suresh A. Shroff & Co, originally founded in 1917 and controlled by the Shroff family throughout its history, will split into two firms on 1 April of this year, the result of a family feud between two brothers in the hereditary line of the Shroff family.
The grandsons of original founder Amarchand Shroff, Shardul and Cyril currently run the Delhi side and Mumbai side of the firm, respectively. Shardul is the older brother of Cyril. A January 2014 amendment in the will of the brothers' late mother revealed that her entire equity stake in the firm, at 22 percent the largest of held by one person, would transfer to the older Shardul. Before the amendment in her will, the stake was to be equally split between the two brothers.
The feud could not be resolved after many attempts and this week the brothers agreed to split the firm in two rather than continue to mediate the issue.