The National Company law Tribunal (NClT) on Tuesday issued show-cause notice to fast food major McDonald's Corporation and its Indian arm over the contempt plea filed by their estranged Indian partner Vikram Bakshi. Besides, the tribunal dismissed another plea by Bakshi challenging termination of the franchise license of 169 outlets by McDonald's, run by their 50:50 joint venture - Connaught Plaza Restaurant ltd (CPRl).
Bakshi had filed a contempt petition alleging that by terminating the license the US-based food giant has violated the NClT order dated July 13 which reinstated him as the MD of CPRl and also refrained McDonald's Corporation to interfere in the functioning of CPRl. McDonald's and its Indian subsidiary contended that as they have already filed an appeal against NClT's order before the National Company law Appellate Tribunal (NClAT), it should not be admitted at this stage.
Not consenting with it, NClT bench headed by Chairman Justice MM Kumar said: ‘It has been argued that on account of filing an appeal before the NClAT, notice in the present application for contempt may not be issued.