Vijaypat Singhania, who was once the driving force behind the establishment of the Raymond Group – which is well – known for creating clothing and textiles worn by millions – is currently living a miserable life. His life story now serves as a cautionary reminder of the fragility of relationships and the far-reaching consequences of family disputes and inheritance.
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Vijaypat’s Singhania handed over all his wealth & businesses to his son Gautam Vijaypat . Vijaypat’s Singhania’s decision to transfer ownership of a 36 – story JK House to Gautam in 2015 came with the expectation that he (Vijaypat’s Singhania ) will have residence in the 36-story JK House. Unfortunately, this did not materialize due to an alleged non – compliance with an arbitration award. The dispute continues, leaving both father and son grappling with emotions & legal proceedings. The son has now evicted him from his house, together with all his relatives; brothers, sisters, and cousins. He’s also blocked all ways of Vijaypat’s Singhania access to any money therein. The man is now in the streets living in a rented house with nowhere else to go.
In December 1998, the eldest son of Vijaypat Singhania, Madhupati Singhania aged 56, severed ties with the family, left his ancestral home in Mumbai and moved to Singapore along with his wife Anuradha and four children, Ananya (29), Rasaalika (26), Tarini (20) and Raivathari (18). Before he did this, Madhupati entered into a Family Agreement, under which he relinquished his rights, as well as those of his children, to the family property. Soon after his exit, in July 1999, Gautam Hari Singhania, 49, Vijaypat’s younger son, was elevated to the position of managing director of Raymond. After that it was business as usual for several good years. With Gautam at the helm, Raymond grew almost five fold in the last decade.
On 9 February 2023, Vijaypat announced that he would gift his 37.17% stake in Raymond, worth almost ₹ 1,041 crore, to his son Gautam Vijaypat Singhania (born 9 September 1965). In a statement issued to the exchanges, a rationale was offered — that this would help in maintaining the continuity of management and align the ownership interest. So Vijaypat gifted 24,290 shares in JK Investors (Bombay) Ltd and 9,996 shares in Smart Investments Pvt. Ltd – which collectively hold a 37.17% stake in Raymond—to his son. Around the same time, in February 2023, Vijaypat’s grandchildren through his estranged son Madhupati filed a case against their grandfather. The grandchildren alleged that they have a right to the family property and that the Family Agreement has no legal standing because Vijaypat is not the founder of the family but son of the founder of the business empire. And because of that, they have the natural inheritance rights to the aforementioned property despite relinquishing the rights under any circumstances.
In the suit, the four questioned the 1998 Family Agreement, which they claimed ignored their rights as minors. In the petition filed with the Bombay high court, the children claimed a right to the Raymond brand, ancestral properties, real estate and other movable and immovable assets of the group. The children have stated that their parents had no right to enter into any agreement on their behalf and relinquish their claims. In the petition, filed by advocate Sharmila Deshmukh, they stated: “He (Vijaypat) also inherited everything by virtue of being a Singhania. The plaintiffs (children) have also inherited this legacy by birth and it could not have been taken away in the manner that it was chosen to.”
To be sure, the children have also made their parents, Madhupati and Anuradha, respondents to their petition.
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The Singhania’s have always been having their fair share of family disputes just like any other family. Unfortunately such glaring episodes of disputes tend to depict another glaring example of parents not preparing a proper will or succession plan for the next generation.
What motivates a son to do such a thing?
Such a case makes you to only hand over your property to your children during your very last days on certain conditions or have a will prepared in advance and after you die then you can let them share of the spoils therein.
Never give them when you are alive… My thoughts on Billionaire problems.
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