Market regulator Securities and Exchange Board of India will soon appeal to the Supreme Court against the Securities Appellate Tribunal's order directing Chhabrias to make an open offer to shareholders of Herbertsons Ltd.
"We will be moving the Supreme Court against the SAT order," Sebi chairman G N Bajpai told reporters when asked about the apex court's notice to the regulator.
The Supreme Court had issued a notice to Sebi on a petition filed by United Breweries challenging SAT order, which asked Kishore R Chhabria and Madanlal D Chhabria to make an open offer to shareholders of Herbertsons Ltd.
The court also asked Sebi as to what would happen if it was found that the acquisition of 19.1 per cent of shares in Herbertsons Ltd by Chhabrias were void and whether there could be ex post facto offers.
Vijay Mallya-owned company apprehends that the SAT order asking the Chhabrias to make an open offer would change the management structure of Herbertson Ltd, in which UB held 23.9 per cent of shares.
The apex court will hear the matter on September 15, 2003.
Meanwhile, UB had made a counter open offer at a higher price for acquiring higher stake in Herbertson.
