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Key Points

Sun TV shares tumbled 5% after former telecom minister Dayanidhi Maran accused his brother Kalanithi of financial fraud in a bitter inheritance battle. The legal notice alleges fraudulent practices during Sun TV’s takeover after their father Murasoli Maran’s 2003 death. The dispute threatens investigations by SEBI, ED, and SFIO into alleged money laundering. Meanwhile, Sun TV’s Q4 profits dropped 10% as the feud rattles investors.

Key Points: Sun TV Shares Drop 5% as Maran Brothers Legal Feud Erupts

  • Shares fell 5.25% amid fraud allegations
  • Dispute centers on 2003 inheritance after Murasoli Maran’s death
  • Dayanidhi demands SEBI, ED probes into financial crimes
  • Kalanithi holds 75% stake as company faces profit decline
2 min read

Sun TV shares fall over 5 pc after legal dispute between Maran brothers

Sun TV shares plunge after Dayanidhi Maran accuses brother Kalanithi of fraud in a bitter inheritance dispute over Murasoli Maran’s legacy.

"Fraudulent practices and misgovernance during Sun TV takeover – Dayanidhi Maran’s legal notice"

Mumbai, June 20

Shares of Sun TV Network Limited dropped over 5 per cent on Friday morning after a legal dispute emerged between the Maran brothers — Dayanidhi Maran and Kalanithi Maran.

Dayanidhi Maran, a DMK MP and former telecom minister, has sent a legal notice to his elder brother and Sun TV’s Chairman and Managing Director, Kalanithi Maran, over alleged financial irregularities.

In the notice, Dayanidhi Maran has accused Kalanithi of committing 'fraudulent practices' and 'misgovernance' during the takeover of Sun TV.

He has alleged that his brother was involved in a series of "calculated and coordinated financial crimes" including cheating and money laundering.

The notice also threatens to initiate a probe by the Serious Fraud Investigation Office (SFIO).

The core of the dispute is related to the shareholding of Sun TV after the death of their father, Murasoli Maran, in 2003.

The notice claims that their father passed away without a Will and demands that the company’s shareholding be restored to the levels of 2003.

It also calls for investigations by various agencies such as SEBI, RBI, SFIO, ED, and the Registrar of Companies (ROC).

Following this development, Sun TV’s stock fell as much as 5.25 per cent to Rs 580 in early trade.

However, it later trimmed some losses to trade 3.41 per cent lower at Rs 591. Over the past 12 months, Sun TV shares have declined by 23.7 per cent, and they are down nearly 13.9 per cent so far this year.

Kalanithi Maran currently holds a 75 per cent stake in the company, which has a market capitalisation of Rs 24,124 crore.

Sun TV Network runs television channels in seven languages including Tamil, Telugu, Hindi, and Bengali.

It also operates FM radio stations across India and owns the IPL team Sunrisers Hyderabad and the Sunrisers Eastern Cape in South Africa’s T20 league.

The company's financial performance has also been under pressure. In the March quarter (Q4 FY25), Sun TV reported a 10.4 per cent fall in consolidated Profit After Tax to Rs 371.77 crore.

Revenue from operations also declined by 2.15 per cent to Rs 940.59 crore compared to Rs 961.28 crore in the same quarter previous fiscal (Q4 FY24).

- IANS

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Reader Comments

R
Rajesh K.
This is why family businesses often struggle in India. When there's no clear succession plan, even successful empires like Sun TV can face such ugly disputes. Hope they resolve it amicably for the sake of employees and shareholders. 🤞
P
Priya M.
As a regular Sun TV viewer, I'm disappointed. The channel has given us great content for decades. Now because of personal fights between brothers, the company's reputation is getting damaged. They should think about loyal audiences too!
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Arvind S.
The 5% drop seems like an overreaction by the market. Sun TV has strong fundamentals and this is just a temporary issue. Might be a good buying opportunity for long-term investors. But SEBI should definitely look into the fraud allegations seriously.
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Shalini R.
Why are they washing dirty linen in public after 20 years? This could have been settled privately. Now investors are panicking and the brand is suffering. Very irresponsible behavior from both brothers who should know better.
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Vikram J.
The timing is suspicious - just when Sun TV's financials are weakening. Is this a genuine fight or a distraction tactic? The ED and SFIO investigations will reveal the truth. Hope justice prevails for all stakeholders involved.
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Neha P.
This is why we need more awareness about wills and estate planning in India. Even wealthy families ignore it and then face such messy situations. A simple will could have prevented this entire drama.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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