Gautam Singhania faces opposition, Raymond shareholders urged to vote against his re-election on board due to...

Gautam Singhania, chairman and managing director of Raymond Group, has faced opposition to his reappointment on the company's board reportedly due to his unresolved divorce issues, MoneyControl reported. Institutional Investor Advisory Services (IiAS), a proxy advisory firm, has urged Raymond shareholders to vote against his re-election ahead of the firm's AGM scheduled on June 27. Singhania has been on the board of Raymond since April 1,1990.

IiAS suggested that Raymond's board of directors remove Singhania, his estranged wife Nawaz Modi, from their positions until their divorce proceedings are completed. "Until the time the divorce related issues are settled, and the results of an independent investigation are received, we expect the board to have both directors — Gautam Singhania and Nawaz Modi - step off the board," it said.

Gautam's estranged wife Nawaz Modi has accused the CMD of domestic violence and misusing company funds for her personal use. However, the company suggested that Singhania be reappointed to the board for another five-year term.

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"The board has not issued an update since their last statement in December 2023, and it is unclear if an independent investigation into these accusations has been sought," IiAS added. "It is now for the shareholders to shield the company from this intra-promoter dispute."

Gautam married Nawaz Modi in 1999 and the two have two daughters. Gautam joined the Singhania family's JK Group of companies in 1986. He later joined Raymond Group, becoming a director in 1990.