Litigation – Supreme Court Encourages Kapur Family to Resolve Trust Dispute
Litigation – The Supreme Court on Thursday encouraged members of late industrialist Sunjay Kapur’s family to work toward a peaceful settlement in the ongoing dispute linked to the R K Family Trust, which is reportedly connected to assets worth nearly Rs 30,000 crore.
The matter came up before a Bench led by Justice J B Pardiwala, which stressed the importance of reconciliation while hearing a petition filed by Sunjay Kapur’s mother, Rani Kapur. The 80-year-old petitioner has sought directions to prevent Priya Kapur and other related parties from interfering in the functioning of the trust while mediation proceedings continue.
Court Calls for Constructive Mediation
During the proceedings, the court made emotional observations about the temporary nature of wealth and life, urging all parties to approach mediation with sincerity and openness. Justice Pardiwala remarked that material possessions ultimately do not accompany anyone in life and emphasized that disputes within families should ideally be resolved through understanding rather than prolonged courtroom battles.
The Bench noted that the advanced age of Rani Kapur made it even more important for the family to avoid unnecessary hostility and litigation. It said mediation could only succeed if every individual involved genuinely wished to settle the issue rather than participate merely because of judicial direction.
The Supreme Court further clarified that once a matter is referred to mediation, cooperation from all stakeholders becomes essential. It warned that if meaningful progress is not made, the court would eventually have to decide the matter through legal adjudication.
Focus on Avoiding Long Corporate Conflict
The court underlined that its broader objective was to prevent the dispute from turning into a drawn-out corporate confrontation. According to the Bench, even a small sign of progress during mediation should be treated positively and pursued with seriousness.
The matter is scheduled to be heard again on August 6 after the mediator submits a report regarding discussions held among the parties.
Board Meeting Allowed to Continue
During the hearing, the Supreme Court declined to stop a scheduled board meeting of Raghuvanshi Investment Private Limited (RIPL), a company said to control a substantial portion of the disputed assets connected to Sunjay Kapur’s estate.
Lawyers representing Priya Kapur informed the court that the proposed meeting was primarily intended to address regulatory and compliance-related requirements arising from directions issued by the Reserve Bank of India following an inspection carried out in February 2026.
The counsel argued that agenda items, including the appointment of independent directors and changes related to authorised signatories, were necessary corporate compliance measures. According to the submission, these actions were not aimed at altering the existing status of the dispute or affecting the mediation process.
Accepting the explanation for the time being, the court chose not to interfere with the company meeting while also directing all sides to avoid any actions that could complicate ongoing settlement efforts.
Separate Matters Before the Supreme Court
Apart from the Kapur family trust dispute, the Supreme Court also heard arguments in another important constitutional matter concerning the appointment process of Election Commissioners.
An organisation named Lok Prahari argued before the court that the Chief Election Commissioner and Other Election Commissioners Act, 2023, undermines constitutional principles by allowing excessive influence of the executive in appointments to the Election Commission. The petitioners described the law as a “fraud on the Constitution” and questioned its validity.
In another significant development, the Supreme Court sharply criticised the Rajasthan government over continued illegal sand mining activities in the state. Expressing dissatisfaction over what it termed “administrative apathy and institutional paralysis,” the court directed several senior officials to personally appear before it on May 20 and provide details of measures taken to stop unlawful mining operations.
The court’s remarks reflected growing judicial concern over environmental violations and ineffective enforcement mechanisms in the state.