Shailesh Haribhakti resigns as chairperson of Future Lifestyle Fashions

By

Isabelle Crossley

Published
Apr 25, 2022

Shailesh Haribhakti has resigned as chairperson and independent director of Future Lifestyle Fashions Limited following the business’ creditors’ decision to vote against the Reliance Retail deal. 

“Shailesh Haribhakti has resigned from the position of the chairperson and independent director of the company with effect from April 22 , 2022 vide his resignation letter dated 22 April 2022 submitted to the company,” Future Lifestyle Fashions Limited wrote in a regulatory filing, accessed by the Press Trust of India. 
 
Haribhakti had chaired meetings of Future Group entities’ shareholders and creditors as the National Company Law Tribunal had appointed him to do so. Haribhakti noted in his resignation letter that, “volatile, complex and unpredictable legal and financial circumstances have taken unexpected turns, and the board's recommendation to find solutions have not been met with implementation impetus,” according to Future Group’s filing, which included his letter.

“Consequently, as chairperson of the board, I feel constrained to act further and submit my resignation as a member of the board with immediate effect to enable the promoters and investors to find out suitable alternatives, who would be able to find a solution for the company,” wrote Haribhakti in his letter. 
 
The Reliance-Future deal was to see 19 Future Group companies consolidated into one entity named ‘Future Enterprises Limited’ and that entity was to be transferred to Mukesh Ambani’s Reliance Retail. The deal was to total Rs 24,713 crore but creditors of numerous entities voted against the deal.