Chennai: A day after a legal notice by DMK MP and former Union Minister Dayanidhi Maran accused his elder brother and Sun TV Chairman Kalanithi Maran of fraudulent share transfers and money laundering, the management of Sun TV Network Limited issued a formal clarification to stock exchanges, dismissing the allegations as “defamatory, speculative and misleading.”
The legal notice, dated June 10, alleged that Kalanithi Maran, in active collusion with others, orchestrated a “deceptive and fraudulent scheme” in 2003 to acquire a controlling stake in Sun TV by allotting 12 lakh equity shares to himself at a face value of ₹10—at a time when each share was allegedly worth between ₹2,500–₹3,000. Dayanidhi Maran further claimed that these actions took place while their father, former Union Minister Murasoli Maran, was critically ill and later deceased, and that proper legal documentation for share transfers was not in place.
Sun TV Management Responds
In a regulatory filing issued on June 20, Sun TV categorically denied the allegations, asserting that the issue pertains to a 22-year-old matter, dating back to the time when the company was a closely held private entity.
“The statements allegedly made in the (Moneycontrol) article are incorrect, misleading, speculative, defamatory and are not supported by facts or law,” — Sun TV management said in its exchange clarification.
The company added that all corporate actions, including the share allotment and the transition to a publicly listed entity, were carried out in full compliance with applicable legal and regulatory norms and were vetted by the concerned intermediaries prior to the company’s IPO.
Furthermore, the management emphasized that the allegations raised in the notice and reported in the media have no bearing on the business operations or day-to-day functioning of Sun TV Network.
“The company continues to operate its businesses in the ordinary course and remains committed to upholding the highest standards of corporate governance,” — the statement added.
Market Reaction and Background
Sun TV’s clarification came amid a sharp 5% drop in its stock price on June 20, following Moneycontrol’s report revealing details of the legal notice and the high-profile dispute between the Maran brothers—both members of one of Tamil Nadu’s most influential political and media families.
Dayanidhi Maran has demanded that the entire shareholding structure be restored to its 2003 state, and has alleged that dividends and income worth thousands of crores were wrongfully derived from the disputed shares. He has also signaled that the matter could be escalated to enforcement agencies including the Serious Fraud Investigation Office (SFIO).
While the matter now threatens to evolve into a prolonged legal and possibly regulatory tussle, Sun TV’s statement seeks to assure investors that its core operations remain unaffected.
