In a surprise move, Connaught Plaza Restaurants (CPRL) on Tuesday said that it has re-opened 18 of the 43 outlets that had shut down in the Delhi-NCR region. These restaurants were forced to temporarily suspend operations after their eating house licenses had expired in June.
This move comes after CPRL’s board meeting was held on Sunday, which was not attended by the representatives of McDonald’s India. CPRL is a 50:50 JV between McDonald’s India and Vikram Bakshi and both the partners are embroiled in a legal battle.
In a statement, Bakshi said, “The Board of CPRL under the chairmanship of Justice G S Singhvi has passed a resolution on September 17 th to reopen 21 restaurants for which health licenses have since been received. 18 restaurants in Delhi have reopened today.”
He said that the decision has been taken by the board of CPRL, in the best interest of the employees, vendors and landlords and all the stakeholders.
Bakshi added , “ We look to the rule of law to protect and safeguard theirs and our investments. We stand ready to collaborate with anyone in order to reach a positive outcome for all the stakeholders.”
At the Board meeting on Sunday, a resolution was approved authorising Bakshi to take legal recourse against the termination notice of McDonald’s India and that he was entitled to run these stores. On August 21, McDonald’s India had served a franchise agreement termination notice to the CPRL board.
This comes days before the National Company Law Appellate Tribunal is slated to hear the appeals of McDonald’s India and Bakshi on Thursday.
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