Zee board is expected to convene shortly to discuss Goenka's ongoing role within the company.
Following the recent decision by the Securities Appellate Tribunal (SAT) to overturn the Securities and Exchange Board of India (SEBI) order that banned Punit Goenka, CEO of Zee Entertainment Enterprises (ZEEL), from holding managerial and directorial roles in listed companies for a year, SEBI may seek further legal action by appealing to the Supreme Court, as reported by Economic Times.
In light of the SAT's ruling in favor of Punit Goenka, the Zee board is expected to convene shortly to discuss his ongoing role within the company.
Previously, SEBI had banned Subhash Chandra, chairman of the Essel Group, and Punit Goenka from occupying any directorial or key managerial positions for a year, citing allegations of "siphoning off funds from the listed entity for their own benefit." Goenka had contested SEBI's decision by approaching the SAT.
The SAT's decision to set aside SEBI's order has raised speculation that the Zee-Sony merger process could move forward more smoothly now that the legal uncertainties surrounding it have been removed.