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Gautam Singhania: Domestic Abuse Claims Threaten Indian Tycoon’s Fortune

Both Mr Singhania and Ms Modi are board members and promoter shareholders of the publicly listed Raymond Group, one of India’s best-known consumer brands.

The estranged fitness coach wife of the industrialist – who is known for his penchant for yachts, fast cars and private jets – is unwilling to settle for lower, a source close to Ms Modi has told the BBC, rebuffing news reports that the couple had initiated more “realistic” settlement talks.

Two family members from either side are mediating the dispute and the 75% figure is still very much on the table, sources have told the BBC.

“She says he has agreed to 75% in front of numerous people – friends, mediators, lawyers and chartered accountants. There’s no going back on it,” one source said, adding that Ms Modi was insistent that an irrevocable trust should be formed where the wealth was transferred and secured for her two daughters’ future.

“Close to 96% of the net worth of the promoters of India’s wealthiest families is parked in trusts,” said Rishabh Shroff, partner at Cyril Amarchand Mangaldas, a Mumbai law firm. “These structures are increasingly attractive to wealthy business families, to shield their assets and insulate their businesses from insolvency, family or creditor disputes.”

While Mr Singhania is reportedly keen on creating a trust where he is the sole trustee and settler, Ms Modi has opposed this proposal.

“Speaking as a neutral third party, I don’t think she should agree to a trust structure where she has no voice or say on how it is run or governed. She will want to be a co-trustee with certain rights, along with being a beneficiary,” Mr Shroff said.

“Most companies don’t survive beyond three generations. Raymond is a fifth-generation business and Nawaz is keen that her daughters have a future in it,” a source close to Ms Modi told the BBC.

Ms Modi is also said to be keen to remain a member of the board, and has no objections to her husband managing the business after their divorce.

She has received public support from her father-in-law, veteran businessman Vijaypat Singhania, who has in the past accused his son of driving him out of his own house in 2017, leaving him with little money to survive on – allegations Mr Singhania has previously denied.

Split wide open

The acrimonious feud between the couple first came to light when a video of Ms Modi being denied entry into a company Diwali party went viral in November.

She’s since made disturbing allegations of physical assault on her and their minor daughter by the scion of the almost hundred-year-old Raymond Group.

Mr Singhania didn’t agree to speak with the BBC about the allegations.

In response to a request for an interview, his spokesperson directed the BBC to his statement which said, “I have chosen not to comment on the reports in media about matters pertaining to my personal life as maintaining the dignity of my family is paramount to me.”

“Most companies don’t survive beyond three generations. Raymond is a fifth-generation business and Nawaz is keen that her daughters have a future in it,” a source close to Ms Modi told the BBC.

Ms Modi is also said to be keen to remain a member of the board, and has no objections to her husband managing the business after their divorce.

She has received public support from her father-in-law, veteran businessman Vijaypat Singhania, who has in the past accused his son of driving him out of his own house in 2017, leaving him with little money to survive on – allegations Mr Singhania has previously denied.

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BBC

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