Battle for K-Electric management control continues as ownership dispute escalates
By News Desk
August 3, 2023 07:15 PM
The conflict over the management control of K-Electric shows no signs of abating as disputes over ownership persist between the claimants of the new owner and the existing company owner, reported 24NewsHD TV channel Thursday.
The legal battle over the ownership claim is anticipated to escalate further, potentially reaching international jurisdictions such as Britain and the Cayman Islands, apart from its current proceedings in the Sindh High Court.
Shan Abbas Ashari, the Chief Investment Officer of Al-Jamaa Company, made it clear that Shahryar Chishti's claim to take over the management control of K-Electric is disputed. Al-Jamaa, along with the Kuwaiti Group, has also taken a strong stance against the announcement of Asia Pak taking over the management affairs of K-Electric.
Ashari asserted that the matter of ownership claim by Asia-Pak is currently under hearing, and Al-Jamaa has every right to defend its interests through litigation.
Emphasizing their preparedness for any legal challenges, the Chief Investment Officer of Al-Jamaa stated that if the new investor claims to be a major shareholder, they must provide evidence to substantiate their claim. Ashari further revealed that Saudi and Kuwaiti investments in K Electric date back to 2005, underscoring their longstanding involvement in the company.
Ashari also shed light on the comprehensive plan put forth to make electricity more affordable in Karachi over the next seven years. The plan, which includes an investment of 500 billion rupees, aims to provide tariff relief to the citizens of Karachi by generating cheaper electricity from renewable sources such as coal, solar, and wind. Notably, the details of this ambitious proposal are available as a public document on the websites of K Electric and Nepra.
Drawing attention to the management situation at K Electric, Ashari pointed out that no new director has been appointed to the company's board in the past ten months. This raises questions about the legitimacy of Shahryar Chishti's claim and underscores the need for evidence of majority share acquisition, as alleged by Chishti.
As the legal battle rages on, the future management control of K Electric remains uncertain. The involvement of multiple stakeholders, including Al-Jamaa and Kuwaiti Group, along with the conflicting claims of the new investor, Asia Pak, has added complexity to the situation.
Reporter: Ashraf Khan