India’s Billionaire Inheritance Feud Exposes Succession Crisis in Family Businesses

New Delhi, India – The sudden death of Sunjay Kapur, 53-year-old heir to the $3.6 billion Sona Comstar auto empire, has ignited a bitter inheritance dispute, spotlighting India’s chronic struggles with family business succession.

The Kapur Family Feud

• Sudden Death: Kapur died of a heart attack during a polo match in Surrey, UK (June 12).
• Disputed Control: His mother, Rani Kapur (former chairperson), alleges:
• “Suspicious circumstances” around his death (coroner ruled natural causes).
• Coercion into signing documents while grieving.
• Corporate Power Play: Sona Comstar appointed Kapur’s third wife, Priya Sachdev, as director days later, overriding Rani’s objections.

The Stakes

• Sona Comstar: Top Indian auto parts maker with global operations.
• Ownership:
• 72% held by public investors.
• 28% controlled via RK Family Trust (Sunjay was sole beneficiary).
• Legal Standoff: Company sued Rani for “false statements”; she claims rights via a 2015 will.

India’s Succession Crisis

• 90% of Indian listed firms are family-run, but 63% lack formal succession plans (PwC).
• Historic Feuds:
• Ambani brothers’ Reliance battle (2000s).
• Raymond Group and Lodha family disputes.
• Succession Success Stories:
• Bajaj Group resolved conflict via court-mandated family council.
• Godrej Group recently split assets amicably.

Why This Matters

• Investor Risk: Family wars crash stock prices and erode trust.
• Economic Impact: Unplanned transitions destabilize major employers.
• Global Lessons: Contrasts with Western corporate governance norms.

Expert Warning:
“Without clear succession planning, families risk destroying wealth it took generations to build.”
– Kavil Ramachandran, Indian School of Business

The Path Forward

• Early grooming of successors (like Mukesh Ambani’s children).
• Independent boards to balance family interests.
• Legal documentation of ownership and leadership transitions.

Bottom Line: The Kapur saga is a wake-up call for India Inc. to professionalize succession – or risk repeating history.

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Key Quote:
“In India, death and taxes are certain – but inheritance battles are even more guaranteed.”
– Corporate litigator Tushar Kumar

What’s Next? Court battles loom as Rani Kapur fights to reclaim what she calls the “family legacy.”