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.
Table of Contents
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.
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.”
