Sun TV Network in Turmoil: Legal Rift Between Maran Brothers

Sun TV Network's shares dropped after reports surfaced of a legal rift between founder siblings Dayanidhi and Kalanithi Maran. Dayanidhi accused Kalanithi of fraudulent practices in taking control of the company. Sun TV defended its management and stated the dispute is purely personal and does not affect business operations.

Sun TV Network saw its shares decline by over 5% during Friday's trading before partially rebounding to close 1% lower. The volatility arose from news of a legal dispute between siblings Dayanidhi and Kalanithi Maran, which has raised concerns among investors.

Dayanidhi Maran has filed a legal notice against his brother and others, alleging fraudulent practices in acquiring control of Sun TV after their father Murasoli Maran's death in 2003. Sun TV Network countered these accusations, asserting compliance with legal obligations for the past two decades.

Despite the media coverage of the familial discord, Sun TV maintains that the issue is strictly personal and unrelated to its business. The company's regulatory filing emphasized that all agreements had been vetted before its public issue, with no impact on day-to-day operations.

(With inputs from agencies.)