The fault lines run between Ravi Ghai, the son of Kwality Ice Creams founder I.K. Ghai, and his son Gaurav Ghai. The dispute involves shares ofGraviss Hospitality Ltd, the ₹300-crore market capitalization company that owns and operates the InterContinental Hotel on the city’s iconic Marine Drive promenade.
As part of a family settlement agreement signed in 2021 and a supplementary agreement signed in 2023, Ravi Ghai transferred all his stake in all the group’s private companies to his son for a payment of ₹105 crore. Mint has seen a copy of these agreements.
Ravi Ghai also received payments recently when the Graviss group exited a joint venture making non-dairy cream. In all, he received ₹235 crore net of taxes between 2021 and 2024.
As per the family settlement agreement, the father, 83, was to hold on to 51% of the promoters’ stake in listed Graviss Hospitality Ltd and remain as the non-executive chairperson. He would receive monthly payments worth ₹1.5 crore a year as business expenses from the listed company.
Upon his demise, his shares in the company were to be transferred to his son, Gaurav Ghai, who holds 49% of the promoters’ stake. In all, the promoters owned 74.92% of Graviss Hospitality as of 30 June.
However, Ravi Ghai has refused to honour this agreement, his son Gaurav has alleged.
This was due to the family settlement agreements failing to achieve their desired outcome of family harmony, said an email by Vimadalal & Co., former lawyers of Ravi Ghai–Mint has reviewed the email.
Gaurav did not invite his father to his son’s wedding in Dubai, causing him humiliation, alleged the email. Monthly payments from the listed company to the senior Ghai also stopped from March this year, the lawyer claimed.
Citing these reasons, the father terminated the two family settlement agreements, the letter said.
Subsequently, in May, the two camps agreed to appoint former Bombay High Court chief justice R.D. Dhanuka as an arbitrator to resolve their disputes, according to the letters between the lawyers of the two camps, which Mint has reviewed.
However, the same month, Ravi Ghai filed a police complaint against his son and his family members, alleging that he was made to sign the 2023 supplement agreement without his explicit knowledge.
In June, the senior Ghai emailed justice Dhanuka, alleging that Vimadalal had terminated the family settlement agreements and appointed justice Dhanuka as the arbitrator without his consent. The former high court chief justice has since recused himself from the matter.
When contacted, Sandip Vimadalal, law firm’s proprietor, refused to comment citing that it was privileged communication between an attorney and their client.
Meanwhile, Gaurav Ghai said after reviewing the family settlement agreements and conducting a preliminary enquiry, the Mumbai Police found no criminality and have dismissed the complaint filed by his father without filing any first information report (FIR).
“This is the last legacy asset that my grandfather I.K. Ghai bought. The last thing I want is for this to go away. I am fighting to protect my family’s legacy,” Gaurav Ghai said.
In an emailed response to Mint’s queries, Ravi Ghai said, “I have categorically denied the existence and validity of any Supplemental Family Settlement Agreement allegedly dated 25.08.2023.” He alleged that his signatures in the agreement had been forged. He also cast aspersions on the notary and attestation authorities who signed the agreements, saying he never visited a notarial authority.
Ravi Ghai also disputed that he received ₹235 crore as part of the two family agreements.
The senior Ghai, however, acknowledged the closure of his complaint by the Mumbai Police. He said he was aggrieved by the closure and now has approached the Bombay High Court with the same complaints he had lodged with the police.
The disputed company represents about 5% of the revenues of the Graviss Group, Gaurav Ghai said. The group’s main business is manufacturing ice creams and other food products. The group is the sole manufacturer and distributor of Baskin Robins in India. It also operates the Kwality brand outside India in markets like the Middle East and UK.
Hindustan Unilever Ltd had acquired the Kwality brand from Ravi Ghai and his family in 1995. The consumer goods major sells Kwality Wall’s branded ice cream in India.