Shopper's Stop Limited - Securities and Exchange Board of India

H) Litigation Pending – Labour, Employees and Trade Unions
Compl (ulp) No. 506 of 1997, in the 10 th Labour Court, Mumbai Nisar Ali VS The
Resort (Paramount Hotels Pvt. Ltd.) and Mr. Anuj Prakash, General Manager of the
Resort
Mr. Nisar Ali an exemployee of the Resort (a division of Paramount Hotels Pvt. Ltd.) (Now
K Raheja Corp Pvt. Ltd.) has filed the above suit against termination of his services which
were terminated on 2.7.97 by the Resort praying for his reinstatement in the services and
with full back wages and continuity of service. The matter is pending in the Court where
Examination of Cross evidence is on Next hearing is scheduled on 5/8/2004.
I) Bank / Financial Institution Defaults
There are none
J) Non Payment of Statutory Dues and/or dues towards instrument holders such as
debenture holders, fixed deposits
There are none
K) Disciplinary action taken by SEBI / Stock Exchanges against the Promoters/
business ventures of the Promoters
There are none
L) Arrears on cumulative preference shares by Promoters and/or companies /firms
promoted by the Promoters
There are none
M) Pending Litigations of companies/firms/ventures with which Promoters were
associated in the past in case their names continue to be associated with the
particular litigations
There are none
N) Potential Litigation
M/s Clea Public Relations Consultants Pvt. Ltd.
M/s Clea Public Relations Consultants Pvt. Ltd. have issued a Notice dated 6 th February
2004 to The Resort, Mumbai (A Div. of K. Raheja Corp Pvt. Ltd ) through their Advocates
for their outstanding payment of Rs. 1,10,250/-. The Resort has replied to the said notice
through their advocate vide their reply dated 15 th April 2004 claiming damages of Rs.
1,47,000/- from Clea Public Relations Consultants Pvt. Ltd. for their deficiency in
rendering the services to The Resort . The matter is pending.
-Consumer compliants
Our Promoters may face the risk of legal proceedings and claims being brought against
them by their customers/consumers for any deficiency in the real estate services provided
by them. This may result in liabilities and/or financial claims for our Promoters as well as
loss of business and reputation.
Mumbai Undivided Entities / Southern Entities /Residual Entities
As on the date of this draft Red Herring Prospectus, there are family disputes
between some of our Promoters and the G. L. Raheja family as a result of which
there could arise, from time to time, claims and counterclaims, between some of
our Promoters and the G. L. Raheja family. Some of these claims and counterclaims
may have an impact on our Promoters. The existence, value, impact and resulting
liability, if any with regard to such claims cannot be ascertained as on the date of
this draft Red Herring Prospectus. Further due to the nature of the family disputes
and given that follow-up action with respect to the distribution of the Mumbai
Undivided Entities and South Undivided Entities was not completed and is
outstanding,
(a) as on the date of this draft Red Herring Prospectus our Promoters are
unable to disclose any information with respect to the outstanding andor
potential litigations relating to the Mumbai Undivided Entities ;
(b) neither we nor our Promoters can, as on the date of this draft Red Herring
Prospectus ascertain the accuracy or the completeness of the disclosures
relating to outstanding andor potential litigations of the Southern
259