British-Indian businessman Raj Kundra has lost his UK court battle in the High Court of Justice of England and Wales, with the court ordering him to pay $4.94 million to Emerging Media Ventures (EMV) in a long-running dispute over the ownership of shares linked to the Rajasthan Royals Indian Premier League (IPL) franchise. The ruling also permanently bars Kundra and his investment vehicle, Kuki Investments, from pursuing related legal proceedings outside England, including before India’s National Company Law Tribunal (NCLT).
The judgment marks a major victory for EMV, the investment firm controlled by British entrepreneur Manoj Badale, one of the key figures behind Rajasthan Royals. The dispute centers on an 11.7% stake in the franchise’s holding structure and a settlement agreement signed several years ago.
Court Upholds EMV’s Termination of Settlement Agreement
The High Court ruled that EMV had lawfully terminated a 2019 settlement agreement with Raj Kundra after determining that he had breached its terms.
As a result, the court ordered:
- Raj Kundra to pay $4.94 million to EMV.
- Permanent enforcement of the settlement agreement.
- A permanent anti-suit injunction preventing Kundra and Kuki Investments from pursuing related claims outside England.
- Restrictions on filing connected proceedings before India’s NCLT or other overseas courts.
Court Ruling at a Glance
| Item | Details |
|---|---|
| Court | High Court of Justice of England and Wales |
| Amount payable | $4.94 million |
| Winning party | Emerging Media Ventures (EMV) |
| Losing party | Raj Kundra and Kuki Investments |
| Additional order | Permanent anti-suit injunction |
Dispute Revolved Around Rajasthan Royals Shareholding
The legal battle relates to an 11.7% shareholding in EM Sporting Holdings, the Mauritius-based entity through which EMV controlled Rajasthan Royals.
According to the judgment:
- Kundra transferred the stake to EMV under a 2015 share transfer agreement.
- A 2019 settlement agreement required him not to assert future ownership claims in return for a financial settlement.
- The court found EMV was entitled to terminate that agreement, making the outstanding payment immediately due.
Timeline of the Dispute
| Year | Development |
|---|---|
| 2015 | Share transfer agreement executed |
| 2019 | Settlement agreement signed |
| 2026 | UK High Court orders $4.94 million payment |
Anti-Suit Injunction Strengthens EMV’s Position
Beyond the financial award, the court granted EMV a permanent anti-suit injunction, preventing Kundra from attempting to reopen the dispute in other jurisdictions.
The injunction bars him from:
- Initiating related proceedings before India’s NCLT.
- Pursuing claims in courts outside England.
- Challenging issues already covered by the English judgment.
Such injunctions are generally intended to prevent parallel litigation across multiple jurisdictions and ensure disputes governed by English law remain within the English courts. The restriction matters because India’s company-law tribunal has itself been under pressure to move faster on corporate disputes, as seen in recent changes to NCLT insolvency admission rules.
Key Legal Outcomes
| Issue | Court Decision |
|---|---|
| Settlement agreement | Validly terminated by EMV |
| Outstanding payment | Immediately payable |
| Overseas litigation | Permanently restrained |
| Jurisdiction | England retained exclusive authority |
Ruling Comes After Rajasthan Royals Ownership Changes
The judgment arrives months after Rajasthan Royals underwent a major ownership change.
Earlier this year:
- A consortium led by the Lakshmi Mittal family and Adar Poonawalla acquired a controlling stake in the IPL franchise.
- The transaction reportedly valued Rajasthan Royals at around $1.65 billion, making it one of the highest-valued franchises in the league.
The court clarified that the present dispute concerns historical shareholding arrangements and settlement obligations rather than the franchise’s current ownership. Valuations at that level reflect how far cricket ownership has moved into mainstream finance — five IPL franchises now feature in the Hurun India 500 list, with the sport increasingly treated as an asset class. The Poonawalla family, meanwhile, has been an active dealmaker across sectors, including a ₹700 crore investment in Inox Clean Energy.
Looking Ahead
The High Court’s decision represents a significant legal setback for Raj Kundra, concluding a long-running dispute over his former shareholding in Rajasthan Royals’ holding structure. By upholding EMV’s termination of the 2019 settlement agreement, ordering a $4.94 million payment, and issuing a permanent anti-suit injunction, the court has reinforced the enforceability of the parties’ contractual commitments under English law.
While the ruling does not affect the current ownership or operations of Rajasthan Royals, it brings greater legal certainty to a dispute that has persisted for years. Any further action by Kundra would likely need to follow the legal avenues available under English law rather than through parallel proceedings in other jurisdictions.
Frequently Asked Questions
Why did Raj Kundra lose the UK court case?
The High Court of Justice of England and Wales found that Kundra had breached a 2019 settlement agreement with Emerging Media Ventures, and that EMV was therefore entitled to terminate it. Once terminated, the outstanding settlement amount became immediately payable.
How much does Raj Kundra have to pay, and to whom?
The court ordered Kundra to pay $4.94 million to Emerging Media Ventures, the investment firm controlled by Manoj Badale. The order also covers his investment vehicle, Kuki Investments.
Does this ruling change who owns Rajasthan Royals?
No. The court clarified that the case concerns a historical 11.7% shareholding in EM Sporting Holdings and the related settlement obligations, not the franchise’s present ownership. A consortium led by the Lakshmi Mittal family and Adar Poonawalla acquired a controlling stake earlier this year in a deal reportedly valuing the team at about $1.65 billion.
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