Lilavati Trust Row: Rajesh Mehta moves HC against Trusteeship removal

Mumbai: Rajesh Mehta, the former permanent trustee of Lilavati Hospital and Research Centre, has approached the Bombay High Court challenging his recent removal. The board, which oversees Lilavati Hospital in Mumbai, had earlier terminated his permanent trusteeship following allegations of financial irregularities, intimidation, and attempts to take control of the hospital’s functioning. 

Mehta was removed on Monday after “the majority of trustees” passed resolutions to remove him from the trust. The decision came amid serious allegations, which he has now chosen to contest before the court.

According to a report by The Indian Express, two days after his removal, he filed an urgent interim application before the Bombay High Court. A single-judge bench of Justice Milind N Jadhav heard the matter and issued notice to the other trustees. The court directed that any further action taken based on the resolutions terminating his trusteeship would remain subject to further orders of the High Court.

Senior advocate Venkatesh Dhond and advocate Joel Carlos, appearing for the applicant, argued that as a permanent trustee, the abrupt decision taken on February 16 was “not only contrary to law since it defies principles of natural justice (as he was not heard prior to the decision) as also it is contrary to terms of the Trust Deed.”

They contended that no notice was served before passing the alleged “twin resolutions” and that the mandate requiring circulation of the decision to all trustees was not followed.

It was further argued that the authority to remove or continue a permanent trustee ultimately rests with the Charity Commissioner. Taking note of the submissions, Justice Jadhav observed, “In that view of the matter, an arguable case has been made out by senior advocate Dhond for issuance of notice to Defendants as also to pass urgent ad-interim relief in order to ensure that substantive right of the Plaintiff is not trampled with irreversibly,” as reported to The Indian Express.

The High Court has now issued notice to the defendant trustees and directed them to file an affidavit in response. The judge has also asked the defendants to remain present in court and inform the court of any steps taken pursuant to the twin resolutions, so that appropriate orders can be passed after hearing both sides.

Posting the matter for further hearing on February 25, the court stated, “In the meanwhile, any further steps taken by Defendants in furtherance of the twin Resolutions shall be subject to the orders passed in the Interim Application by this Court, which shall be noted by Defendants.”

Meanwhile, even as the High Court proceedings are underway, the dispute has escalated further. Permanent trustee Prashant Mehta has written to the Prime Minister’s Office (PMO), levelling serious allegations against Rajesh Mehta, former Mumbai Police Commissioner Param Bir Singh, and others.

Hindustan Times reported that, in his 16-page letter addressed to the PMO, Prashant Mehta alleged that Rajesh Mehta, Singh, and certain former hospital employees had engineered a coup to destabilise the hospital and siphoned trust funds amounting to Rs 100 crore. He accused them of fund diversion, forgery, criminal intimidation and offences under the Prevention of Money Laundering Act.