The High Court of Singapore has scuppered Rafiq Jumabhoy's bid to win control of Scotts Holdings from his relatives after a 34-day court battle.
Justice Judith Prakash yesterday said an option granted to Mr Rafiq to buy out his family's entire 42 per cent stake in the property and investment holding group could not be enforced, as he had used undue influence on his relatives and breached his fiduciary duties.
At the centre of the feud was a controversial five-year option that Mr Rafiq persuaded his family and uncles to sign in September 1992.
The option would have entitled him to buy 100.8 million shares in Scotts Investments Singapore (SIS) - the family's investment holding company - at 85 Singapore cents each against a market price then of 59 cents. This in turn would have given him the family's entire 42 per cent stake in listed Scotts Holdings.
Justice Prakash said that when the option was discussed, Mr Rafiq had set the tone of the meeting by telling his father Mr Ameerali and uncles Mr Yusuf and Mr Mustafa that this was what his 99-year-old grandfather Mr Rajabali wanted.
Mr Rajabali Jumabhoy founded the family business empire, which today includes the famous Scotts Shopping Centre in Scotts Road.