The Mc-D Fight Continues
New Delhi: Forty-three of McDonald’s 55 outlets in the National Capital Region shut shop abruptly on June 29 as the result of a long-drawn battle with its Indian partner for the north and east regions, Connaught Plaza Restaurants Ltd (CPRL). The future of 1,700 employees hangs loose on the hook, although they have been assured that their salaries will be paid during the closure period. Trouble began in 2013, when the McDonald’s board ousted the then CPRL managing director Vikram Bakshi, stating reasons such as failure to devote adequate time to the joint venture. Bakshi filed a case at the Company Law Board, and McDonald’s then took it up with the London International Court of Arbitration (LICA). Bakshi has since been fighting the international company simultaneously at the international court and Company Law Board (CLB). Trouble also comes up as in the recent years McDonald’s has been losing customers to its arch rival Domino’s. The matter now hangs in negotiations, as the GST troubles set in and competitions steam up, while anxious customers enquire continuously about the restaurant’s fate.