Sun Group Family Feud: Dayanidhi Maran Alleges Kalanithi's 'Fraudulent' Takeover of Media Empire

A long-standing family dispute within the powerful Maran clan, owners of the sprawling ₹24,000-crore Sun Group, has finally come to a head. In a dramatic turn, DMK Member of Parliament and former Union Minister Dayanidhi Maran has served a legal notice to his elder brother, Kalanithi Maran, the Chairman and Managing Director of Sun TV Network, alleging that he "fraudulently seized" control of the media empire through a contentious share allotment back in 2003.

Dayanidhi Maran is demanding nothing less than a complete restoration of the company's shareholding structure to its pre-September 2003 state. At that time, the Maran family and the family of the late DMK patriarch and former Chief Minister M. Karunanidhi reportedly held equal stakes in the company. This move, if it proceeds to court, promises a high-stakes legal battle, potentially pitting Kalanithi Maran not only against his brother but also against the influential Karunanidhi family, with the very control of the dominant Sun TV at stake. Given Sun TV's significant influence in Tamil Nadu, a region where its perceived closeness to the ruling party has often been noted, the implications of this dispute are far-reaching.

Allegations of a Calculated Takeover

Through his lawyer, K. Suresh, Dayanidhi's notice lays out a series of explosive allegations. He claims that on September 15, 2003, Kalanithi Maran unilaterally allotted 1.2 million equity shares to himself. This, Dayanidhi contends, was done without proper valuation, the necessary shareholder approvals, or even board resolutions. While the shares were nominally priced at ₹10 each, Dayanidhi asserts their true value at the time was approximately ₹3,500 crore, given Sun TV's robust financial health.

The timing of this alleged transaction is particularly poignant: it coincided with the critical illness and eventual passing of the brothers' father, former Union Minister Murasoli Maran. Dayanidhi alleges that Kalanithi leveraged this vulnerable period to gain a commanding 60% control in the company, up from zero, without consulting M.K. Dayalu, Karunanidhi's wife, who represented the Karunanidhi family's interests as a key stakeholder. Murasoli Maran himself was Karunanidhi's nephew, adding another layer to the intricate family dynamics.

Neither the Maran brothers nor their lawyer, K. Suresh, have offered any public comment on the matter so far.

Dilution of Stakes and 'Proceeds of Crime'

According to the legal notice, Kalanithi Maran's shareholding allegedly swelled to 60%, while the stakes of other legitimate stakeholders were diluted to a mere 20% each. Dayanidhi further asserts that this "fraudulent allotment" has allowed Kalanithi to amass substantial wealth, including over ₹5,926 crore in dividends until 2023, and an additional ₹455 crore in 2024 alone, not to mention gains from bonus share allotments.

The younger Maran has also accused Kalanithi and his wife, Kaveri, along with other associates, of misusing these "proceeds of crime" to acquire a diverse portfolio of valuable businesses and assets. This list reportedly includes Sun Direct TV, Kal Radios, Sun Pictures, South Asian FM, and even the Indian Premier League (IPL) franchise, Sunrisers Hyderabad. The notice also points to significant investments, allegedly exceeding ₹8,500 crore, made in domestic and international mutual funds and Real Estate Investment Trusts (REITs).

Ultimatum and Forthcoming Legal Action

Dayanidhi Maran has issued a firm ultimatum, demanding that all shares, assets, and financial benefits allegedly obtained since 2003 be returned to the original shareholders within a mere seven days. Failure to comply, he warns, will trigger a cascade of civil, criminal, and regulatory proceedings.

The DMK MP is not holding back, indicating his intention to escalate the matter to prominent regulatory bodies. These include the Serious Fraud Investigation Office (SFIO) and the Ministry of Information & Broadcasting. Furthermore, he plans to approach the Board of Control for Cricket in India (BCCI), seeking the potential cancellation of broadcasting licenses and ownership rights for the Sunrisers Hyderabad IPL team.

Additional allegations outlined in the notice include the alleged illegal transfer of shares from their deceased father to their mother, and subsequently to Kalanithi, without the consent of other legal heirs. Dayanidhi also points to alleged misuse of initial public offering (IPO) filings through misleading disclosures and claims complicity from auditors and company officials in facilitating the alleged fraud. He reiterated that the founding intention of all family businesses, including Kungumam Publications incorporated in 1978, was to maintain a 50% stake for both families involved.

Kalanithi Maran founded the Tamil Sun TV channel in 1993, steadily transforming it into a formidable media conglomerate with a presence across various South Indian languages and a film production house. Industry observers often attribute this growth, in part, to the group's historical ties and proximity to the state's political establishment. Now, these very foundations face a severe legal challenge from within the family itself.