Cafe Bahar likely to reopen soon after Supreme Court ruling

Hyderabad: Popular Hyderabad restaurant Cafe Bahar, which has been closed since October 10 due to a legal dispute among its owners, is expected to reopen soon following a decision by the Supreme Court. The Supreme Court has allowed Syed Asghar Ali Bolooki to resume management of the restaurant, which has been a local favourite since its founding in 1973 by Syed Hussain Bolooki.

The restaurant has remained under family ownership since its inception, but after Syed Hussain Bolooki’s passing during the COVID-19 pandemic, disagreements over the distribution of ownership shares and control of operations emerged among family members.

The legal dispute is about how the ownership of Cafe Bahar is divided between two family groups. One group, led by Syed Asghar Ali Bolooki, owns 86% of the business, while the other group, led by Bibi Hajjar Dashti, owns the remaining 14%. Recently, the Telangana High Court stepped in, removing Syed Asghar Ali Bolooki as the managing partner and appointing an outside person to manage the restaurant. Syed Asghar Ali Bolooki quickly appealed this decision in the Supreme Court.

In its ruling, the Supreme Court bench, led by Chief Justice D.Y. Chandrachud, ordered that Syed Asghar Ali Bolooki resume his role as managing partner of Cafe Bahar. The court’s decision allows him to oversee the day-to-day operations of the restaurant until a permanent resolution is reached. As part of the ruling, the court also mandated an independent valuation of the restaurant’s assets, liabilities, and overall worth, which is expected to be completed by December 31, 2024.

In addition, the Supreme Court imposed certain conditions to ensure transparency and fairness during the management transition. Syed Asghar Ali Bolooki’s group has been instructed to deposit Rs 5 crore as a security measure, showing their commitment to responsibly managing the restaurant during this period. Furthermore, to prevent mismanagement, an independent representative from the valuation firm will monitor the restaurant’s income, and Syed Asghar Ali Bolooki will be required to submit weekly financial reports.

The court also granted Syed Asghar Ali Bolooki’s group the first option to purchase the 14% share owned by Dashti once the valuation is completed. If Syed Asghar Ali Bolooki’s group chooses not to exercise this option, Dashti will have the right to buy out the majority 86% share.

𝗘𝘅𝗽𝗹𝗮𝗶𝗻𝗲𝗿: 𝗛𝗼𝘄 𝘁𝗵𝗲 𝗦𝘂𝗽𝗿𝗲𝗺𝗲 𝗖𝗼𝘂𝗿𝘁 𝗥𝗲𝘀𝗼𝗹𝘃𝗲𝗱 𝗖𝗮𝗳𝗲 𝗕𝗮𝗵𝗮𝗿’𝘀 𝗢𝘄𝗻𝗲𝗿𝘀𝗵𝗶𝗽 𝗙𝗲𝘂𝗱 𝗮𝗻𝗱 𝗪𝗵𝗮𝘁 𝗜𝘁 𝗠𝗲𝗮𝗻𝘀 𝗳𝗼𝗿 𝗕𝗶𝗿𝘆𝗮𝗻𝗶 𝗟𝗼𝘃𝗲𝗿𝘀

Background: Cafe Bahar, a popular restaurant in Hyderabad famous for its authentic… pic.twitter.com/8HZlyzrloF

— Sudhakar Udumula (@sudhakarudumula) November 7, 2024