Corporate India is eagerly watching yet another episode of a battle royale now brewing between a promoter and his professional manager. This time, it’s Sunil Alagh, former managing director and CEO of the Rs 1,349-crore biscuit firm, Britannia Industries, who is in the firing line of its fiery chairman, Nusli Wadia.At 52, Alagh — an alumuni of Calcutta’s St. Xavier’s College and its IIM — is facing the wrath of a man whom he had helped, a decade ago, to get control of Britannia from the then promoter, late Rajan Pillai. And, the biscuit giant’s insiders are to be believed, this time Wadia is not in a mood to compromise.Misuse of company funds is the main charge made by the Wadias against the former MD. ‘‘Wadia wanted him out very badly and did not wait till February 2004 when Alagh’s contract was coming to an end anyway,’’ says a Britannia insider, ‘‘the two clashed as Alagh ran up a huge personal expenses of upto Rs 5.4 crore for his personal expenses since 1994-95. These were billed to the company.’’A committee of directors of the Britannia board, led by Field Marshal Sam Manekshaw, Nimesh Kampani, chairman of JM Morgan Stanley, and director Francois-Xavier Roger, had accused Alagh of spending company funds on a lavish lifestyle.Though Wadia himself did not comment on the ongoing corporate drama, Britannia sources promise a bitter legal battle in the next few weeks. And yes, a slander campaign.For Alagh, credited with making Britannia what it is today and considered to be a guru in the food business, these are certainly the bad days. ‘‘We have nothing to say against the charges made by Britannia,’’ says Maya Alagh, wife of Sunil Alagh and a well-known TV personality. Usually media savvy, Alagh himself is incommunicado ever since he was sacked on June 4.Alagh joined Britannia in 1974 as group product manager, and worked extensively in the company’s marketing, exports, soya & bakery divisions, before being elevated to the board in 1984. He was appointed MD and CEO in 1989, and has since then repositioned the Britannia brand with several successful marketing campaigns and strategic ventures.His Tiger brand of glucose biscuits demolished the monopoly of Parle G. The Maska Chaska biscuit is now a household name. Britannia has even moved into cheeses and other milk products. Under Alagh, the company’s profits shot up by 242 percent in the last five years.‘‘Alagh is a good person and has a good sense of humour. He was the public face of Britannia and roped in Sachin Tendulkar and Aamir Khan for its brand promotions. He was a regular in the page 3 circuit. It’s quite a shame that he had to go like this,’’ says a close friend. In more friendly times, Maureen Wadia, wife of Nusli, invited Alagh to judge the Gladrags supermodels contest.In the next few days, Alagh will have fight for his reputation. The Wadias have already denied him a chance to go out with dignity. Alagh must have hoped for peaceful post-Britannia life. At the moment, you wouldn’t bet on it.
