The future of the RK Family Trust has been thrown into uncertainty following a sharp escalation in a trustee-level dispute between Priya Sachdev Kapur and Rani Kapur, raising concerns over governance, beneficiary rights, and the stability of one of the family’s key private structures.
In a formal notice issued this week on March 24, 2026, Priya Sachdev Kapur, who is both a trustee and beneficiary of the RK Family Trust, informed Rani Kapur of her removal as trustee, citing conduct allegedly adverse to the interests of the Trust and its beneficiaries.
The move comes days after Rani Kapur issued a separate notice on March 21, 2026, seeking to remove Priya Kapur as a trustee under provisions of the Trust Deed.
“Accordingly, pursuant to Clause 8.11 of the Trust Deed, you are hereby formally removed as a Trustee of the RK Family Trust, effective tomorrow on 25.03.2026,” Priya Kapur stated in her letter, adding that Rani Kapur would thereafter have “no authority, right, or locus” to act on behalf of the Trust or access its documents, assets or administration.
Under the Trust Deed, beneficial interests, Priya Kapur contends, devolved upon her, Master Azarias Suri Kapur, and Sunjay Kapur’s children from a previous marriage — Samaira Kapur and Master Kiaan Raj Kapur.
The RK Family Trust was set up in 2017 by Rani Kapur, with Sunjay Kapur as the sole beneficiary during his lifetime. Following his death, the Trust’s beneficial ownership structure changed in accordance with the Trust Deed, a position strongly asserted by Priya Kapur in her communication.
Interestingly, appearing for Samaira Kapur and Kiaan Raj Kapur on instructions from Lexster Law, Senior Advocate Mahesh Jethmalani informed the Delhi High Court that, following the demise of Sunjay Kapur, the two children have not received a single rupee from the RK Family Trust.
Rani Kapur, however, has taken a contrary stance. In her notice dated May 21, 2026, addressed to Priya Sachdev Kapur, she argued that either the Trust itself was invalid — in which case Priya Kapur could not be a validly appointed trustee — or, if the Trust was valid, she retained express powers under the deed to remove Priya Kapur as trustee after the expiry of a 15-day notice period.
“The inescapable conclusion is that you have no right to act in your capacity as a trustee upon your removal,” Rani Kapur wrote, underscoring the deep fault lines in the interpretation of the Trust Deed.
Priya Kapur has countered these claims, alleging that Rani Kapur has challenged the very validity of the Trust and sought to divest it of its assets, actions she says are wholly inconsistent with the interests of the beneficiaries and the Trust Deed itself.
The escalating trustee conflict has effectively pushed the RK Family Trust into a state of limbo, with neither side’s position translating into clear, stable governance or timely administration of the trust assets, thereby raising serious concerns about whether the beneficiaries’ interests are being adequately protected in the interim.
With competing notices of removal, open challenges to the very validity of the Trust, and uncertainty over who is lawfully empowered to act as trustee at any given time, there is a real risk that critical decisions on preservation, management, and distribution of trust property will be delayed or paralysed, to the detriment of the beneficiaries’ present and future entitlements.
As the dispute widens to questions of the Trust’s legitimacy and the scope of individual trustees’ powers, the beneficiaries find themselves dependent on an eventual judicial resolution while the Trust structure—created to secure and ring-fence their interests—remains effectively suspended, exposing them to prolonged uncertainty and potential erosion of value.
The dispute traces its roots to the demise of industrialist Sunjay Kapur on June 12, 2025.
