Supreme Court Orders Status Quo in TRG Pakistan Control Battle

In a shift of events involving Zia Chishti, the former CEO of TRG Pakistan, the Supreme Court of Pakistan (SCP) has intervened in the struggle for control of the PSX-listed TRG Pakistan Limited. The SCP has mandated a status quo regarding a recent Sindh High Court (SHC) decision that favored Chishti.

The SHC’s ruling, issued on June 20, 2025, had nullified a $53 million tender by Greentree Holdings, the company’s largest shareholder. Furthermore, it revoked Greentree’s shareholding and mandated new elections. Subsequently, Greentree challenged the SHC’s verdict at the SCP, resulting in an interim order requiring all involved parties to maintain the existing state of affairs.

TRG Pakistan’s stock price demonstrated an immediate reaction upon the publication of the order on the Supreme Court’s website, experiencing an initial surge of 7% fueled by anticipation of a swift resumption of the tender. However, gains moderated to 1% as investors assessed the implications of a legal contest through the SCP.

Chishti had previously stepped down from his position in late 2021 following the disclosure during US Congressional testimony of an arbitration award against him concerning allegations of sexual misconduct.

The present management of TRG Pakistan has asserted that any affiliation between Chishti and the company would be detrimental to its assets and overall standing.

Concurrently, TRG International, the company’s affiliate based in Bermuda, has sought to transfer the proceeds from the sale of its stakes in portfolio companies to Pakistani shareholders through share acquisitions by Greentree Holdings.

Chishti had previously contested Greentree’s fund remittance and share acquisition in the SHC, a decision now under appeal before the SCP.

With the Supreme Court appeal process now delaying Chishti’s efforts to take over TRG Pakistan, the ramifications for the former CEO’s financial obligations remain uncertain, as his avenue to access significant liquidity at TRG International has narrowed.

Facing substantial creditor liabilities, encompassing obligations to US tax authorities, bank defaults, and arbitration fee awards, Chishti’s estimated debt to various parties exceeds $30 million.