In its order, the Mumbai High Court has asked both sides to wait for the SEBI's verdict on the issue. The SEBI had earlier postponed hearing of the case as the regulator was waiting for the green signal from the High Court. With the High court asking the SEBI to take a decision, the regulator is keen to expedite the hearings.

Chhabria, who has made a hostile bid on the company, will be heard on the same day by the SEBI chairman D R Mehta. This would be last hearing before the market regulator gives its verdict. Therefore, the hearing assumes significance for both the warring parties as its verdict would sealthe fate of either promoter. SEBI officials say that they are also waiting for the copy of verdict passed by Mumbai High Court on the matter.

Chhabria had acquired more than 49 per cent equity in Herbertsons by buying shares in the open market. With Mallya claiming that even he has over 45 per cent stake in the company, the tussle over management control is getting murkier with both parties making claims and counter claims.

In the annual general meeting held in Mumbai for the fiscal 1998, Chhabria had moved special resolutions to nominate his directors in place of UB nominated directors.