UAE-based retail giant LuLu Group has confirmed that it will continue its ₹10 crore (approximately Dh3.9 million) defamation case against Malayalam digital publisher Shajan Skariah, founder of Marunadan Malayalee. The legal dispute involves a YouTube video published in November 2020 that allegedly linked LuLu Group chairman M.A. Yusuff Ali to Kerala's diplomatic gold-smuggling scandal. The businessman and the company rejected the claims and initiated legal proceedings to protect their reputation. Despite the publisher later withdrawing his earlier remarks, LuLu Group has made it clear that it does not intend to withdraw the cases. The company has also ruled out an out-of-court settlement.
What Triggered the LuLu Group Defamation Case?
The controversy began on November 21, 2020, when a Malayalam YouTube video made allegations connecting Yusuff Ali with the gold-smuggling investigation involving diplomatic baggage in Kerala. LuLu Group and its chairman strongly disputed the claims and pursued legal action seeking ₹10 crore in damages. In May 2023, the Delhi High Court granted interim relief to Yusuff Ali, directing the removal of the disputed content and restricting further comments about him. Separate legal proceedings were also initiated in Kerala and Lucknow. The company maintains that the allegations caused damage to its chairman's and organisation's reputation.
YouTuber Withdraws Earlier Remarks, But LuLu Rejects Settlement
The dispute gained fresh attention in October 2026 when Shajan Skariah published a video withdrawing his earlier remarks and stating that they were incorrect. However, the development did not change LuLu Group's position on the ongoing legal proceedings. V. Nandakumar, Director of Marketing and Communications at LuLu Group International, said the company respects freedom of expression but draws a distinction between genuine criticism and allegedly fabricated information. He confirmed that the group intends to pursue all available legal remedies. The company believes the matter should be resolved through the Indian judicial system.
Delhi High Court to Hear the Matter in December
The case is significant for the large Indian and Malayalee communities in the UAE, where Yusuff Ali is a prominent business personality. LuLu Group has an international presence and provides employment to more than 75,000 people. The company says protecting its reputation and maintaining public trust remain important priorities. The Delhi High Court has scheduled further proceedings in the matter for December 14, 2026. The legal dispute will continue through the judicial process, with the court yet to deliver a final decision on the defamation claim.
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