New Delhi, Feb. 5 -- In a landmark moment for minority shareholder activism and corporate governance in India, the company court on Thursday admitted the country's first corporate class action suit under Indian company law-nearly two years after it was filed by minority shareholders of Jindal Poly Films Ltd.

The shareholders' plea accuses the company promoters of siphoning and selling assets at undervalued prices worth over Rs.2,500 crore through alleged related-party transactions.

The Delhi bench of the National Company Law Tribunal (NCLT) rejected Jindal Poly's challenge to the maintainability of the case and issued formal notice to Jindal Poly Films, allowing the matter to proceed on merits.

The order marks the first time an Indian ...