MissMalini already gave you the blow-by-blow on what happened. Now, for the latest development: Shirish Kunder has confirmed that he has indeed met Shah Rukh Khan, and they have sorted out matters.
So all is definitely well and apparently the relationship is stronger than before (a good thing, because there’s always been tension between SRK and Shirish). Good for them! However, considering how public this was, there are some cynics who’d argue this was done for publicity sake… what do you think?