Court castigates KCCI for violating its constitution

Directs it to convene extraordinary general body meeting

GK NEWS NETWORK

Srinagar, May 8: The Court has castigated the Kashmir Chamber of Commerce and Industry (KCCI) for observing its Memorandum and Articles of Association in breach and directed it to convene the Extraordinary General Body Meeting.
 The direction was given by the court of Ist. Additional District Judge Srinagar on a petition titled Nasir Hamid Khan versus Kashmir Chamber of Commerce and Industry and others.
 The plaintiff in the suit has objected to creation of the KCCI’s Industry Skill Development Trust on the grounds that the Executive Committee and its treasurer had no jurisdiction to create the Trust.
 The applicant/plaintiff through his counsel states that 19 members of the KCCI had asked for holding of Extraordinary General Body Meeting to discuss issues including creation of the autonomous bodies and resolution for transparency and accountability in the Trade Fair accounts, exhibitions and study tours.
 “However, the office bearers declined and prevented the applicant from convening the meeting. A handful of members who are responsible for implementing the constitution (of KCCI) in letter and spirit have themselves subverted it and prevented its implementation, abused the authority vested in them under the Memorandum and Articles of Association,” the petition states.
 It states that defendants were delaying the matter on the pretext that the suit was pending in the court. “Till date there has been no response from the defendants in the suit which only goes to show that they do not want to see an early end to the controversy. The term of present office bearers is to expire in August. They have failed to discharge their obligations. The purpose of conveying the meeting was to make the office bearers accountable. The applicant is left with no alternative but to seek appropriate relief from this court,” the petition adds.
 The applicant supported his argument by submission of affidavits of more than nine members. 
 After hearing the arguments, the court observed that the action of the non-applicants in not discharging their obligation amounts to breach of Memorandum and Articles of Association.
 “It is necessary and in the public interest that a responsible body like the Chamber, which has a representative character, conducts its affairs in accordance with the Memorandum and Articles of Association. The applicant seeks a positive relief which cannot be said to prejudice any members,” the Court observed.
 “The act of Executive Committee not to discuss and to fix time and place for holding Extraordinary General Body Meeting is prima facie unsustainable. The affairs of the Chamber are regulated by the provisions of the Memorandum and Articles of Association. Any act which is in derogation of the very basic constitution of the Chamber calls for interference and cannot be overlooked. The decision of the Chamber is subject to judicial review. I am satisfied prima facie that a strong case is made for grant of ad interim mandatory injunction at this stage,” the Court observed.
 The Court issued notice to the non-applicants while directing the President KCCI to convene the Extraordinary General Body meeting after 21 days of the issuance of the notice.
 Pertinently, on the applicant’s application, the Court had earlier stayed the creation and operation of trust.

Lastupdate on : Sat, 8 May 2010 21:30:00 Makkah time
Lastupdate on : Sat, 8 May 2010 18:30:00 GMT
Lastupdate on : Sun, 9 May 2010 00:00:00 IST




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