9911796707
TMI Blog2024 (2) TMI 775X X X X Extracts X X X X X X X X Extracts X X X X ..... Bhowmik and Md. Nurul Hassain producers of Bengali films are members of this association, plaintiffs in the suit and respondents in this appeal. The suit (C.S 224 of 2021) was filed by them as co-plaintiffs challenging the election of the executive committee of the association for the tenure 2021-23. The plaintiffs claims that the election of the defendant Nos.2, 4, 5, 6, 7, 8, 10, 11, 16, 18, 19, 20, 21, 22, 24, 25, 26, 28, 29, 30 and 31 as President and Executive Committee members of the association was null and void. There was violation of the articles of the association and election conduct rules of the organisation. These defendants have also joined the appeal with the association. 3. This appeal arises out of a judgment and order dated 8th February, 2023 passed by a learned Single Judge of this Court in an application made by the association and the defendants mentioned in that order for rejection of the plaint and dismissal of the suit (GA 2 of 2022). By the said impugned judgment and order, this application was dismissed. 4. Hence this appeal. 5. On 20th November, 2023 the appeal appeared in our list to be admitted. As the point involved was very short we heard out the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aintiffs (hereinafter plaintiffs) in the plaint is that the voters' list for the tenure of office bearers of the association from 2021 to 2023 had been manipulated by the named appellant defendants (hereinafter defendants) so as to inter alia include members whose membership had expired but renewed illegally. It was said that the election was conducted violating the Articles of Association and Election Conduct 8. Rules of the association. 9. The defendants tried to nip the suit in the bud. 10. They took out the said application under Order 7 Rule 11 of the Civil Procedure Code. It was argued by Mr. Karmakar learned advocate for the defendants that the association was a company limited by guarantee and registered under the Companies Act, 1956 and also under Section 8 of the Companies Act, 2013. He placed Section 430 of the 2013 Act which is as follows:- "430. Civil court not to have jurisdiction.- No civil court shall have jurisdiction to entertain any suit or proceeding in respect of any matter which the Tribunal or the Appellate Tribunal is empowered to determine by or under this Act or any other law for the time being in force and no injunction shall be granted by any court ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e been dismissed. 18. Out of the many points canvassed before the learned trial judge in the application under Order 7 Rule 11 of the Civil Procedure Code, only one point was raised before us. The nature of disputes between the parties as disclosed in the plaint would make them fall under Section 241 of the said Act. The tribunal had exclusive jurisdiction to entertain, try and determine the complaint. 19. The learned trial judge did not decide the point whether the case as made out in the plaint would fall under the aforesaid section. His lordship went by another route. Section 244(1)(b) of the Companies Act, 2013 granted a right to approach the tribunal under Section 214 of the said Act only to a body of shareholders comprising not less than 1/5th of the total number of members of a company under Section 8 of the said Act. 20. The learned trial judge opined that since the plaintiffs were only two in number they did not possess the requisite strength to apply and had rightly approached the civil court by this suit. His lordship negated the argument based on the proviso to Section 244(1)(b) of the said Act that the tribunal had the power to waive the above eligibility requiremen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... manage the affairs of the club. 25. At the time of hearing of the application, it was pointed out to the learned judge that the term of the Executive Committee had been extended by the Registrar of Companies, Kolkata under Section 96(1) of the said Act on 18th September, 2023, on an application made on 8th September, 2023. According to the rules of the association, the Annual General Meeting (AGM) had to be held within six months of the closing of the financial year. However in Clause 73(1) of the said Articles, read with the said Act the maximum period should not be more than 15 months between one AGM and the other. The learned judge noted that the AGM for the year 2022 had taken place in September, 2022. The 15 months' time period had not expired. 26. Since, the tenure of the present Executive Committee had been extended by the Registrar, court did not appoint any administrator. At the end, of the judgment and order dated 26th September, 2003 the learned judge observed as follows:- "Under such facts and circumstances, there has to be a check and balance in the functioning of the executive committee beyond 28th September, 2023. The executive committee shall not be permitted to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rs of the association is maintainable in a civil court, for the reasons advanced by me earlier. 30. The election procedure of the association conducted in the year 2021 for election of the elected executive committee of the association from 2021- 2023 was challenged in this suit. It was said that the electoral roll was manipulated and fabricated showing membership of members whose membership had expired or wrongfully renewed. With this untrue voters' list, the election was conducted by the defendants so as to elect executive committee members who were not eligible to be elected. 31. The purpose of all this was to run the association illegally according to the dictates of the defendants. 32. During argument it was conceded by both learned counsel that even after extension by the Registrar of companies, the term of the executive committee had come to an end and could not be continued to run the association. The interest of the members of the association would be best subserved if an election of the executive members of the association was conducted under the aegis of the court through an administrator. The administrator would be first responsible for preparation of a true and corr ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
