A Federal High Court in Lagos has ordered three Indian nationals to pay the sum of N98.2m and an additional $325,000 to an 87-year-old businessman, Isaac Oginni, for breach of fair hearing and the clear provisions of section 262 of the Companies and Allied Matters Act.

Justice Ayokunle Faji also declared that the octogenarian remains a director of his three companies: Bolawole Enterprises Nigeria Limited, Lesag Nigeria Limited, and Intermanagement Nigeria Limited.

The Indians ordered to pay the judgment sum by the court order in a suit marked FHC/L/CS/1431/2019 are Mr Jai Gupta and his two sons, Vineet and Rachit.

In his statement of claims, the octogenarian, represented by his lawyer, Yakubu Galadima, sought to declare that he was a director and remained a director of the three companies listed as first, second, and third defendants in the suit. He also sought a declaration that as the first subscriber and director in the first to third defendants, he is entitled to certain benefits, advantages, and relief from the activities of the three companies.

The plaintiff further prayed to the court for an order compelling the fourth defendant to render a comprehensive account to the Plaintiff of the N7bn granted to the 1st defendant by the Export Expansion Grant Scheme.

But the first to sixth defendants, through their lawyer, Festus Afeiyodion, in a 45-paragraph counter-affidavit urged the court to dismiss the plaintiff’s originating summons for lacking in merit.

Delivering judgment, Justice Faji held that no reasons were given by the defendants for the removal of the plaintiff, which showed a breach of the right to a fair hearing and the clear provisions of section 262 of CAMA. The judge noted that the crux of the issue is whether or not the provisions of the law regarding notice for extraordinary general meetings have been fulfilled.

Consequently, the court restrained the first to sixth defendants, either by themselves, or their agents, privies, or officers from any act that may curtail or impede the rights of the plaintiff as a member and director of the first, second, and third defendants.

On the defendants’ contention that the fourth defendant holds 40,000 fully paid-up shares in the 1st defendant, as of 1987, the court stated that in exhibit 1009, it was clear that the company’s share capital is now 100,000,000 ordinary shares of N1.00 each.

Culled from Punch News