Court declares suspension of Oando’s AGM unconstitutional
Justice O. A Musa of High Court, Federal Capital Territory (FCT), has declared as unconstitutional the suspension of the Annual General Meeting of Oando Plc by Security and Exchange Commission (SEC) since 2019.
SEC had, through its letter dated May 31, 2019, sanctioned the management of Oando and suspended its annual general meeting.
Aggrieved by the development, Patrick Ajudua, who is a shareholder of the company, filed an action, challenging the suspension at the High Court of the FCT.
Delivering judgment, yesterday, the court held that the applicant has a right and freedom to associate and assemble with other shareholders as well as receiving information at the yearly meeting of the firm.
Justice Musa also set aside the directive of SEC suspending/postponing indefinitely the AGM of Oando in violation, breach and contravention of Patrick’s right and freedom of association and assembly with other shareholders and right to information from other shareholders and that of Oando Plc.
He, therefore, made an order restraining SEC and Oando from interfering with, disrupting and or interfering with the applicant’s constitutional right of association, assembly and right to receive information from other shareholders and members of Oando Plc at the postponed 2019 AGM.
He also granted an order of injunction restraining SEC from acting and /or taking any steps pursuant to its letter of May 31, 2019 or interfering in any manner whatsoever with directors lawfully appointed by the shareholders.
“An order directing Oando to convene and hold AGM within 90 days of this decision of the court in compliance with the provisions of CAMA is hereby granted,” he held.
SEC had in 2019 suspended the AGM of Oando indefinitely.
According to the applicant, since the suspension, shareholders have been kept in the dark on the company’s affairs, specifically corporate initiatives and financials.
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