By Felix Kuyinu
The Federal High Court in Lagos has ordered three Indians to pay the sum of N98.2m to a Nigerian businessman for breaching his right of fair hearing.
The court also ordered the Indian men to pay an additional $325,000 to the 87-year-old complainant, Isaac Oginni, for violating Section 262 of the Companies and Allied Matters Act (CAMA).
Presiding over the case, Justice Ayokunle Faji also declared that Oginni remains a director of his three companies – Bolawole Enterprises Nigeria, Lesag Nigeria and Intermanagement Nigeria.
The defendants : Jai Bhagwan Gupta and his sons – Vineet and Rachit appeared in a suit marked – FHC/L/CS/1431/2019 following the plaintiff’s complaint through his lawyer, Yakubu Galadima, seeking for a declaration that he remains a director in the first, second and third companies.
Ogini, who said he was deprived certain benefits as first subscriber and director of the firms, prayed for an order compelling the defendants to render an account of the N7 billion granted to the first defendant by the Export Expansion Grant Scheme.
Sequel to the defendants’ lawyer, Festus Afeiyodion, urging the court to dismiss the plaintiff’s originating summons for lacking in merit, Justice Faji held that no reasons were given by the defendants for removal of the plaintiff as a director, contrary to Section 262 of CAMA. The Judge hinted on Section 262 of the law which according to him states that reasons must be given in the notice requesting a director’s removal before being eventually removed.
Justice Faji, while refusing the plaintiff’s request for N500 million being his benefits, commissions and brokerages decreed: “I grant the plaintiff N81,000,000 and $150,000 entitlements. This covers benefits up to August 17, 2017.
“The vacation allowance was N1 million per year. The period from 2017 to date is seven years. An additional N7 million is due to the plaintiff as vacation allowance
“Yearly bonus is $25,000 per year. Total of $25,000 for seven years is $175, 000.
“Directors payment of N1,400,000 for seven years is N9,800,000.
“Therefore, the plaintiff is entitled to N98,200,000 and $325,000.”
Galadima hailed the judgment, saying: “The Judgment is sound and unassailable.
“Our client set up an indigenous company, called Bolawole Enterprises Nigeria in 1980s and brought a friend of his, the fourth respondent to manage the company.
“The fourth respondent brought his children into the company as directors, altered the initial shares and ultimately tried to remove our client and his late wife as directors. That was when we approached the court”
“It is a big lesson for the indigenous companies to thread with caution when dealing with foreign partners so as not to lose their companies.”
