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2025 Supreme(Cal) 307

IN THE HIGH COURT AT CALCUTTA
Sabyasachi Bhattacharyya, Uday Kumar, JJ.
Colonel M Sanjeev, Secretary of the Calcutta Swimming Club – Appellant
Versus
Sardar Shahin Imam and others – Respondents
F.M.A.T 276 of 2025, IA No: CAN 1 of 2025
Decided On : 17-07-2025

Advocates Appeared:
For the Appellant : Mr. Abhrajit Mitra, Mr. Sarvapriya Mukherjee, Mr. Chayan Gupta, Mr. Yasho Vardhan Kochar, Ms. D. Mukherji, Ms. Priyanka Garain
For the Respondent: Mr. Sudhasatva Banerjee, Mr. Debangshu Dinda, Mr. Rachit Lakhmani, Mr. Tamoghna Saha

The amendment allowing electronic voting in association elections must be conducted transparently, ensuring the integrity of the voting process while addressing concerns over proxy voting.

Headnote:(A) The procedural rules governing electronic voting and general meetings within the framework of an association - The appeal arises from a challenge to an injunction against conducting AGM and e-voting, set for July 5, 2025. The order was rendered infructuous as the AGM has since occurred. Key issues examined include the legitimacy of the NSDL's electronic voting rules and concerns over voting integrity and proxy voting (Paras 1-5).

(B) Injunctive relief - The court noted that an ad interim injunction cannot prevent the Association from future elections if conducted transparently under applicable rules (Paras 63-66).

(C) The updated Rules reinforce electoral integrity by emphasizing the primacy of physical voting where conflicts with electronic voting occur (Paras 61-62).

(D) Observations were made on the concerns regarding electronic voting functionality and the potential for proxy voting, alongside scrutiny of the integrity of the voting processes in line with the amended Rules (Paras 19-25, 58-59). (E) Ultimately, the court did not find sufficient basis to preclude electronic voting processes under the amended rules and reaffirmed the right to conduct AGMs and elections in compliance with procedural standards. Resultantly, the appeal was disposed of as infructuous. (Paras 65-66)

Table of Content
1. injunction sought against agm/e-voting. (Para 1 , 2 , 3 , 4)
2. concerns about e-voting and proxy voting. (Para 7 , 8 , 18 , 19)
3. rules of social clubs as binding contracts. (Para 28 , 38 , 62)
4. court’s stance on e-voting procedures. (Para 31 , 33 , 41 , 42)
5. ruling on appeal as infructuous. (Para 65 , 68 , 69)

JUDGMENT :

Sabyasachi Bhattacharyya, J.

1. The present appeal has been preferred at the behest of a defendant in a declaratory suit wherein an amendment to the Rules of the concerned Association/Club has been challenged and consequential relief of permanent injunction restraining the defendant from conducting AGM/e-voting of elections to be held on July 5, 2025 has been sought.

2. In the said suit, a temporary injunction application was filed, in connection with which the impugned order of ad interim injunction dated July 4, 2025 has been passed.

3. In the temporary injunction application, the plaintiff/respondent no.1 had prayed that the defendants, their men and agents and/or servants and/or each one of them are restrained from performing and/or conducting AGM and/or the email voting system of elections to be held on July 5, 2025.

4. By the impugned order, the learned Trial Judge granted ad interim injunction in terms of the said prayer.

5. Upon hearing learned senior counsel for the appellant as well as learned counsel for the plaintiff/respondent no.1, we find that the present appeal has been rendered infructuous, since the ad interim order of injunction was restricted to the prayer in the temporary injunction application, which pertained exclusively to the elections to be held on July 5, 2025.

6. However, certain important issues have been sought to be flagged by the parties.

7. Learned senior counsel appearing for the appellant submits that in the event the impugned order is permitted to be sustained, the logic in the same shall be relied on by the plaintiff/respondent no.1 in trying to forestall future notices and AGMs as well as elections on the self-same ground.

8. Learned senior counsel submits that in terms of the amended Rules, in particular Rule no. 35(d), of the Association/Club-in- question, the responsibility of holding the elections was vested with the National Securities Depositories Limited (NSDL) which is in charge of holding elections for several reputed companies as well as other organizations of note.

9. Learned senior counsel places reliance on the Rules of conduct of virtual elections of the NSDL, which was also intimated to the plaintiff/respondent no.1 by e-mail, as annexed to the present application.

10. It is submitted that the said Rules categorically provide that the User ID furnished for the purpose of voting will be the primary even number, followed by membership number registered with the Club, for the purpose of casting e-votes.

11. Alternatively, members can also select Login type as “OTP”, in which case the Login will be done by the OTP (One Time Password) received on the registered mobile number and/or e-mail ID of the concerned voter.

12. It is further stressed that the said Rules of the NSDL also provide that it is strongly recommended not to share the password/OTP of the voter with any other person and take utmost care to keep the password/OTP confidential.

13. It is submitted by learned senior counsel appearing for the appellant that as per the said Rules, physical voting has not altogether been ruled out.

14. However, in the event a member of the Association casts their vote both in virtual and venue voting (in physical mode), it is the virtual vote which would be cancelled.

15. Thus, in the event of repugnancy, it is argued, it is the physical vote which would prevail over the virtual vote.

16. Thus, it is contended that primacy has been conferred upon physical voting in case of a conflict between the two modes.

17. Learned senior counsel contends that there is no lack of transparency in the voting process and, hence, the apprehensions expressed by the plaintiff/respondent n

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