2019 Supreme(Guj) 109
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
A.J. Shastri, J.
Naresh Lilachand Shah - Appellant
Vs.
Election Officer of Vapi Industrial Association - Respondent
First Appeal No. 823 of 2019; Civil Application (For Stay) No. 1 of 2019
Decided On : 01-03-2019
Jal Soni Unwala, Adv., Tejal A. Vashi, Adv., Shalin Mehta, Adv., Ishan Mihir Patel, Adv., Deep D. Vyas, Adv.
Headnote:
Constitution of India - Art. 226 – Disqualification of nominations though qualified for the nomination – Seeking relief to include names of appellants in list of eligible candidates for ensuing election to their respective posts – Held, A party or a person is entitled to interim protection if the action of the other party is either in breach of the terms of agreement or 'militates' against equity, fair play or natural justice or otherwise and for extending protection – strong prima facie case reflecting on conjoint reading of rules of election on the issue made out – If interim relief is not granted, tantamounts to be creating an irreversible situation for appellants which may lead to multiplicity of proceedings – Appeal allowed [Para 18, 19]
A.J. Shastri, J.
The present First Appeal is filed by the appellants challenging the legality and validity of an order dated 22nd February, 2019 passed by the learned District Court, Valsad in Arbitration Application No.11 of 2019 and consequently also challenging the original action dated 19th February, 2019 of respondent No.2 and seeking relief to include the names of the appellants in the list of eligible candidates for ensuing election for the term 2019-2021 to their respective posts.
2. The background of facts is that for the post of President(Category of Industries), Executive Committee Member(Category of Industries) and Associate Executive Committee Member(Trading Category), the elections were scheduled as per the Constitution and rules and regulations of the respondent Association. The election for above three categories i.e. President, Executive Committee Member and Associate Executive Committee Member is to be held every two years as per the procedure and schedule in view of the rules governing the election of association. It is the case of the appellants that one post is available for the President, 12 posts for the post of Executive Committee Members and one for the post of Associate Executive Committee Member and so far a person from trader's category cannot participate in the election of a President. The appellants are claiming to be members of the respondent Association for number of years and are eligible to participate in the process of election. As per the procedure and schedule of election, the last date for receiving nomination was 16th February, 2019 and the last date for display of final list of candidates on notice board was 19th February, 2019 and on election being declared by the respondent, the appellants as per the rules have filled in their respective nomination forms for the post of President and simultaneously for the post of Member of Executive Committee. It is the ease of the appellants that, to their surprise, without waiting till 22nd February, 2019, the day fixed for withdrawal of nomination, the Scrutiny Committee misinterpreting the provisions of constitution of rules and regulations disqualified their nominations though they were qualified for the nomination for both the posts in question i.e. President as well as Executive Committee Member. Upon personally inquiring whether Election Officer came to know that nominations are cancelled or disqualified, a letter was written by appellant Nos.1,3 and 4 and respondent No.4 before 6 p.m. on 19th February, 2019 requesting to withdraw their nomination with respect to post of President and continued the nomination for the post of Executive Committee Member and simultaneously appellant Nos.2 and 5 withdrew nomination for the post of Executive Committee Member and continued their nominations for the post of President. However, before the final list of candidates could be placed and before arrival of date of withdrawal of nominations dated 22nd February, 2019, it was indicated by way of foot note upon the letter of appellants that their nomination has already been disqualified by the Scrutiny Committee which led the appellants to request the Scrutiny Committee to immediately form the arbitration panel as per Rule 16 of the Constitution and convene a meeting on 19th February, 2019 itself. Despite such request being made and the urgency for the appellants, by way of email dated 20th February, 2019 at 14.41 hours, the Scrutiny Committee refused to constitute the Arbitral Tribunal on the ground that it is not within the domain of the Scrutiny Committee. Resultantly, the appellants approached the existing President of the Association and requested through email dated 20th February, 2019 to immediately form the Arbitral Tribunal and decide their grievance.
3. Even the President also failed to form such an Arbitral Tribunal, resultantly left with no other alternate, the appellants have approached the District Court, Valsad by way of application under