DELHI HIGH COURT
V.K. Shali, J.
Delhi & District Cricket Association
& Others —Appellants
versus
Rajnish Aggarwal & Others —Respondents
F.A.O. Nos. 145, 146 of 2013 & C.M. Nos. 4803, 4806 of 2013 (for stay)
Decided on 31-05-2013.
(ii) Civil Procedure Code, 1908—Order 39 Rules 1 and 2 read with Section 151—Challenge to election—Election of Members of Executive Committee/Office Bearers of DDCA—There cannot be truncated challenge—Trial court ought to have decided issue of maintainability of suit on this score as it goes to root of matter—Election of a person should not be interfered with when it has taken place according to democratic traditions and more so when there is no fault attributable to candidate himself. (Para 33)
Result: Appeals allowed.
V.K. Shali, J. —. This order shall dispose of two appeals bearing F.A.O. No.146/2013 titled Delhi District & Cricket Association v. Rajnish Aggarwal & Ors. and F.A.O. No.145/2013 titled Ravinder Manchanda & Ors. v. Rajnish Aggarwal & Ors.
2. In both these appeals, a common order dated 13.3.2013 is assailed which was passed by the learned Additional District & Sessions Judge Sh. Ramesh Kumar, Tis Hazari Courts, Delhi, on an application under Order 39 Rule 1 & 2 read with Section 151 CPC in favour of respondent Nos.1 & 2 and against the appellants as well as against respondent Nos. 5 to 10, The numbers of the appellants and the respondent are given with reference to F.A.O. No.146/2013
3. Before dealing with the submissions made by the respective sides, it would be pertinent here to give a brief background leading to the filing of the present appeals. Respondent Nos.1 abd 2 filed a suit bearing No.8/2013 against the appellant and 18 others seeking a declaration and permanent injunction. The reliefs of declaration and permanent injunction prayed for are, as under:-
“(a) pass a decree of declaration, declaring the election of the defendant Nos.4 to 9 (respondent Nos.5 to 10 in F.A.O. No.146/2013) to the posts of Office Bearers/Members of the Executing Committee (as per Annexure “F”) of the Defendant No.1 (DDCA) held in the AGM of defendant No.1 Association on 21.12.2012 as null and void.
(b) pass a decree of permanent injunction restraining the defendant Nos.4 to 9 from acting or discharging in any manner any functions as members of the Executive Committee/Office Bearers of the defendant No.1 Association in pursuance to their alleged election in the AGM of the defendant No.1 held on 21.12.2012”
4. The respondent Nos.1 & 2 had sought a declaration to the effect that result of the election of six posts of members of Executive Committee of DDCA which include four posts of Joint Secretary and two posts of Executive Member which was held on 21.12.2012 declared null and void. The case of the respondent Nos.1 & 2 was that respondent Nos.5 to 10 be restrained from acting or discharging functions as members of the Executive Committee of the DDCA in pursuance to the elections held in the said Meeting. It was alleged by the respondent No.1 that he had 99 valid proxy votes which were duly deposited at the registered office of the DDCA/appellant as per the mandate of the election notice issued by respondent No.3 (B.L. Garg) and respondent No.4 [Mr. Justice (Retd.) R.C. Chopra, Chief Election Officer, since deleted from the array of the defendants in the suit], more than 48 hours before the Annual General Meeting in which the said election took place. Despite the fact that the respondent had entered into the arena of election hall along with 99 proxies duly mentioned with a list, he was not permitted to cast his vote as a consequence of which the respondent No.1 was deprived to have himself elected to the post of the Joint Secretary. It was alleged to have created an unfair advantage to the respondent Nos.5 to 10, who would not have got elected had the respondent Nos.1 & 2 been permitted to cast these votes.
5. It was the case of the respondent Nos.1 & 2 that the DDCA is a company licensed under Section 25 of the Indian Companies Act, 1956 and is covered by the memorandum of articles and associations of the companies and the provisions of the Indian Companies Act and since the holding of the Annual General Meeting was not in consonance with the principles of fair play and impartial holding of elections, therefore, the respondent Nos.5 to 10 be restrained from acting or discharging any function and that the elections be declared as null and void. Along with the main plaint, the respondent Nos.1 & 2 had also filed an application under Order 39 Rule 1 & 2 CPC for an ad interim relief stating that he is likely to succeed on the merits. It was stated that the balance of convenience is in his favour and he shall suffer an irreparable
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