2024 Supreme(Online)(KER) 35348
HIGH COURT OF KERALA
VIJU ABRAHAM, J
ASPRASAD V.P – Appellant
Versus
GURUDEVA TRUST – Respondent
OP(C) 2080/2024
ANIL KUMAR SREEDHARAN, GUNAVARDHANAN M.N., BIJOY S., RENJITH THAMPAN (SR.)(K/276/1990), ANJANA KANNATH, JIMMI JOSE INDIA, S.SREEKUMAR (SR.)(S-571)
The validity of the executive committee's election was upheld, affirming that the committee's term extends until 30.07.2024, and the appellate court's directions violated natural justice principles.
Headnote:(A) Trusts Act - Clause 17(1)(b) and Clause 38 of Trust Deed - Validity of executive committee elections - The petitioners challenged the appellate court's judgment regarding the validity of the executive committee elected on 10.09.2023, asserting that their term of office extends until 30.07.2024. The appellate court found the general body meeting valid, leading to the election of a new committee. (Paras 2, 5, 10, 12)
(B) Natural Justice - Principles of natural justice - The appellate court's directions were deemed a violation of the trust deed and natural justice principles, as the petitioners had already assumed office and were managing the trust's affairs. (Paras 5, 12)
(C) Balance of Convenience - The balance of convenience favored the petitioners, who were running an educational institution with a significant student body, and the appellate court's decision created confusion regarding the administration of the trust. (Paras 5, 12)
Facts of the case:
The petitioners, members of the executive committee of a public charitable trust, contested the validity of a general body meeting that led to the election of a new committee, claiming their term extended until 30.07.2024.
Findings of Court:
The appellate court's judgment was set aside, affirming the validity of the petitioners' election and the need for a prompt trial.
Issues: The main issues included the validity of the general body meeting and the implications of the executive committee's term of office.
Ratio Decidendi: The court ruled that the general body meeting held on 10.09.2023 was valid, and the appellate court's directions violated the trust deed and principles of natural justice.
Result: The appellate court's judgment was set aside.
J U D G M E N T
The above original petition is filed challenging Ext P9 judgment of the Addl. District Judge, North Paravur in CMA No. 4 of 2024.
2. It is contended that the petitioners are the defendants in O.S. No. 488 of 2023 on the file of the Munsiff Court, North Paravur filed by respondents/plaintiffs. I.A. No. 3 of 2023 was filed seeking temporary prohibitory injunction and the same was dismissed as per order dated 21.12.2023. Challenging the same, C.M.A No. 4 of 2024 was filed and the same was partly allowed as per Ext P9 judgment. It is further contended that petitioners/defendants 1 to 13 are the executive committee members of the 1st respondent Trust elected by a special general body meeting held on 10.09.2023. O.S. No. 488 of 2023 was filed seeking to declare the notice dated 01.09.2023 and meeting dated 10.09.2023 as invalid, and for a permanent prohibitory injunction restraining the petitioners herein from trespassing into 1st respondent’s premises.
3. It is averred that the 1st respondent is a Public Charitable Trust and Ext.P10 is the registered trust deed, and the said Trust is an educational agency managing various educational institutions including an Engineering College. The administration of the 1st respondent is carried out by a 15-member executive committee elected by the general body and the term of ofÏce of the executive committee is two years as stipulated in clause 17(1)(b) of Ext P10. As per clause 38 of Ext.A1, all legal proceedings by and against the Trust shall be taken in the name of the Secretary. A 15-member executive committee was formed pursuant to the general body meeting held on 31.07.2022, and the term of the executive committee elected on 31.07.2022 has to expire on 30.07.2024. The 14th petitioner was elected as Chairperson, 2nd respondent as Vice Chairman and Arun Anand as Secretary. Chairperson, Gigi Ramesh, tendered resignation from the executive committee on 25.08.2023 along with seven other members. Later, Secretary, Arun Anand also resigned on 01.09.2023, thus raising the number of resigned members to nine. With the resignation of nine members, the chairperson was compelled to issue notice to convene a special general body meeting on 10.09.2023 as provided in clause 23 (3) and 24 (3) of Ext.P10 trust deed, and thereupon Ext.P14 notice was issued to convene a special general body on 10.09.2023.
4. Anticipating interference by the 2nd respondent/2nd plaintiff with the assistance of external forces, the chairperson lodged a complaint before the SHO Aluva, West Police Station and also approached this Court filing WP(C) No.29155 of 2023 seeking police protection for the proposed general body meeting and election, and the Court has granted police protection as per Ext.P15. The special general body meeting was attended by 197 members out of the total 586 members and they unanimously elected petitioners and the 4th respondent, and an executive committee was constituted as evident from Ext.P16 copy of the minutes of the meeting held on 10.09.2023. The 1st petitioner took charge as chairman from the 14th petitioner on 11.09.2023 as per clause 30 (2) of Ext.P10. Thereafter, a joint meeting of the new and old committee was held on 13.09.2023 and the 1st Board meeting of the executive committee was held on 21.09.2023. The change of administration of the 1st respondent Trust was ofÏcially published on the website of the Trust, and the same was duly informed to the Kerala Technological University, Mahatma Gandhi University etc. The petitioners have started to disburse salary of the staff including teaching and non-teaching staff from the month of September 2023 onwards. The 6th petitioner/Secretary has filed income tax return in respect of Gurudeva Trust, SNGIST technical campus and SNGIST Arts College for the financial year 2022-23 on 25.11.2023. The petitioners have also interviewed and appointed faculties and non- teaching staff for the group institutions. The 6th petitioner in his capacity as Sec