The Calcutta High Court has set aside the stay order given by the Alipore district judge on Birla Corporation’s annual general meeting and allowed the company to hold its AGM on June 29.
Justice Prasenjit Mandal set aside the order of district judge Kalpana Dey and directed that Birla Corporation was free to hold its AGM for 2010 as required under the Companies Act.
Debanjan Mandal, partner of Fox & Mandal and counsel of Harsh Vardhan Lodha, chairman of Birla Corporation, said, ? the order is a vindication of the stand of our client. The obstruction to the holding of AGM has been removed and the company hopes to hold its AGM as scheduled.?
Birla Corporation, whose AGM was adjourned after a day-long drama on Wednesday, had tried to vacate the stay through a revision petition on the AGM at the Calcutta High Court.
Earlier, Prabhat Kumar Sureka, a shareholder with 200 shares of the company, moved the Alipore Court over the issue of using postal ballots to get the approval of shareholders on the company’s future business plans. District judge Kalpana Dey passed an ex-parte order of injunction on holding of the AGM of Birla Corporation on Tuesday. Although no one in Birla Corporation was available for comment on the issue, sources close to the development said on Jume 29, it’s up to the chairman to follow the entire procedure of an AGM including the question answer session or go to voting on resolution directly.