HC nullifies Tamilnad Mercantile Bank AGM proceedings
By Our Banking Bureau | 01 Oct 2005
Chennai: The Madras High Court has said that the entire proceedings of the last annual general meeting of the Tamilnad Mercantile Bank, held on December 24, 2004, in Tuticorin, be declared null and void. This is after the court heard a contempt petition filed by the Tamilnad Mercantile Bank Shareholders Welfare Association which contended that the proceedings at the AGM were conducted in violation of the court's order dated December 23, 2004.
The court had said categorically that all the duly authorised proxies of the members of the bank, whose names appeared in the register of members should be allowed to attend the AGM and vote.
However, the chairman of the bank, S Radhakrishnan, refused to permit such proxies to attend and vote at the meeting, the petitioner alleged.
Justice S Ashok Kumar of the Madras High Court directed the bank "to conduct a fresh annual general meeting within eight weeks from the date of receipt of a copy of this order by following all legal formalities and allowing only those whose power of attorney has been registered in the registrar's office".
At the AGM held on December 24, 2004, shareholders approved a dividend and voted on the appointment of three directors to the board, apart from passing a slew of other resolutions.
