Gujarat High Court
Anand Vipinchandra Shah vs Ahmedabad Gymkhana Club on 25 September, 2018
Author: J.B.Pardiwala
Bench: J.B.Pardiwala
C/FA/3544/2017 ORDER
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 3544 of 2017
With
CIVIL APPLICATION NO. 1 of 2017
With
CIVIL APPLICATION NO. 1 of 2018
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ANAND VIPINCHANDRA SHAH
Versus
AHMEDABAD GYMKHANA CLUB
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Appearance:
ADITYA A BIHANI(8022) for the PETITIONER(s) No. 1,2,3,5,6,7,9
MR ANUJ K TRIVEDI(6251) for the PETITIONER(s) No. 4,8
MR CHETAN K PANDYA(1973) for the RESPONDENT(s) No.
1,10,2,3,4,5,6,7
RULE UNSERVED(68) for the RESPONDENT(s) No. 8,9
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CORAM: HONOURABLE MR.JUSTICE J.B.PARDIWALA
Date : 25/09/2018
ORAL ORDER
1. On 24th September, 2018, this Court passed the following order;
"1. The pleadings are almost complete. Mr. Trivedi, the learned counsel appearing for the applicants pointed out that the administrators of the club are in need of some information. This information is with regard to the defaulting members, debarred members and the current members of the club. The administrators appointed by this court are in the process of preparing the fresh electoral role so that the election programme can be worked out. It is pointed out that with great difficulty and with the help of technicians, the administrators have been able to collect some data from the computers but in the absence of the passwords etc., the administrators are finding it difficult to retrieve the old data.
2. It is pointed out by the learned counsel that the Page 1 of 9 C/FA/3544/2017 ORDER opponent No.4 - Ms. Falguni Dave was managing the affairs of the club. In fact, Ms. Dave was a salaried employee of the club. According to the administrators, Ms. Dave would be in a position to help them in getting the necessary information. This Court would like to speak to Ms. Falguni Dave in this regard. Ms. Falguni Dave is requested to personally remain present tomorrow before this Court. Mr. Pandya, the learned counsel appearing for the opponents shall inform about this order to Ms. Dave. Further orders shall be passed tomorrow. In the meantime, if any reply or rejoinder is to be exchanged, the same shall be done by today itself.
Post this matter on 25.09.2018."
2. The opponent No.4, Ms. Falguni Dave, although requested by this Court to personally remain present in the Court, yet she thought fit not to honour the request of this Court. It appears, prima facie, that Ms. Dave might have been instructed by the opponents, more particularly, the former office bearers not to remain present in the fear that Ms. Dave, being the former employee of the club, may expose the former office bearers of their misdeeds in the administration of the club. To my surprise, one Ms. Manreet Soin appeared before this Court. Ms. Soin was the former honorary secretary of the Ahmedabad Gymkhana club. She has filed an affidavit, inter alia, stating as under;
"I, Manreet Soin, daughter of Niranjan Parisingh Soin, aged about 46 years, Sikh by Religion, the then Honorary Secretary of Ahmedabad Gymkhana Club- opponent No.1 herein on solemn affirmation do hereby state as under:-
1. At the outset, I say that I am filing this additional affidavit on behalf of the then Managing Committee, who resigned on 07.08.2018 form the post of the Executive Member of the Managing Committee of the Ahmedabad Gymkhana Club (hereinafter for sake of brevity and convenience "Ahmedabad Gymkhana Club" shall be Page 2 of 9 C/FA/3544/2017 ORDER referred to as the "Club").
2. I say that the deponent and the then President-the opponent No.2 were informed about the order passed by this Honj'ble Court on 24.09.2018 requesting the opponent No.4 to remain present before this Hon'ble Court. I say that we contacted the opponent No.4 and made aware her and also took to our advocate's office. I say that our advocate also explained order passed by this Hon'ble Court and given the copies of the affidavit rejoinder filed by the appellants.
3. I say that the opponent No.4 and her family are reluctant and not ready to attend the Club now anymore.
I say that it is the say of the opponent No.4 that she has joined a new service and she will not get leave from service and she does not want to go any further to the Club. I say that Opponent No.3 has said that she has remained present at the Club as she assured not only till 31/08/2018 but also remained present in the Club on 4 days of September 2018 and has shown the Computers, Data in it, Files and its contents to the administrators and their representatives. I say that it was further said by her that inspite of her remaining present and sincerely shown and explained the procedure of the Club administration and Computer Data and Files allegations were made against her that she has not cooperated and therefore also, she is not willing to work for the Club any more.
4. I say that opponent No.2 and the deponent had remained present during handing over of charge of the Club administrators and have shown all the Data in the Computer and Files.
5. I say that Managing Committee of the Club requested to resign with effect from 20/08/2018 and declare the election after completing audit and preparing requisite data, however the appellants, who did not trust and requested this Hon'ble Court that the Managing Committee should resign with immediate effect. Hence, the Managing Committee resigned with immediate effect pending audit and handed over the charge of the Club office with the computer data therein and the respective files. While handing over the computers and files, the outgoing Committee have shown the data to the Page 3 of 9 C/FA/3544/2017 ORDER administrators and their representatives.
6. I say that the Administrators have appointed Lt. Col. Nikhil Gajjar (retired), as a General Manager, Mr. Mahesh Shah as an Accountant and two Assistants. I say that l have seen them working on Computers, printing Bills, sending E-mails, SMS Massages through Club software, printing ID cards for Members and: Employees and postal address Stickers of members and other office related documents. Therefore, it is crystal clear that the requisite data and software are available in the computer and the same is being used. Copy of the massage received from the Club by the deponent and the opponent No.2 to show that the staff is able to operate the computers and the software. A copy of the message received by the deponent and the opponent No.2 is the same and is annexed herewith and marked as Annexure-R1.
7. I say that the Managing Committee had resigned and handed over the charge and is also cooperated, still the appellants are making allegations contrary to the documents produced before this Hon'ble Court, which has been acknowledged by the Administrators. | request this Hon'ble Court not to involve the opponents in any of the process of the election as otherwise also inspite of best efforts still allegations would be made against the outgoing Committee who resigned. I say that the appellants are competent enough and the appellant No.6 was the Committee Member and one of the administrators appointed by this Hon'ble Court had served as a President and Secretary for many years and therefore, they are aware about the entire procedures and files of the Club.
What is stated hereinabove is true to the best of my knowledge, information and belief and I believe the same to be true.
Solemnly affirmed at Ahmedabad on this 25th day of September, 2018."
3. Mr. Anuj Trivedi, the learned counsel appearing for the applicants has placed on record one more report of the Page 4 of 9 C/FA/3544/2017 ORDER administrators appointed by this Court. The report dated 24th September, 2018, reads as under;
"NOTE FOR THE HIGH COURT.
On the 9th of August 2018, Mr. Mihir Thakore and Mr. Firdos Cambatta visited the club to take over the books of accounts, Minute books etc. Since a very large volume of ledgers and books to be gone through, the inventory was done with the help of one Mr. Ramesh Suthar, who listed the ledgers and books totalling around 375 such ledgers.
As the audit work was going on, all the accounts books were needed to be kept aside for scrutiny by the auditors.
During this audit which was going on we had questioned one of the senior auditors of M/s. Shah Brothers as to approximately when the audit work would be completed. In his reply he stated that provided all the queries raised and clarifications obtained from the members of the outgoing committee the same could be completed between 23rd and 25th of August 2018. lnspite of repeated follow up, the audit work, even after a period of 30 days of the previous date given has still not been completed.
Therefore Mr. Firdos Cambatta spoke to Mr. Rajesh Shah on this subject on Friday 21st and once again sent a message by SMS on the 24th of September as to when they expected the audit work to be completed. Mr. Rajesh Shah, the senior partner of the firm, informed us today by telephone that inspite of repeated requests to Mr. Yunus Shaikh the President, and members of the managing committee they had not kept their appointments to answer the various queries which had been raised by them and under some excuse of the other they were not meeting with them.
Mr. Rajesh is prepared to make an affidavit in the High Court if so required.
Hence it is absolutely essential that the court pass an order to the existing members of the outgoing committee to complete the audit work within a specific period, because unless the audited balance sheets are put on the board for the perusal of the club members, the Page 5 of 9 C/FA/3544/2017 ORDER election cannot be held as per the present bye laws of the Ahmedabad Gymkhana. "
4. The administrators are in need of the following information from the former office bearers to complete their work as assigned by this Court. The details and the information, sought for by the administrators, is as under;
'Details required by the Interim Administrators from the former Management of the Opponent Club for its smooth functioning-.
Provident Fund: Clarification required as notices have been received from Provident Fund Department.
(a) Name and contact details of the Consultant handing Provident Fund and Labour issues.
(b) Details such as resignation letters of the staff.
(c) Details of the Provident Fund Withdrawals and Gratuity Withdrawals, if any.
(d) Reasons for not deducting Provident Fund for the New Staff.
2. Name and contact details of the Consultants handing VAT and TDS ,filings.
3 Audit report: Clarifications to the queries raised by the Auditors for finishing the Audit
4. Club Maintenance & Infrastructure: Names and contact details of the persons/entities to whom contracts were given for the following:
(a) CCTV
(b) Computer and other IT maintenance (C) Plumbing
(d) Civil repair work
(e) Swimming pool repair work
(f) Gym equipment maintenance
(g) Billiard related items
(h) Water tankers Page 6 of 9 C/FA/3544/2017 ORDER
(i) Cable /TATA Sky provider
5. Member Lists: Verification of the data with regard to:
(a) Latest list of defaulters
(b) Reminders sent to defaulters
(c) Latest list of debarred members
(d) Members data details
(e) Clarifications regarding remarks made in the files which are not legible/understandable
6. Employee List:
(a) Details of employees
(b) Salaries drawn
(c) Bonus paid
(d) Leaves granted
(e) Holidays given
(f) Allowances given
(g) Accounting Undertaken for the aforesaid
7. Details of cases pending with regard to the illegal occupants on the club premises
8. All prior email data and their location in the office computers
9. CCTV Recordings:
(a) All prior CCTV/DVR recordings and data and their storage location
(b) CCTV recording of the Annual General Meeting dated 17th September, 2017
(c) CCTV recording of the entire Club on 10th September, 2017
(d) Videography of Annual General Meeting dated 17th September, 2017
(e) Name and contact details of the agency carrying out the said videography
10. Files and papers of the Grievance Committee or any committee handling complaints of the members/employees/managing committee and details of the complaints handled, including but not limited to the Page 7 of 9 C/FA/3544/2017 ORDER complaints, statements, correspondences, etc.
11. Records of the new members enrolled between 2012 and 2018 along with the membership fees/forms received by the Club.
12. Details of all telephones/mobiles owned by club and its schemes/plans
13. Details and clarifications regarding the debit entry in the suspense account of Rs.13,000/- on 23rd May 2017, credited to 23.5.2017 credited to Laxmi Caterers.
14. List of charges to be levied for all facilities of the club and for guests.
15. Cooperation in providing any details, clarifications or explanations need upon obtaining the aforesaid data."
5. All throughout the hearing of this matter, the learned counsel appearing for the opponents kept on saying that all the necessary information within the knowledge of the opponents has been furnished to the administrators. However, the administrators have denied this fact and they feel stranded in the absence of the necessary details and information. I have no reason to disbelieve the two administrators as regards their grievance that the former office bearers are not cooperating.
6. I have reached to the conclusion that the opponents, more particularly, the office bearers, when they decided to quit from the club as the motion of no confidence was looming large over their head, they had this in the mind that the club should be left in shambles. They resigned with the idea of harassing one and all, and also with a view to see that a new Page 8 of 9 C/FA/3544/2017 ORDER body is not able to takeover the administration and management of the club. It is very sad to note that while resigning, they saw to it that each and every employee leaves the club. I am told that the employees were actually threatened with dire consequences if they would not quit their job.
7. Be that as it may, the law will take its own course. I propose to give one last opportunity to the opponents to furnish the information, which is required by the administrators, as referred to above in para-4.
8. I may clarify that if the opponents cooperate and furnish the necessary information, then it is well and good, failing which, it shall be open for the two administrators to deal with the matter in their own way. I leave upon the administrators to take the necessary decision in this regard in accordance with law.
9. Post the matter for further hearing on 8th October, 2018.
(J.B.PARDIWALA, J) Vahid Page 9 of 9