MRS. CAROLINE AKL & ORS VS MR. ALWAN HITTI & ORS
2018
HIGH COURT
GHANA
CORAM
- HER LADYSHIP JUSTICE JENNIFER ABENA DADZIE
Areas of Law
- Civil Procedure
- Corporate Law
- Evidence Law
2018
HIGH COURT
GHANA
CORAM
AI Generated Summary
The Applicants, who were original shareholders of a company, filed for the court to annul shares transferred to the 1st and 2nd Respondents on the grounds of wrongful and unlawful transfer. The Court initially granted the Applicants' request but later set aside the order to allow the 2nd Respondent to file an opposition. The Court found that the Applicants failed to provide sufficient evidence to support their claim and that the 2nd Respondent's shares were legally obtained, resulting in a denial of the Applicants' request to annul the shares.
On September 6, 2018, the Applicants filed an Originating Notice of Motion with the Registry of this Court, praying this Honourable Court for an order to restrain the Respondents from exercising any rights relating to and to annul all transfer of shares in the 3rd Respondent (hereinafter, the “Company”) made in favour of the 1st and 2nd Respondents subsequent to October 14, 2018 on the grounds that the transfer of shares to these Respondents was wrongful, unlawful and invalid and for same to be expunged from the records of the 3rd and 4th Respondents.
On September 17, 2018, the 1st Respondent appeared with counsel who indicated to the Court that the 1st Respondent was not opposed to a grant of the application.
On that basis, the Court entered an Order in favour of the Applicants for the transfer of the shares of the 3rd Respondent in the amount of Seventy-one Thousand, Five Hundred and Thirty-one (71, 531) registered in the name of 1st Respondent, Alwan Hitti to be annulled.
The Court also further ordered the Company Secretary of the 3rd Respondent to take steps to rectify the Register of Members of the 3rd Respondent and the Registrar of Companies, the 4th Respondent herein, to also rectify the records of the 3rd Respondent at the Companies Registry to reflect the change.
In respect of the 2nd Respondent, as there was no proof on the docket that she had been served with the Originating Notice of Motion, the Court adjourned proceedings to September 28, 2018 to allow the Applicants effect service of the Originating Notice of Motion on her.
On the return date, it appearing to the Court that the 2nd Respondent had been duly served per the Affidavit of Service on the Record and the 2nd Respondent having failed to enter appearance and/or to file any affidavit in opposition to the Originating Notice of Motion, the Court went ahead and granted the application as prayed and entered an Order in favour of the Applicants for the transfer of the shares of the 3rd Respondent in the amount of One Hundred and Forty-three Thousand and Sixty (143, 060) registered in the name of 2nd Respondent, Caroline Hitti to be annulled.
The Court also further ordered the Company Secretary of the 3rd Respondent to take steps to rectify the Register of Members of the 3rd Respondent forthwith and the Registrar of Companies, the 4th Respondent herein, to also rectify the records of the 3rd Respondent at the Companies Registry to reflect the change.
Thereafter, from the record, it is