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The High Court held that Chen Kai’s removal as director and secretary of Salina Drinks Company Ltd was irregular and unfairly prejudicial, and ordered reinstatement.
The petitioner is the lawful owner of 4,512 fully paid-up shares in the 1st respondent company, the removal as director was not done in accordance with the law and proper procedure, and the respondents' actions were unfairly prejudicial. Reliefs sought for appointment as chairman/managing director, co-signatory rights, audit, dividends, commissions, and injunctions were declined as they are matters for the company or lacked evidentiary basis. The cross-petition lacked merit as the evidence supports the petitioner's shareholding and no proof was provided for the respondents' claims.
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The High Court found the removal of four founding directors unlawful, nullified related resolutions and articles amendments, and granted relief for unfair prejudice.
The High Court dismissed an unfair prejudice petition over alleged mismanagement, funds, vehicle use, and director removal, finding the evidence insufficient.
The High Court recognized petitioners as legal representatives of a deceased shareholder’s estate and ordered company records updated, but declined to remove the remaining director.
The respondent was not served with notice to attend the board meeting, rendering the meeting and subsequent resolutions invalid. The call for payment of 75% of share value was unlawful under Regulation 11 of Table A. Forfeiture of shares and removal of the respondent as director were irregular and invalid. The Commercial Court had jurisdiction to adjudicate defamation arising from commercial disputes, but the trial judge erred by not sitting with assessors as required by the Newspapers Act. The appellant's counterclaim was not considered as it was omitted from the amended written statement of…
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