CAMA: Court Slates June 20 For Hearing In CAN’s Suit Against CAC

A Federal High Court, Abuja on Monday slated June 20, 2022 for hearing in a suit filed by the Christian Association of Nigeria (CAN) against the Corporate Affairs Commission (CAC) and the Minister of Industry, Trade and Investment. Justice Inyang Ekwo, fixed the date after counsel to the plaintiff, Joe Kyari Gadzama, informed the court that all the court processes, including the originating summons had been filed and served on the defendants.
The senior lawyer prayed the court for a date for adoption of the processes filed.
Counsel to the first defendant (CAC), Jibrin Okutepa, informed the court that he had filed a notice of preliminary objection to the plaintiff’s originating summons and a written address.
After hearing the submissions of counsel in the matter, except the second defendant, Minister of Industry, Trade and Investment, which was not represented in court, Justice Ekwo adjourned the matter till June 20 for hearing of both the preliminary objection and the substantive matter. The judge also ordered that hearing notice be served on the second defendant to make representation in court on the matter.
The association, in its originating summons marked: F H C /A B J / C S / 8 4 / 2 0 2 2 , wants the court to determine, “Whether Section 839, subsections (1), (7) (a) and (10) of the Companies and Allied Matters Act (CAMA), 2020 and regulations 28-30 of the Companies Regulations (CRs), 2021 are inconsistent with Sections 4(8), 6(6)(b) and 40 of the 1999 Constitution (as amended) which guarantees the plaintiff’s right to freedom of association and the right to seek redress in court.
“Whether the provision of Section 854 of the CAMA is inconsistent with Section 39 of the constitution which guarantees the right to freedom of expression.
“Whether sections 842 (1) and (2) and 843 of the CAMA are inconsistent with sections 37 and 44 of the constitution which guarantees the right to privacy and compulsory acquisition and whether sections 839(1), (7) (a) and (10), section 842(1), (2), sections843, 851 and 854 are inconsistent with section 251(1)(e) and (3) of the CFRN and thus unconditional, null and void, among others.”
Part of the reliefs sought by the plaintiff include: “A declaration that Section 839(1), (7) (a) and (10) of the CAMA and sections 28- 30 of the are inconsistent with Section 40 of the constitution and thus unconstitutional, null and void.
“A declaration that Section 839(1), (7) (a) and (10) of the CAMA are inconsistent with Section 4(8) of the constitution and thus unconstitutional, null and void. “A declaration that Section 839(1) and (7) (a) of the CAMA and regulations 28- 30 of the constitution have a direct effect on the judicial power of the Federal High Court under Section 6(6) (b) of the constitution and is therefore void.
“An order striking down Sections 839(1), (7) (a) and (10), 842(1) and (2), 843, 851 and 854 of the CAMA for being unconstitutional.
“A declaration that Section 17(2) (a) and (d) of the CAMA demand an impossible and impracticable action; thus, void and for being impracticable and unknown to law.”
The plaintiff, in an affidavit averred that if CAC is allowed to suspend its trustees and appoint interim managers to manage its affairs, it will be usurping its powers under the constitution and the powers of the standing committee and the plenary session which would not be in line with the constitution.
Meanwhile, CAN and various non-governmental organisations on Monday kicked against certain provisions of a bill meant to amend the Companies and Allied Matters Act 2020, proposed by the Senate.
They spoke at the public hearing organised by the Senate Committee on Trade and Investment, Diaspora and the NGOs. Sponsor of the bill, Senator Ibrahim Oloriegbe, said the proposed amendments were meant to strengthen the operations of the NGOs in Nigeria.
However, in their presentations at the event, stakeholders including the Christian Association of Nigeria insisted that the amendments being sought to CAMA were repressive and would infringe on the fundamental human rights of the groups’ promoters.
The stakeholders said it was wrong to mandate the NGOs to submit their audit reports twice in a year.
They also rejected the appointment of interim managers to take over the duties of their board of trustees whenever there was a crisis.
They insisted that the organisations did not need third parties to solve their issues. Apart from this, they claimed that the provisions for merger among smaller NGOs would end up in crisis.
The memo submitted to the Senate joint panel by the CAN was signed by its President, Samson Ayokunle; General Secretary, Joseph Daramola and Director of Legal and Public Affairs, Comfort Chigbue.
The CAN kicked against Section 839 of the bill and declared that it negates the principles of freedom and association, religion, freedom to own a property and freedom of expression as provided for in Sections 38, 39, 40, 43, and 44 of the 1999 Constitution (as amended).
Culled from Tribune