Two Lagos based Legal Practitioners, Joseph Siyaidon and John Osegi have approached the Court praying that some provisions of the new Companies & Allied Matters Act, 2020 be declared unconstitutional.
This is contained in an originating summons filed before the Federal High Court in suit no FHC/L/CS/2020 where they seek for the following declarations:
a)A DECLARATION that from the true construction of the provisions of Section 6, 36, 38(1) and 39 of the Constitution of the Federal Republic of Nigeria 1999 (As Amended 2011) as well as article 8 and 10 of the African Charter of Human and Peoples Right Ratification and Enforcement Act and articles 1 and 6 of the UN Declaration On the Elimination of All Forms of Intolerance and Discrimination Based on Religious Belief, the provision of Section 839(1) and (7) of the Corporate and Allied Matters Act (CAMA) 2020 is unconstitutional; null and void and of no effect whatsoever.
(b)A DECLARATION that from the true construction of the provisions of Sections 6, 36, 38(1) and 39 of the Constitution of the Federal Republic of Nigeria 1999 (As Amended 2010) as well as article 8 and 10 of the African Charter of Human and Peoples Right Ratification and Enforcement Act and articles 1 and 6 of the UN Declaration On the Elimination of All Forms of Intolerance and Discrimination Based on Religious Belief and the provision of Section 839(1) and (7) of the Corporate and Allied Matters Act (CAMA) 2020, the 1st and 2nd Respondent lack the powers to suspend or remove a trustee of a religious organization without a court order.
(c)A DECLARATION that from the true construction of the provisions of Sections 6, 36, 38 (1) and 39 of the Constitution of the Federal Republic of Nigeria 1999 (As Amended 2011) as well as article 8 and 10 of the African Charter of Human and Peoples Right Ratification and Enforcement Act and articles 1 and 6 of the UN Declaration On the Elimination of All Forms of Intolerance and Discrimination Based on Religious Belief and the provision of Section 842(2) of the Companies and Allied Matters Act (CAMA) 2020 the 1st and 2nd Respondents lack the power to dissolve religious organizations and direct banks to transfer the monies in dormant corporate accounts standing to the credit of religious organizations without a court order.
(d)AN ORDER declaring null and void the provisions of Section 839(1) and (7) of the Corporate and Allied Matters Act (CAMA) 2020 for being unconstitutional null and void and of no effect.
(e)AN ORDER declaring null and void the provisions of Section 842(2) of the Companies and Allied Matters Act (CAMA) 2020 for being unconstitutional null and void and of no effect.
(f)AN ORDER of perpetual injunction restraining the 1st and 2nd Respondents whether by themselves or through their agents, servants or privies from giving effect to the provisions of Sections 839(1) and (7); and 842 (2) of the Corporate and Allied Matters Act (CAMA) 2020.
Meanwhile, in the light of the reliefs sought, they have entreated the Court with the following questions:
1. Whether from the true construction of the provisions of Section 6, 36, 38(1) and 39 of the Constitution of the Federal Republic of Nigeria 1999 (As Amended 2011) the provision of Section 839(1) of the Corporate and Allied Matters Act (CAMA) 2020 is constitutional?
2. Whether from the true construction of the provisions of Sections 6, 36, 38(1) and 39 of the Constitution of the Federal Republic of Nigeria 1999 (As Amended 2011) as well as article 8 and 10 of the African Charter of Human and Peoples Right Ratification and Enforcement Act and articles 1 and 6 of the UN Declaration On the Elimination of All Forms of Intolerance and Discrimination Based on Religious Belief and the provisions of Section 839(1) of the Companies and Allied Matters Act (CAMA) 2020 the 1st and 2nd Respondents are legally empowered to suspend or remove a trustee of a religious organization without a court order?
3. Whether from the true construction of the provisions of Sections 6 and 36, 38(1) and 39 of the Constitution of the Federal Republic of Nigeria 1999 (As Amended 2011) as well as article 8 and 10 of the African Charter of Human and Peoples Right Ratification and Enforcement Act and articles 1 and 6 of the UN Declaration On the Elimination of All Forms of Intolerance and Discrimination Based on Religious Belief and the provision of Section 823(1) of the Companies and Allied Matters Act (CAMA) 2020 the 1st and 2nd Respondent has the power to appoint a manager who may have little or nothing to do with the community forming the religious organization without a court order?
4. Whether from the true construction of the provision of Sections 6, 36, 38(1) and 39 of the Constitution of the Federal Republic of Nigeria 1999 (As Amended 2011) as well as article 8 and 10 of the African Charter of Human and Peoples Right Ratification and Enforcement Act and articles 1 and 6 of the UN Declaration On the Elimination of All Forms of Intolerance and Discrimination Based on Religious Belief and the provision of Section 842(2) of the Companies and Allied Matters Act (CAMA) 2020 the 1st and 2nd Respondents have the power to dissolve religious organizations and direct banks to transfer the monies in dormant corporate accounts standing to the credit of religious organizations without a court order.
TheNigeriaLawyer recalls that controversies still continue to trail the power of the Corporate Affairs Commission under the new CAMA Act, 2020 to unilaterally remove trustees.
However, the case is yet to be fixed for hearing.
Thenigerialawyer
