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General Manager, Accountant remanded for contempt, then released on bail
Two employees of the controversial Serene Pavilions boutique hotel in Wadduwa were ordered to be remanded and subsequently granted bail by the Commercial High Court in Colombo on Friday on charges of contempt of court.
During the last court date the two employees, P Kariyawasam (General Manager) and Kelum Keerthi (Accountant) had been directed by High Court Judge P.W.D.C. Jayatillake to cooperate with the nominated management.
Appearing for petitioner Sumith Guruge – one of the nominated directors of the Board of Management – , Ali Sabry PC., informed Court that the previous order was not complied with by the two employees who were influenced presumably by the respondents in the case.
The judge who considered that this was a contempt matter ordered the two employees be remanded till the next hearing on November 4. Subsequently the two were released on bail with the consent of both parties.
When the case was heard last week the Court directed the two employees who were present in Court to carry out the instructions of the nominated board – Mr. and Mrs Clive Leach, Jit Warnakulasuriya and Sumith Guruge and hand over all relevant documents pertaining to the functioning of the hotel
The petition has been filed by two directors Mr. Sumith Guruge and Jit Warnakulasuriya of Serene Pavilions Hotel, Wadduwa against 13 respondents including two former directors Mr. and Mrs Anura Lokuhetty over the unlawful transfer of shares belonging to another director.
The petitioners also have alleged that Mr. and Ms Lokuhetty had illegally appointed their son as a Director.
The petitioners have claimed that the two respondents had fraudulently tried to transfer the 37.78 per cent of the shares owned by Mr. Clive Leach, a British national who is a well renowned businessman, and Mrs Leach.
On January 11 2013 all Board members other than Anura Lokuhetty agreed to proceed with a decision to sell Serene Pavilions. The decision to sell the Company was positively responded to by Mr. Iqbal Daredia an investor with an expression of interest to purchase 100 per cent of the equity at a substantial indicative price.
The petitioner states that the Secretaries of Serene Pavilions (Private) Ltd had received a Board resolution instructing the same by South West Holdings (Pvt) Ltd which was controlled by Mr. Lokuhetty seeking to re-issue share certificates to South West Holdings comprising 308,550 shares of Serene Pavilions on the basis that the same was transferred by Clive Leach with no consideration whatsoever.
The petitioner said that in line with Mr Lohuhetty sought to coerce and exert pressure on the company Secretaries of Serene Pavilions viz., Chart Business System (Pvt) Ltd seeking to effect an alteration of the share register.Mr. Guruge claims that the respondents had arbitrarily conducted a meeting not in keeping with the rules of the company and that thuggery was used to prevent him from conducting a meeting of the directors.
At the previous hearing the Commercial High Court restrained three directors Messrs C. Netticumara, K. Galegoda and D. Samarawickrama functioning as directors.
Appearing for the petitioner on Friday, President’s Counsel Ali Sabry, in his submission, said that Mr. Lokuhetty had conducted an illegal meeting at his residence, with no quorum, and had nominated his son as a director and conducted the management of the hotel restraining the other directors from any participation. He also stated that the Book of Minutes and the share register were stolen from the vehicle of the company secretary and removed to his residence.
Mr Sabry and Faizer Mustapha, PC., with Pulasthi Rupasinghe and Ruwantha Cooray instructed by Sudath Perera Associates appeared for the petitioners.
Romesh de Silva, PC., appeared for Mr. Lokuhetty.