Court rules suspension invalid

By ZEDAIAH KANAU
A COURT has ruled that the suspension of Jessie Wangua, the acting managing general of Kumul Telikom Holdings Ltd (KTHL), is invalid, and that he be paid costs by the company.
National Court judge Ere Kariko said the circular resolution of the Telikom board dated July 4, concerning his suspension, was not passed in accordance with the Companies Act.
He ordered that the KTHL pay costs to Wangua.
The defendants are Johnson Pundari in his capacity as chairman of the board of directors of KTHL, and KTHL.
A whistle-blower had written a letter dated June 1, alleging acts of misconduct against Wangua.
The allegations were referred to KTHL chairman Pundari.
Wangua responded on July 1 denying the allegations.
On July 4, Pundari held an urgent board meeting to deal with the allegations against Wangua.
The circular resolution was sent to all the directors except Wangua.
Justice Kariko said: “While the Companies Act and Schedule 4 are not pleaded by Wangua, it was raised in argument and the defendants were invited to address the issues, particularly as to whether Wangua was entitled to be given the circular resolution and whether a proper quorum passed the circular resolution”.
“None of the parties referred to or produced a copy of Telikom’s constitution,” he said.
“Schedule 4, therefore, becomes appropriate to consider.
“A circular resolution must meet the requirements of the Schedule.”
The court found that Telikom had five directors at the time, including Wangua, who were all in the country.
But only three signed the resolution.