Minority shareholders to field their candidates
The upcoming annual general meeting of the Cochin International Airport Limited (CIAL) on November 13 will witness an election to the vacant slots in the company director board.
The Shareholders Organization of Cochin International Airport Limited, an association of the minority shareholders, has decided to field candidates to two of vacant seats to be filled during the event. Till date, members to the company director board were selected through voice vote.
According to the office bearers of the organisation, the decision to contest the election follows a strong demand from various corners for the minority shareholders to have their representatives in the company director board. The candidates from the organisation — its general secretary Devassikutty Padayattil and vice-president Thomas Abraham — have already filed the nominations in this regard.
“The effort is to protect the rights of the minority shareholders as envisaged by the Company's Act which, in turn, will enable us to voice our concerns during the director board meetings,” said Devassikutty Padayattil.
He also accused the present company director board of sitting on a proposal to settle the outstanding disputes with the HUDCO that will benefit the large number of minority shareholders.
In February last, a section of the CIAL's minority shareholders adopted a resolution calling for a CBI inquiry into the award of contracts and the recruitments made by the airport company. It also termed the AGMs as stage-managed events and accused the company authorities of denying them the opportunity to raise questions during such events. According to the company's annual report, the meeting agenda includes the election of three of the director board members and a resolution on the inclusion of a BPCL representative into the company director board. In addition, the company's annual accounts will be presented and as recommended by the director board, a dividend of 12 per cent on the paid-up value of equity shares will be declared.
CIAL achieved 22 per cent growth in its total income during the financial year 2009-10 with its annual turnover going up to at Rs.211.63 crore from Rs.173 crore in the preceding period. Apart from the managing director, the CIAL's director board consists of five nominees from the State government including the Chief Minister, and five shareholders who together hold majority of the total equity shares allotted.