MOHAMED KALIMUDDIN Vs. ABSTEWART

JUDGEMENT

(1.) This is an appeal by the plaintiff in a suit for declaration that the proceedings of the committee of the Calcutta Stock Exchange Association expelling him from its membership ware void and inoperative. Mr. Justice Rankin has dismissed the suit, on the ground that the plaintiff has failed to establish that the proceedings were vitiated by illegality.

(2.) The tenth paragraph of the Rules and Regulations of the Association contains the following provisions: "Cessation of membership: A member shall cease to be such, on the happening of any of the following events: (a) Subject to the present existing regulations regarding adjudication on time bargain contrast", on the committee being of the opinion that be has failed to pay in due course for securities delivered or to deliver in due course any difference in respect of any bargain or fail to pay any money due by him in any way arising from any Stock Exchange transaction, either directly or indirectly, or that he has become or been adjudicated a bankrupt: (&) On his being found guilty, in the opinion of the committee, of conduct justifying his expulsion."

(3.) On the 15th September 1916, Ramkisen Dass Soorajmull reported to the Honrary secretary of the Calcutta Stock Exchange Association that on the 6th September they bad purchased from Mahomed Kalimuddin (the present appellant) 100 ordinary Empire Jute Mills shares at Rs. 37-4-0 per share, delivery for one week s time from the date of sale, and that be had failed to deliver the shares due. As this was a matter which could be dealt with by the committee under Clause (a) of rule 10, a meeting of the committee was held on the 27th September 1916, when the following resolution was recorded: Dealt with a complaint of Ram- kishen Soorajmull against Kalimuddin Khan with regard to an alleged transaction; the committee being of the opinion that the transaction actually did take place, the Honorary Secretary was instructed to inform Mahomed Kalimuddin that he must deliver the shares to the complainant within 6th October." The matter was next considered at a meeting held on the 2nd December 1916, when the following resolution was recorded: "Further, a letter was received again from Ramkissen Dass Soorajmuli complainant against Mahomed Kalimuddin. It was resolved that the decision of the committee arrived at on the 27th September must be enforced or Mahomed Kalimuddin be expelled." Finally, on the 12th January 1917, the committee recorded the following resolution: Received a further complaint from Ramkissen Das Soorajmull against Mahomed Kalimuddin and it was resolved that in view of the decision of the committee arrived at on the 27th September and again confirmed at a committee meeting on December 2nd, at both of which meetings the latter attended, was duly informed of such decision, the Honorary Secretary was instructed to notify him that under the Rules of the Association his membership had ceased and thereby warned not to enter the rooms of the committee." This decision was intimated to the plaintiff on the same day; and he thereafter instituted the present suit on the 7th September 1917.