Legal Case Summary

Case Details
Case ID 431e7a39-8dfc-43b9-9a32-c2a3d072e7cb
Body View case body.
Case Number W.P. No. 3689 of 2013
Decision Date Dec 08, 2015
Hearing Date Sep 17, 2015
Decision The Islamabad High Court dismissed the petition filed by Eastern Testing Services (PVT.) LTD. under Article 199 of the Constitution. The court found that adequate remedies were available under the Companies Ordinance, 1984, and that the petitioner had failed to demonstrate that the orders impugned were without jurisdiction or based on mala fide. The court emphasized that the tendency to bypass statutory remedies by invoking constitutional jurisdiction should be discouraged to uphold legislative intent. The court ruled that the petitioner could not show any exceptional circumstances that would warrant the exercise of constitutional jurisdiction, especially when statutory remedies were accessible.
Summary In the case of Eastern Testing Services (PVT.) LTD. vs. SECP and others, the Islamabad High Court addressed significant issues regarding the jurisdiction of the court under Article 199 of the Constitution of Pakistan. The primary contention revolved around the dismissal of a Chief Executive Officer from his position through a resolution passed at an Extraordinary General Meeting, which was later contested on grounds of jurisdictional violations and the existence of adequate statutory remedies. The court reiterated that constitutional jurisdiction should only be invoked in exceptional cases where no alternate remedy is available. The judgment highlights the importance of adhering to the legislative framework provided by the Companies Ordinance, 1984, and the Securities and Exchange Commission Act, 1997. It serves as a precedent in delineating the boundaries of constitutional and statutory remedies, emphasizing the need for petitioners to exhaust all available legal avenues before approaching the High Court. This case is pivotal for understanding corporate governance and the legal recourse available under Pakistan's corporate laws, making it a critical reference for legal practitioners and corporate entities alike.
Court Islamabad High Court
Entities Involved SECP, EASTERN TESTING SERVICES (PVT.) LTD.
Judges ATHAR MINALLAH
Lawyers Syed Hamid Ali Shah, Syed Ishfaq Hussain Naqvi, Babar Sattar, Muhammad Afzal Saddiqui, Hamid Ahmed, Nasir Mehmood, Shahzad Ali Rana
Petitioners EASTERN TESTING SERVICES (PVT.) LTD.
Respondents SECP and others
Citations 2016 SLD 838, 2016 CLD 581, 2016 PLJ 91
Other Citations 1999 SCMR 1881, 2011 SCMR 1813, 1999 SCMR 1072, PLD 1972 SC 279, PLD 1975 SC 244, 2001 SCMR 209, 1993 SCMR 29, PLD 2008 SC 135, PLD 2004 SC 271, 2013 YLR 1396, 2012 MLD 97, 2011 SCMR 848, 2013 CLD 216, 2012 CLC 880, 2011 PTD 647, 2005 PTD 123, 2003 SCMR 1493, 1997 PTD 269, AIR 1985 SC 330, AIR 1964 SC 1419, 2011 SCMR 1621, PLD 2007 SC 133, 1988 MLD 1863, 2004 CLD 260, 2000 CLC 54, 2012 PLC (C.S.) 1119, 1999 CLC 731, 1984 CLC 2192, 2010 PTD 1159, 2009 PTD 809, 2012 SCMR 455, PLD 1994 SC 363, PLD 1996 Lah. 672, PLD 1968 SC 412, PLD 1960 DACCA 541, PLD 2002 SC 452, PLD 1988 Lah. 243, PLD 1989 Lah. 47, PLD 1958 SC (Pak) 41
Laws Involved Companies Ordinance, 1984, Constitution of Pakistan, 1973, Securities and Exchange Commission of Pakistan Act, 1997
Sections 468, 484, 199, 2(1)(31), 33, 34