Dead man votes in LSE elec­tions

Eye­brows raised even as the ‘fraud’ did not make any dif­fer­ence to the re­sult

HT Ludhiana Live - - Front Page - Sachin Sharma sachin.ku­mar2@hin­dus­tan­times.com LUD­HI­ANA:

In a reve­la­tion of sorts, it has come to the fore that in the re­cently held elec­tions for Lud­hi­ana Stock Ex­change (LSE) Se­cu­ri­ties Lim­ited and Lud­hi­ana Stock Ex­change (LSE), proxy votes were cast on the be­half of the dead.

The records of votes cast in the elec­tions for two mem­ber di­rec­tors of LSE Se­cu­ri­ties Lim­ited on Septem­ber 15 at Chandi­garh show that Chand Kis­han Hazari from New Delhi was en­rolled as a voter.

How­ever, one Jas­pal Singh, a mem­ber of LSE Se­cu­ri­ties Com­pany, cast his proxy vote. In­ter­est­ingly, Hazari had passed away on May 1, 2012 and obit­u­ar­ies of his death had ap­peared in the pa­pers.

“Sim­i­larly, in the elec­tions of two mem­ber di­rec­tors of LSE held on Septem­ber 18 in Lud­hi­ana, the proxy vote of Hazari was cast by a per­son who also is a mem­ber of same com­pany,” re­veals the records of votes cast.

The de­ceased owned 10, 000 shares in the LSE Se­cu­ri­ties Lim­ited.

“The notice for hold­ing the 13th an­nual gen­eral body meet­ing of LSE Se­cu­ri­ties Lim­ited and for con­duct­ing elec­tions was is­sued on Au­gust 14, three and half months af­ter the death of Hazari. An ap­pli­ca­tion for proxy vote right to Jas­pal Singh was moved on Septem­ber 12, three days be­fore the poll date,” sources said.

Sources said that though the bo­gus vote had no im­pact on poll out­comes, but it ex­posed flaws in the over­all func­tion­ing of the stock ex­change. Au­thor­i­ties in both the com­pa­nies evaded queries.

For­mer chair­man of LSE Se­cu­ri­ties Lim­ited, Vinod Gum­bar, who re­lin­quished the post in the an­nual gen­eral body meet­ing on Septem­ber said: “I am no longer the chair­man and not in a po­si­tion to com­ment on the is­sue. The mat­ter could be taken up in the meet­ing of board of di­rec­tors only.”

When con­tacted, ex­ec­u­tive di­rec­tor, LSE, Pooja M Kohli, who also hap­pens to be mem­ber di­rec­tor, LSE Se­cu­ri­ties Lim­ited , said she was not au­tho­rized to talk on any is­sue to the me­dia and only the chair­man, whose post was ly­ing va­cant, would be in a po­si­tion to com­ment on both the is­sues.

Mean­while, Jas­pal Singh when con­tacted over phone, ini­tially feigned ig­no­rance and said that he had re­ceived rights to caste proxy votes for num­ber of per­sons and does not re­mem­ber if he had voted for the de­ceased per­son.

How­ever, when quizzed fur­ther he claimed that fam­ily mem­bers, who are also nom­i­nees of the de­ceased per­son had given him the right to proxy vote on his be­half.

He added that the the au­thor­i­ties at both the com­pa­nies had not re­ceived any com­mu­ni­ca­tion declar­ing Hazari as dead and that Hazari con­tin­ued to be mem­ber.

He added that the proxy votes did not im­pact the out­come. Un­der the Com­pa­nies Act, a per­son can au­tho­rise an­other for cast­ing vote on his be­half, which is called a proxy vote.

HT PHOTO

File photo of the Lud­hi­ana Stock Ex­change

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