The Commercial High Court of Colombo yesterday permitted three shareholders of the Stassen Group to proceed with their action against Harry Jayawardena, Managing Director of Stassen, for denying the rights of minority shareholders.

The three shareholders, the late Dr. V. P. Vittachchi, R. K. Obeysekera and Zaki Alif had filed the action against Harry Jayawardena. They had moved the Colombo Commercial High Court against Mr. Jayawardena, saying they had lost confidence in him and sought to quit the company or buy out Jayawardena’s shares. They wanted Mr. Jayawardena to either buy their shares or sell out his shares to them. The petitioners also sought a Court order preventing the company and or Mr. Jayawardena taking any step to alter the present Board of Directors of the company. The petitioner and the respondent Jayawardena had formed Stassen Exports Limited on September 07, 1977 with the intention of exporting tea. The three petitioners were collectively holding 49.99 % of the shares of Stassen Group.

They had told the Court that by 2005, the petitioners noticed a gradual change in Mr. Jayewardena’s attitude towards them. They further said that they observed a difference in the manner Jayawardena conducted his affairs in relation to Stassen Exports, creating a sense of discomfort among them. They also stated that he attempted to weaken the position of the directors of the company and strengthen himself.