Special Reports

“CAC Acted Without Notice, Violated Our Right To Fair Hearing” — Suspended Trustees Seek Court Order To Stop Interim Managers At Al-Manar Foundation

The suspended members of the Board of Trustees of the Kaduna-based Al-Manar Education and Development Foundation have dragged the Corporate Affairs Commission (CAC) before the Federal High Court, challenging the Commission’s decision to suspend them and appoint an interim management team to oversee the affairs of the organisation.

Court documents show that the CAC, by a letter dated September 10, 2025, suspended the foundation’s Board of Trustees and subsequently installed interim managers. The suspension was stated to take effect from September 22, 2025, for a period of six months.

However, the trustees, in Suit No: FHC/KD/CS/115/2025, argued that the CAC acted without issuing any prior notice or affording them an opportunity to be heard, despite the fact that their tenure had not expired. They contended that the action amounted to a violation of their right to fair hearing and due process as guaranteed under the Constitution.

In their application, the trustees are seeking an interlocutory injunction restraining the respondents from parading themselves as interim managers or overseers of Al-Manar Education and Development Foundation pending the hearing and determination of the substantive suit.

Outlining the grounds of the application, the applicants stated that they are law-abiding citizens and members of an Islamic religious association duly registered as Incorporated Trustees of Al-Manar Education and Development Foundation, and are therefore entitled to the right to fair hearing and freedom of thought, conscience and religion as guaranteed under Sections 36(1) and 38 of the 1999 Constitution (as amended).

They further argued that while the CAC acted in its capacity as the regulator of companies and non-governmental organisations under the Companies and Allied Matters Act (CAMA) 2020, it failed to comply with the mandatory procedures stipulated under Regulations 28, 29, 30, 31 and 45 of the Companies Regulations 2021, which are designed to ensure fair hearing before such regulatory action is taken.

According to the suit, the Commission “deliberately failed” to observe these procedures before suspending the trustees and appointing the 2nd to 6th respondents as interim managers to run the foundation.

The filings also made reference to the background of one of the interim appointees, citing past encounters with security agencies that resulted in prosecution but no conviction.

The trustees further alleged that the appointments were made without consultation with the foundation’s leadership or wider community, raising concerns about the autonomy of incorporated trustees. The documents also alluded to alleged personal relationships between some of the appointees and senior officials of the Commission, which they said could amount to conflicts of interest and are issues for judicial determination.

Additionally, the suit referenced alleged correspondence to banks seeking changes to the foundation’s account signatories, actions observers say would require judicial scrutiny to determine whether they fall within the statutory powers of the CAC.

As of the time of filing, the CAC had not issued a detailed response to the specific allegations but has maintained in general terms that its actions were taken to ensure compliance with the law.