This article is from page 8 of the 2013-07-30 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 8 JPG
NON-FARMING shareholders are to lose the right to vote on issues concerning the future management of Clare Marts Ltd.
A resolution was passed at last week’s Special General Meeting of the mart which will see the creation of a two distinct tiers of shareholders: those who have voting rights and those who don’t. Almost 91 per cent of shareholder present voted in favour of the resolution, which requires shareholders to trade cattle, sheep or horses to the value of at least € 5,000 over a four-year period, or surrender their voting rights.
A shareholder who does not fulfill these conditions will be deemed to be a “Category B” shareholder and will lose the right to vote, but will retain the full value of the shares.
Mart shareholder and Ennis busi nessman, Oliver Moylan, criticised the decision – describing it as “discrimination” and said that Clare Marts was “biting the hand that fed it”.
A spokesperson for the mart told The Clare People yesterday that the move was designed to maintain farmer control for the decision mak- ing process at the mart. He also said that similar moves had been made at a number of Irish marts in recent years.
No person who was a shareholder when the resolution was passed last Wednesday, July 24, will lose their voting rights. However, the Category B conditions will kick in when shares are transferred or willed to others.
Over the years, a number of shares at Ennis Marts Limited have been passed on to people who are no longer active farmers. This has created a situation at the mart where many of the shareholders no longer have any direct connection to active farming.
Mr Moylan criticised the decision saying it was very unfair on business people and local families who were involved in setting up the mart and will soon lose their voting rights.
“It’s a farce they don’t want nontraders. They just want farmers and yet a lot of the marts’ business in volves renting and investment,” Mr Moylan said.
“They’re now trying to make it so we have no voting rights. It’s discrimination against a minority.
Turnover of the marts was € 69.5 million last year with the majority of that coming from the sale of livestock and the rest coming from property.